Income Taxes

6 Months Ended

Jun. 30, 2012

Income Taxes

Income Taxes

8.  Income Taxes

Income tax expense for the six months ended June 30, 2012 and 2011 was $3.9 million and $5.5 million, respectively. The effective tax rate for the six months ended June 30, 2012 and 2011 was 37.4% and 39.1%, respectively. Our tax rate is subject to change based on changes in the mix of assets leased to domestic and foreign lessees, the proportions of revenue generated within and outside of California, the amount of executive compensation exceeding $1.0 million as defined in IRS code 162(m) and numerous other factors, including changes in tax law.