Income Tax Expense

9 Months Ended

Sep. 30, 2017

Income Tax Disclosure [Abstract]

Income Tax Expense

NOTE 11. INCOME TAX EXPENSE

	Three Months Ended						Nine Months Ended
	September 30,						September 30,
	2017			2016			2017			2016
Earnings from continuing operations before income taxes	$	61.2		$	63.6		$	186.7		$	109.8
Income tax expense		17.7			7.7			70.9			44.4
Effective tax rate		28.9	%		12.1	%		38.0	%		40.4	%

The effective tax rate for the third quarter of 2017 was higher compared to the same period in 2016 as income tax benefits resulting from the reversal of reserves for uncertain tax positions due to the expiration of the federal statute of limitations were less in the third quarter of 2017 compared to the same period of 2016.  Excluding the impact of the increase in pre-tax income, the effective rate for the first nine months of 2017 was lower in comparison to the same period in 2016 as income tax expense in 2016 was negatively impacted by the separation of AFI.  

It is reasonably possible that the amount of unrecognized tax benefits could significantly increase or decrease within the next twelve months. However, an estimate of the range of reasonably possible outcomes cannot be made. Changes to unrecognized tax benefits could result from the completion of ongoing examinations, the expiration of the statute of limitations or other unforeseen circumstances.

As of September 30, 2017, we consider foreign unremitted earnings to be permanently reinvested.