Equity Method Investments in Affiliates

6 Months Ended

Jun. 30, 2018

Equity Method Investments and Joint Ventures [Abstract]

The following table presents the change in Equity method investments in Affiliates (net):



	Total
Balance, as of December 31, 2017	$	3,304.7
Equity method earnings	218.4
Equity method intangible amortization and impairments	(86.8		)
Distributions of earnings from equity method investments	(327.8		)
Foreign currency translation	31.3
Other	(5.8		)
Balance, as of June 30, 2018	$	3,134.0

Definite-lived acquired relationships at the Company’s equity method Affiliates are amortized over their expected period of economic benefit. The Company recognized amortization expense for these relationships of $24.0 million and $45.8 million for the three and six months ended June 30, 2017, respectively, and $23.5 million and $53.5 million for the three and six months ended June 30, 2018, respectively. Based on relationships existing as of June 30, 2018, the Company estimates the annual amortization expense attributable to its equity method Affiliates will be approximately $100 million in 2018 and approximately $90 million in each of 2019, 2020, 2021 and 2022.

During the three months ended June 30, 2018, one of the Company’s equity method Affiliates decided to liquidate its funds and return capital to investors. The Company recognized a $33.3 million expense ($25.0 million net of tax), which together with an expense recorded in the fourth quarter of 2017, reduced the carrying value of the Company’s investment in the Affiliate to zero.

The Company has determined that one of its equity method Affiliates is significant under Rule 10-01(b)(1) of Regulation S-X. For the three and six months ended June 30, 2017, this equity method Affiliate recognized revenue of $259.2 million and $524.8 million, respectively, and net income of $144.4 million and $293.0 million, respectively. For the three and six months ended June 30, 2018, this equity method Affiliate recognized revenue of $290.9 million and $601.7 million, respectively, and net income of $138.8 million and $308.4 million, respectively.