Income Taxes (Tables)

12 Months Ended

Dec. 31, 2015

Income Taxes

Schedule of components of provision for income taxes

The provision for income taxes includes the following components (in thousands):

	Year ended December 31,
	2015		2014		2013
Current tax provision (benefit):
Federal	$	3,801	$	(176)	$	1,767
State		1,035		838		343
Foreign		—		2,081		—
		4,836		2,743		2,110
Deferred tax provision (benefit):
Federal		66,430		4,697		34,728
State		5,239		371		2,738
		71,669		5,068		37,466
Provision for income taxes	$	76,505	$	7,811	$	39,576

Schedule of income tax rate reconciliation

The following is a reconciliation between the statutory federal income tax rate of 35% and the effective rate which is derived by dividing the provision for income taxes by income (loss) before for income taxes (in thousands):

	Year ended December 31,
	2015		2014		2013
Computed provision (benefit) for income taxes at the statutory rate	$	68,013	$	(5,720)	$	34,486
Increase (decrease) in income taxes resulting from:
State income tax provision (benefit), net of federal income tax benefit		5,416		(107)		2,867
Non-deductible expenses		3,641		3,865		3,257
Valuation allowance changes affecting the provision for income taxes		(899)		5,981		1,430
Foreign income taxes, net of federal & state benefit		—		1,973
Other, net		334		1,819		(2,464)
Provision for income taxes	$	76,505	$	7,811	$	39,576

Schedule of components of the net deferred tax assets and liabilities

The significant components of the Company’s net deferred tax assets and liabilities as of December 31, 2015 and 2014 are as follows (in thousands):

	As of December 31,
	2015		2014
Deferred tax assets:
Intangible Asset	$	30,369	$	34,819
Accrued benefits		47,514		43,853
Net operating loss carryforward		82,211		152,361
AMT credit carryforward		21,391		17,590
Deferred aircraft credits		55,544		53,797
Accrued reserves and other		24,575		27,008
Total deferred tax assets		261,604		329,428
Valuation allowance		(8,126)		(9,025)
Deferred tax liabilities:
Accelerated depreciation		(902,322)		(895,405)
Total deferred tax liabilities		(902,322)		(895,405)
Net deferred tax liability	$	(648,844)	$	(575,002)