the principal components of eog's rollforward of valuation allowances for deferred tax assets were as follows ( in thousands ) : .

Table:
 | 2016 | 2015 | 2014
beginning balance | $ 506127 | $ 463018 | $ 223599
increase ( 1 ) | 37221 | 146602 | 392729
decrease ( 2 ) | -12667 ( 12667 ) | -4315 ( 4315 ) | -1424 ( 1424 )
other ( 3 ) | -147460 ( 147460 ) | -99178 ( 99178 ) | -151886 ( 151886 )
ending balance | $ 383221 | $ 506127 | $ 463018
( 1 ) increase in valuation allowance related to the generation of tax net operating losses and other deferred tax assets .
( 2 ) decrease in valuation allowance associated with adjustments to certain deferred tax assets and their related allowance .
( 3 ) represents dispositions/revisions/foreign exchange rate variances and the effect of statutory income tax rate changes .
the balance of unrecognized tax benefits at december 31 , 2016 , was $ 36 million , of which $ 2 million may potentially have an earnings impact .
eog records interest and penalties related to unrecognized tax benefits to its income tax provision .
currently , $ 2 million of interest has been recognized in the consolidated statements of income and comprehensive income .
eog does not anticipate that the amount of the unrecognized tax benefits will significantly change during the next twelve months .
eog and its subsidiaries file income tax returns and are subject to tax audits in the united states and various state , local and foreign jurisdictions .
eog's earliest open tax years in its principal jurisdictions are as follows : united states federal ( 2011 ) , canada ( 2012 ) , united kingdom ( 2015 ) , trinidad ( 2010 ) and china ( 2008 ) .
eog's foreign subsidiaries' undistributed earnings of approximately $ 2 billion at december 31 , 2016 , are no longer considered to be permanently reinvested outside the united states and , accordingly , eog has cumulatively recorded $ 280 million of united states federal , foreign and state deferred income taxes .
eog changed its permanent reinvestment assertion in 2014 .
in 2016 , eog's alternative minimum tax ( amt ) credits were reduced by $ 21 million mostly as a result of carry-back claims and certain elections .
remaining amt credits of $ 758 million , resulting from amt paid in prior years , will be carried forward indefinitely until they are used to offset regular income taxes in future periods .
the ability of eog to utilize these amt credit carryforwards to reduce federal income taxes may become subject to various limitations under the internal revenue code .
such limitations may arise if certain ownership changes ( as defined for income tax purposes ) were to occur .
as of december 31 , 2016 , eog had state income tax net operating losses ( nols ) being carried forward of approximately $ 1.6 billion , which , if unused , expire between 2017 and 2035 .
during 2016 , eog's united kingdom subsidiary incurred a tax nol of approximately $ 38 million which , along with prior years' nols of $ 740 million , will be carried forward indefinitely .
as described above , these nols have been evaluated for the likelihood of future utilization , and valuation allowances have been established for the portion of these deferred tax assets that do not meet the "more likely than not" threshold .
7 .
employee benefit plans stock-based compensation during 2016 , eog maintained various stock-based compensation plans as discussed below .
eog recognizes compensation expense on grants of stock options , sars , restricted stock and restricted stock units , performance units and performance stock , and grants made under the eog resources , inc .
employee stock purchase plan ( espp ) .
stock-based compensation expense is calculated based upon the grant date estimated fair value of the awards , net of forfeitures , based upon eog's historical employee turnover rate .
compensation expense is amortized over the shorter of the vesting period or the period from date of grant until the date the employee becomes eligible to retire without company approval. .

Question: considering the balance of unrecognized tax benefits in 2016 , what is the percentage of the potential of tax benefits that may have an earnings impact?
Answer: 5.56%
Calculation: divide(2, 36)