Annual report pursuant to Section 13 and 15(d)

Income Taxes (Tables)

v3.8.0.1
Income Taxes (Tables)
12 Months Ended
Dec. 31, 2017
Income Tax Disclosure [Abstract]  
Components of Income Tax Benefit (Provision)
The benefit (provision) for incomes taxes consists of the following: 
 
For the years ended December 31,
(In thousands)
2017
 
2016
 
2015
Current
 
 
 
 
 
Federal
$
2,398

 
$

 
$
430

State
(1,737
)
 
(2,931
)
 
(2,157
)
Foreign
(3,424
)
 
(2,438
)
 
(8,134
)
 
(2,763
)
 
(5,369
)
 
(9,861
)
Deferred
 
 
 
 
 
Federal
(10,759
)
 
25,739

 
109,286

State
(2,738
)
 
10,657

 
12,327

Foreign
(2,595
)
 
25,088

 
1,923

 
(16,092
)
 
61,484

 
123,536

Total, net
$
(18,855
)
 
$
56,115

 
$
113,675

Components of Deferred Income Tax Assets and Liabilities
Deferred income tax assets and liabilities as of December 31, 2017 and 2016 are comprised of the following: 
(In thousands)
December 31, 2017
 
December 31, 2016
Deferred income tax assets:
 
 
 
Federal net operating loss
$
79,356

 
$
76,792

State net operating loss
46,571

 
36,285

Foreign net operating loss
35,710

 
32,895

Research and development expense
4,038

 
3,246

Tax credits
20,040

 
20,894

Stock options
28,830

 
36,485

Accruals
5,719

 
8,306

Equity investments
8,454

 
7,011

Bad debts
20,302

 
14,283

Lease liability
2,205

 
3,233

Foreign credits
11,113

 
10,253

Available for sale securities
2,406

 
4,792

Other
17,448

 
7,795

Deferred income tax assets
282,192

 
262,270

Deferred income tax liabilities:
 
 
 
Intangible assets
(280,962
)
 
(354,043
)
Fixed assets
(5,572
)
 
(13,710
)
Other
(2,325
)
 
(2,121
)
Deferred income tax liabilities
(288,859
)
 
(369,874
)
Net deferred income tax liabilities
(6,667
)
 
(107,604
)
Valuation allowance
(142,062
)
 
(55,415
)
Net deferred income tax liabilities
$
(148,729
)
 
$
(163,019
)
Summary of Changes in Gross Unrecognized Income Tax Benefits
The following summarizes the changes in our gross unrecognized income tax benefits.
 
For the years ended December 31,
(In thousands)
2017
 
2016
 
2015
Unrecognized tax benefits at beginning of period
$
27,545

 
$
8,595

 
$
5,890

Gross increases – tax positions in prior period
44

 
1,443

 
955

Gross increases – tax positions in current period

 
18,472

 
2,543

Gross decreases – tax positions in prior period
(1,724
)
 
(671
)
 
(176
)
Lapse of Statute of Limitations
(4,518
)
 
(294
)
 
(617
)
Unrecognized tax benefits at end of period
$
21,347

 
$
27,545

 
$
8,595

Summary of Significant Elements Contributing to the Difference Between the Federal Statutory Rate and the Effective Tax Rate
The significant elements contributing to the difference between the federal statutory tax rate and the effective tax rate are as follows: 
 
For the years ended December 31,
 
2017
 
2016
 
2015
Federal statutory rate
35.0
 %
 
35.0
 %
 
35.0
 %
State income taxes, net of federal benefit
5.1
 %
 
5.2
 %
 
2.8
 %
Foreign income tax
(5.2
)%
 
1.2
 %
 
(7.8
)%
Research and development tax credits
0.6
 %
 
5.4
 %
 
 %
Non-Deductible components of Convertible Debt
0.1
 %
 
2.2
 %
 
(9.4
)%
Valuation allowance
(28.4
)%
 
9.5
 %
 
61.1
 %
Rate change effect
(10.8
)%
 
21.2
 %
 
 %
Non-deductible items
(1.9
)%
 
(1.9
)%
 
(0.7
)%
Other
(1.0
)%
 
(8.7
)%
 
(1.0
)%
Total
(6.5
)%
 
69.1
 %
 
80.0
 %
Reconciliation of Losses Before Income Taxes Between U.S. and Foreign Jurisdictions
The following table reconciles our losses before income taxes between U.S. and foreign jurisdictions: 
  
For the years ended December 31,
(In thousands)
2017
 
2016
 
2015
Pre-tax income (loss):
 
 
 
 
 
U.S.
$
(247,938
)
 
$
(92,175
)
 
$
(113,612
)
Foreign
(42,077
)
 
10,977

 
(30,091
)
Total
$
(290,015
)
 
$
(81,198
)
 
$
(143,703
)