INCOME TAXES (Tables)
|
12 Months Ended |
Dec. 31, 2016 |
|---|
| Income Tax Disclosure [Abstract] |
|
| Schedule of income tax provision |
The Company’s income tax provision consisted
of the following:
| For the years ended December 31, |
|
2016 |
|
|
2015 |
|
|
2014 |
|
| (in thousands) |
|
|
|
|
|
|
|
|
|
| Current: |
|
|
|
|
|
|
|
|
|
|
|
|
| Federal |
|
$ |
69,102 |
|
|
$ |
68,667 |
|
|
$ |
59,053 |
|
| State |
|
|
12,949 |
|
|
|
11,335 |
|
|
|
9,936 |
|
| Foreign |
|
|
14,464 |
|
|
|
7,534 |
|
|
|
4,391 |
|
| Total current tax |
|
|
96,515 |
|
|
|
87,536 |
|
|
|
73,380 |
|
| Deferred: |
|
|
|
|
|
|
|
|
|
|
|
|
| Federal |
|
|
(5,991 |
) |
|
|
1,286 |
|
|
|
6,123 |
|
| State |
|
|
2,892 |
|
|
|
2,078 |
|
|
|
2,159 |
|
| Foreign |
|
|
(149 |
) |
|
|
129 |
|
|
|
158 |
|
| Total deferred tax |
|
|
(3,248 |
) |
|
|
3,493 |
|
|
|
8,440 |
|
| Total income tax provision |
|
$ |
93,267 |
|
|
$ |
91,029 |
|
|
$ |
81,820 |
|
|
| Schedule of primary factors causing income tax expense to be different than the federal statutory rate |
The primary factors causing
income tax expense to be different than the federal statutory rate for 2016, 2015, and 2014 are as follows:
| For the years ended December 31, |
|
2016 |
|
|
2015 |
|
|
2014 |
|
| (in thousands) |
|
|
|
|
|
|
|
|
|
| Income tax at statutory rate |
|
$ |
91,222 |
|
|
$ |
85,112 |
|
|
$ |
76,820 |
|
| State income tax expense (net of federal benefit) |
|
|
8,876 |
|
|
|
8,377 |
|
|
|
7,429 |
|
| Foreign tax expense/(benefit) |
|
|
9,857 |
|
|
|
(1,729 |
) |
|
|
(1,760 |
) |
| Foreign tax credit |
|
|
(19,155 |
) |
|
|
(2,816 |
) |
|
|
(205 |
) |
| Other |
|
|
2,467 |
|
|
|
2,085 |
|
|
|
(464 |
) |
| Total income tax provision |
|
$ |
93,267 |
|
|
$ |
91,029 |
|
|
$ |
81,820 |
|
|
| Schedule of significant components of the deferred tax assets and liabilities |
Significant components of the Company’s deferred tax assets and liabilities at December
31, 2016 and 2015 are as follows:
| December 31, |
|
2016 |
|
|
2015 |
|
| (in thousands) |
|
|
|
|
|
|
| Deferred tax assets: |
|
|
|
|
|
|
|
|
| Termite accrual |
|
$ |
1,848 |
|
|
$ |
1,968 |
|
| Insurance and contingencies |
|
|
26,560 |
|
|
|
24,991 |
|
| Unearned revenues |
|
|
14,610 |
|
|
|
15,026 |
|
| Compensation and benefits |
|
|
15,798 |
|
|
|
15,288 |
|
| State and foreign operating loss carryforwards |
|
|
12,817 |
|
|
|
10,629 |
|
| Bad debt reserve |
|
|
4,842 |
|
|
|
4,779 |
|
| Foreign Tax Credit |
|
|
18,213 |
|
|
|
2,554 |
|
| Other |
|
|
1,804 |
|
|
|
1,579 |
|
| Net Pension Liability |
|
|
1,109 |
|
|
|
3,768 |
|
| Valuation allowance |
|
|
(6,507 |
) |
|
|
(3,969 |
) |
| Total deferred tax assets |
|
|
91,094 |
|
|
|
76,613 |
|
| Deferred tax liabilities: |
|
|
|
|
|
|
|
|
| Depreciation and amortization |
|
|
(21,217 |
) |
|
|
(10,985 |
) |
| Intangibles and other |
|
|
(28,000 |
) |
|
|
(24,963 |
) |
| Total deferred tax liabilities |
|
|
(49,217 |
) |
|
|
(35,948 |
) |
| Net deferred tax assets |
|
$ |
41,877 |
|
|
$ |
40,665 |
|
|
| Schedule of valuation allowance |
Analysis of the valuation allowance:
| December 31, |
|
2016 |
|
|
2015 |
|
| (in thousands) |
|
|
|
|
|
|
| Valuation allowance at beginning of year |
|
$ |
3,969 |
|
|
$ |
3,415 |
|
| Increase in valuation allowance |
|
|
2,538 |
|
|
|
554 |
|
| Valuation allowance at end of year |
|
$ |
6,507 |
|
|
$ |
3,969 |
|
|
| Reconciliation of the beginning and ending amount of unrecognized tax benefits |
A reconciliation of the
beginning and ending amount of unrecognized tax benefits is as follows:
| December 31, |
|
2016 |
|
|
2015 |
|
| (in thousands) |
|
|
|
|
|
|
| Balance at Beginning of Year |
|
$ |
2,554 |
|
|
$ |
— |
|
| Additions for tax positions of prior years |
|
|
— |
|
|
|
2,554 |
|
| Balance at End of Year |
|
$ |
2,554 |
|
|
$ |
2,554 |
|
|