INVESTMENT IN UNCONSOLIDATED SUBSIDIARIES

The Company announced on January 21, 2011 that a wholly-owned subsidiary of Darling entered into a limited liability company agreement with Valero to form the DGD Joint Venture. The DGD Joint Venture is owned 50% / 50% with Valero and was formed to design, engineer, construct and operate a renewable diesel plant (the “DGD Facility”), which as result of its recently expanded capacity is now capable of processing approximately 20,000 barrels per day of input feedstock to produce renewable diesel fuel and certain other co-products, and is located adjacent to Valero's refinery in Norco, Louisiana. The DGD Joint Venture reached mechanical completion and began the production of renewable diesel in late June 2013.

Selected financial information for the Company's DGD Joint Venture is as follows:



(in thousands)	December 31, 2018		December 31, 2017
Assets:
Total current assets	$	186,258	$	202,778
Property, plant and equipment, net	576,384		435,328
Other assets	24,601		4,655
Total assets	$	787,243	$	642,761
Liabilities and members' equity:
Total current portion of long term debt	$	189	$	17,023
Total other current liabilities	40,619		40,705
Total long term debt	8,485		36,730
Total other long term liabilities	539		450
Total members' equity	737,411		547,853
Total liabilities and member's equity	$	787,243	$	642,761



	Year Ended December 31,
(in thousands)	2018			2017			2016
Revenues:
Operating revenues	$	677,663		$	633,908		$	527,670
Expenses:
Total costs and expenses less depreciation, amortization and accretion expense	329,636			547,512			353,222
Depreciation, amortization and accretion expense	29,434			28,955			27,821
Operating income	318,593			57,441			146,627
Other income	1,919			1,343			551
Interest and debt expense, net	(955		)	(2,306		)	(7,354		)
Net income	$	319,557		$	56,478		$	139,824

As of December 29, 2018, under the equity method of accounting, the Company has an investment in the DGD Joint Venture of approximately $368.7 million on the consolidated balance sheet and has recorded approximately $159.8 million, $28.2 million and $69.9 million in equity net income in the unconsolidated subsidiary for the years ended December 29, 2018, December 30, 2017 and December 31, 2016, respectively. Biodiesel blenders registered with the Internal Revenue Service were eligible for a tax incentive in the amount of $1.00 per gallon of renewable diesel blended with petroleum diesel to produce a mixture containing 0.1% diesel fuel. In February 2018, the blenders tax credits for calendar year 2017 were retroactively reinstated by the U.S. Congress. Fiscal 2017 results do not include any blenders tax credits, while in fiscal 2018, the DGD Joint Venture recorded approximately $160.4 million for the 2017 reinstated blenders tax credits. For fiscal year ended December 31, 2016, the DGD Joint Venture recorded approximately $160.6 million in blenders tax credits. These blenders credits were recorded by the DGD Joint Venture as a reduction of total costs and expenses in the above table. In addition, the Company received $65.0 million for the year ended December 29, 2018 and $25.0 million for each of the years ended December 30, 2017 and December 31, 2016, in dividend distributions from the DGD Joint Venture.

In addition to the DGD Joint Venture, the Company has investments in other unconsolidated subsidiaries that are insignificant to the Company.