Company: CCO
Filing Date: 2025-02-24
Form Type: 10-K
Source: 0001334978-25-000008
Chunk: 148

Company: Clear Channel Outdoor Holdings, Inc.
Filing Date: 2025-02-24
Form: 10-K
Item: Item 8
Chunk 148
---
 a framework for implementing a 15% minimum tax, also referred to as the Global Anti-Base Erosion rules, on earnings of multinational companies with consolidated annual revenue exceeding €750 million. Pillar Two legislation has been enacted in certain jurisdictions where the Company operates and is effective for the Company’s financial year beginning January 1, 2024. The provisions effective in 2024 did not have a material impact on the Company’s financial results, and the Company will continue to monitor additional guidance and legislative changes related to Pillar Two in the jurisdictions where it operates.

77

Table of ContentsCLEAR CHANNEL OUTDOOR HOLDINGS, INC. AND SUBSIDIARIESNOTES TO CONSOLIDATED FINANCIAL STATEMENTS

Deferred TaxesSignificant components of the Company’s deferred tax liabilities and assets as of December 31, 2024 and 2023 are as follows:(In thousands)December 31,December 31,20242023Deferred tax liabilities:Operating lease right-of-use assets$341,623 $277,475 Intangible assets(1)295,486 308,832 Fixed assets45,911 58,248 Other2,861 3,754 Total deferred tax liabilities685,881 648,309 Deferred tax assets:Operating lease liabilities353,752 288,772 Net operating loss carryforwards(2)89,547 92,558 Interest expense carryforwards(3)130,121 117,012 Accrued expenses12,954 11,955 Stock-based compensation expense(4)6,616 4,415 Credit loss provision2,986 3,251 Other5,971 7,720 Total deferred tax assets601,947 525,683 Less: Valuation allowance(5)137,880 108,827 Net deferred tax assets(6)464,067 416,856 Net deferred tax liabilities$221,814 $231,453 (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, 2024, the Company had recorded deferred tax assets for net operating loss carryforwards (tax-effected) for federal and state income tax purposes of $71.8 million. The Company’s federal and certain state net operating