INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2020

Income Tax Disclosure [Abstract]

Components of Tax Provision (Benefit)

The components of our tax benefit on continuing operations were as follows (in thousands):

	Current		Deferred		Total
Twelve months ended December 31, 2020:
U.S. Federal	$	(14,853)	$	(1,228)	$	(16,081)
State & local	1,113		(1,010)		103
Foreign jurisdictions	2,942		(1,679)		1,263
	$	(10,798)	$	(3,917)	$	(14,715)
Twelve months ended December 31, 2019:
U.S. Federal	$	(105)	$	(4,349)	$	(4,454)
State & local	519		(1,230)		(711)
Foreign jurisdictions	2,340		2,389		4,729
	$	2,754	$	(3,190)	$	(436)
Twelve months ended December 31, 2018:
U.S. Federal	$	(3,295)	$	(27,670)	$	(30,965)
State & local	509		(2,360)		(1,851)
Foreign jurisdictions	3,457		(1,704)		1,753
	$	671	$	(31,734)	$	(31,063)

Components of Pre-Tax Income (Loss)

The components of pre-tax income (loss) from continuing operations for the years ended December 31, 2020, 2019 and 2018 were as follows (in thousands):

	Twelve Months Ended December 31,
	2020		2019		2018
Domestic	$	(240,064)	$	(34,720)	$	(90,822)
Foreign	(11,854)		1,867		(3,387)
	$	(251,918)	$	(32,853)	$	(94,209)

Income Tax Expense (Benefit) Attributable to Income (Loss) from Continuing Operations Differed from Amounts Computed by Federal Income Tax Rate

The income tax benefit attributable to the loss from continuing operations differed from the amounts computed by applying the U.S. Federal income tax rate (21% in 2020, 2019 and 2018) to pre-tax loss from continuing operations as a result of the following (in thousands):

	Twelve Months Ended December 31,
	2020		2019		2018
Pre-tax loss from continuing operations	$	(251,918)	$	(32,853)	$	(94,209)
Computed income taxes at statutory rate	(52,903)		(6,899)		(19,784)
State income taxes, net of federal benefit1	(114)		(820)		(974)
Foreign tax rate differential	404		(300)		(52)
Deferred taxes on investment in foreign subsidiaries	525		18		(7,284)
Non-deductible expenses	518		658		686
Non-deductible compensation1	89		559		829
Foreign withholding 1	1,063		670		1,615
Convertible debt1	(2,949)		—		2,865
Other tax credits	—		—		(1,995)
Deemed repatriation tax	—		—		(1,751)
Goodwill impairment	12,586		—		—
Valuation allowance	32,957		3,682		2,923
Cares Act rate benefit	(7,267)		—		—
Rate change	(551)		684		81
Other1	927		1,312		(8,222)
Total benefit for income tax on continuing operations	$	(14,715)	$	(436)	$	(31,063)

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1    Compared to our previously filed 2018 Annual Report on Form 10-K, $1.4 million was reclassified from “Other” to “State income taxes, net of federal benefit” for the twelve months ended December 31, 2018. Additionally, “Non-deductible compensation”, “Convertible debt “and “Foreign withholding tax” were moved from “Other” to separate line disclosures.

Tax Effects of Temporary Differences that Give Rise to Significant Portions of Deferred Tax Assets and Deferred Tax Liabilities

The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities are presented below (in thousands): 

	December 31,
	2020		2019
Deferred tax assets:
Accrued compensation and benefits	$	9,058	$	8,909
Receivables	1,551		1,644
Inventory	336		397
Share based compensation	256		768
Other accrued liabilities	2,109		1,247
Tax credit carry forward	3,642		312
Interest expense limitation	7,040		7,719
Goodwill and intangible costs	6,754		—
Net operating loss carry forwards	58,759		50,447
Other	1,013		1,798
Deferred tax assets	90,518		73,241
Less: Valuation allowance	(53,417)		(14,912)
Deferred tax assets, net	37,101		58,329
Deferred tax liabilities:
Property, plant and equipment	(23,783)		(17,921)
Goodwill and intangible costs	—		(28,655)
Unremitted earnings of foreign subsidiaries	(5,918)		(5,393)
Convertible debt	(1,755)		(5,767)
Other	(3,230)		(2,400)
Deferred tax liabilities	(34,686)		(60,136)
Net deferred tax asset (liability)	$	2,415	$	(1,807)

Reconciliation of Changes in Unrecognized Tax Benefits Associated with Uncertain Tax Positions

The following table summarizes the Company’s reconciliation of gross unrecognized tax benefits, excluding penalties and interest, for the year ended December 31, 2020, 2019 and 2018 (in thousands):

	Twelve Months Ended December 31,
	2020		2019		20181
Unrecognized tax benefits - January 1	$	1,547	$	1,749	$	991
Additions based on current year tax positions	7		—		—
Additions based on tax positions related to prior years	89		227		1,004
Reductions based on tax positions related to prior years			(415)		—
Settlements	—		—		—
Reductions resulting from a lapse of the applicable statute of limitations	(33)		(14)		(246)
Unrecognized tax benefits - December 31	$	1,610	$	1,547	$	1,749

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1    2018 revised figures were not considered material. Penalties and interest were excluded in 2019, therefore 2018 amounts were revised for consistency.