The Company's share of foreign currency transaction losses from its consolidated and unconsolidated foreign operations was $0.5 million for both Q4 2010 and Q4 2009. Our combined foreign currency exchange loss in Q4 2010 related primarily to our consolidated Mexico operations.
Equity in earnings of unconsolidated subsidiaries was $0.6 million in Q4 2010 compared to losses of $1.7 million for Q4 2009. This increase was due to additional equity earnings of $2.0 million from our foreign servicing entities in Q4 2010 compared to Q4 2009, and $2.8 million of additional equity earnings from our special situations platform in Q4 2010 compared to Q4 2009 (we recorded $1.9 million in equity earnings in Q4 2010 from our special situations equity-method investment in a prefabricated building manufacturer – see below for additional discussion). This increase was off-set partially by $2.4 million of lower equity earnings from our domestic and foreign acquisition partnerships recorded in Q4 2010 compared to Q4 2009.
In Q4 2010, the Company also recognized a $3.7 million gain attributable to a step-acquisition transaction in which the Company gained a controlling interest in eight German acquisition partnerships. FirstCity owned noncontrolling equity interests in these entities prior to the transaction. Under business combination accounting guidance, FirstCity's previously-held noncontrolling equity interests in these entities were re-measured to fair value — which resulted in the Company's recognition of the gain. In February 2011, FirstCity sold a substantial majority of its interests in the portfolio assets held by these entities (and its equity interest in another German acquisition partnership) to a European acquisition partnership entity for approximately $22.5 million. FirstCity has a noncontrolling 13% beneficial interest in this European acquisition partnership that purchased the portfolio assets and German entity (the remaining 87% beneficial interest is owned by a subsidiary of Värde Investment Partners, L.P.). FirstCity's net investment in Germany approximated $12.3 million at December 31, 2010, which was subsequently reduced to approximately $6.6 million in February 2011 upon FirstCity's sale transaction described above.