Income Taxes (Tables)

12 Months Ended

Dec. 31, 2014

Consolidated income (loss) from continuing operations before income taxes by location

Consolidated income (loss) from continuing operations before income taxes consists of:



(Dollars in thousands)	2014		2013		2012
Domestic	$	61,446	$	13,208	$	6,260
International	18,964		35,677		16,390
Total	$	80,410	$	48,885	$	22,650

Income tax expense (benefit) by location

The income tax expense (benefit) in the consolidated statements of income (loss) consists of:



(Dollars in thousands)	Current			Deferred			Total
2014
Domestic	$	2,205		$	6,699		$	8,904
International	17,172			1,451			18,623
Total	$	19,377		$	8,150		$	27,527

2013
Domestic	$	(7,075	)	$	5,894		$	(1,181	)
International	12,667			(260		)	12,407
Total	$	5,592		$	5,634		$	11,226

2012
Domestic	$	3,651		$	(59,414	)	$	(55,763	)
International	8,118			1,161			9,279
Total	$	11,769		$	(58,253	)	$	(46,484	)

Deferred tax assets and liabilities

Deferred tax assets and liabilities as of December 31, 2014 and 2013, were comprised of the following:



(Dollars in thousands)
	2014			2013
Deferred tax assets
Accrued employee benefits and compensation	$	9,168		$	9,350
Postretirement benefit obligations	7,866			2,860
Tax loss and credit carryforwards	16,533			15,041
Reserves and accruals	7,092			6,908
Depreciation and amortization	17,862			21,496
Other	2,550			3,772
Total deferred tax assets	61,071			59,427
Less deferred tax asset valuation allowance	(7,691		)	(7,302		)
Total deferred tax assets, net of valuation allowance	53,380			52,125
Deferred tax liabilities
Investment in joint ventures, net	—			—
Depreciation and amortization	14,303			15,839
Other	344			238
Total deferred tax liabilities	14,647			16,077
Net deferred tax asset	$	38,733		$	36,048

Effective income tax rate reconciliation

Income tax expense differs from the amount computed by applying the United States federal statutory income tax rate to income before income taxes. The reasons for this difference are as follows:



(Dollars in thousands)	2014			2013			2012

Tax expense at Federal statutory income tax rate	$	28,144		$	17,110		$	7,928
International tax rate differential	(6,772		)	(2,541		)	(209		)
Foreign source income, net of tax credits	5,195			(786		)	(3,428		)
Unrecognized tax benefits	603			(2,197		)	1,604
General business credits	(604		)	(702		)	—
Acquisition related expenses	590			—			—
Valuation allowance change	388			—			(52,650		)
Other	(17		)	342			271
Income tax expense (benefit)	$	27,527		$	11,226		$	(46,484	)

Reconciliation of unrecognized tax benefits

A reconciliation of unrecognized tax benefits, excluding potential interest and penalties, for the years ending December 31, 2014 and December 31, 2013, is as follows:



(Dollars in thousands)
	2014			2013
Beginning balance	$	9,148		$	17,333
Gross increases - current period tax positions	1,763			1,445
Gross increases - tax positions in prior periods	335			—
Gross decreases - tax positions in prior periods	—			(7,136		)
Foreign currency exchange	(230		)	79
Lapse of statute of limitations	(1,648		)	(2,573		)
Ending balance	$	9,368		$	9,148