Note 11 - Income Taxes	3 Months Ended
Mar. 31, 2017
Notes to Financial Statements
Income Tax Disclosure [Text Block]	NOTE 11 — INCOME TAXES The Company ’s effective tax rate for the three months ended March 31, 2017 and 2016 was 20.8% and 23.0%, respectively. The effective rate differs from the federal statutory rate of 35% for the three months ended March 31, 2017 due to: (i) a full valuation allowance against the Company’s U.S. deferred tax assets in respect of net operating loss (“NOL”) carryforwards and unutilized tax credits (see below), (ii) a lower tax rate in Israel of 16%, partially offset by a tax rate in Kenya of 37.5%; and (iii) a tax credit and tax exemption related to the Company’s subsidiaries in Guatemala. The effect of the tax credit and tax exemption for the three months ended March 31, 2017 and 2016 was $0.9 million and $1.1 million, respectively. The Company is currently in a net deferred tax asset position with a full valuation allowance. As of December 31, 2016, the Company had U.S. federal NOL carryforwards of approximately $299.6 million, which expire between 2029 and 2036, and state NOL carryforwards of approximately $244.7 million, which expire between 2018 and 2036, which are available to reduce future taxable income. The Company's investment tax credits (“ITCs”) in the amount of $1.3 million at December 31, 2016 are available for a 20 -year period and expire between 2022 and 2024. The Company's production tax credits (“PTCs”) in the amount of $82.5 million at December 31, 2016 are available for a 20 -year period and expire between 2026 and 2036. The Company also has offsetting deferred tax liabilities in the U.S. Realization of the deferred tax assets and tax credits is dependent on generating sufficient taxable income in appropriate jurisdictions prior to expiration of the NOL carryforwards and tax credits. Based upon available evidence of the Company ’s ability to generate additional taxable income in the future and historical losses in prior years, a full valuation allowance is recorded against the U.S. deferred tax assets, as it is more likely than not that the deferred tax assets will not be utilized. The total amount of undistributed earnings of foreign subsidiaries for income tax purposes was approximately $367 million at December 31, 2016. It is the Company ’s intention to reinvest undistributed earnings of its foreign subsidiaries and thereby indefinitely postpone their remittance. Accordingly, no provision has been made for foreign withholding taxes or U.S. income taxes which may become payable if undistributed earnings of foreign subsidiaries were paid as dividends to the Company. The additional taxes on that portion of undistributed earnings which is available for dividends are not practicably determinable. The Company believes that based on its plans to increase operations outside of the U.S., the cash generated from the Company ’s operations outside of the U.S. will be reinvested outside of the U.S. and, accordingly, we do not currently plan to repatriate the funds we have designated as being permanently invested outside of the U.S. If we change our plans, we may be required to accrue and pay U.S. taxes to repatriate these funds. The Company is subject to income taxes in the U.S. (federal and state) and numerous foreign jurisdictions. Significant judgment is required in evaluating tax positions and determining the position for income taxes. Reserves are established to tax-related uncertainties based on estimates of whether, and the extent to which additional taxes will be due. As of March 31, 2017, the Company is unaware of any potentially significant uncertain tax positions for which a reserve has not been established. As previously reported by the Company, the Kenya Revenue Authority (“KRA”) conducted an audit related to the Company ’s operations in Kenya for fiscal years 2012 and 2013. In January 2017, KRA concluded its audit for the subject period and issued a demand letter to the Company for additional tax payments of approximately $16.1 million, including interest and penalties. On February 8, 2017, the Company submitted a notice of objection to the KRA demand letter in which it presented its tax positions. On March 29, 2017, the KRA submitted a response to the objection letter, primarily indicating that it accepted our position relating to the mining activity claim, as previously described in the Company’s annaul report on Form 10 -K for the year ended December 31, 2016, and removed this claim from their tax assessment. As a result, the KRA reduced its demand for additional tax payment to approximately $10.0 million, including interest and penalties. On April 28, 2017, the Company submitted a Notice of Appeal to the KRA, noting that it intends to appeal to the Tax Tribunal on parts of the KRA assessment. The Company has recorded a provision based on its assessment of its reasonably expected potential exposure.

