Note 5. Investment Partnerships (Tables)

12 Months Ended

Dec. 31, 2015

Note 5. Investment Partnerships Tables

Fair value and carrying value of our partnership interest

The fair value and adjustment for Company common stock held by the investment partnerships to determine carrying value of our partnership interest is presented below.

	Fair Value			Company Common Stock			Carrying Value
Partnership interest at July 1, 2013	$	54,608		$	43,580		$	11,028
Investment partnership gains		23,053			2,985			20,068
Contributions of cash and securities to investment partnerships		377,636			—			377,636
Increase in proportionate share of Company stock held		—			11,033			(11,033	)
Partnership interest at September 25, 2013	$	455,297		$	57,598		$	397,699
Investment partnership gains (losses)		1,436			(12,619	)		14,055
Contributions of cash and securities (net of distributions of $10,340)		164,078			—			164,078
Increase in proportionate share of Company stock held		—			18,594			(18,594	)
Partnership interest at September 24, 2014	$	620,811		$	63,573		$	557,238
Investment partnership gains		156,088			11,386			144,702
Increase in proportionate share of Company stock held		—			3,958			(3,958	)
Partnership interest at December 31, 2014	$	776,899		$	78,917		$	697,982
Investment partnership losses		(110,956	)		(71,600	)		(39,356	)
Contributions of cash (net of distributions of $19,775)		68,725			—			68,725
Increase in proportionate share of Company stock held		—			255,662			(255,662	)
Partnership interest at December 31, 2015	$	734,668		$	262,979		$	471,689

The carrying value of the investment partnerships net of deferred taxes is presented below.

	December 31,
	2015			2014
Carrying value of investment partnerships	$	471,689		$	697,982
Deferred tax liability related to investment partnerships		(115,952	)		(141,836	)
Carrying value of investment partnerships net of deferred taxes	$	355,737		$	556,146

Incentive reallocation

	Calendar Years
	2015	2014	2013
Incentive reallocation on investments other than Company common stock .............................	-	34,406	11,047
Incentive reallocation on gains of Company common stock .....................................................	23	-	3,655
Total incentive reallocation from Biglari Holdings to Biglari Capital ........................................	$          23	$    34,406	$  14,702

Tabular disclosure of realized and unrealized gains and losses on investments of consolidated affiliated partnerships reported in the statement of income.

		Transition Period		Fiscal Year
	2015	2014	2013	2014	2013
			(unaudited)
Investment partnership gains (losses) .........................................	$ (39,356)	$ 144,702	$   23,493	$   14,055	$   20,068
Tax expense (benefit) ................................................................	(21,188)	53,511	7,977	1,739	6,772
Contribution to net earnings (loss) .............................................	$ (18,168)	$   91,191	$   15,516	$   12,316	$   13,296

Summarized financial information for Equity in Investment Partnerships

	Equity in Investment Partnerships
	Lion Fund	Lion Fund II
Current and total assets as of December 31, 2015 ...........................................................	$             165,996	$             819,323
Current and total liabilities as of December 31, 2015 .....................................................	$                    409	$             141,274
Revenue for the year ended December 31, 2015 ...............................................................	$             (24,101)	$           (100,357)
Earnings for the year ended December 31, 2015 ..............................................................	$             (24,247)	$           (103,096)
Biglari Holdings’ Ownership Interest ..............................................................................	60.9%	93.5%
Current and total assets as of December 31, 2014 ....................................................................	$             187,078	$             719,344
Current and total liabilities as of December 31, 2014 ...............................................................	$                 8,658	$                      44
Revenue for the three months period ended December 31, 2014 ..............................................	$               24,082	$             182,923
Earnings for the three months period ended December 31, 2014 .............................................	$               24,037	$             182,902
Biglari Holdings’ Ownership Interest ........................................................................................	61.6%	92.7%
Current and total assets as of September 30, 2014 ...................................................................	$             154,561	$             548,923
Current and total liabilities as of September 30, 2014 ..............................................................	$                      58	$                      25
Revenue for the year ended September 30, 2014 ......................................................................	$             (12,860)	$               19,832
Earnings for the year ending September 30, 2014 ....................................................................	$             (12,950)	$               19,789
Biglari Holdings’ Ownership Interest ........................................................................................	61.6%	95.8%
Current and total assets as of September 30, 2013 ...................................................................	$             126,121	$             408,883
Current and total liabilities as of September 30, 2013 ..............................................................	$                      83	$                      11
Revenue for the year ended September 30, 2013 ......................................................................	$                 9,200	$               25,109
Earnings for the year ended September 30, 2013 .....................................................................	$                 9,170	$               25,098
Biglari Holdings’ Ownership Interest ........................................................................................	52.1%	96.3%

Net unrealized and realized gains/losses from investments held by consolidated affiliated partnerships

	Fiscal Year
	2013
Gross unrealized gains ............................................................................................................................................	$               3,746
Gross unrealized losses ...........................................................................................................................................	(410)
Net realized gains from sale ...................................................................................................................................	261
Other income ........................................................................................................................................................	306
Total .....................................................................................................................................................................	$               3,903

Tabular disclosure of redeemable noncontrolling interests of consolidated affiliated partnerships reported in the balance sheet.

Carrying value at September 26, 2012 ...................................................................................................................	$             52,088
Contributions from noncontrolling interests ..........................................................................................................	1,076
Distributions to noncontrolling interests ................................................................................................................	(2,302)
Incentive fee .........................................................................................................................................................	(21)
Income allocation ..................................................................................................................................................	1,922
Adjustment to redeemable noncontrolling interest to reflect maximum
redemption value ................................................................................................................................................	4,810
Adjustment to reflect deconsolidation of affiliated partnerships .............................................................................	(57,573)
Carrying value at September 25, 2013 ...................................................................................................................	$                    -