INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2023

Schedule of Significant Components of the Provision for Income Tax Benefit (Expense)

Significant components of the Company’s income tax benefit attributable to continuing operations are as follows:


(In thousands)	Year Ended December 31,
	2023		2022		2021
Current - federal	$	(4,533)	$	(1,415)	$	—
Current - state	(439)		(2,278)		(1,293)
Current - foreign	(6,855)		(4,890)		5,828
Total current tax (expense) benefit attributable to continuing operations	(11,827)		(8,583)		4,535
Deferred - federal	22,413		68,450		25,830
Deferred - state	6,200		22,041		5,678
Deferred - foreign	431		(1,516)		415
Total deferred tax benefit attributable to continuing operations	29,044		88,975		31,923
Income tax benefit attributable to continuing operations	$	17,217	$	80,392	$	36,458

Schedule of Significant Components of Deferred Tax Liabilities and Assets

Significant components of the Company’s deferred tax liabilities and assets as of December 31, 2023 and 2022 are as follows:


(In thousands)	December 31,		December 31,
	2023		2022
Deferred tax liabilities:
Operating lease right-of-use assets	$	372,963	$	349,279
Intangible assets(1)	311,587		333,750
Fixed assets	21,691		17,718


Other	3,547		13,779
Total deferred tax liabilities	709,788		714,526
Deferred tax assets:
Operating lease liabilities	385,514		360,185
Net operating loss carryforwards(2)	127,603		136,885
Interest expense carryforwards(3)	136,617		119,336
Accrued expenses	16,496		15,821
Stock-based compensation expense(4)	4,415		4,778
Credit loss provision	3,577		3,054

Other	11,533		18,987
Total deferred tax assets	685,755		659,046
Less: Valuation allowance(5)	207,448		180,730
Net deferred tax assets(6)	478,307		478,316
Net deferred tax liabilities	$	231,481	$	236,210

(1)The deferred tax liabilities associated with intangible assets that are categorized as indefinite-lived, including permanent easements and tax-deductible goodwill, will not reverse over time unless the Company recognizes future impairment charges or sells these intangible assets.

(2)At December 31, 2023, the Company had recorded deferred tax assets for net operating loss carryforwards (tax-effected) for federal and state income tax purposes of $73.4 million. The Company’s federal and certain state net operating losses carry forward indefinitely without expiration, while the remaining state net operating loss carryforwards expire in various amounts through 2043. At December 31, 2023, the Company had recorded $54.2 million (tax-effected) of deferred tax assets for foreign net operating loss carryforwards, the majority of which may be carried forward without expiration.

(3)Section 163(j) of the Internal Revenue Code generally limits the deduction for business interest expense to 30% of adjusted taxable income and provides that any disallowed interest expense may be carried forward indefinitely. In applying the rules under Section 163(j), the Company made the election to be considered an operator of a “real property trade or business” and therefore records a carryforward deferred tax asset for federal and state purposes related to interest expense limitations on its non-real property assets.

(4)Full realization of the deferred tax assets related to stock-based compensation expense under ASC Subtopic 718-10 requires stock options to be exercised at a price equaling or exceeding the sum of the grant price plus the fair value of the option at the grant date and restricted stock to vest at a price equaling or exceeding the fair market value at the grant date. Accordingly, there can be no assurance that the stock price of the Company’s common stock will rise to levels sufficient to realize the entire deferred tax benefit currently reflected in the Company’s Consolidated Balance Sheet. See Note 13 for additional discussion of ASC Subtopic 718-10.

(5)Due to the Company’s evaluation of all available evidence, including significant negative evidence of cumulative losses in the related jurisdictions, the Company continues to record valuation allowances on deferred tax assets that are not expected to be realized. As of December 31, 2023, the Company had valuation allowances of $92.2 million recorded against a portion of its federal and state deferred tax assets and $115.2 million recorded against its deferred tax assets in foreign jurisdictions.

(6)The Company expects to realize the benefits of this portion of its deferred tax assets based upon its assessment of deferred tax liabilities that will reverse in the same carryforward period and jurisdiction and are of the appropriate character, as well as the Company's ability to generate future taxable income in certain tax jurisdictions. Any deferred tax liabilities associated with indefinite-lived intangible assets are not relied upon as a source of future taxable income.

Schedule of Income (Loss) Before Income Taxes

Income (loss) from continuing operations before income taxes was as follows:


(In thousands)	Year Ended December 31,
	2023		2022		2021
U.S.	$	(200,961)	$	(77,153)	$	(321,194)
Foreign	26,637		(50,542)		(73,408)
Total loss from continuing operations before income taxes	$	(174,324)	$	(127,695)	$	(394,602)

Schedule of Reconciliation of Income Tax Computed at the U.S. Federal Statutory Rates to Income Tax Benefit

The reconciliation of income tax benefit computed at the U.S. federal statutory rates to income tax benefit attributable to continuing operations is as follows:


(In thousands)	Year Ended December 31,
	2023				2022				2021
	Amount		Percent		Amount		Percent		Amount		Percent
Income tax benefit at statutory rates	$	36,608	21.0	%	$	26,816	21.0	%	$	82,866	21.0	%
State income taxes, net of federal tax effect	7,778		4.5	%	3,683		2.9	%	10,088		2.6	%
Foreign income taxes	(2,204)		(1.3)	%	(17,018)		(13.3)	%	(13,742)		(3.5)	%
Nondeductible items	(4,447)		(2.6)	%	(6,004)		(4.7)	%	(229)		(0.1)	%
Changes in valuation allowance and other estimates	(20,454)		(11.7)	%	79,352		62.1	%	(45,710)		(11.6)	%

Other, net	(64)		—	%	(6,437)		(5.0)	%	3,185		0.8	%
Income tax benefit attributable to continuing operations	$	17,217	9.9	%	$	80,392	63.0	%	$	36,458	9.2	%

Schedule of Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amounts of unrecognized tax benefits is as follows:


(In thousands)	Year Ended December 31,
Unrecognized Tax Benefits	2023		2022
Balance at beginning of period	$	21,676	$	20,506
Increases for tax position taken in the current year	270		2,045
Increases for tax positions taken in previous years	694		228
Decreases for tax positions taken in previous years	(916)		(424)
Decreases due to settlements with tax authorities	(156)		(605)
Decreases due to lapse of statute of limitations(1)	(7,912)		(74)

Balance at end of period	$	13,656	$	21,676

(1)All federal income tax matters through 2019 are closed. Substantially all material state, local, and foreign income tax matters have been concluded for years through 2008.