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Income Taxes | 12 Months Ended
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Dec. 31, 2016
Income Tax Disclosure [Abstract] |
Income Taxes | Income Taxes Pretax income for 2016, 2015 and 2014 was taxed in the following jurisdictions:
| 2016 |  | 2015 |  | 2014
| (In thousands)
U.S. | $ | 265,260 |  |  | $ | 285,399 |  |  | $ | 275,334 |
Foreign | 103,252 |  |  | 106,946 |  |  | 117,106 |
Total | $ | 368,512 |  |  | $ | 392,345 |  |  | $ | 392,440 |
The provision (benefit) for income taxes for 2016, 2015 and 2014, was as follows:
| 2016 |  | 2015 |  | 2014
| (In thousands)
Current |  |  |  |  |
U.S. | $ | 67,668 |  |  | $ | 73,059 |  |  | $ | 77,454 |
State and local | 4,503 |  |  | 6,188 |  |  | 7,133 |
Foreign | 42,540 |  |  | 30,630 |  |  | 37,060 |
Total current | 114,711 |  |  | 109,877 |  |  | 121,647 |
Deferred |  |  |  |  |
U.S. | (6,249 | ) |  | 7,125 |  |  | (3,176 | )
State and local | (331 | ) |  | (1,017 | ) |  | (1,708 | )
Foreign | (10,728 | ) |  | (6,447 | ) |  | (3,709 | )
Total deferred | (17,308 | ) |  | (339 | ) |  | (8,593 | )
Total provision for income taxes | $ | 97,403 |  |  | $ | 109,538 |  |  | $ | 113,054 |
Deferred tax assets (liabilities) at December 31, 2016 and 2015 were:
| 2016 |  | 2015
| (In thousands)
Employee and retiree benefit plans | $ | 42,950 |  |  | $ | 37,393 |
Capital loss carryforwards | 18,668 |  |  | — |
Depreciation and amortization | (238,321 | ) |  | (185,321 | )
Inventories | 11,519 |  |  | 12,615 |
Allowances and accruals | 9,338 |  |  | 12,528 |
Interest rate exchange agreement | 10,442 |  |  | 12,948 |
Other | (90 | ) |  | 2,800 |
Total gross deferred tax (liabilities) | (145,494 | ) |  | (107,037 | )
Capital loss valuation allowance | (18,668 | ) |  | — |
Total deferred tax (liabilities), net of valuation allowances | $ | (164,162 | ) |  | $ | (107,037 | )
The deferred tax assets and liabilities recognized in the Company’s Consolidated Balance Sheets as of December 31, 2016 and 2015 were:
| 2016 |  | 2015
| (In thousands)
Noncurrent deferred tax asset — Other noncurrent assets | $ | 2,265 |  |  | $ | 3,446 |
Noncurrent deferred tax liabilities — Deferred income taxes | (166,427 | ) |  | (110,483 | )
Net deferred tax liabilities | $ | (164,162 | ) |  | $ | (107,037 | )
The provision for income taxes differs from the amount computed by applying the statutory federal income tax rate to pretax income. The computed amount and the differences for 2016, 2015 and 2014 are as follows:
| 2016 |  | 2015 |  | 2014
| (In thousands)
Pretax income | $ | 368,512 |  |  | $ | 392,345 |  |  | $ | 392,440 |
Provision for income taxes |  |  |  |  |
Computed amount at statutory rate of 35% | $ | 128,979 |  |  | $ | 137,321 |  |  | $ | 137,354 |
State and local income tax (net of federal tax benefit) | 4,070 |  |  | 5,033 |  |  | 4,875 |
Taxes on non-U.S. earnings-net of foreign tax credits | (6,666 | ) |  | (11,663 | ) |  | (9,378 | )
Effect of flow-through entities | (8,735 | ) |  | (8,358 | ) |  | (9,018 | )
U.S. business tax credits | (1,665 | ) |  | (1,273 | ) |  | (1,680 | )
Domestic activities production deduction | (9,043 | ) |  | (6,521 | ) |  | (7,489 | )
Deferred tax effect of foreign tax rate change | — |  |  | (2,636 | ) |  | — |
Capital loss on divestitures | (23,444 | ) |  | — |  |  | — |
Valuation allowance | 17,973 |  |  | — |  |  | — |
Share-based payments | (6,520 | ) |  | — |  |  | — |
Other | 2,454 |  |  | (2,365 | ) |  | (1,610 | )
Total provision for income taxes | $ | 97,403 |  |  | $ | 109,538 |  |  | $ | 113,054 |
The Company has $670 million and $715 million of undistributed earnings of non-U.S. subsidiaries as of December 31, 2016 and 2015, respectively. No deferred U.S. income taxes have been provided on these earnings as they are considered to be reinvested for an indefinite period of time or will be repatriated when it is tax effective to do so. If these amounts were distributed to the U.S., in the form of dividends or otherwise, the Company would be subject to additional U.S. income taxes, which could be material. Determination of the amount of unrecognized deferred income tax liabilities on these earnings is not practicable because of the complexities with the hypothetical calculation, and the amount of liability, if any, is dependent on circumstances if and when remittance occurs. During the years ended December 31, 2016, 2015 and 2014, the Company repatriated $28.8 million, $14.3 million and $6.5 million of foreign earnings, respectively, resulting in $2.7 million of incremental tax expense, $0.3 million of incremental income tax expense and $0.2 million of incremental tax benefit, respectively. These repatriations represent distribution s of current year earnings and distributions from liquidating subsidiaries and do not impact our representation that the undistributed earnings are permanently invested. A reconciliation of the beginning and ending amount of unrecognized tax benefits for 2016, 2015 and 2014 is as follows:
