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Income Taxes (Tables) | 12 Months Ended
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Dec. 31, 2013
Income Tax Disclosure [Abstract] |
Income Tax Data from Continuing Operations | For each of the years ended December 31, 2013, 2012, and 2011 the tax data related to continuing operations is as follows:
| 2013 |  |  | 2012 |  |  | 2011 |
Income (loss) components: |  |  |  |  |
United States | $ | 28.5 |  |  | $ | 33.0 |  |  | $ | (464.4 | )
International | 152.0 |  |  | 116.1 |  |  | 148.5 |
Income (loss) from continuing operations before income tax | 180.5 |  |  | 149.1 |  |  | (315.9 | )
Income tax expense (benefit) components: |  |  |  |  |
Current income tax expense (benefit): |  |  |  |  |
United States – federal | 10.6 |  |  | (32.6 | ) |  | (78.9 | )
United States – state and local | 4.2 |  |  | (8.7 | ) |  | (12.1 | )
International | 39.6 |  |  | 46.8 |  |  | 49.2 |
Total current income tax expense (benefit) | 54.4 |  |  | 5.5 |  |  | (41.8 | )
Deferred income tax expense (benefit) components: |  |  |  |  |
United States – federal | (331.2 | ) |  | 40.1 |  |  | 318.2 |
United States – state and local | (36.7 | ) |  | 9.9 |  |  | (14.6 | )
International | 3.9 |  |  | (15.9 | ) |  | (1.2 | )
Total deferred income tax expense (benefit) | (364.0 | ) |  | 34.1 |  |  | 302.4 |
Income tax expense (benefit) | $ | (309.6 | ) |  | $ | 39.6 |  |  | $ | 260.6 |
Effective income tax rate | (171.5 | )% |  | 26.6 | % |  | (82.5 | )%
Reconciliation of Tax Provision for Continuing Operations | A reconciliation of the income tax expense (benefit) for continuing operations from the U.S. statutory income tax rate to the effective income tax rate is as follows for each of the years ended December 31, 2013, 2012, and 2011:
| 2013 |  |  | 2012 |  |  | 2011 |
Tax provision at U.S. statutory rate | 35.0 | % |  | 35.0 | % |  | 35.0 | %
Valuation allowance on deferred tax assets | (191.1 | ) |  | 27.7 |  |  | (108.1 | )
Tax exempt interest | (17.5 | ) |  | (19.7 | ) |  | 4.1 |
Tax on undistributed foreign earnings | 6.1 |  |  | 1.3 |  |  | (21.8 | )
Foreign tax rate differential | (5.8 | ) |  | (3.0 | ) |  | 1.2 |
Audit settlements & unrecognized tax benefits | 3.8 |  |  | (13.2 | ) |  | — |
U.S. permanent items | (1.3 | ) |  | 0.5 |  |  | — |
U.S. tax on foreign earnings | (0.7 | ) |  | 0.5 |  |  | 0.4 |
Other adjustments | (0.6 | ) |  | (2.8 | ) |  | (3.9 | )
State and local income tax | 0.6 |  |  | 1.4 |  |  | 0.5 |
Medicare Part D subsidy | — |  |  | (1.1 | ) |  | 0.4 |
Change in state tax rate | — |  |  | — |  |  | 9.7 |
Effective income tax rate | (171.5 | )% |  | 26.6 | % |  | (82.5 | )%
Deferred Tax Assets and Liabilities | Deferred tax assets and liabilities include the following:
| 2013 |  |  | 2012 |
Deferred Tax Assets: |  |  |
Accruals | $ | 64.5 |  |  | $ | 65.2 |
Asbestos | 272.7 |  |  | 296.7 |
Employee benefits | 106.6 |  |  | 137.2 |
Credit carryforwards | 47.2 |  |  | 46.1 |
Loss carryforwards | 125.2 |  |  | 119.3 |
Other | 34.4 |  |  | 40.1 |
Subtotal | 650.6 |  |  | 704.6 |
Valuation allowance | $ | (135.3 | ) |  | $ | (536.7 | )
Net deferred tax assets | 515.3 |  |  | 167.9 |
Deferred Tax Liabilities: |  |  |
Undistributed earnings | (82.3 | ) |  | (71.4 | )
Intangibles | (58.8 | ) |  | (59.2 | )
Accelerated depreciation | (25.8 | ) |  | (25.0 | )
Investment | (0.4 | ) |  | (0.7 | )
Total deferred tax liabilities | $ | (167.3 | ) |  | $ | (156.3 | )
Net deferred tax assets | $ | 348.0 |  |  | $ | 11.6 |
Deferred Taxes in Consolidated Balance Sheets | Deferred taxes are presented in the Consolidated Balance Sheets as follows:
| 2013 |  |  | 2012 |
Current assets | $ | 59.5 |  |  | $ | 19.9 |
Non-current assets | 303.6 |  |  | 21.4 |
Current liabilities | — |  |  | (3.5 | )
Other non-current liabilities | (15.1 | ) |  | (26.2 | )
Net deferred tax assets | $ | 348.0 |  |  | $ | 11.6 |
Attributes Available for Utilization | We have the following tax attributes available for utilization at December 31, 2013:
Attribute | Amount |  |  | First Year of Expiration
U.S. federal net operating losses | $ | 2.1 |  |  | 12/31/2023
U.S. state net operating losses | 1,348.4 |  |  | 12/31/2014
U.S. federal tax credits | 39.0 |  |  | 12/31/2020
U.S. state tax credits | 8.2 |  |  | 12/31/2014
Foreign net operating losses | 281.4 |  |  | 12/31/2014
Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits | A reconciliation of the beginning and ending amount of unrecognized tax benefits for each of the years ended December 31, 2013, 2012, and 2011 is as follows:
| 2013 |  |  | 2012 |  |  | 2011 |
Unrecognized tax benefits – January 1 | $ | 208.8 |  |  | $ | 198.7 |  |  | $ | 203.4 |
Additions for: |  |  |  |  |
Prior year tax positions | 1.6 |  |  | 48.4 |  |  | 1.5 |
Current year tax positions | 8.0 |  |  | 0.8 |  |  | 15.1 |
Assumed in Acquisition | — |  |  | 3.8 |  |  | — |
Reductions for: |  |  |  |  |
Prior year tax positions | (55.4 | ) |  | (4.8 | ) |  | (21.2 | )
Settlements | (1.0 | ) |  | (33.6 | ) |  | — |
Expiration of Statute of Limitations | (0.8 | ) |  | (4.5 | ) |  | (0.1 | )
Unrecognized tax benefits – December 31 | $ | 161.2 |  |  | $ | 208.8 |  |  | $ | 198.7 |
Open Tax Years by Major Jurisdiction | The following table summarizes the earliest open tax years by major jurisdiction as of December 31, 2013:
Jurisdiction | Earliest Open Year
Czech Republic | 2008
Germany | 2006
Italy | 2007
Japan | 2010
Korea | 2008
United States | 2009

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