Annual report pursuant to Section 13 and 15(d)

INCOME TAXES (Tables)

v3.10.0.1
INCOME TAXES (Tables)
12 Months Ended
Dec. 31, 2018
Income Tax Disclosure [Abstract]  
Significant Components of the Provision for Income Tax Expense (Benefit)
Significant components of the provision for income tax expense (benefit) are as follows:
 
 
Year Ended December 31,
 
 
2018
 
2017
 
2016
 
 
(in thousands)
Current:
 
 
 
 
 
 
  Federal
 
$
(55
)
 
$
(702
)
 
$
564

  Foreign
 
40,239

 
50,970

 
29,902

  State
 
6,828

 
4,117

 
5,454

Total current
 
47,012

 
54,385

 
35,920

Deferred:
 
 
 
 
 
 
  Federal
 
2,246

 
(56,442
)
 
5,113

  Foreign
 
(8,697
)
 
(15,841
)
 
(11,703
)
  State
 
204

 
744

 
(1,301
)
Total deferred
 
(6,247
)
 
(71,539
)
 
(7,891
)
Income tax expense (benefit)
 
$
40,765

 
$
(17,154
)
 
$
28,029

 
 
 
 
 
 
 
Significant Components of Deferred Tax Liabilities and Assets
Significant components of the Company’s deferred tax liabilities and assets are as follows:
 
 
December 31,
 
 
2018
 
2017
 
 
(in thousands)
Deferred tax liabilities:
 
 
 
 
          Intangible assets
 
$
118,275

 
$
159,793

          Prepaid expenses
 
2,534

 
7,882

          Long-term debt
 

 
1,229

          Other
 
5,865

 
7,533

Total deferred tax liabilities
 
126,674

 
176,437

Deferred tax assets:
 
 
 
 
          Intangible assets
 
25,981

 
27,752

          Accrued expenses
 
40,989

 
68,168

          Net operating loss carryforwards
 
388,459

 
466,023

          Foreign tax and other credit carryforwards
 
38,919

 
62,136

          Equity compensation
 
24,211

 
20,549

          Other
 
15,703

 
2,725

Total gross deferred tax assets
 
534,262

 
647,353

          Valuation allowance
 
530,642

 
596,437

          Total deferred tax assets
 
3,620

 
50,916

          Net deferred tax liabilities
 
$
(123,054
)
 
$
(125,521
)
Reconciliation of Income Taxes at the United States Statutory Rate to Income Tax Expense
The reconciliation of income tax computed at the United States federal statutory rates to income tax expense (benefit) is:
 
 
Year Ended December 31,
 
 
2018
 
2017
 
2016
 
 
(in thousands)
Income tax expense (benefit) at United States statutory rates (21%, 35% and 35%, respectively)
 
$
27,532

 
$
(3,283
)
 
$
16,914

State income taxes, net of federal tax benefits
 
4,860

 
1,544

 
3,264

Differences between foreign and United States statutory rates
 
2,650

 
(10,887
)
 
(11,116
)
United States tax reform rate change
 

 
(55,685
)
 

Non-United States income inclusions and exclusions
 
(3,425
)
 
3,826

 
(2,749
)
United States income inclusions and exclusions
 
(13,790
)
 
11,347

 
(1,317
)
Nondeductible items
 
26,376

 
11,380

 
3,210

Tax contingencies
 
389

 
1,955

 
2,390

Tax expense from acquired goodwill
 
4,353

 
4,489

 
5,936

Change in valuation allowance
 
(8,845
)
 
18,067

 
11,820

Other, net
 
665

 
93

 
(323
)
 
 
$
40,765

 
$
(17,154
)
 
$
28,029

 
 
 
 
 
 
 
Summary of Activity Related to Unrecognized Tax Benefits
The following table summarizes the activity related to the Company’s unrecognized tax benefits:
 
 
Year Ended December 31,
 
 
2018
 
2017
 
2016
 
 
(in thousands)
Balance at January 1
 
$
30,630

 
$
15,117

 
$
14,022

Additions:
 
 
 
 
 
 
          Increase for current year positions
 
1,531

 
807

 

          Increase for prior year positions
 
2,995

 
15,498

 
1,978

          Decrease for prior year positions
 

 

 
(3
)
          Interest and penalties for prior years
 
106

 
2,745

 
546

Reductions:
 
 
 
 
 
 
          Expiration of applicable statute of limitations
 
(730
)
 
(1,233
)
 

          Settlements for prior year positions
 
(9
)
 
(2,033
)
 
(1,188
)
Foreign exchange
 
(452
)
 
(271
)
 
(238
)
Balance at December 31
 
$
34,071

 
$
30,630

 
$
15,117