XML 30 R15.htm IDEA: XBRL DOCUMENT
v3.6.0.2

Income Taxes | 12 Months Ended
--- | ---
Dec. 31, 2016
Income Tax Disclosure [Abstract] |
Income Taxes [Text Block] | Income Taxes The provision for income taxes for the years ended December 31 consists of the following:
| 2016 |  | 2015 |  | 2014
Current: |  |  |  |  |
Federal | $ | 45,314 |  |  | $ | 82,532 |  |  | $ | 101,857 |
State | 7,022 |  |  | 18,022 |  |  | 20,123 |
International | 110,208 |  |  | 85,310 |  |  | 88,707 |
| 162,544 |  |  | 185,864 |  |  | 210,687 |
Deferred: |  |  |  |  |
Federal | 29,973 |  |  | 12,127 |  |  | (1,097 | )
State | 7,161 |  |  | (1,828 | ) |  | (2,071 | )
International | (9,004 | ) |  | (4,466 | ) |  | (22,576 | )
| 28,130 |  |  | 5,833 |  |  | (25,744 | )
| $ | 190,674 |  |  | $ | 191,697 |  |  | $ | 184,943 |
The principal causes of the difference between the U.S. federal statutory tax rate of 35% and effective income tax rates for the years ended December 31 are as follows:
| 2016 |  | 2015 |  | 2014
United States | $ | 235,256 |  |  | $ | 281,579 |  |  | $ | 317,400 |
International | 480,141 |  |  | 410,604 |  |  | 365,933 |
Income before income taxes | $ | 715,397 |  |  | $ | 692,183 |  |  | $ | 683,333 |
Provision at statutory tax rate | $ | 250,389 |  |  | $ | 242,264 |  |  | $ | 239,166 |
State taxes, net of federal benefit | 9,219 |  |  | 10,526 |  |  | 11,734 |
International effective tax rate differential | (64,002 | ) |  | (56,132 | ) |  | (56,865 | )
Change in valuation allowance | 7,174 |  |  | (205 | ) |  | (7,803 | )
Other non-deductible expenses | 3,516 |  |  | 3,530 |  |  | 4,040 |
Changes in tax accruals | (3,679 | ) |  | (7,423 | ) |  | 1,335 |
Tax credits | (14,510 | ) |  | — |  |  | — |
Other | 2,567 |  |  | (863 | ) |  | (6,664 | )
Provision for income taxes | $ | 190,674 |  |  | $ | 191,697 |  |  | $ | 184,943 |
At December 31, 2016, the company had a liability for unrecognized tax benefits of $31,534 (substantially all of which, if recognized, would favorably affect the company's effective tax rate), of which approximately $365 is expected to be paid over the next twelve months. The company does not believe there will be any other material changes in its unrecognized tax positions over the next twelve months. A reconciliation of the beginning and ending amount of unrecognized tax benefits for the years ended December 31 is as follows:
| 2016 |  | 2015 |  | 2014
Balance at beginning of year | $ | 36,935 |  |  | $ | 44,701 |  |  | $ | 45,987 |
Additions based on tax positions taken during a prior period | 2,356 |  |  | 2,568 |  |  | 3,792 |
Reductions based on tax positions taken during a prior period | (6,305 | ) |  | (9,482 | ) |  | (7,737 | )
Additions based on tax positions taken during the current period | 3,935 |  |  | 8,440 |  |  | 5,518 |
Reductions related to settlement of tax matters | (2,795 | ) |  | (4,143 | ) |  | (317 | )
Reductions related to a lapse of applicable statute of limitations | (2,592 | ) |  | (5,149 | ) |  | (2,542 | )
Balance at end of year | $ | 31,534 |  |  | $ | 36,935 |  |  | $ | 44,701 |
Interest costs related to unrecognized tax benefits are classified as a component of "Interest and other financing expense, net" in the company's consolidated statements of operations. In 2016, 2015, and 2014, the company recognized $(1,946), $(3,247), and $1,570, respectively, of interest expense related to unrecognized tax benefits. At December 31, 2016 and 2015, the company had a liability for the payment of interest of $6,881 and $8,878, respectively, related to unrecognized tax benefits. In many cases the company's uncertain tax positions are related to tax years that remain subject to examination by tax authorities. The following describes the open tax years, by major tax jurisdiction, as of December 31, 2016:
United States - Federal |  | 2013 - present
United States - States |  | 2009 - present
Germany (a) |  | 2010 - present
Hong Kong |  | 2011 - present
Italy (a) |  | 2012 - present
Sweden |  | 2011 - present
United Kingdom |  | 2014 - present
(a) Includes federal as well as local jurisdictions. Deferred income taxes are provided for the effects of temporary differences between the tax basis of an asset or liability and its reported amount in the consolidated balance sheets. These temporary differences result in taxable or deductible amounts in future years. Effective October 2, 2016, the company adopted the provisions of ASU No. 2015-17 Income Taxes - Balance Sheet Classification of Deferred Taxes on a prospective basis, which resulted in a reclassification of deferred tax liabilities and assets from current to noncurrent. As of December 31, 2016, the significant components of the company's deferred tax assets and liabilities are included in "Other assets," and "Other liabilities" in the company's consolidated balance sheets. As of December 31, 2015 the significant components of the company's deferred tax assets and liabilities are included in "Other current assets," "Other assets," "Accrued expenses," and "Other liabilities" in the company's consolidated balance sheets. The deferred tax assets and liabilities consist of the following at December 31:
| 2016 |  | 2015
Deferred tax assets: |  |  |
Net operating loss carryforwards | $ | 102,710 |  |  | $ | 102,005 |
Inventory adjustments | 56,890 |  |  | 48,467 |
Allowance for doubtful accounts | 14,526 |  |  | 13,371 |
Accrued expenses | 40,179 |  |  | 43,044 |
Interest carryforward | 19,073 |  |  | 26,051 |
Stock-based compensation awards | 24,505 |  |  | 26,911 |
Other comprehensive income items | 10,859 |  |  | 16,232 |
Integration and restructuring | 2,970 |  |  | 4,117 |
Other | 17,830 |  |  | 7,892 |
| 289,542 |  |  | 288,090 |
Valuation allowance | (15,323 | ) |  | (8,149 | )
Total deferred tax assets | $ | 274,219 |  |  | $ | 279,941 |
Deferred tax liabilities: |  |  |
Goodwill | $ | (142,541 | ) |  | $ | (113,788 | )
Depreciation | (94,838 | ) |  | (83,291 | )
Intangible assets | (21,118 | ) |  | (31,481 | )
Other | — |  |  | — |
Total deferred tax liabilities | $ | (258,497 | ) |  | $ | (228,560 | )
Total net deferred tax assets | $ | 15,722 |  |  | $ | 51,381 |
At December 31, 2016, the company had international tax loss carryforwards of approximately $289,953, of which $9,388 have expiration dates ranging from 2017 to 2035, and the remaining $280,565 have no expiration date. Deferred tax assets related to these international tax loss carryforwards were $91,088 with a corresponding valuation allowance of $4,812. The company also has Federal net operating loss carryforwards of approximately $23,454 at December 31, 2016 which relate to acquired subsidiaries. These Federal net operating losses expire in various years beginning after 2027. The company has an agreement with the sellers of an acquired business to reimburse them for the company's utilization of certain Federal net operating loss carryforwards. Valuation allowances reflect the deferred tax benefits that management is uncertain of the ability to utilize in the future. Cumulative undistributed earnings of international subsidiaries were $2,848,219 at December 31, 2016. No deferred Federal income taxes were provided for the undistributed earnings as they are permanently reinvested in the company's international operations. Income taxes paid, net of income taxes refunded, amounted to $190,109, $182,668, and $223,909 in 2016, 2015, and 2014, respectively.

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