(5) Accumulated Other Comprehensive Loss, Net

Accumulated other comprehensive loss, net is a separate component of the Shareholders’ equity section in the accompanying Consolidated Balance Sheets. The following tables present the changes in the balances of each component of Accumulated other comprehensive loss, net for the three and nine months ended September 30, 2017:


	Foreign Currency Translation Adjustments			Unrealized (Losses) Gains on Interest Rate Swap Contracts			Total
	(In thousands)
Total accumulated other comprehensive loss, net as of July 1, 2017	$	(48,331)	(1)	$	(19,944)	(2)	$	(68,275)
Other comprehensive income before reclassification		17,871	(3)		588	(4)		18,459
Amounts reclassified from accumulated other comprehensive loss, net		—			4,602	(4)		4,602
Net current period other comprehensive income		17,871			5,190			23,061
Total accumulated other comprehensive loss, net as of September 30, 2017	$	(30,460)	(1)	$	(14,754)	(2)	$	(45,214)

⁽¹⁾

Net of deferred income tax (benefit) of $(5,369) and $(5,424) as of September 30, 2017 and July 1, 2017, respectively.

⁽²⁾

Net of deferred income tax expense of $12,908 and $11,164 as of September 30, 2017 and July 1, 2017, respectively.

⁽³⁾

Net of deferred income tax expense of $55 for the three months ended September 30, 2017.

⁽⁴⁾

Net of deferred income tax expense of $198 and $1,546 for Other comprehensive income (loss) before reclassification and Amounts reclassified from accumulated other comprehensive loss, net, respectively, for the three months ended September 30, 2017. See Note 11. Derivative Financial Instruments.


	Foreign Currency Translation Adjustments			Unrealized (Losses) Gains on Interest Rate Swap Contracts			Total
	(In thousands)
Total accumulated other comprehensive loss, net as of January 1, 2017	$	(81,602)	(1)	$	(25,533)	(2)	$	(107,135)
Other comprehensive income (loss) before reclassification		51,142	(3)		(3,966)	(4)		47,176
Amounts reclassified from accumulated other comprehensive loss, net		—			14,745	(4)		14,745
Net current period other comprehensive income		51,142			10,779			61,921
Total accumulated other comprehensive loss, net as of September 30, 2017	$	(30,460)	(1)	$	(14,754)	(2)	$	(45,214)

⁽¹⁾

Net of deferred income tax (benefit) of $(5,369) and $(4,113) as of September 30, 2017 and January 1, 2017, respectively.

⁽²⁾

Net of deferred income tax expense of $12,908 and $9,269 as of September 30, 2017 and January 1, 2017, respectively.

⁽³⁾

Net of deferred income tax expense of $1,256 for the nine months ended September 30, 2017.

⁽⁴⁾

Net of deferred income tax (benefit) expense of $(1,339) and $4,978 for Other comprehensive income (loss) before reclassification and Amounts reclassified from accumulated other comprehensive loss, net, respectively, for the nine months ended September 30, 2017. See Note 11. Derivative Financial Instruments.

The Company records unrealized gains and losses related to its interest rate swap contracts net of estimated taxes in the Accumulated other comprehensive loss, net line item in the accompanying Consolidated Balance Sheets since it is more likely than not that the Company will be able to realize the benefits associated with its net deferred tax asset positions in the future. The amounts reclassified from Accumulated other comprehensive loss, net are recognized in the Cost of ATM operating revenues line item in the accompanying Consolidated Statements of Operations.

The Company has elected the portfolio approach for the deferred tax asset of the unrealized gains and losses related to the interest rate swap contracts in the Accumulated other comprehensive loss, net line item in the accompanying Consolidated Balance Sheets. Under the portfolio approach, the disproportionate tax effect created when the valuation allowance was appropriately released as a tax benefit into continuing operations in 2010, will reverse out of the Accumulated other comprehensive loss, net line item in the accompanying Consolidated Balance Sheets and into continuing operations as a tax expense when the Company ceases to hold any interest rate swap contracts. As of September 30, 2017, the disproportionate tax effect is $14.7 million.

The Company currently believes that the unremitted earnings of its foreign subsidiaries under its former U.S. parent company will be reinvested for an indefinite period of time. Accordingly, no deferred taxes have been provided for the differences between the Company’s book basis and underlying tax basis in these subsidiaries or on the foreign currency translation adjustment amounts.