Income Taxes (Tables)

12 Months Ended

Dec. 31, 2016

Schedule of (Benefits from) Provision for Income Taxes from Continuing Operations

The (benefit from) provision for income taxes from continuing operations for the years ended December 31, 2016, 2015 and 2014 consists of the following (dollars in thousands):

	For the Year Ended December 31,
	2016			2015			2014
Current provision (benefit)
Federal	$	-		$	(364	)	$	(10,168	)
State and local		704			(2,279	)		(346	)
Total current provision (benefit)		704			(2,643	)		(10,514	)
Deferred (benefit) provision
Federal		(16,247	)		(126,465	)		13,445
State and local		(1,007	)		(18,346	)		805
Total deferred (benefit) provision		(17,254	)		(144,811	)		14,250
Total (benefit from) provision for income taxes	$	(16,550	)	$	(147,454	)	$	3,736

Schedule of Reconciliation of the Statutory U.S. Federal Income Tax Rate to Effective Income Tax Rate for Continuing Operations

A reconciliation of the statutory U.S. federal income tax rate to our effective income tax rate for continuing operations for the years ended December 31, 2016, 2015 and 2014 is as follows:

	For the Year Ended December 31,
	2016				2015				2014
Statutory U.S. federal income tax rate		(35.0	)	%		(35.0	)	%		(35.0	)	%
State and local income taxes		(3.4	)			(2.7	)			(2.6	)
Nondeductible goodwill		-				-				0.6
Valuation allowance		0.5				0.6				37.0
Valuation allowance release		-				(116.3	)			-
Federal audit settlement		(6.7	)			-				2.4
Worthless stock		(11.9	)			-				-
Tax credits		(0.4	)			(0.2	)			-
Other		4.1				(2.5	)			0.3
Effective income tax rate		(52.8	)	%		(156.1	)	%		2.7		%

Schedule of Reconciliation of the Beginning and Ending Amount of Gross Unrecognized Tax Benefits

A reconciliation of the beginning and ending amounts of gross unrecognized tax benefits as of December 31, 2016, 2015 and 2014 is as follows (dollars in thousands):

	2016			2015			2014
Gross unrecognized tax benefits, beginning of the year	$	7,737		$	9,318		$	13,900
Additions for tax positions of prior years		263			19			129
Reductions for tax positions of prior years		-			(20	)		-
Additions for tax positions related to the current year		1,247			864			931
Reductions due to settlements		-			-			(4,064	)
Reductions due to lapse of applicable statute of limitations		(1,115	)		(2,444	)		(1,578	)
Subtotal		8,132			7,737			9,318
Interest and penalties		2,008			1,986			2,820
Total gross unrecognized tax benefits, end of the year	$	10,140		$	9,723		$	12,138

Schedule of Components of Deferred Income Tax Assets and Liabilities for Continuing Operation

Components of deferred income tax assets and liabilities for continuing operations as of December 31, 2016 and 2015 are as follows (dollars in thousands):

	December 31,
	2016			2015
Deferred income tax assets:
Accrued occupancy	$	12,973		$	4,191
Deferred rent obligations		6,232			9,281
Foreign tax credits		32,998			32,998
Valuation allowance foreign tax credits		(32,998	)		(32,998	)
Compensation and employee benefits		15,349			12,751
Tax net operating loss carry forwards		74,315			61,982
Valuation allowance		(12,415	)		(8,196	)
Allowance for doubtful accounts		4,773			3,967
Covenant not-to-compete		7			11
Accrued settlements and legal		13,231			938
Deferred compensation		1,223			520
Accrued restructuring and severance		2,561			6,014
Equity method for investments		669			256
General business tax credits		903			699
Illinois edge credits		4,335			6,351
Valuation allowance edge credits		(4,335	)		(6,351	)
Depreciation and amortization		40,960			47,453
Other		797			712
Total deferred income tax assets		161,578			140,579
Deferred income tax liabilities:
Other		3,306			2,863
Total deferred income tax liabilities		3,306			2,863
Net deferred income tax assets	$	158,272		$	137,716