NOTE

— INCOME TAXES

The Company

’s effective tax rate for the

three

months ended

March

31,

2017

and

2016

was

20.8%

and

23.0%,

respectively. The effective rate differs from the federal statutory rate of

35%

for the

three

months ended

March

31,

2017

due to: (i) a full valuation allowance against the Company’s U.S. deferred tax assets in respect of net operating loss (“NOL”) carryforwards and unutilized tax credits (see below), (ii) a lower tax rate in Israel of

16%,

partially offset by a tax rate in Kenya of

37.5%;

and (iii) a tax credit and tax exemption related to the Company’s subsidiaries in Guatemala. The effect of the tax credit and tax exemption for the

three

months ended

March

31,

2017

and

2016

was

$0.9

million and

$1.1

million, respectively.

The Company is currently in a net deferred tax asset position with a full valuation allowance. As of

December

31,

2016,

the Company had U.S. federal NOL carryforwards of approximately

$299.6

million, which expire between

2029

and

2036,

and state NOL carryforwards of approximately

$244.7

million, which expire between

2018

and

2036,

which are available to reduce future taxable income. The Company's investment tax credits (“ITCs”) in the amount of

$1.3

million at

December

31,

2016

are available for a

-year period and expire between

2022

and

2024.

The Company's production tax credits (“PTCs”) in the amount of

$82.5

million at

December

31,

2016

are available for a

-year period and expire between

2026

and

2036.

The Company also has offsetting deferred tax liabilities in the U.S.

Realization of the deferred tax assets and tax credits is dependent on generating sufficient taxable income in appropriate jurisdictions prior to expiration of the NOL carryforwards and tax credits. Based upon available evidence of the Company

’s ability to generate additional taxable income in the future and historical losses in prior years, a full valuation allowance is recorded against the U.S. deferred tax assets, as it is more likely than not that the deferred tax assets will not be utilized.

The total amount of undistributed earnings of foreign subsidiaries for income tax purposes was approximately

$367

million at

December

31,

2016.

It is the Company

’s intention to reinvest undistributed earnings of its foreign subsidiaries and thereby indefinitely postpone their remittance. Accordingly, no provision has been made for foreign withholding taxes or U.S. income taxes which

may

become payable if undistributed earnings of foreign subsidiaries were paid as dividends to the Company. The additional taxes on that portion of undistributed earnings which is available for dividends are not practicably determinable.

The Company believes that based on its plans to increase operations outside of the U.S., the cash generated from the Company

’s operations outside of the U.S. will be reinvested outside of the U.S. and, accordingly, we do not currently plan to repatriate the funds we have designated as being permanently invested outside of the U.S. If we change our plans, we

may

be required to accrue and pay U.S. taxes to repatriate these funds.

The Company is subject to income taxes in the U.S. (federal and state) and numerous foreign jurisdictions. Significant judgment is required in evaluating tax positions and determining the position for income taxes. Reserves are established to tax-related uncertainties based on estimates of whether, and the extent to which additional taxes will be due. As of

March

31,

2017,

the Company is unaware of any potentially significant uncertain tax positions for which a reserve has not been established.

As previously reported by the Company, the Kenya Revenue Authority (“KRA”) conducted an audit related to the Company

’s operations in Kenya for fiscal years

2012

and

2013.

January

2017,

KRA concluded its audit for the subject period and issued a demand letter to the Company for additional tax payments of approximately

$16.1

million, including interest and penalties. On

February

2017,

the Company submitted a notice of objection to the KRA demand letter in which it presented its tax positions. On

March

29,

2017,

the KRA submitted a response to the objection letter, primarily indicating that it accepted our position relating to the mining activity claim, as previously described in the Company’s annaul report on Form

-K for the year ended

December

31,

2016,

and removed this claim from their tax assessment. As a result, the KRA reduced its demand for additional tax payment to approximately

$10.0

million, including interest and penalties. On

April

28,

2017,

the Company submitted a Notice of Appeal to the KRA, noting that it intends to appeal to the Tax Tribunal on parts of the KRA assessment. The Company has recorded a provision based on its assessment of its reasonably expected potential exposure.