Income Taxes (Tables)

12 Months Ended

Dec. 31, 2016

Summary of Total Income Tax (Benefit) Expense From Continuing Operations

Total income tax expense (benefit), from continuing operations, for the years ended December 31, 2016 and 2015 were as follows (in thousands):

	2016				2015
Income tax expense (benefit)	$	8,628			$	11,225

The components of the provision for income tax (benefit) expense from continuing operations included in the consolidated statements of operations are as follows for the years ended December 31, 2016 and 2015 (in thousands):

	2016		2015
Current:
Federal	$	271	$	—
State and local, net of federal income tax benefit		65		10
Foreign		300		298
		636		308

Deferred:
Federal		7,296		6,458
State and local, net of federal income tax benefit		696		2,126
Foreign		—		2,333
		7,992		10,917
Total income tax (benefit) expense, from continuing operations	$	8,628	$	11,225

(Loss) Income before Income Tax Expense

For the years ended December 31, 2016 and 2015, (loss) income before income tax expense consists of the following (in thousands):

	2016			2015
U.S. operations	$	(7,481	)	$	(14,078	)
Foreign operations		(233	)		(1,652	)
	$	(7,714	)	$	(15,730	)

Schedule of Deferred Tax Assets and Deferred Tax Liabilities

The tax effect of temporary differences and carry-forwards that give rise to deferred tax assets and deferred tax liabilities at December 31, 2016 and 2015 are as follows (in thousands):

	2016			2015
Deferred tax assets:
Federal and state net operating loss carryforwards	$	116,227		$	109,020
Foreign net operating loss carryforwards		11,354			12,506
FCC licenses		6,396			6,291
Allowance for doubtful accounts		1,017			1,133
Unearned revenue		373			333
AMT credit		1,248			1,120
Derivatives and hedging instruments		7			254
Property and equipment		3,253			2,056
Accrued foreign withholding		2,238			2,136
Straight-line expense adjustments		—			31
Accrued restructuring		—			11
Production costs		11,123			11,535
Stock-based compensation		345			1,649
Intercompany expenses		4,830			3,624
Accrued Vacation/Bonus/Payroll		950			1,067
Other		1,676			1,620
Total gross deferred tax assets		161,037			154,386
Less valuation allowance		(158,081	)		(151,273	)
Net deferred tax assets		2,956			3,113
Deferred tax liabilities:
FCC licenses and goodwill		108,327			100,421
Total gross deferred tax liabilities		108,327			100,421
Net deferred tax liability	$	105,371		$	97,308

Summary of Income Tax Expense From Continuing Operations

Total income tax expense from continuing operations differed from the amounts computed by applying the U.S. federal income tax rate of 35.0% for the years ended December 31, 2016 and 2015, as a result of the following:

	2016				2015
Computed “expected” tax (benefit) expense		(35.0	)	%		(35.0	)	%
State and local income taxes, net of federal benefit		3.0				(1.8	)
Foreign tax differential		(1.6	)			(1.3	)
Current year change in valuation allowance		92.2				53.2
Nondeductible expenses		10.5				2.8
Nondeductible interest expense		44.2				21.7
Change in effective rate		(9.4	)			5.3
Return to provision		1.7				23.5
Other		6.3				3.0
		111.9		%		71.4		%