Print Page  Close Window

SEC Filings

10-K
DITECH HOLDING CORP filed this Form 10-K on 04/16/2019
Entire Document
 

Income tax benefit at the Company’s effective tax rate differed from the statutory tax rate as follows (in thousands):
 
 
Successor
 
 
Predecessor
 
 
For the Period From February 10, 2018 Through December 31, 2018
 
 
For the Period From January 1, 2018 Through February 9, 2018
 
For the Year Ended 
 December 31, 2017
Income (loss) before income taxes
 
$
(207,745
)
 
 
$
520,989

 
$
(430,256
)
 
 
 
 
 
 
 
 
Tax provision at statutory tax rate (21% and 35% in 2018 and 2017, respectively)
 
(43,627
)
 
 
109,408

 
(150,590
)
Effect of:
 
 
 
 
 
 
 
Valuation allowance exclusive of Tax Act
 
43,565

 
 
(160,644
)
 
162,496

Section 108 attribute reduction
 

 
 
92,343

 

Cancellation of debt income exclusion
 
(94
)
 
 
(91,859
)
 

State and local income tax
 
(4,904
)
 
 
25,127

 
(26,396
)
Section 382 interest adjustment
 

 
 
15,750

 

Share-based compensation
 

 
 
8,044

 

Non-deductible restructuring costs
 
149

 
 
1,978

 
13,475

Federal rate change related to Tax Act
 

 
 

 
173,405

Valuation allowance related to Tax Act
 

 
 

 
(180,033
)
Other
 
2,260

 
 
(165
)
 
4,286

Total income tax benefit
 
$
(2,651
)
 
 
$
(18
)
 
$
(3,357
)
The following table summarizes the components of deferred tax assets and liabilities (in thousands):
 
 
Successor
 
 
Predecessor
 
 
December 31, 2018
 
 
December 31, 2017
Deferred tax assets
 
 
 
 
 
Goodwill
 
$
65,426

 
 
$
66,699

Reverse loans
 
60,776

 
 
48,814

Servicer and protective advances
 
40,497

 
 
37,793

Curtailment liability
 
25,228

 
 
33,724

Net operating losses
 
16,644

 
 
113,315

Disallowed interest expense
 
10,997

 
 

Intangible assets
 
8,677

 
 
20,978

Accrued expenses
 
6,310

 
 
8,396

Net investment in residential loans
 
4,772

 
 

Accrued legal contingencies and settlements
 
3,388

 
 
6,727

Other
 
31,397

 
 
50,638

Total deferred tax assets
 
274,112

 
 
387,084

Valuation allowance
 
(221,913
)
 
 
(328,661
)
Total deferred tax assets, net of valuation allowance
 
52,199

 
 
58,423

Deferred tax liabilities
 
 
 
 
 
Servicing rights
 
(53,617
)
 
 
(52,587
)
Net investment in residential loans
 

 
 
(3,972
)
Other
 
(454
)
 
 
(1,312
)
Total deferred tax liabilities
 
(54,071
)
 
 
(57,871
)
Deferred tax assets (liabilities), net
 
$
(1,872
)
 
 
$
552


F-70