Income Taxes (Tables)

12 Months Ended

Dec. 31, 2016

Income tax expense (benefit) consists of the following (in thousands):



	Years ended December 31,
	2016			2015			2014
Current:
Federal	$	—		$	(151	)	$	151
State	521			(9		)	842
Total	521			(160		)	993
Deferred:
Federal	(4,486		)	(127,482		)	(1,015		)
State	82			(3,688		)	543
Total	(4,404		)	(131,170		)	(472		)
Total income tax expense (benefit)	$	(3,883	)	$	(131,330	)	$	521

Reconciliation Between Federal Statutory Rate and Income (Benefit) Expense

Reconciliation between the amount determined by applying the federal statutory rate of 35% to loss before income taxes to income (benefit) expense is as follows (in thousands):



	Years ended December 31,
	2016			2015				2014
Statutory federal income tax	$	(44,540	)	$	(130,576	)		$	(2,737	)
Meals and entertainment	522			684				825
State taxes, net of federal benefit	(6,778		)	(3,698		)		1,093
Valuation allowance	188,970			—			—	—
Cancellation of debt income	(178,017		)	—			—	—
Bankruptcy transaction costs	9,783			—			—	—
Tax basis adjustments	17,981			—			—	—
Goodwill impairment	—			2,833				1,380
Changes in estimates and other	8,196			(573		)		(40		)
	$	(3,883	)	$	(131,330	)		$	521

Schedule of Deferred Tax Assets and Liabilities

The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities are as follows (in thousands):



	Successor			Predecessor
	December 31, 2016			December 31, 2015
Deferred tax assets:
Operating loss carryforward	$	208,973		$	130,826
Goodwill and intangibles	49,380			32,992
Accrued liabilities	12,351			14,028
Deferred debt costs	5,158			130,827
Deferred compensation	79			12,988
Receivables allowance	680			976
Asset retirement obligation	859			672
Inventory	167			164
Valuation Allowances	(189,185		)	(878		)
Total deferred tax assets	$	88,462		$	322,595
Deferred tax liabilities:
Property and equipment	(88,450		)	(195,211		)
Prepaid expenses	(12		)	(1,623		)
Total deferred tax liabilities	$	(88,462	)	$	(196,834	)
Net deferred tax liability	$	—		$	125,761
Recognized as:
Deferred tax assets - current	—			13,484
Deferred tax liabilities - non-current	—			(18,550		)
Net deferred tax liabilities	$	—		$	(5,066	)