Annual report pursuant to Section 13 and 15(d)

Income Taxes (Tables)

v2.4.0.6
Income Taxes (Tables)
12 Months Ended
Dec. 31, 2012
Income Tax Disclosure [Abstract]  
Summary of Income Tax Contingencies
Changes in the balance of unrecognized tax benefits are as follows (in thousands): 
 
Year Ended December 31,
 
2012
 
2011
Balance at beginning of the year
$
135,349

 
$
20,969

Additions based on tax positions related to current year

 
115,073

Additions for tax positions of prior years

 

Reductions for tax positions of prior years
(115,576
)
 
(693
)
Settlements

 

Balance at end of the year
$
19,773

 
$
135,349

Schedule of Components of Income Tax Expense (Benefit)
Income tax provision included in our reported net loss consisted of the following (in thousands): 
 
 
Year Ended December 31,
 
 
2012
 
2011
 
2010
Current:
 
 
 
 
 
 
Federal
 
$

 
$

 
$

State
 

 

 

Foreign
 
145

 
277

 

Total current
 
145

 
277

 

 
 
 
 
 
 
 
Deferred:
 
 
 
 
 
 
Federal
 

 

 

State
 

 

 

Foreign
 
(141
)
 
(117
)
 

Total deferred
 
(141
)
 
(117
)
 

Total income tax provision
 
$
4

 
$
160

 
$

Schedule of Effective Income Tax Rate Reconciliation
The reconciliation of the federal statutory income tax rate to our effective income tax rate is as follows: 
 
 
Year Ended December 31,
 
 
2012
 
2011
 
2010 (1)
U.S. statutory tax rate
 
(35.0
)%
 
(35.0
)%
 
(35.0
)%
State tax benefit (net of federal benefits)
 
(2.7
)%
 
(6.2
)%
 
(9.2
)%
Foreign income tax provision
 
 %
 
 %
 
 %
Deferred tax asset valuation reserve
 
33.2
 %
 
42.1
 %
 
26.0
 %
Loss on early extinguishment of debt
 
 %
 
 %
 
17.8
 %
Other
 
4.5
 %
 
(0.9
)%
 
0.4
 %
Effective tax rate as reported
 
 %
 
 %
 
 %

 

Schedule of Deferred Tax Assets and Liabilities
Significant components of our deferred tax assets and liabilities at December 31, 2012 and 2011 are as follows (in thousands): 
 
 
Year Ended December 31,
 
 
2012
 
2011
Deferred tax assets
 
 
 
 
Net operating loss carryforwards (1)
 
 
 
 
Federal
 
$
476,228

 
$
365,811

State
 
83,242

 
49,847

Capital gains
 
81,388

 
81,388

Share-based compensation expense
 
5,679

 
4,165

United Kingdom deferred tax assets
 
258

 
117

Other
 
17,606

 
19,565

Total deferred tax assets
 
$
664,401

 
$
520,893

 
 
 
 
 
Deferred tax liabilities
 
 

 
 

Investment in limited partnership
 
$
(94,434
)
 
$
(79,281
)
Other
 
(307
)
 
(4,856
)
Total deferred tax liabilities
 
$
(94,741
)
 
$
(84,137
)
 
 
 
 
 
Net deferred tax assets
 
569,660

 
436,756

Less: net deferred tax asset valuation allowance (2)
 
(569,402
)
 
(436,639
)
Total net deferred tax asset
 
$
258

 
$
117

 

(1)