| 2016 |  | 2015 |  | 2014
| (In thousands)
Beginning balance January 1 | $ | 7,228 |  |  | $ | 3,619 |  |  | $ | 5,124 |
Gross increase due to non-U.S. acquisitions | — |  |  | 3,772 |  |  | — |
Gross increases for tax positions of prior years | 201 |  |  | 1,256 |  |  | 834 |
Gross decreases for tax positions of prior years | (93 | ) |  | — |  |  | (51 | )
Settlements | (2,014 | ) |  | (667 | ) |  | (2,057 | )
Lapse of statute of limitations | (1,547 | ) |  | (752 | ) |  | (231 | )
Ending balance December 31 | $ | 3,775 |  |  | $ | 7,228 |  |  | $ | 3,619 |
We recognize interest and penalties related to uncertain tax positions in income tax expense. As of December 31, 2016, 2015 and 2014, we had approximately $0.1 million, $0.2 million and $0.7 million, respectively, of accrued interest related to uncertain tax positions. As of December 31, 2016, 2015 and 2014, we had approximately $0.1 million, $0.3 million and $0.3 million, respectively, of accrued penalties related to uncertain tax positions. The total amount of unrecognized tax benefits that would affect our effective tax rate if recognized is $1.8 million, $3.0 million and $2.9 million as of December 31, 2016, 2015 and 2014, respectively. The tax years 2010-2015 remain open to examination by major taxing jurisdictions. Due to the potential for resolution of federal, state and foreign examinations, and the expiration of various statutes of limitation, it is reasonably possible that the Company’s gross unrecognized tax benefits balance may change within the next 12 months by a range of zero to $1.4 million. The Company had net operating loss and credit carry forwards related to prior acquisitions for U.S. federal purposes at December 31, 2016 and 2015 of $3.5 million and $4.8 million, respectively. The federal net operating loss carry forwards are available for use against the Company’s consolidated federal taxable income and expire between 2021 and 2028. For non-U.S. purposes, the Company had net operating loss carry forwards at December 31, 2016 and 2015 of $25.6 million and $0.7 million, respectively, the majority of which relates to acquisitions. The entire balance of the non-U.S. net operating losses is available to be carried forward. At December 31, 2016 and 2015, the Company had U.S. state net operating loss and credit carry forwards of approximately $33.1 million and $27.0 million, respectively. If unutilized, the U.S. state net operating loss will expire between 2019 and 2036. At December 31, 2016 and 2015, the Company recorded a valuation allowance against the deferred tax asset attributable to the U.S. state net operating loss of $1.3 million and $1.0 million, respectively. The Company had a capital loss carryover for U.S. federal purposes at December 31, 2016 of approximately $70.1 million. U.S. capital loss carryovers can be carried back three years and forward five years, thus, if unutilized, the federal capital loss carryover will expire in 2021. At December 31, 2016, the Company recorded a valuation allowance against the deferred tax asset attributable to the federal capital loss carryover of $18.7 million. At December 31, 2016, the Company had U.S. state capital loss carryovers of approximately $70.1 million. If unutilized, the U.S. state capital loss carryovers will expire between 2021 and 2031. At December 31, 2016, the Company recorded a valuation allowance against the deferred tax assets attributable to the state capital loss carryovers of $0.7 million. At December 31, 2016 and 2015, the Company had a foreign capital loss carry forward of approximately $0.7 million and $0.9 million, respectively. The foreign capital loss can be carried forward indefinitely. At both December 31, 2016 and 2015, the Company has a full valuation allowance against the deferred tax asset attributable to the foreign capital loss.

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- Definition The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08.(h)) -URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690 Reference 2: 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=65882285&loc=d3e32559-109319 Reference 3: 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=65882285&loc=d3e32718-109319 Reference 4: 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=65882285&loc=d3e32639-109319 Reference 5: 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=65882285&loc=d3e32537-109319 + Details
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