Income Taxes (Tables)

12 Months Ended

Dec. 31, 2018

Income Taxes

Schedule of components of income (loss) from continuing operation before income taxes

	Years ended December 31,
	2018		2017		2016
	(in thousands)
United States	$	55,117	$	35,050	$	21,634
Foreign		1,157		961		2,312
Income before income taxes	$	56,274	$	36,011	$	23,946

Schedule of components of income tax expense

	Federal		State		Foreign		Total
	(in thousands)
2018
Current	$	—	$	364	$	622	$	986
Deferred		12,871		(814)		—		12,057
Total	$	12,871	$	(450)	$	622	$	13,043
2017
Current	$	(58)	$	284	$	20	$	246
Deferred		(31,198)		4,805		—		(26,393)
Total	$	(31,256)	$	5,089	$	20	$	(26,147)
2016
Current	$	324	$	14	$	440	$	778
Deferred		8,807		292		—		9,099
Total	$	9,131	$	306	$	440	$	9,877

Schedule of reconciliation of the federal income tax expense at the statutory rate to the effective income tax expense

	Years Ended December 31,
	2018		2017		2016
	(in thousands)
Statutory federal income tax expense	$	11,818	$	12,244	$	8,142
State taxes, net of federal benefit		(526)		3,360		202
Foreign tax paid		622		20		440
Change in federal tax rate		—		(43,643)		—
Tax consequences of the sale of equipment to WMES		—		164		—
Uncertain tax positions		—		—		(40)
Permanent differences-nondeductible executive compensation		1,144		1,238		1,201
Permanent differences and other		(15)		470		(68)
Effective income tax expense (benefit)	$	13,043	$	(26,147)	$	9,877

Summary of activity related to the Company's unrecognized tax benefits

	(in thousands)
Balance as of December 31, 2015	$	274
Increases related to current year tax positions		4
Decreases due to tax positions released		(72)
Balance as of December 31, 2016		206
Increases related to current year tax positions		4
Decreases due to tax positions expired		(19)
Balance as of December 31, 2017		191
Increases related to current year tax positions		—
Decreases due to tax positions expired		(9)
Balance as of December 31, 2018	$	182

Schedule of tax effects of temporary differences of the deferred tax assets and liabilities

	As of December 31,
	2018		2017
	(in thousands)
Deferred tax assets:
Unearned lease revenue	$	1,094	$	1,754
State taxes		77		1,653
Reserves and allowances		1,187		2,531
Other accruals		3,795		643
Alternative minimum tax credit		—		—
Foreign tax credit		26		42
Net operating loss carry forward		39,996		29,874
Charitable contributions		38		22
Total deferred tax assets		46,213		36,519
Less: valuation allowance		(652)		(806)
Net deferred tax assets		45,561		35,713
Deferred tax liabilities:
Depreciation and impairment on aircraft engines and equipment		(133,453)		(114,347)
Other deferred tax assets (liabilities)		(2,365)		437
Net deferred tax liabilities		(135,818)		(113,910)
Other comprehensive loss deferred tax liability		(28)		(83)
Net deferred tax liabilities	$	(90,285)	$	(78,280)