Income Taxes (Tables)

12 Months Ended

Dec. 31, 2016

Income Taxes

Schedule of components of income (loss) from continuing operation before income taxes

	Years ended December 31,
	2016		2015		2014
	(in thousands)
U.S.	$	21,634	$	11,319	$	10,433
Non U.S.		2,312		1,456		1,307
Income from before income taxes	$	23,946	$	12,775	$	11,740

Schedule of components of income tax expense

	Federal		State		Foreign		Total
	(in thousands)
December 31, 2016
Current	$	324	$	14	$	440	$	778
Deferred		8,807		292		—		9,099
Total 2016	$	9,131	$	306	$	440	$	9,877
December 31, 2015
Current	$	(208)	$	13	$	476	$	281
Deferred		4,871		1,163		—		6,034
Total 2015	$	4,663	$	1,176	$	476	$	6,315
December 31, 2014
Current	$	109	$	179	$	311	$	599
Deferred		3,797		164		—		3,961
Total 2014	$	3,906	$	343	$	311	$	4,560

Schedule of reconciliation of the federal income tax expense at the statutory rate to the effective income tax expense

	Years Ended December 31,
	2016			2015			2014
	(in thousands and % of pre-tax income)
	$		%	$		%	$		%
Statutory federal income tax expense		8,142	34.0		4,343	34.0		3,992	34.0
State taxes, net of federal benefit		202	0.8		776	6.1		118	1.0
Foreign tax paid		440	1.8		476	3.7		101	0.9
Tax consequences of the sale of engines to WMES		—	—		(306)	(2.4)		(36)	(0.3)
Uncertain tax positions		(40)	(0.1)		(195)	(1.5)		(101)	(0.9)
Permanent differences-nondeductible executive compensation		1,201	5.0		1,117	8.7		768	6.5
Permanent differences and other		(68)	(0.3)		104	0.8		(282)	(2.4)
Effective income tax expense		9,877	41.2		6,315	49.4		4,560	38.8

Summary of activity related to the Company's unrecognized tax benefits

	(in thousands)
Balance as of December 31, 2014	$	464
Increases related to current year tax positions		5
Decreases due to tax positions released		(195)
Balance as of December 31, 2015		274
Increases related to current year tax positions		4
Decreases due to tax positions expired		(72)
Balance as of December 31, 2016	$	206

Schedule of tax effects of temporary differences of the deferred tax assets and liabilities

	As of December 31,
	2016		2015
	(in thousands)
Deferred tax assets:
Unearned lease revenue	$	1,839	$	1,511
State taxes		1,035		944
Reserves and allowances		1,659		898
Other accruals		2,501		1,767
Alternative minimum tax credit		377		377
Net operating loss carry forward		35,693		35,827
Charitable contributions		52		42
Total deferred tax assets		43,156		41,366
Less: valuation allowance		(1,280)		(1,280)
Net deferred tax assets		41,876		40,086
Deferred tax liabilities:
Depreciation and impairment on aircraft engines and equipment		(147,827)		(137,496)
Other deferred tax assets (liabilities)		422		981
Net deferred tax liabilities		(147,405)		(136,515)
Other comprehensive loss deferred tax asset		551		275
Net deferred tax liabilities	$	(104,978)	$	(96,154)