Rendering
| Component: (Network and Table) |
|---|
| Network | 100340 - Disclosure - Income Taxes (Tables) (http://www.affiniongroup.com/20161231/taxonomy/role/DisclosureIncomeTaxesTables) |
| Table | (Implied) |
Slicers (applies to each fact value in each table cell)
| Reporting Entity [Axis] | 0001361394 (http://www.sec.gov/CIK) |
| Income Tax Disclosure [Abstract] | Period [Axis] |
|---|
2016-01-01 - 2016-12-31 |
|---|
Income Tax Disclosure [Abstract] | |
Summary of Income Tax Expense |
The income tax benefit (expense) consisted of the following:
|
|
|
For the Year Ended December 31, |
|
|
|
|
2016 |
|
|
2015 |
|
|
2014 |
|
|
|
|
(in millions) |
|
|
Current: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Federal |
|
$ |
0.4 |
|
|
$ |
(0.4 |
) |
|
$ |
— |
|
|
State |
|
|
(0.4 |
) |
|
|
(1.0 |
) |
|
|
(0.4 |
) |
|
Foreign |
|
|
(5.0 |
) |
|
|
(3.3 |
) |
|
|
(4.5 |
) |
|
|
|
|
(5.0 |
) |
|
|
(4.7 |
) |
|
|
(4.9 |
) |
|
Deferred: |
|
|
|
|
|
|
|
|
|
|
|
|
|
Federal |
|
|
(3.1 |
) |
|
|
(3.1 |
) |
|
|
40.9 |
|
|
State |
|
|
0.1 |
|
|
|
0.7 |
|
|
|
1.9 |
|
|
Foreign |
|
|
0.6 |
|
|
|
1.2 |
|
|
|
0.6 |
|
|
|
|
|
(2.4 |
) |
|
|
(1.2 |
) |
|
|
43.4 |
|
|
Total income tax benefit (expense) |
|
$ |
(7.4 |
) |
|
$ |
(5.9 |
) |
|
$ |
38.5 |
|
|
Schedule of Pre-Tax Income (Loss) for Domestic and Foreign Operations Before Non-controlling Interests |
Pre-tax income (loss) for domestic and foreign operations before non-controlling interests consisted of the following:
|
|
|
For the Year Ended December 31, |
|
|
|
|
2016 |
|
|
2015 |
|
|
2014 |
|
|
|
|
(in millions) |
|
|
Domestic |
|
$ |
38.5 |
|
|
$ |
26.7 |
|
|
$ |
(325.4 |
) |
|
Foreign |
|
|
(14.0 |
) |
|
|
(50.2 |
) |
|
|
(87.0 |
) |
|
Pre-tax income (loss) |
|
$ |
24.5 |
|
|
$ |
(23.5 |
) |
|
$ |
(412.4 |
) |
|
Schedule of Deferred Income Tax Assets and Liabilities |
Deferred income tax assets and liabilities consisted of the following:
|
|
|
December 31, |
|
|
|
|
2016 (a) |
|
|
2015 |
|
|
|
|
(in millions) |
|
|
Current deferred income tax assets: |
|
|
|
|
|
|
|
|
|
Accrued expenses and deferred revenue |
|
|
|
|
|
$ |
29.8 |
|
|
Provision for doubtful accounts |
|
|
|
|
|
|
0.1 |
|
|
Other |
|
|
|
|
|
|
20.7 |
|
|
Current deferred income tax assets |
|
|
|
|
|
|
50.6 |
|
|
Current deferred income tax liabilities: |
|
|
|
|
|
|
|
|
|
Profit-sharing receivables from insurance carriers |
|
|
|
|
|
|
(3.1 |
) |
|
Accrued expenses |
|
|
|
|
|
|
(1.4 |
) |
|
Prepaid expenses |
|
|
|
|
|
|
(5.2 |
) |
|
Current deferred income tax liabilities |
|
|
|
|
|
|
(9.7 |
) |
|
Valuation allowance |
|
|
|
|
|
|
(40.7 |
) |
|
Current net deferred income tax asset |
|
|
|
|
|
$ |
0.2 |
|
|
Non-current deferred income tax assets: |
|
|
|
|
|
|
|
|
|
Net operating loss carryforwards |
|
$ |
168.7 |
|
|
$ |
114.5 |
|
|
State net operating loss carryforwards |
|
|
26.1 |
|
|
|
16.4 |
|
|
Depreciation and amortization |
|
|
875.8 |
|
|
|
870.1 |
|
|
Accrued expenses and deferred revenue |
|
|
31.1 |
|
|
|
— |
|
|
Prepaid expenses |
|
|
0.5 |
|
|
|
— |
|
|
Provision for doubtful accounts |
|
|
0.1 |
|
|
|
— |
|
|
Other |
|
|
17.9 |
|
|
|
24.6 |
|
|
Federal tax credits |
