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Income Taxes (Tables) | 12 Months Ended
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Dec. 31, 2014
Income Tax Disclosure [Abstract] |
Reconciliation of Statutory Tax Rate to Effective Tax Rate | The Company’s effective income tax provision differs from the amount calculated using the statutory U.S. federal income tax rate, principally due to the following:
| Year Ended December 31,
| 2014 |  | 2013 |  | 2012
(dollars in millions) | Amount |  | Percentage of Income Before Income Taxes |  | Amount |  | Percentage of Income Before Income Taxes |  | Amount |  | Percentage of Income Before Income Taxes
Statutory U.S. federal income tax | $ | 61.2 |  |  | 35.0 | % |  | $ | 44.8 |  |  | 35.0 | % |  | $ | 80.2 |  |  | 35.0 | %
State income taxes, net of federal benefit | 1.1 |  |  | 0.6 | % |  | 1.7 |  |  | 1.3 | % |  | 4.5 |  |  | 2.0 | %
Foreign repatriation, net of foreign tax credits | 13.5 |  |  | 7.7 | % |  | (16.0 | ) |  | (12.6 | )% |  | 48.1 |  |  | 21.0 | %
Foreign tax differential | (12.6 | ) |  | (7.2 | )% |  | (12.3 | ) |  | (9.6 | )% |  | (9.7 | ) |  | (4.2 | )%
Change in valuation allowances | (17.7 | ) |  | (10.0 | )% |  | 20.4 |  |  | 15.9 | % |  | (2.8 | ) |  | (1.2 | )%
Uncertain tax positions | 10.9 |  |  | 6.1 | % |  | 4.7 |  |  | 3.7 | % |  | 2.6 |  |  | 1.1 | %
Subpart F income | 1.9 |  |  | 1.1 | % |  | 1.5 |  |  | 1.2 | % |  | 4.1 |  |  | 1.8 | %
Manufacturing deduction | (3.7 | ) |  | (2.1 | )% |  | 0.1 |  |  | — | % |  | (3.8 | ) |  | (1.7 | )%
Goodwill on disposal of business | 7.5 |  |  | 4.2 | % |  | — |  |  | — | % |  | — |  |  | — | %
Permanent and other | 2.8 |  |  | 1.7 | % |  | 4.2 |  |  | 3.5 | % |  | (0.8 | ) |  | (0.4 | )%
Effective income tax provision | $ | 64.9 |  |  | 37.1 | % |  | $ | 49.1 |  |  | 38.4 | % |  | $ | 122.4 |  |  | 53.4 | %
Pre-tax Income Attributable to Operating Segments | The following sets forth the amount of income or (loss) before income taxes attributable to each of the Company’s geographies for the years ended December 31, 2014, 2013 and 2012:
| Year Ended December 31,
(in millions) | 2014 |  | 2013 |  | 2012
Income before income taxes: |  |  |  |  |
United States | $ | 46.9 |  |  | $ | (4.5 | ) |  | $ | 126.2 |
Rest of the world | 128.0 |  |  | 132.5 |  |  | 103.0 |
| $ | 174.9 |  |  | $ | 128.0 |  |  | $ | 229.2 |
Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits | A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:
(in millions) |
Balance as of December 31, 2012 | $ | 12.9 |
Additions attributable to Sealy on date of acquisition | 9.2 |
Additions based on tax positions related to 2013 | 2.3 |
Additions for tax positions of prior years | 7.2 |
Settlements of uncertain tax positions with tax authorities | (5.5 | )
Balance as of December 31, 2013 | 26.1 |
Additions based on tax positions related to 2014 | 24.3 |
Additions for tax positions of prior years | 0.5 |
Expiration of statutes of limitations | (3.2 | )
Settlements of uncertain tax positions with tax authorities | (0.1 | )
Balance as of December 31, 2014 | $ | 47.6 |
Operating Loss and Tax Credit Carryforwards | The Company has the following gross income tax attributes available at December 31, 2014 and 2013 respectively (in millions):
| 2014 |  | 2013
U.S. federal net operating loss (“FedNOLs”) | $ | — |  |  | $ | 19.6 |
State net operating losses (“SNOLs”) | 145.3 |  |  | 135.6 |
U.S. federal foreign tax credits (“FTCs”) | 7.8 |  |  | 20.4 |
U.S. state income tax credits ("SITCs") | 1.6 |  |  | 0.7 |
Foreign net operating losses (“FNOLs”) | 44.2 |  |  | 67.1 |
Charitable contribution carryover ("CCCs") | 8.4 |  |  | — |
Tax Provision Summary | The income tax provision consisted of the following:
| Year Ended December 31,
(in millions) | 2014 |  | 2013 |  | 2012
Current provision |  |  |  |  |
Federal | $ | 50.7 |  |  | $ | 48.6 |  |  | $ | 49.9 |
State | 4.5 |  |  | 7.3 |  |  | 7.8 |
Foreign | 36.9 |  |  | 42.3 |  |  | 26.3 |
Total current | $ | 92.1 |  |  | $ | 98.2 |  |  | $ | 84.0 |
Deferred provision |  |  |  |  |
Federal | $ | (25.2 | ) |  | $ | (47.0 | ) |  | $ | 37.1 |
State | (1.2 | ) |  | 0.4 |  |  | 4.2 |
Foreign | (0.8 | ) |  | (2.5 | ) |  | (2.9 | )
Total deferred | (27.2 | ) |  | (49.1 | ) |  | 38.4 |
Total income tax provision | $ | 64.9 |  |  | $ | 49.1 |  |  | $ | 122.4 |
Deferred Tax Assets and Liabilities Recognized in the Consolidated Balance Sheets | The net deferred tax assets and liabilities recognized in the accompanying Consolidated Balance Sheets consisted of the following:
| December 31,
