Annual report pursuant to Section 13 and 15(d)

Equity Method Investments

v2.4.1.9
Equity Method Investments
 12 Months Ended
Feb. 28, 2015
Equity Method Investments and Joint Ventures [Abstract]  
EQUITY METHOD INVESTMENTS
EQUITY METHOD INVESTMENTS:

Prior to June 7, 2013, Constellation Beers Ltd., an indirect wholly-owned subsidiary of the Company, and Diblo, S.A. de C.V., an entity majority-owned by Grupo Modelo, S.A.B. de C.V. (“Modelo”), each had, directly or indirectly, equal interests in a joint venture, Crown Imports LLC (“Crown Imports”). Crown Imports had the exclusive right to import, market and sell primarily Modelo’s Mexican beer portfolio sold in the U.S. and Guam (the “Mexican Beer Brands”).

In addition, prior to June 7, 2013, we accounted for our investment in Crown Imports under the equity method. Accordingly, through June 6, 2013, the results of operations of Crown Imports were included in equity in earnings of equity method investees. We received $30.3 million and $230.2 million of cash distributions from Crown Imports for the years ended February 28, 2014, and February 28, 2013, respectively, all of which represented distributions of earnings.

We have several other investments which are being accounted for under the equity method. The primary investment consists of Opus One Winery LLC (“Opus One”), a 50% owned joint venture arrangement. As of February 28, 2015, and February 28, 2014, our investment in Opus One was $64.7 million and $63.5 million, respectively.

The following table presents summarized financial information for our Crown Imports equity method investment (prior to the date of acquisition) and Opus One, our other material equity method investment discussed above.
 
Crown
Imports
 
Opus One
 
Total
(in millions)
 
 
 
 
 
For the Year Ended February 28, 2015
 
 
 
 
 
Net sales
$
—

 
$
72.6

 
$
72.6

Gross profit
$
—

 
$
57.6

 
$
57.6

Income from continuing operations
$
—

 
$
40.8

 
$
40.8

Net income
$
—

 
$
40.8

 
$
40.8

 
 
 
 
 
 
For the Year Ended February 28, 2014
 
 
 
 
 
Net sales
$
813.4

 
$
62.8

 
$
876.2

Gross profit
$
241.5

 
$
49.9

 
$
291.4

Income from continuing operations
$
142.1

 
$
34.5

 
$
176.6

Net income
$
142.1

 
$
34.5

 
$
176.6

 
 
 
 
 
 
For the Year Ended February 28, 2013
 
 
 
 
 
Net sales
$
2,588.1

 
$
52.6

 
$
2,640.7

Gross profit
$
755.4

 
$
39.0

 
$
794.4

Income from continuing operations
$
446.2

 
$
24.8

 
$
471.0

Net income
$
446.2

 
$
24.8

 
$
471.0