|
|
— |
|
|
|
0.4 |
|
|
Non-current deferred income tax assets |
|
|
1,120.2 |
|
|
|
1,026.0 |
|
|
Non-current deferred income tax liabilities: |
|
|
|
|
|
|
|
|
|
Other |
|
|
— |
|
|
|
(1.6 |
) |
|
Accrued expenses and deferred revenue |
|
|
(0.6 |
) |
|
|
— |
|
|
Profit-sharing receivables from insurance carriers |
|
|
(0.9 |
) |
|
|
— |
|
|
Depreciation and amortization |
|
|
(719.5 |
) |
|
|
(659.6 |
) |
|
Non-current deferred income tax liabilities |
|
|
(721.0 |
) |
|
|
(661.2 |
) |
|
Valuation allowance |
|
|
(423.6 |
) |
|
|
(398.5 |
) |
|
Non-current net deferred income tax liability (net of non-current deferred
income tax asset included in other non-current assets on the 2016
and 2015 consolidated balance sheet of $2.5 and $2.2, respectively) |
|
$ |
(24.4 |
) |
|
$ |
(33.7 |
) |
|
Schedule of Effective Income Tax Rate Differs from U.S. Federal Statutory Rate |
The effective income tax rate differs from the U.S. federal statutory rate as follows:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the Year Ended December 31, |
|
|
|
|
2016 |
|
|
2015 |
|
|
2014 |
|
|
Federal statutory rate |
|
|
35.0 |
% |
|
|
35.0 |
% |
|
|
35.0 |
% |
|
State and local income taxes, net of federal expense |
|
|
(2.6 |
) |
|
|
(73.8 |
) |
|
|
3.3 |
|
|
Change in valuation allowance and other |
|
|
(3.7 |
) |
|
|
1,085.0 |
|
|
|
(18.4 |
) |
|
Taxes on foreign operations at rates different than U.S. federal rates |
|
|
17.6 |
|
|
|
(9.7 |
) |
|
|
(1.1 |
) |
|
Foreign tax credits |
|
|
— |
|
|
|
— |
|
|
|
0.7 |
|
|
Impairment of goodwill and other long-lived assets |
|
|
— |
|
|
|
(53.0 |
) |
|
|
(9.9 |
) |
|
Impact of debt exchanges and subscription rights offering |
|
|
(11.0 |
) |
|
|
11.6 |
|
|
|
— |
|
|
Foreign taxes deduction |
|
|
(6.2 |
) |
|
|
— |
|
|
|
— |
|
|
Foreign tax credit net operating loss reclassification |
|
|
— |
|
|
|
(106.1 |
) |
|
|
— |
|
|
Federal net operating loss adjustments |
|
|
— |
|
|
|
(850.7 |
) |
|
|
— |
|
|
Stock compensation |
|
|
— |
|
|
|
(47.4 |
) |
|
|
— |
|
|
Prior year accrual and adjustments |
|
|
0.5 |
|
|
|
(12.7 |
) |
|
|
— |
|
|
Non-deductible expenses |
|
|
0.5 |
|
|
|
(3.5 |
) |
|
|
(0.3 |
) |
|
|
|
|
30.1 |
% |
|
|
(25.3 |
)% |
|
|
9.3 |
% |
|
Schedule of Reconciliation of Beginning and Ending Amount of Tax Reserves for Uncertain Tax Positions |
A reconciliation of the beginning and ending amount of tax reserves for uncertain tax positions for the years ended December 31, 2016, 2015 and 2014 is as follows:
|
|
|
For the Year Ended December 31, |
|
|
|
|
2016 |
|
|
2015 |
|
|
2014 |
|
|
|
|
(in millions) |
|
|
Unrecognized tax benefits – January 1 |
|
$ |
(4.4 |
) |
|
$ |
(3.7 |
) |
|
$ |
5.2 |
|
|
Gross increase – prior period tax positions |
|
|
11.3 |
|
|
|
— |
|
|
|
— |
|
|
Gross decrease – lapse in statute of limitations |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
Gross increase – current period tax positions |
|
|
0.2 |
|
|
|
0.4 |
|
|
|
0.9 |
|
|
Gross decrease – current period tax positions |
|
|
(0.5 |
) |
|
|
(1.1 |
) |
|
|
(9.8 |
) |
|
Unrecognized tax benefits – December 31 |
|
$ |
6.6 |
|
|
$ |
(4.4 |
) |
|
$ |
(3.7 |
) |
|