(in millions) | 2014 |  | 2013
Deferred tax assets: |  |  |
Stock-based compensation | $ | 12.4 |  |  | $ | 10.0 |
Accrued expenses and other | 57.9 |  |  | 53.7 |
Net operating losses, foreign tax credits and charitable contribution carryforward | 30.6 |  |  | 55.3 |
Inventories | 4.5 |  |  | 4.6 |
Intangible assets | 14.5 |  |  | 9.0 |
Property, plant and equipment | 4.0 |  |  | 3.9 |
Total deferred tax assets | 123.9 |  |  | 136.5 |
Valuation allowances | (21.7 | ) |  | (39.4 | )
Total net deferred tax assets | $ | 102.2 |  |  | $ | 97.1 |
Deferred tax liabilities: |  |  |
Transaction costs | $ | (258.1 | ) |  | $ | (261.9 | )
Property, plant and equipment | (45.7 | ) |  | (62.5 | )
Accrued expenses and other | (4.5 | ) |  | (4.3 | )
Total deferred tax liabilities | (308.3 | ) |  | (328.7 | )
Net deferred tax liabilities | $ | (206.1 | ) |  | $ | (231.6 | )

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- Definition Tabular disclosure of the components of income tax expense attributable to continuing operations for each year presented including, but not limited to: current tax expense (benefit), deferred tax expense (benefit), investment tax credits, government grants, the benefits of operating loss carryforwards, tax expense that results from allocating certain tax benefits either directly to contributed capital or to reduce goodwill or other noncurrent intangible assets of an acquired entity, adjustments of a deferred tax liability or asset for enacted changes in tax laws or rates or a change in the tax status of the entity, and adjustments of the beginning-of-the-year balances of a valuation allowance because of a change in circumstances that causes a change in judgment about the realizability of the related deferred tax asset in future years. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 9 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32639-109319 + Details
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- Definition Tabular disclosure of the components of net deferred tax asset or liability recognized in an entity's statement of financial position, including the following: the total of all deferred tax liabilities, the total of all deferred tax assets, the total valuation allowance recognized for deferred tax assets. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32537-109319 + Details
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- Definition Tabular disclosure of the reconciliation using percentage or dollar amounts of the reported amount of income tax expense attributable to continuing operations for the year to the amount of income tax expense that would result from applying domestic federal statutory tax rates to pretax income from continuing operations. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 12 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32687-109319 + Details
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- Definition Tabular disclosure of tax positions taken in the tax returns filed or to be filed for which it is more likely than not that the tax position will not be sustained upon examination by taxing authorities (i.e., uncertain tax positions) and other types of income tax contingencies, including: (1) the policy on classification of interest and penalties; (2) a tabular reconciliation of the total amounts of unrecognized tax benefits at the beginning and end of the period; the total amount(s) of: (3) unrecognized tax benefits that, if recognized, would affect the effective tax rate, and (4) interest and penalties recognized in each of the income statement and balance sheet; (5) for positions for which it is reasonably possible that the total amounts unrecognized will significantly change within 12 months of the reporting date the: (i) nature of the uncertainty, (ii) nature of the event that could occur that would cause the change, and (iii) an estimate of the range of the reasonably possible change or a statement that an estimate of the range cannot be made; and (6) a description of tax years that remain subject to examination by major tax jurisdictions. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32718-109319 + Details
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- Definition Tabular disclosure of pertinent information, such as tax authority, amounts, and expiration dates, of net operating loss carryforwards, including an assessment of the likelihood of utilization. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32559-109319 + Details
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