Income Taxes (Tables)

12 Months Ended

Dec. 31, 2017

Schedule of Income Tax Expense (Benefit)

The components of income (loss) from continuing operations before income tax provision (benefit) and the income tax provision (benefit) for the years ended December 31 are as follows:



	2017			2016			2015
Income (loss) before income tax provision (benefit)
Domestic	$	31,454		$	(4,251	)	$	(4,894	)
Foreign	(2,352		)	(2,442		)	(2,343		)
	$	29,102		$	(6,693	)	$	(7,237	)
Income tax provision (benefit)
Current income tax provision (benefit):
Federal	$	(3,885	)	$	(20,847	)	$	(4,526	)
State	435			288			278
Total current	(3,450		)	(20,559		)	(4,248		)
Deferred income tax provision (benefit):
Federal	6,588			10,935			(6,230		)
State	(2,499		)	(25		)	968
Total deferred	4,089			10,910			(5,262		)
	$	639		$	(9,649	)	$	(9,510	)

Effective Income Tax Rate Reconciliation

A reconciliation of the federal statutory and effective income tax rate from continuing operations for the years ended December 31 is as follows:



	2017			2016			2015
Income (loss) from continuing operations before income tax provision (benefit)	$	29,102		$	(6,693	)	$	(7,237	)
Statutory taxes (benefit) at 35.0%	$	10,186		$	(2,343	)	$	(2,533	)
State and local income taxes	493			(1,676		)	(1,332		)
Valuation allowances	(1,453		)	2,432			2,480
Non-deductible expenses	224			1,334			424
Percentage depletion	(6,253		)	(6,373		)	(8,406		)
R&D and other federal credits	301			278			(896		)
Tax settlements	74			(3,161		)	551
Provisional effect of the TCJA	(3,132		)	—			—
Other, net	199			(140		)	202
Income tax provision (benefit)	$	639		$	(9,649	)	$	(9,510	)
Effective income tax rate from continuing operations	2.2		%	144.2		%	131.4		%

Deferred Tax Assets and Liabilities

A detailed summary of the total deferred tax assets and liabilities in the Company's Consolidated Balance Sheets resulting from differences in the book and tax basis of assets and liabilities follows:



	December 31
	2017		2016
Deferred tax assets
Tax carryforwards	$	22,035	$	21,527
Inventories	1,878		3,389
Accrued expenses and reserves	11,723		18,750
Partnership investment - development costs	—		3,719
Other employee benefits	4,640		5,130
Other	8,933		14,737
Total deferred tax assets	49,209		67,252
Less: Valuation allowance	13,579		12,881
	35,630		54,371
Deferred tax liabilities
Depreciation and depletion	23,029		42,512
Partnership investment - development costs	4,069		—
Accrued pension benefits	2,570		983
Total deferred tax liabilities	29,668		43,495
Net deferred asset	$	5,962	$	10,876

Summary of Tax Credit Carryforwards

The following table summarizes the tax carryforwards and associated carryforward periods and related valuation allowances where the Company has determined that realization is uncertain:



	December 31, 2017
	Net deferred tax asset		Valuation allowance		Carryforwards expire during:
Non-U.S. net operating loss	$	1,438	$	1,438	2024-2025
State losses	16,948		13,054		2018-2037
Research credit	1,870		—		2034-2037
Alternative minimum tax credit	5,335		—		(1)
Total	$	25,591	$	14,492

(1) The TCJA repealed the corporate alternative minimum tax for tax years beginning after December 31, 2017. This credit is refundable in 2021, if not fully utilized prior to 2021.



	December 31, 2016
	Net deferred tax asset		Valuation allowance		Carryforwards expire during:
Non-U.S. net operating loss	$	732	$	732	2024
State losses	15,299		13,350		2017-2036
Research credit	2,754		—		2034-2036
Alternative minimum tax credit	8,035		—		Indefinite
Total	$	26,820	$	14,082

Unrecognized Tax Benefits Roll Forward

The following is a reconciliation of the Company's total gross unrecognized tax benefits, defined as the aggregate tax effect of differences between tax return positions and the benefits recognized in the financial statements for the years ended December 31, 2017 and 2016. Approximately $0.8 million and $0.8 million of these gross amounts as of December 31, 2017 and 2016, respectively, relate to permanent items that, if recognized, would impact the effective income tax rate. This amount differs from the gross unrecognized tax benefits presented in the table below due to the decrease in U.S. federal income taxes which would occur upon the recognition of the state tax benefits included herein.



	2017		2016			2015
Balance at January 1	$	915	$	3,671		$	3,285
Additions based on tax positions related to prior years	—		181			(256		)
Additions based on tax positions related to the current year	82		211			642
Reductions due to settlements with taxing authorities	—		(1,330		)	—
Reductions due to lapse of the applicable statute of limitations	—		(1,818		)	—
Balance at December 31	$	997	$	915		$	3,671