Income Taxes (Tables)

12 Months Ended

Dec. 31, 2012

Income Taxes

Components of loss before income taxes

The components of loss before income taxes were as follows (in thousands):

	Years Ended December 31,
	2012			2011			2010
United States	$	(200,005	)	$	(268,492	)	$	(238,776	)
Foreign	33,618			(71,626		)	22,494
Loss before income taxes	$	(166,387	)	$	(340,118	)	$	(216,282	)

Summary of provision for (benefit from) income taxes

The provision for (benefit from) income taxes consisted of the following (in thousands):

	Years Ended December 31,
	2012			2011			2010
Current tax provision (benefit):
U.S. federal	$	(7,050	)	$	4,020		$	1,690
State	2,182			6,552			3,157
Foreign	35,238			28,000			55,837
Total current	30,370			38,572			60,684
Deferred tax provision (benefit):
U.S. federal	(71,947		)	(72,014		)	(83,763		)
State	(5,043		)	(7,874		)	(10,110		)
Foreign	(15,755		)	30,711			(29,113		)
Total deferred	(92,745		)	(49,177		)	(122,986		)
Provision for (benefit from) income taxes	$	(62,375	)	$	(10,605	)	$	(62,302	)

Reconciliation of effective tax rate and U.S. statutory rate.

The reasons for the differences between these effective tax rates and the U.S. statutory rate of 35% are as follows (in thousands):

	Years Ended December 31,
	2012			2011			2010
Income taxes at U.S. federal statutory rate of 35%	$	(58,235	)	$	(119,041	)	$	(75,699	)
Net state income taxes	(2,836		)	(538		)	(3,765		)
Foreign taxes	14,607			5,085			22,289
Noncontrolling interest	(1,772		)	(1,103		)	3,134
Foreign tax credits	(9,925		)	(11,431		)	(6,497		)
Unrecognized tax benefits	(166		)	(741		)	(817		)
Valuation allowances	14,649			62,318			(1,892		)
Goodwill impairment	—			53,988			—
Proceeds from sale of joint venture assets	(18,019		)	—			—
Other	(678		)	858			945
Provision (benefit from) for income taxes	$	(62,375	)	$	(10,605	)	$	(62,302	)

Tax effects of deferred tax assets and deferred tax liabilities

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

	Years Ended December 31,
	2012			2011
Deferred tax assets:
Net operating loss carryforwards	$	210,955		$	243,023
Inventory	2,254			4,942
Alternative minimum tax credit carryforwards	5,920			13,020
Accrued liabilities	15,392			14,627
Foreign tax credit carryforwards	110,191			100,266
Other	59,147			34,714
Subtotal	403,859			410,592
Valuation allowances	(86,054		)	(76,056		)
Total deferred tax assets	317,805			334,536
Deferred tax liabilities:
Property, plant and equipment	(255,184		)	(333,948		)
Basis difference in the Partnership	(65,422		)	(69,922		)
Goodwill and intangibles	—			124
Total deferred tax liabilities	(320,606		)	(403,746		)
Net deferred tax liabilities	$	(2,801	)	$	(69,210	)

Tax balances presented in the accompanying consolidated balance sheets

Tax balances are presented in the accompanying consolidated balance sheets as follows (in thousands):

	Years Ended December 31,
	2012			2011
Current deferred income tax assets	$	88,508		$	37,401
Intangibles and other assets	31,102			21,779
Accrued liabilities	(1,477		)	(3,543		)
Deferred income tax liabilities	(120,934		)	(124,847		)
Net deferred tax liabilities	$	(2,801	)	$	(69,210	)

Reconciliation of beginning and ending amount of unrecognized tax benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits (including discontinued operations) is shown below (in thousands):

	Years Ended December 31,
	2012			2011			2010
Beginning balance	$	14,745		$	15,614		$	19,756
Additions based on tax positions related to current year	289			—			—
Additions based on tax positions related to prior years	1,579			—			—
Reductions based on settlement with government authority	(5,753		)	—			—
Reductions based on lapse of statute of limitations	(1,263		)	(167		)	—
Reductions based on tax positions related to prior years	—			(702		)	(4,142		)
Ending balance	$	9,597		$	14,745		$	15,614