Taxes on Income (Tables)

12 Months Ended

Dec. 31, 2013

The following tables provide a summary of the current and deferred components of income tax expense (benefit) from continuing operations:



	Successor					Predecessor
	Year Ended December 31, 2013		Period from Acquisition (March 26, 2012) to December 31, 2012			Period from January 1, 2012 to March 25, 2012		Year Ended December 31, 2011
Current expense (benefit):
Federal	$	58	$	(8	)	$	5	$	24
State	9		(2		)	1		(5		)
Total	67		(10		)	6		19
Deferred expense:
Federal	$	44	$	72		$	17	$	67
State	7		14			2		9
Total	51		86			19		76
Total income tax expense	$	118	$	76		$	25	$	95

The differences between the Company’s effective income tax rate and the U.S. federal income tax statutory rate were as follows:



	Successor					Predecessor
	Year Ended December 31, 2013			Period from Acquisition (March 26, 2012) to December 31, 2012		Period from January 1, 2012 to March 25, 2012		Year Ended December 31, 2011
Computed statutory income tax expense at 35%	$	(133	)	$	57	$	23	$	92
Changes in income taxes resulting from:
Non-deductible executive compensation	—			11		—		—
State income taxes, net of federal income tax benefit	10			8		2		3
Non-deductible goodwill impairment	241			—		—		—
Income tax expense	$	118		$	76	$	25	$	95

The table below summarizes the principal components of the Company’s deferred tax assets (liabilities) as follows:



	December 31,
	2013			2012
Deferred income tax assets:
Other postretirement benefits	$	5		$	13
Debt amortization	43			52
Other	19			18
Total deferred income tax assets	67			83

Deferred income tax liabilities:
Property, plant and equipment	(967		)	(925		)
Other	(2		)	(2		)
Total deferred income tax liabilities	(969		)	(927		)
Net deferred income tax liability	(902		)	(844		)
Less current income tax assets	9			9
Accumulated deferred income taxes	$	(911	)	$	(853	)