Joint Ventures (Notes)

12 Months Ended

Dec. 31, 2017

Equity Method Investments and Joint Ventures Disclosure [Text Block]

Joint Ventures

The Company has two joint ventures with China National Tobacco Corporation, or CNTC. CNTC is the principal operating Company under China’s State Tobacco Monopoly Administration. CNTC and the Company’s subsidiary, Schweitzer-Mauduit International China, Limited, or SM-China, each own 50% of each of the joint ventures. The paper joint venture China Tobacco Mauduit (Jiangmen) Paper Industry Co. LTD, or CTM, produces tobacco-related papers in China. The second joint venture China Tobacco Schweitzer (Yunnan) Reconstituted Tobacco Co. LTD, or CTS, produces reconstituted tobacco leaf products. The joint ventures pay to each the Company and CNTC sales-based royalties and management fees, of which SWM recognized $2.1 million, $2.0 million and $2.9 million in 2017, 2016 and 2015, respectively, in other income, net in the consolidated statements of income.

The Company uses the equity method to account for its ownership interest in both joint ventures. At December 31, 2017 and 2016, the Company’s equity investment in joint ventures was $68.5 million and $63.8 million, respectively. The Company’s share of the net income (loss) was included in income (loss) from equity affiliates within the consolidated statements of income. Below is summarized balance sheet information as of December 31, 2017 and 2016, and statement of operations information of the China joint ventures for the years ended December 31, 2017, 2016 and 2015 ($ in millions):



	December 31,
	2017		2016
Current assets	$	112.4	$	118.6
Noncurrent assets	205.3		201.7
Current liabilities	64.8		69.6
Long-term liabilities	114.7		122.0
Stockholder's equity	138.2		128.7

Summary financial results of joint ventures were as follows ($ in millions):



	For the Years Ended December 31,
	2017		2016		2015
Net sales	$	105.0	$	107.5	$	122.0
Gross profit	28.8		36.5		42.7
Net income	4.9		9.5		13.2