Income Taxes (Tables)
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12 Months Ended |
Dec. 31, 2016 |
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| Income Tax Disclosure [Abstract] |
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| Schedule of Income before Income Tax, Domestic and Foreign [Table Text Block] |
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Successor |
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Predecessor |
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Twelve Months Ended
December 31, 2016 |
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Twelve Months Ended
December 31, 2015 |
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Period from
06/30/2014
through
12/31/2014 |
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Six Months
Ended
06/29/2014 |
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| |
United States based operations |
(15,442 |
) |
|
(23,366 |
) |
|
(24,145 |
) |
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|
(69,749 |
) |
| |
Non-United States based operations |
(6,454 |
) |
|
(12,051 |
) |
|
(980 |
) |
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|
1,095 |
|
| |
Loss before income taxes |
(21,896 |
) |
|
(35,417 |
) |
|
(25,125 |
) |
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|
(68,654 |
) |
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| Components of Company's Income Tax Provision |
Below are the components of the Company's income tax provision for the periods indicated:
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Successor |
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Predecessor |
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Twelve Months Ended
December 31, 2016 |
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Twelve Months Ended
December 31, 2015 |
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Period from
06/30/2014
through
12/31/2014
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Six Months
Ended
06/29/2014
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Current: |
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Federal & State |
$ |
368 |
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$ |
330 |
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$ |
102 |
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$ |
105 |
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Foreign |
18 |
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|
235 |
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|
800 |
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|
212 |
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Total current |
386 |
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|
565 |
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|
902 |
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|
317 |
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Deferred: |
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| |
Federal & State |
(7,464 |
) |
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(10,892 |
) |
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(7,081 |
) |
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|
(23,056 |
) |
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Foreign |
(847 |
) |
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(2,492 |
) |
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(98 |
) |
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|
328 |
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Total deferred |
(8,311 |
) |
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(13,384 |
) |
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(7,179 |
) |
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(22,728 |
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Valuation allowance |
235 |
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|
485 |
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|
89 |
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(1,717 |
) |
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Income tax benefit |
$ |
(7,690 |
) |
|
$ |
(12,334 |
) |
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$ |
(6,188 |
) |
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$ |
(24,128 |
) |
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| Deferred Tax Assets and Liabilities |
The table below reflects the significant components of the Company's net deferred tax assets and liabilities at December 31, 2016 and 2015:
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As of December 31, 2016 |
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As of December 31, 2015 |
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Non-current |
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Current |
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Non-current |
Deferred Tax Asset: |
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Inventory |
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$ |
10,356 |
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$ |
10,254 |
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$ |
— |
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Bad debt reserve |
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1,048 |
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|
955 |
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— |
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Casualty loss reserve |
|
649 |
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|
233 |
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|
314 |
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Accrued bonus / deferred compensation |
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3,289 |
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|
950 |
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|
1,193 |
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Deferred rent |
|
488 |
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— |
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|
213 |
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Derivative security value |
|
659 |
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|
1,112 |
|
|
— |
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Deferred distribution of foreign subsidiary |
|
256 |
|
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— |
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— |
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Deferred financing fees |
|
699 |
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— |
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|
848 |
|
Deferred revenue - shipping terms |
|
674 |
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|
501 |
|
|
— |
|
Medical insurance reserve |
|
102 |
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|
354 |
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— |
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Original issue discount amortization |
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— |
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— |
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|
272 |
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Transaction costs |
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4,200 |
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— |
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|
4,629 |
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Federal / foreign net operating loss |
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37,687 |
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— |
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|
40,335 |
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State net operating loss |
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3,195 |
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— |
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|
4,029 |
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Tax credit carryforwards |
|
3,978 |
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— |
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|
3,811 |
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All other |
|
770 |
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|
73 |
