XML 35 R16.htm IDEA: XBRL DOCUMENT
v3.6.0.2

Income Taxes | 12 Months Ended
--- | ---
Dec. 31, 2016
Income Taxes |
Income Taxes | (8) Income Taxes The significant components of the Company’s deferred income tax liabilities and assets are as follows:
|  | December 31, |
|  | 2016 |  | 2015 |
|  | (in millions) |
Deferred income tax liabilities: |  |  |  |  |  |  |
Excess tax over book depreciation |  | $ | 15.5 |  | $ | 16.2 |
Intangibles |  |  | 55.2 |  |  | 48.1 |
Goodwill |  |  | 20.4 |  |  | 17.8 |
Other |  |  | 6.1 |  |  | 4.5 |
Total deferred tax liabilities |  |  | 97.2 |  |  | 86.6 |
Deferred income tax assets: |  |  |  |  |  |  |
Accrued expenses |  |  | 22.9 |  |  | 26.8 |
Capital loss carry forward |  |  | 1.4 |  |  | 3.6 |
Net operating loss carry forward |  |  | 7.3 |  |  | 8.9 |
Inventory reserves |  |  | 13.5 |  |  | 13.1 |
Other |  |  | 13.5 |  |  | 14.0 |
Total deferred tax assets |  |  | 58.6 |  |  | 66.4 |
Less: valuation allowance |  |  | (7.1) |  |  | (9.5) |
Net deferred tax assets |  |  | 51.5 |  |  | 56.9 |
Net deferred tax liabilities |  | $ | (45.7) |  | $ | (29.7) |
The provision for income taxes is based on the following pre‑tax income:
|  | Year Ended December 31, |
|  | 2016 |  | 2015 |  | 2014 |
|  | (in millions) |
Domestic |  | $ | 64.8 |  | $ | (25.8) |  | $ | 44.2 |
Foreign |  | $ | 63.0 |  |  | (85.2) |  |  | 38.9 |
|  | $ | 127.8 |  | $ | (111.0) |  | $ | 83.1 |
The provision for income taxes consists of the following:
|  | Year Ended December 31, |
|  | 2016 |  | 2015 |  | 2014 |
|  | (in millions) |
Current tax expense: |  |  |  |  |  |  |  |  |  |
Federal |  | $ | 18.3 |  | $ | 3.4 |  | $ | 12.8 |
Foreign |  |  | 17.2 |  |  | 18.1 |  |  | 20.4 |
State |  |  | 3.9 |  |  | 2.0 |  |  | 2.7 |
|  |  | 39.4 |  |  | 23.5 |  |  | 35.9 |
Deferred tax expense (benefit): |  |  |  |  |  |  |  |  |  |
Federal |  |  | 3.6 |  |  | (13.6) |  |  | 2.1 |
Foreign |  |  | 0.6 |  |  | (7.0) |  |  | (5.2) |
State |  |  | — |  |  | (1.0) |  |  | — |
|  |  | 4.2 |  |  | (21.6) |  |  | (3.1) |
|  | $ | 43.6 |  | $ | 1.9 |  | $ | 32.8 |
Actual income taxes reported are different than what would have been computed by applying the federal statutory tax rate to income before income taxes. The reasons for these differences are as follows:
|  | Year Ended December 31, |
|  | 2016 |  | 2015 |  | 2014 |
|  | (in millions) |
Computed expected federal income expense |  | $ | 44.7 |  | $ | (38.8) |  | $ | 29.1 |
State income taxes, net of federal tax benefit |  |  | 2.2 |  |  | 0.8 |  |  | 2.1 |
Foreign tax rate differential |  |  | (6.7) |  |  | 7.5 |  |  | (4.2) |
Goodwill impairment |  |  | — |  |  | 29.0 |  |  | 3.2 |
Change in valuation allowance |  |  | — |  |  | (1.8) |  |  | — |
Other, net |  |  | 3.4 |  |  | 5.2 |  |  | 2.6 |
|  | $ | 43.6 |  | $ | 1.9 |  | $ | 32.8 |
At December 31, 2016, the Company had foreign net operating loss carry forwards of $27.2 million for income tax purposes before considering valuation allowances; $22.9 million of the losses can be carried forward indefinitely, and $4.3 million expire in 2023. The net operating losses consist of $22.9 million related to Austrian operations and $4.3 million to Dutch operations. At December 31, 2016, the Company has U.S. capital loss carry forwards of $1.5 million for income tax purposes before considering valuation allowances; $1.0 million expire in 2017 and $0.5 million expire in 2018. At December 31, 2016 and December 31, 2015, the Company had valuation allowances of $7.2 million and $9.5 million, respectively. At December 31, 2016, $1.5 million relates to U.S. capital losses and $5.7 million relates to Austrian net operating losses. At December 31, 2015, $3.6 million related to U.S. capital losses and $5.9 million related to Austrian net operating losses. Management believes that the ability of the Company to use such losses within the applicable carry forward period does not rise to the level of the more likely than not threshold. The Company does not have a valuation allowance on other deferred tax assets, as management believes that it is more likely than not that the Company will recover the net deferred tax assets. Management believes it is more likely than not that the future reversals of the deferred tax liabilities, together with forecasted income, will be sufficient to fully recover the deferred tax assets. Changes enacted in income tax laws had no material effect on the Company in 2016, 2015 or 2014. Undistributed earnings of the Company’s foreign subsidiaries amounted to approximately $346.1 million at December 31, 2016, $366.1 million at December 31, 2015, and $386.0 million at December 31, 2014. Those earnings are considered to be indefinitely reinvested and, accordingly, no provision for U.S. federal and state income taxes has been recorded thereon. Upon distribution of those earnings, in the form of dividends or otherwise, the Company will be subject to withholding taxes payable to the various foreign countries. Determination of the amount of U.S. income tax liability that would be incurred is not practicable because of the complexities associated with its hypothetical calculation; however, unrecognized foreign tax credits may be available to reduce some portion of any U.S. income tax liability.

X
- References No definition available. + Details
Name: | us-gaap_IncomeTaxDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- 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=6907707&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=6907707&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=6907707&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=6907707&loc=d3e32537-109319 + Details
Name: | us-gaap_IncomeTaxDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration