Income Taxes (Tables)

12 Months Ended

Dec. 31, 2017

Schedule of Components of Income Tax Expense (Benefit)

The Company's income (loss) before income taxes and income tax expense (benefit) from continuing operations, each by tax jurisdiction, consists of the following (dollars in thousands):



	Year ended December 31,
	2017			2016			2015
Income (loss) before income taxes:
Domestic	$	50,760		$	(69,850	)	$	(3,150	)
Foreign	15,450			11,620			(18,970		)
Total income (loss) before income taxes	$	66,210		$	(58,230	)	$	(22,120	)
Current income tax expense:
Federal	$	12,800		$	7,560		$	12,150
State and local	1,770			1,920			1,080
Foreign	5,420			4,250			2,060
Total current income tax expense	19,990			13,730			15,290
Deferred income tax expense (benefit):
Federal	15,180			(28,180		)	(1,980		)
State and local	1,280			(2,550		)	(1,530		)
Foreign	(1,200		)	(1,430		)	(5,240		)
Total deferred income tax expense	15,260			(32,160		)	(8,750		)
Income tax expense (benefit)	$	35,250		$	(18,430	)	$	6,540

Schedule of Deferred Tax Assets and Liabilities

The components of deferred taxes are as follows (dollars in thousands):



	December 31, 2017			December 31, 2016
Deferred tax assets:
Accounts receivable	$	1,000		$	780
Inventories	5,230			6,410
Goodwill and other intangible assets	—			3,120
Accrued liabilities and other long-term liabilities	20,350			26,110
Tax loss and credit carryforwards	7,290			6,680
Gross deferred tax asset	33,870			43,100
Valuation allowances	(6,400		)	(5,670		)
Net deferred tax asset	27,470			37,430
Deferred tax liabilities:
Property and equipment	(16,380		)	(14,580		)
Goodwill and other intangible assets	(5,350		)	—
Investment in foreign affiliates, including withholding tax	(740		)	(1,140		)
Other, principally deferred income	(1,550		)	(1,330		)
Gross deferred tax liability	(24,020		)	(17,050		)
Net deferred tax asset	$	3,450		$	20,380

Schedule of Effective Income Tax Rate Reconciliation

The following is a reconciliation of income tax expense (benefit) computed at the U.S. federal statutory rate to income tax expense (benefit) allocated to income (loss) from continuing operations before income taxes (dollars in thousands):



	Year ended December 31,
	2017			2016			2015
U.S. federal statutory rate	35		%	35		%	35		%
Tax at U.S. federal statutory rate	$	23,170		$	(20,380	)	$	(7,740	)
State and local taxes, net of federal tax benefit	2,250			(550		)	(520		)
Differences in statutory foreign tax rates	(2,580		)	(1,930		)	110
Change in recognized tax benefits	(480		)	(1,410		)	(460		)
Goodwill and other intangible assets impairment	—			5,050			11,430
Nontaxable income	(1,050		)	(310		)	(980		)
Research and manufacturing incentives	(1,510		)	(830		)	(1,680		)
Tax on undistributed foreign earnings	(430		)	340			610
Net change in valuation allowance	520			2,140			3,770
Tax Reform Act	12,660			—			—
Other, net	2,700			(550		)	2,000
Income tax expense (benefit)	$	35,250		$	(18,430	)	$	6,540

Schedule of Unrecognized Tax Benefits Roll Forward

A reconciliation of the change in the UTBs and related accrued interest and penalties for the years ended December 31, 2017 and 2016 is as follows (dollars in thousands):



	Unrecognized Tax Benefits
Balance at December 31, 2015	$	4,610
Tax positions related to current year:
Additions	120
Tax positions related to prior years:
Additions	80
Reductions	(10		)
Settlements	—
Lapses in the statutes of limitations	(1,230		)
Balance at December 31, 2016	$	3,570
Tax positions related to current year:
Additions	250
Tax positions related to prior years:
Additions	860
Reductions	(100		)
Settlements	—
Lapses in the statutes of limitations	(1,210		)
Balance at December 31, 2017	$	3,370