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INCOME TAXES (Tables) | 12 Months Ended
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Dec. 31, 2022
Income Tax Disclosure [Abstract] |
Schedule of Company's Income Tax (Expense) Benefit | The Company’s income tax (expense) benefit consisted of the following components (in thousands):
| Successor |  |  | Predecessor
| Year Ended December 31, 2022 |  | November 9, 2021 Through December 31, 2021 |  |  | January 1, 2021 Through November 8, 2021 |  | Year Ended December 31, 2020
Current: |  |  |  |  |  |  |  |
Luxembourg | $ | — |  |  | $ | (1) |  |  |  | $ | (11) |  |  | $ | (118) |
U.S. Federal | (13,561) |  |  | 1,295 |  |  |  | (15,123) |  |  | (7,546) |
U.S. state and local | (5,453) |  |  | 519 |  |  |  | (6,201) |  |  | (4,091) |
Other foreign jurisdictions | (3,455) |  |  | 2,192 |  |  |  | (4,045) |  |  | (1,412) |
Total current | (22,469) |  |  | 4,005 |  |  |  | (25,380) |  |  | (13,167) |
Deferred: |  |  |  |  |  |  |  |
Luxembourg | — |  |  | — |  |  |  | — |  |  | (930) |
U.S. Federal | 11,029 |  |  | 2,060 |  |  |  | 7,062 |  |  | 1,966 |
U.S. state and local | 5,397 |  |  | 390 |  |  |  | 1,922 |  |  | (213) |
Other foreign jurisdictions | 574 |  |  | (295) |  |  |  | 2,260 |  |  | 1,861 |
Total deferred | 17,000 |  |  | 2,155 |  |  |  | 11,244 |  |  | 2,684 |
Total income tax (expense) benefit | $ | (5,469) |  |  | $ | 6,160 |  |  |  | $ | (14,136) |  |  | $ | (10,483) |
Schedule of Company's Income Before Income Taxes | The Company’s income (loss) before income taxes consists of the following components (in thousands):
| Successor |  |  | Predecessor
| Year Ended December 31, 2022 |  | November 9, 2021 Through December 31, 2021 |  |  | January 1, 2021 Through November 8, 2021 |  | Year Ended December 31, 2020
Luxembourg | $ | 81,308 |  |  | $ | (657,511) |  |  |  | $ | (15,309) |  |  | $ | (1,230) |
U.S. | 9,063 |  |  | (25,102) |  |  |  | 49,186 |  |  | 35,703 |
Other foreign jurisdictions | 6,856 |  |  | (5,696) |  |  |  | 888 |  |  | 259 |
Total income (loss) before taxes | $ | 97,227 |  |  | $ | (688,309) |  |  |  | $ | 34,765 |  |  | $ | 34,732 |
Schedule of Effective Income Tax Rate | The Company’s income tax expense differs from the amount computed by applying the Luxembourg statutory rate of 24.94% for the reasons set forth in the following table:
| Successor |  |  | Predecessor
| Year Ended December 31, 2022 |  | November 9, 2021 Through December 31, 2021 |  |  | January 1, 2021 Through November 8, 2021 |  | Year Ended December 31, 2020
Luxembourg statutory tax rate | 24.94 | % |  | 24.94 | % |  |  | 24.94 | % |  | 24.94 | %
(Increase)/reduction in income tax rate: |  |  |  |  |  |  |  |
U.S. state and local income taxes, net | (0.14) |  |  | 0.14 |  |  |  | 7.61 |  |  | 6.25 |
Effect of rates different from statutory | 0.36 |  |  | (0.10) |  |  |  | (5.84) |  |  | (3.78) |
Nondeductible officer compensation | 1.59 |  |  | — |  |  |  | — |  |  | — |
Tax on unremitted earnings | 3.73 |  |  | — |  |  |  | — |  |  | — |
Section 250 deduction | (0.71) |  |  | (0.05) |  |  |  | (2.20) |  |  | (1.36) |
Transaction costs | — |  |  | (0.11) |  |  |  | 0.02 |  |  | — |
Nontaxable gain/loss on earn-out liability | (2.71) |  |  | — |  |  |  | — |  |  | — |
Founders advisory fees | (30.09) |  |  | (23.67) |  |  |  | — |  |  | — |
Tax rate changes | (0.94) |  |  | — |  |  |  | 1.38 |  |  | 3.57 |
Changes in prior year estimates | (1.95) |  |  | — |  |  |  | — |  |  | (2.73) |
Change in valuation allowance | 10.90 |  |  | (0.07) |  |  |  | 12.47 |  |  | 5.12 |
Other, net | 0.64 |  |  | (0.19) |  |  |  | 2.28 |  |  | (1.83) |
Effective tax rate | 5.62 | % |  | 0.89 | % |  |  | 40.66 | % |  | 30.18 | %
Schedule of Deferred Tax Assets and Liabilities | Significant portions of the Company’s deferred tax assets and deferred tax liabilities are as follows (in thousands):
| December 31, 2022 |  | December 31, 2021
Deferred Tax Assets: |  |  |
Net operating loss carryforwards | $ | 16,394 |  |  | $ | 7,360 |
Inventory | 610 |  |  | — |
Interest | 2,502 |  |  | 4,161 |
Accrued liabilities | 2,925 |  |  | 2,315 |
Goodwill and other intangibles | 5 |  |  | 35 |
Lease liability | 5,051 |  |  | — |
Other | 3,450 |  |  | 1,821 |
Valuation allowance | (16,142) |  |  | (5,598) |
Total deferred tax assets | 14,795 |  |  | 10,094 |
Deferred Tax Liabilities: |  |  |
Property, plant and equipment | (9,857) |  |  | (10,077) |
Goodwill and other intangibles | (268,418) |  |  | (284,297) |
Inventory | — |  |  | (6,621) |
Unremitted earnings | (9,622) |  |  | (6,000) |
Right-of-use asset | (4,934) |  |  | — |
Other | (234) |  |  | (247) |
Total deferred tax liabilities | (293,065) |  |  | (307,242) |
Net deferred tax liability | $ | (278,270) |  |  | $ | (297,148) |
Schedule of Unrecognized Tax Benefits | The following table summarizes the activity related to the Company’s unrecognized tax benefits (in thousands):
| 2022 |  | 2021
Balance at beginning of year | $ | — |  |  | $ | — |
Increase in prior years’ tax positions | 36,257 |  |  | — |
Balance at end of year | $ | 36,257 |  |  | $ | — |

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