Income Taxes (Tables)

12 Months Ended

Dec. 31, 2019

Income Taxes [Abstract]

Earnings Before Income Taxe Expense

	2019		2018		2017
	(Dollars in thousands)
U.S.	$	18,709	$	13,854	$	20,816
Foreign		24,802		57,196		62,499
Total	$	43,511	$	71,050	$	83,315

Income Tax Expense From Continuing Operations

	2019		2018		2017
	(Dollars in thousands)
Current:
U.S. federal	$	475	$	449	$	714
Foreign		18,358		19,548		25,908
State and local		168		211		123
Total current		19,001		20,208		26,745
Deferred:
U.S. federal		(3,832)		3,265		25,125
Foreign		(8,340)		(9,157)		(5,801)
State and local		1,290		(186)		344
Total deferred		(10,882)		(6,078)		19,668
Total income tax expense (benefit)	$	8,119	$	14,130	$	46,413

Income Tax Expense (Benefit) Allocated Directly to Ferro Corporation Shareholders' Equity

	2019		2018		2017
	(Dollars in thousands)
Interest rate swaps	$	(3,210)	$	(1,529)	$	547
Postretirement benefit liability adjustments		11		(32)		1
Net investment hedge		654		954		(4,025)
Foreign currency translations		27		—		—
Total income tax (benefit) expense allocated to Ferro Corporation shareholders' equity	$	(2,518)	$	(607)	$	(3,477)

Reconciliation of U.S. Federal Statutory Income Tax Rate and Effective Tax Rate

	2019			2018			2017
U.S. federal statutory income tax rate		21.0	%		21.0	%		35.0	%
Foreign tax rate difference		9.8			7.4			(5.9)
Non-deductible expenses		4.4			2.9			0.1
Global intangible low-taxed income, net		2.8			1.8			—
Other		2.8			(2.5)			(1.9)
Uncertain tax positions, net of tax audit settlements		1.7			3.8			7.0
Foreign currency		1.4			0.3			0.7
Foreign withholding taxes		1.3			1.0			0.7
State taxes		1.3			0.7			(0.6)
Tax rate changes		0.9			(3.0)			25.2
Goodwill dispositions, impairments and amortization		(1.2)			—			(0.5)
Tax credits		(3.2)			(1.7)			(1.2)
Foreign derived intangible income deduction		(3.2)			(1.6)			—
Net adjustment of prior year accrual		(5.0)			(4.2)			(1.0)
Adjustment of valuation allowances		(16.1)			(6.0)			(1.9)
Effective tax rate		18.7	%		19.9	%		55.7	%

Components of Deferred Tax Assets and Liabilities

	2019		2018
	(Dollars in thousands)
Deferred tax assets:
Foreign operating loss carryforwards	$	35,394	$	41,611
Pension and other benefit programs		39,633		37,397
Foreign tax credit carryforwards		11,423		17,356
Accrued liabilities		10,726		11,114
Other credit carryforwards		6,707		5,815
Other		11,161		9,035
State and local operating loss carryforwards		2,058		2,272
Inventories		2,366		2,153
Allowance for doubtful accounts		746		704
Currency differences		1,407		—
Total deferred tax assets		121,621		127,457
Deferred tax liabilities:
Property, plant and equipment and intangibles -- depreciation and amortization		23,617		28,601
Unremitted earnings of foreign subsidiaries		1,594		1,575
Other		2,115		2,784
Total deferred tax liabilities		27,326		32,960
Net deferred tax assets before valuation allowance		94,295		94,497
Valuation allowance		(10,447)		(24,577)
Net deferred tax assets	$	83,848	$	69,920

Expirations of Operating Loss Carryforwards and Tax Credit Carryforwards

	Operating Loss		Tax Credit
	Carryforwards		Carryforwards
Expiring in:	(Dollars in thousands)
2020	$	10,175	$	137
2021-2025		23,953		10,791
2026-2030		22,814		6,469
2031-2035		11,943		3,267
2036-2040		81		966
2041-Indefinitely		125,307		987
Total	$	194,273	$	22,617

Classification of Net Deferred Income Tax Assets

	2019		2018
	(Dollars in thousands)
Non-current assets	$	98,714	$	88,526
Non-current liabilities		(14,866)		(18,606)
Net deferred tax assets	$	83,848	$	69,920

Activity and Balances of Unrecognized Tax Benefits

	2019		2018		2017
	(Dollars in thousands)
Balance at beginning of year	$	24,869	$	28,470	$	30,085
Additions based on tax positions related to the current year		3,425		4,041		1,609
Additions for tax positions of prior years		—		24		2,057
Reductions for tax positions of prior years		—		(1,710)		(288)
Reductions as a results of expiring statutes of limitations		(688)		(420)		(6,284)
Foreign currency adjustments		(660)		(786)		1,644
Settlements with taxing authorities		(946)		(4,750)		(353)
Balance at end of year	$	26,000	$	24,869	$	28,470