Document wDpE61VVzKy1p7EvKMvj1DXyV

MAFCO CONSOLIDATED GROUP INC (Form- 10-K, Received: 03/28/1997 00.00.0. .Page 73 of 116 The approximate effect of the temporary differences that gave rise to deferred tax balances were as follows: F-18 MAFCO CONSOLIDATED GROUP INC. AND SUBSIDIARIES NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (in thousands) DECEMBER 31. Deferred tax assets. Accounts receivable Inventory Prepaid and other Property, plant and equipment Long term investments and other Pension liability Accrued expenses and other Employee benefits and other compensation Other long term liabilities Net operating loss carryforwards Total deferred tax asset Valuation allowance Total deferred tax asset net of valuation allowance 1996 $ 1,930 - 2,914 - 23,184 - 6,654 27,092 11,109 - 72,883 (23,864) 49,019 1995 $ 2,078 466 2,914 933 4,277 607 7,116 25,108 5,384 4,900 53,783 - 53,783 Deferred tax liabilities Subsidiary stock issuance Property, plant and equipment Pension asset Unremitted foreign earnings Other Total deferred tax liability Net deferred tax asset (liability) $ 44,769 3,473 22,199 2,521 385 73,347 $ (24,328) $3,474 20,035 2,179 403 26,091 $27,692 As a result of the pension plan merger m 1995 (see Note 10), a deferred tax asset m the amount of $2 4 million which was related to the unfunded pension liability at the date of the 1993 Acquisition was recorded with a resulting reduction of goodwill. As a result of the Merger, MC Group and its domestic subsidiaries (the "Mafco Group") have, for federal income tax purposes, become members of an affiliated group of corporations of which Mafco http //www edgarpro.com/EFX dll/EDGARpro.dlUFetchFilingHTMLl?ID=969943&Ses .. 10/19/2003