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|
655 |
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Gross deferred tax assets |
|
68,050 |
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|
14,432 |
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56,299 |
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Valuation allowance for deferred tax assets |
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(1,835 |
) |
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(168 |
) |
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(1,451 |
) |
Net deferred tax assets |
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$ |
66,215 |
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$ |
14,264 |
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$ |
54,848 |
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Deferred Tax Liability: |
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Intangible asset amortization |
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$ |
279,776 |
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$ |
— |
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$ |
290,090 |
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Property and equipment |
|
22,659 |
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— |
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|
23,068 |
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All other items |
|
1,092 |
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|
383 |
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|
903 |
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Deferred tax liabilities |
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$ |
303,527 |
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$ |
383 |
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$ |
314,061 |
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Net deferred tax liability |
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$ |
237,312 |
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$ |
245,332 |
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Long term net deferred tax liability |
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$ |
237,312 |
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$ |
259,213 |
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Current net deferred tax asset |
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— |
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13,881 |
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Long term net deferred tax asset |
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— |
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— |
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Net deferred tax liability |
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$ |
237,312 |
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$ |
245,332 |
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| Reconciliation of Statutory Income Tax Rates to Effective Income Tax Rates |
Below is a reconciliation of statutory income tax rates to the effective income tax rates for the periods indicated:
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Successor |
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Predecessor |
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Twelve Months Ended
December 31, 2016 |
Twelve Months Ended
December 31, 2015 |
Period from
06/30/2014
through
12/31/2014
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Six Months
Ended
06/29/2014
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Statutory federal income tax rate |
|
35.0 |
% |
35.0 |
% |
35.0 |
% |
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35.0 |
% |
|
Non-U.S. taxes and the impact of non-U.S. losses for which a current tax benefit is not available |
|
8.1 |
% |
(0.8 |
)% |
(11.0 |
)% |
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|
1.5 |
% |
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State and local income taxes, net of U.S. federal income tax benefit |
|
2.8 |
% |
2.6 |
% |
2.5 |
% |
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3.0 |
% |
|
Adjustment of reserve for change in valuation allowance and other items |
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0.5 |
% |
(0.7 |
)% |
0.5 |
% |
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(0.3 |
)% |
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Adjustment for change in tax law |
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(3.1 |
)% |
— |
% |
3.1 |
% |
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0.5 |
% |
|
Adjustment of unrecognized tax benefits |
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(7.7 |
)% |
— |
% |
— |
% |
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— |
% |
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Permanent differences: |
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Acquisition and related transaction costs |
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(0.3 |
)% |
(0.2 |
)% |
(8.2 |
)% |
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(4.0 |
)% |
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Meals and entertainment expense |
|
(0.9 |
)% |
(0.4 |
)% |
(0.2 |
)% |
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|
(0.1 |
)% |
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Foreign tax credit |
|
0.3 |
% |
— |
% |
2.4 |
% |
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|
— |
% |
|
Reconciliation of tax provision to return |
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(0.3 |
)% |
(0.7 |
)% |
— |
% |
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— |
% |
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Reconciliation of other adjustments |
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0.7 |
% |
— |
% |
0.5 |
% |
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(0.5 |
)% |
|
Effective income tax rate |
|
35.1 |
% |
34.8 |
% |
24.6 |
% |
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|
35.1 |
% |
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| Components of Changes in Unrecognized Tax Benefits |
The following is a summary of the changes for the periods indicated below:
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Successor |
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Predecessor |
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Twelve Months Ended
December 31, 2016 |
|
Twelve Months Ended
December 31, 2015 |
|
Period from
06/30/2014
through
12/31/2014
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|
Six Months
Ended
06/29/2014
|
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Unrecognized tax benefits - beginning balance |
$ |
374 |
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$ |
435 |
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$ |
465 |
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$ |
2,024 |
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Gross increases - tax positions in current period |
1,676 |
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— |
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— |
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— |
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Gross increases - tax positions in prior period |
10 |
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|
— |
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— |
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— |
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Gross decreases - tax positions in prior period |
— |
|
|
(61 |
) |
|
(30 |
) |
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(1,559 |
) |
|
Unrecognized tax benefits - ending balance |
$ |
2,060 |
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|
$ |
374 |
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$ |
435 |
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$ |
465 |
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Amount of unrecognized tax benefit that, if recognized would affect the Company's effective tax rate |
$ |
2,060 |
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$ |
374 |
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$ |
435 |
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$ |
465 |
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