Investments

Investments as of August 31, 2017, and 2016, are as follows:



	2017		2016
	(Dollars in thousands)
Equity method investments:
CF Industries Nitrogen, LLC	$	2,756,076	$	2,796,323
Ventura Foods, LLC	347,016		369,487
Ardent Mills, LLC	206,529		194,986
TEMCO, LLC	41,323		44,578
Other equity method investments	268,444		263,025
Cost method investments	131,605		127,577
Total investments	$	3,750,993	$	3,795,976

Joint ventures and other investments, in which we have significant ownership and influence, but not control, are accounted for in our consolidated financial statements using the equity method of accounting. Our significant equity method investments are summarized below.

On February 1, 2016, we invested $2.8 billion in CF Nitrogen, commencing our strategic venture with CF Industries Holdings, Inc. The investment consists of an 11.4% membership interest (based on product tons) in CF Nitrogen. We also entered into an 80-year supply agreement that entitles us to purchase up to 1.1 million tons of granular urea and 580,000 tons of urea ammonium nitrate ("UAN") annually from CF Nitrogen for ratable delivery. Our purchases under the supply agreement are based on prevailing market prices and we receive semi-annual cash distributions (in January and July of each year) from CF Nitrogen via our membership interest. These distributions are based on actual volumes purchased from CF Nitrogen under the strategic venture and will have the effect of reducing our investment to zero over 80 years on a straight-line basis. We account for this investment using the hypothetical liquidation at book value method, recognizing our share of the earnings and losses of CF Nitrogen based upon our contractual claims on the entity's net assets pursuant to the liquidation provisions of CF Nitrogen's Limited Liability Company Agreement, adjusted for the semi-annual cash distributions. For the years ended August 31, 2017 and 2016, these amounts were $66.5 million and $74.7 million, respectively, and are included as equity income from investments in our Nitrogen Production segment.

The following tables provide aggregate summarized audited financial information for CF Nitrogen for the balance sheets as of August 31, 2017, and 2016, and the statements of operations for the twelve months ended August 31, 2017, and the seven months ended August 31, 2016:



	2017		2016
	(Dollars in thousands)
Current assets	$	394,089	$	534,878
Non-current assets	7,314,629		7,043,121
Current liabilities	390,206		556,696
Non-current liabilities	6		—



	2017		2016
	(Dollars in thousands)
Net sales	$	2,051,159	$	1,027,142
Gross profit	195,142		243,911
Net earnings	123,965		186,665
Earnings attributable to CHS Inc.	66,530		74,700

We have a 50% interest in Ventura Foods, LLC ("Ventura Foods"), a joint venture which produces and distributes primarily vegetable oil-based products, and which constitutes our Foods segment. We account for Ventura Foods as an equity method investment, and as of August 31, 2017, our carrying value of Ventura Foods exceeded our share of its equity by $12.9 million, which represents equity method goodwill.

We have a 12% interest in Ardent Mills, LLC ("Ardent Mills"), a joint venture with Cargill Incorporated ("Cargill") and ConAgra Foods, Inc., which combines the North American flour milling operations of the three parent companies. We account for Ardent Mills as an equity method investment included in Corporate and Other.

TEMCO, LLC ("TEMCO") is owned and governed by Cargill (50%) and CHS (50%). Both owners have committed to sell all of their feedgrains, wheat, oilseeds and by-product origination that are tributary to the Pacific Northwest, United States ("Pacific Northwest") to TEMCO and to use TEMCO as their exclusive export-marketing vehicle for such grains exported through the Pacific Northwest through January 2037. We account for TEMCO as an equity method investment included in our Ag segment.

The following tables provide aggregate summarized audited financial information for our major equity method investments in Ventura Foods, Ardent Mills and TEMCO for balance sheets as of August 31, 2017, and 2016, and statements of operations for the twelve months ended August 31, 2017, 2016 and 2015:



	2017		2016
	(Dollars in thousands)
Current assets	$	1,562,978	$	1,638,780
Non-current assets	2,524,053		2,495,955
Current liabilities	748,028		836,544
Non-current liabilities	865,078		853,549



	2017		2016		2015
	(Dollars in thousands)
Net sales	$	9,901,150	$	8,776,261	$	9,054,677
Gross profit	700,737		674,181		754,375
Net earnings	258,616		238,870		313,664
Earnings attributable to CHS Inc.	57,461		75,858		81,101

Our investments in equity method investees other than the four entities described above are not significant in relation to our consolidated financial statements, either individually or in the aggregate.