Income Taxes (Tables)

12 Months Ended

Dec. 31, 2014

Income Taxes

Schedule of components of income tax expense (benefit)

Components of income tax expense (benefit) consist of the following (in thousands):

	Year Ended December 31,
	2014			2013			2012
Current:
Federal	$	137,993		$	120,030		$	83,905
State		19,051			20,099			13,949
Foreign		1,252			2,164			659
Total current		158,296			142,293			98,513
Deferred
Federal		(2,945	)		(37,713	)		37,259
State		463			(9,059	)		(415	)
Foreign		(225	)		(1,055	)		182
Total deferred		(2,707	)		(47,827	)		37,026
Other non-current
Federal		27,115			7,797			573
State		2,383			1,907			114
Foreign		19			173			3
Total other		29,517			9,877			690
Total income tax expense	$	185,106		$	104,343		$	136,229

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

Presented below is a reconciliation of income taxes computed at the statutory federal tax rate to income tax expense as reported (in thousands):

	Year Ended December 31,
	2014			2013			2012
Federal tax provision computed at 35%	$	183,813		$	97,616		$	154,235
State tax provision, net of federal tax provision		12,865			8,320			9,149
General business credits		(12,195	)		(13,346	)		(10,980	)
Incentive stock option expense		(181	)		(304	)		(479	)
Section 199 deduction		(11,735	)		(10,861	)		(15,629	)
Nondeductible compensation expense		13,000			22,813			2,609
Nondeductible expenses		(461	)		105			(2,676	)
Total income tax expense	$	185,106		$	104,343		$	136,229

Schedule of components of net deferred tax asset

Components of the net deferred tax asset are as follows (in thousands):

	As of December 31,
	2014			2013
Deferred tax assets:
General business credits	$	2,186		$	277
Impairment losses on investments		291			318
License fees capitalized for tax purposes		61,770			75,181
Nonqualified stock options		42,697			40,808
SERP		17,478			14,059
STAP awards		86,414			84,274
Other		29,086			28,118
Total deferred tax assets		239,922			243,035
Deferred tax liabilities:
Plant and equipment principally due to differences in depreciation		(30,758	)		(32,725	)
Other		(7,854	)		(1,351	)
Net deferred tax asset before valuation allowance		201,310			208,959
Valuation allowance		(2,981	)		(2,507	)
Net deferred tax assets	$	198,329		$	206,452

Schedule of reconciliation of beginning and ending balances of unrecognized tax benefit

        A reconciliation of the beginning and ending balances of unrecognized tax benefits for the years indicated is as follows (in thousands):

Unrecognized tax benefits at January 1, 2014	$	2,836
Gross increases—tax positions in prior period		28
Gross decreases—tax positions in prior period		(1,419	)
Gross increases—tax positions in the current period		—
Gross decreases—tax positions in current period		—
Settlements		—
Lapse of statute of limitations		—
Unrecognized tax benefits at December 31, 2014	$	1,445
Unrecognized tax benefits at January 1, 2013	$	1,511
Gross increases—tax positions in prior period		1,325
Gross decreases—tax positions in prior period		—
Gross increases—tax positions in the current period		—
Gross decreases—tax positions in the current period		—
Settlements		—
Lapse of statute of limitations		—
Unrecognized tax benefits at December 31, 2013	$	2,836
Unrecognized tax benefits at January 1, 2012	$	1,733
Gross increases—tax positions in prior period		146
Gross decreases—tax positions in prior period		(368	)
Gross increases—tax positions in the current period		—
Gross decreases—tax positions in the current period		—
Settlements		—
Lapse of statute of limitations		—
Unrecognized tax benefits at December 31, 2012	$	1,511