INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2018

The components of our tax benefit on continuing operations were as follows (in thousands):



	Current			Deferred			Total
Twelve months ended December 31, 2018:
U.S. Federal	$	(3,295	)	$	(27,670	)	$	(30,965	)
State & local	509			(2,360		)	(1,851		)
Foreign jurisdictions	3,457			(1,704		)	1,753
	$	671		$	(31,734	)	$	(31,063	)
Twelve months ended December 31, 2017:
U.S. Federal	$	6,177		$	(62,222	)	$	(56,045	)
State & local	170			(4,819		)	(4,649		)
Foreign jurisdictions	6,821			795			7,616
	$	13,168		$	(66,246	)	$	(53,078	)
Twelve months ended December 31, 2016:
U.S. Federal	$	(2,048	)	$	(5,262	)	$	(7,310	)
State & local	(1,338		)	206			(1,132		)
Foreign jurisdictions	4,529			820			5,349
	$	1,143		$	(4,236	)	$	(3,093	)

Components of Pre-Tax Income (Loss)

The components of pre-tax income (loss) from continuing operations for the years ended December 31, 2018, 2017 and 2016 were as follows (in thousands):



	Twelve Months Ended December 31,
	2018			2017			2016
Domestic	$	(90,822	)	$	(149,045	)	$	(25,488	)
Foreign	(3,387		)	11,512			9,830
	$	(94,209	)	$	(137,533	)	$	(15,658	)

Income Tax Expense (Benefit) Attributable to Income (Loss) from Continuing Operations Differed from Amounts Computed by Federal Income Tax Rate

The income tax benefit attributable to the loss from continuing operations differed from the amounts computed by applying the U.S. Federal income tax rate (21% in 2018, 35% in 2017 and 2016) to pre-tax loss from continuing operations as a result of the following (in thousands):



	Twelve Months Ended December 31,
	2018			2017			2016
Pre-tax loss from continuing operations	$	(94,209	)	$	(137,533	)	$	(15,658	)
Computed income taxes at statutory rate	(19,784		)	(48,136		)	(5,481		)
State income taxes, net of federal benefit	(2,360		)	(4,709		)	(713		)
Foreign tax rate differential	(52		)	(642		)	(707		)
Deferred taxes on investment in foreign subsidiaries	(7,284		)	(17,079		)	1,777
Non-deductible expenses	686			1,030			871
Foreign tax credits	—			(17,445		)	(2,302		)
Other tax credits	(1,995		)	(631		)	(1,033		)
Deemed repatriation tax	(1,751		)	24,374			—
Goodwill impairment	—			19,442			—
Dividend from foreign subsidiaries	—			—			2,021
Valuation allowance	2,923			1,249			1,986
Rate change	81			(17,360		)	—
Other	(1,527		)	6,829			488
Total benefit for income tax on continuing operations	$	(31,063	)	$	(53,078	)	$	(3,093	)

Tax Effects of Temporary Differences that Give Rise to Significant Portions of Deferred Tax Assets and Deferred Tax Liabilities

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



	December 31,
	2018			2017
Deferred tax assets:
Accrued compensation and benefits	$	10,463		$	9,810
Receivables	3,096			2,381
Inventory	422			873
Stock options	1,101			738
Foreign currency translation and other equity adjustments	—			2,945
Other accrued liabilities	2,058			3,066
Tax credit carry forward	1,920			2,588
Net operating loss carry forwards	48,732			35,185
Other	5,925			2,066
Deferred tax assets	73,717			59,652
Less: Valuation allowance	(10,549		)	(6,479		)
Deferred tax assets, net	63,168			53,173
Deferred tax liabilities:
Property, plant and equipment	(22,429		)	(20,918		)
Goodwill and intangible costs	(23,210		)	(27,762		)
Unremitted earnings of foreign subsidiaries	(5,375		)	(13,795		)
Convertible debt	(7,055		)	(3,622		)
Other	(3,553		)	(677		)
Deferred tax liabilities	(61,622		)	(66,774		)
Net deferred tax asset (liability)	$	1,546		$	(13,601	)

Reconciliation of Changes in Unrecognized Tax Benefits Associated with Uncertain Tax Positions

Set forth below is a reconciliation of the changes in our unrecognized tax benefits associated with uncertain tax positions (in thousands):



	Twelve Months Ended December 31,
	2018			2017		2016
Balance at beginning of year	$	1,159		$	858	$	539
Acquisition of Furmanite uncertain tax positions	—			—		660
Additions based on current year tax positions	—			—		464
Additions based on tax positions related to prior years	1,478			301		96
Reductions based on tax positions related to prior years	(416		)	—		(564		)
Settlements	—			—		(337		)
Balance at end of year	$	2,221		$	1,159	$	858