Income Taxes	6 Months Ended
Jun. 30, 2015
Income Taxes
Income Taxes	13. Income Taxes As of December 31, 2014, we had $136.9 million in foreign tax credit carryforward deferred tax assets. We recorded a valuation allowance of $7.2 million against these deferred tax assets in the fourth quarter of 2014 for foreign tax credits that expire in the year 2015. These deferred tax assets related to foreign tax credit carryforwards that can be used to reduce our income taxes payable in future periods. The foreign tax credit carryforwards will expire if they are not used within the 10-year carryforward period. At this time, we consider it more likely than not that we will have sufficient taxable income and foreign source taxable income in the future that will allow us to realize these deferred tax assets, net of the valuation allowance. However, if the Spin-off is completed as currently contemplated, many of the foreign tax credit carryforwards would ultimately expire unused. Therefore, since we do not expect Exterran Corporation to generate sufficient taxable income and foreign source taxable income following the Spin-off, an additional valuation allowance ranging from $45 million to $65 million to reduce our foreign tax credit carryforward deferred tax assets would be required, which would materially increase our income tax expense in the period the valuation allowance is recognized and materially impact our results of operations.

Income Taxes

6 Months Ended

Jun. 30, 2015

13. Income Taxes

As of December 31, 2014, we had $136.9 million in foreign tax credit carryforward deferred tax assets. We recorded a valuation allowance of $7.2 million against these deferred tax assets in the fourth quarter of 2014 for foreign tax credits that expire in the year 2015. These deferred tax assets related to foreign tax credit carryforwards that can be used to reduce our income taxes payable in future periods. The foreign tax credit carryforwards will expire if they are not used within the 10-year carryforward period. At this time, we consider it more likely than not that we will have sufficient taxable income and foreign source taxable income in the future that will allow us to realize these deferred tax assets, net of the valuation allowance. However, if the Spin-off is completed as currently contemplated, many of the foreign tax credit carryforwards would ultimately expire unused. Therefore, since we do not expect Exterran Corporation to generate sufficient taxable income and foreign source taxable income following the Spin-off, an additional valuation allowance ranging from $45 million to $65 million to reduce our foreign tax credit carryforward deferred tax assets would be required, which would materially increase our income tax expense in the period the valuation allowance is recognized and materially impact our results of operations.