Income Taxes (Tables)

12 Months Ended

Dec. 31, 2015

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

Consolidated income before income taxes consisted of:



(Dollars in thousands)	2015		2014		2013
Domestic	$	14,832	$	9,604	$	2,201
International	51,341		71,620		47,521
Total	$	66,173	$	81,224	$	49,722

Income tax expense (benefit) by location

The income tax expense in the consolidated statements of operations consisted of:



(Dollars in thousands)	Current			Deferred			Total
2015
Domestic	$	993		$	4,272		$	5,265
International	15,192			(604		)	14,588
Total	$	16,185		$	3,668		$	19,853

2014
Domestic	$	2,205		$	6,984		$	9,189
International	17,172			1,451			18,623
Total	$	19,377		$	8,435		$	27,812

2013
Domestic	$	(7,075	)	$	6,187		$	(888	)
International	12,667			(260		)	12,407
Total	$	5,592		$	5,927		$	11,519

Deferred tax assets and liabilities

Deferred tax assets and liabilities as of December 31, 2015 and 2014, were comprised of the following:




(Dollars in thousands)	2015			2014
Deferred tax assets
Accrued employee benefits and compensation	$	9,284		$	9,168
Postretirement benefit obligations	5,434			7,866
Tax loss and credit carryforwards	9,318			16,533
Reserves and accruals	5,075			4,230
Depreciation and amortization	—			17,862
Other	3,474			2,550
Total deferred tax assets	32,585			58,209
Less deferred tax asset valuation allowance	(6,202		)	(7,691		)
Total deferred tax assets, net of valuation allowance	26,383			50,518
Deferred tax liabilities
Depreciation and amortization	17,492			14,303
Other	187			344
Total deferred tax liabilities	17,679			14,647
Net deferred tax asset	$	8,704		$	35,871

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 were as follows:



(Dollars in thousands)	2015			2014			2013

Tax expense at Federal statutory income tax rate	$	23,161		$	28,429		$	17,403
International tax rate differential	(4,792		)	(6,772		)	(2,541		)
Foreign source income, net of tax credits	2,449			5,195			(786		)
State tax, net of federal	(416		)	—			—
Unrecognized tax benefits	148			603			(2,197		)
General business credits	(908		)	(604		)	(702		)
Acquisition related expenses	453			590			—
Valuation allowance change	(1,489		)	388			—
Other	1,247			(17		)	342
Income tax expense (benefit)	$	19,853		$	27,812		$	11,519

Reconciliation of unrecognized tax benefits

Unrecognized tax benefits, excluding potential interest and penalties, for the years ended December 31, 2015 and December 31, 2014, were as follows:



(Dollars in thousands)
	2015			2014
Beginning balance	$	9,368		$	9,148
Gross increases - current period tax positions	4,229			1,763
Gross increases - tax positions in prior periods	1,428			335
Foreign currency exchange	(475		)	(230		)
Lapse of statute of limitations	(3,979		)	(1,648		)
Ending balance	$	10,571		$	9,368