2.	RECONCILIATIONS OF EQUITY

Below are reconciliations of total equity, Company equity and equity attributable to noncontrolling interests for the nine months ended September 30, 2018 and 2017:

(In thousands)	Total Equity			Stepan Company Equity			Noncontrolling Interests’ Equity ⁽³⁾
Balance at January 1, 2018	$	740,914		$	740,096		$	818
Net income		85,807			85,816			(9	)
Dividends		(15,225	)		(15,225	)		—
Common stock purchases ⁽¹⁾		(16,756	)		(16,756	)		—
Stock option exercises		3,488			3,488			—
Defined benefit pension adjustments, net of tax		2,293			2,293			—
Translation adjustments		(28,776	)		(28,730	)		(46	)
Derivative instrument activity, net of tax		(7	)		(7	)		—
Other ⁽²⁾		6,676			6,676			—
Balance at September 30, 2018	$	778,414		$	777,651		$	763

(In thousands)	Total Equity			Stepan Company Equity			Noncontrolling Interests’ Equity ⁽³⁾
Balance at January 1, 2017	$	635,916		$	634,604		$	1,312
Net income		81,661			81,694			(33	)
Dividends		(13,841	)		(13,841	)		—
Common stock purchases ⁽¹⁾		(6,255	)		(6,255	)		—
Stock option exercises		3,127			3,127			—
Defined benefit pension adjustments, net of tax		1,671			1,671			—
Translation adjustments		26,288			26,229			59
Derivative instrument activity, net of tax		(7	)		(7	)		—
Other ⁽²⁾		7,711			7,711			—
Balance at September 30, 2017	$	736,271		$	734,933		$	1,338

⁽¹⁾

Includes the value of Company common stock purchased in the open market and from the Company’s retirement plans and the value of Company common stock tendered by employees to settle statutory withholding taxes related to distributions of deferred performance awards and deferred management incentive compensation and exercises of stock appreciation rights.

⁽²⁾

Primarily comprised of activity related to stock-based compensation and deferred compensation. Beginning in 2018, also includes beginning retained earnings adjustment as a result of the Company’s first quarter 2018 adoption of ASU No. 2016-16, Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory.

⁽³⁾

Reflects the noncontrolling interest in the Company’s China joint venture.