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Income Taxes
3 Months Ended
Mar. 30, 2012
Income Taxes [Abstract]  
Income Taxes
Income Taxes
The income tax provision (benefit) for 2012 and 2011 are computed at the effective rate expected to be applicable in each respective full year using the statutory rates on a country by country basis, adjusted for changes in valuation allowances relating to the Company’s net operating loss and capital loss carryforwards in the United States. The effective rates for the three month periods ended March 30, 2012 and April 1, 2011, were 4.4% and (11.7)%, respectively.
The effective rate for the three months ended March 30, 2012 differed from the U.S. statutory rate primarily due to state income taxes, lower tax rates of our foreign operations as compared to the U.S. federal rates, U.S. tax impact of foreign dividends and non-deductible foreign currency transaction gains and losses, and valuation allowances related to net losses in the U.K. and for U.S. federal and state net operating losses.
The effective rate for the three months ended April 1, 2011 differed from the U.S. statutory rate primarily due to state income taxes, lower tax rates of our foreign operations as compared to the U.S. federal rates, U.S. tax impact of foreign dividends and non-deductible foreign currency transaction gains and losses, and valuation allowances set up on the U.S. federal and state net operating losses.