Income Taxes (Tables)

12 Months Ended

Dec. 31, 2012

Income Taxes [Abstract]

Components of income tax expense (benefit)

The components of income tax expense (benefit) are as follows:

(in thousands)	Year Ended December 31, 2012			Year Ended December 31, 2011
Federal - current	$	18,930		$	-
State - current		15,911			48
Total current		34,841			48
Federal - deferred		38,167			-
Change in valuation allowance		(38,167	)		-
Total deferred		-			-
Total income tax expense	$	34,841		$	48

Income tax reconciliation

The components of pretax income/loss and the difference between income taxes computed at the statutory federal rate of 35% in 2012 and 2011, and the provision for income taxes are as follows:

(in thousands)	Year Ended December 31, 2012			Year Ended December 31, 2011
Income (loss) before income taxes	$	180,770		$	(1,845	)
Tax expense (benefit) :
Tax at statutory federal rate	$	63,270		$	646
Permanent items		(6,173	)		-
State income taxes		15,911			48
Accounting loss benefit not recognized		-			(646	)
Change in valuation allowance		(38,167	)		-
Income tax expense (benefit)	$	34,841		$	48

A reconciliation of the United States federal statutory rate to the Company's effective income tax rate is as follows:

	Year Ended December 31, 2012				Year Ended December 31, 2011
Tax at statutory federal rate		35.0		%		35.0		%
State income taxes		8.8				2.6
Accounting loss benefit not recognized		-				(35.0	)
Change in valuation allowance		(21.1	)			-
Permanent differences, tax credits and other adjustments		(3.4	)			-
Effective income tax rate		19.3		%		2.6		%

Net deferred tax asset

 The net deferred tax asset is as follows:

	December 31, 2012		December 31, 2011
Net deferred tax asset	$	-	$	38,000,000
Valuation allowance		-		(38,000,000	)
Net deferred tax asset recognized	$	-	$	-