Investments in Affiliates (Notes)

12 Months Ended

Dec. 31, 2019

Equity Method Investments and Joint Ventures [Abstract]

Investments in Affiliates

Investments in Affiliates

We have investments in several businesses accounted for using the equity method of accounting. Investees and equity ownership percentages are presented below:

	Equity Ownership %
Combined Metals of Chicago, LLC	40.0%
Delaco Processing, LLC	49.0%
Rockport Roll Shop LLC	50.0%
Spartan Steel Coating, LLC	48.0%

Cost of products sold includes $5.1, $6.6 and $7.0 in 2019, 2018 and 2017 for our share of income of equity investees. As of December 31, 2019, our carrying cost of our investment in Spartan Steel exceeded our share of the underlying equity in net assets by $7.7. This difference is being amortized and the amortization expense is included in cost of products sold.

Summarized financial statement data for all investees is presented below:

	2019		2018		2017
Revenue	$	330.2	$	329.8	$	292.7
Gross profit	94.6		91.0		88.9
Net income (loss)	15.5		19.4		20.7

	2019		2018
Current assets	$	114.2	$	123.6
Noncurrent assets	80.3		74.4
Current liabilities	18.8		16.9
Noncurrent liabilities	96.1		54.2

We regularly transact business with these equity investees. Transactions with all equity investees for the years indicated are presented below:

	2019		2018		2017
Sales to equity investees	$	67.6	$	104.4	$	80.6
Purchases from equity investees	42.3		31.2		33.0

Outstanding receivables and payables with all equity investees as of the end of the year indicated are presented below:

	2019		2018
Accounts receivable from equity investees	$	1.5	$	1.9
Accounts payable to equity investees	3.9		6.4

In 2016, we terminated our iron ore pellet offtake agreement with Magnetation LLC, ceased purchasing iron ore pellets from them, and recorded a liability for obligations under contracts with other third parties to transport pellets to our facilities. In 2017, we recorded a credit of $19.3 to reduce the liability when we reached an agreement for transportation services to begin using rail cars that we idled after the termination of the pellet supply agreement.