Income Taxes (Tables)

12 Months Ended

Dec. 29, 2012

Components of (Loss) Income before Income Taxes and Provision for Income Taxes

The U.S. and foreign components of (loss) income before income taxes and the provision for income taxes for the Company consist of:

In thousands	2012			2011			2010
Domestic	$	(62,201	)	$	(22,134	)	$	90,259
Foreign		9,424			9,875			6,576
(Loss) income before income taxes	$	(52,777	)	$	(12,259	)	$	96,835
Federal	$	9,146		$	(76	)	$	31,220
State		4,297			2,128			7,852
Foreign		3,099			1,748			1,874
Total current income taxes		16,542			3,800			40,946
Deferred		(10,719	)		(1,175	)		(278	)
Provision for income taxes	$	5,823		$	2,625		$	40,668

Reconciliation Between Provision for Income Taxes Computed at U.S. Federal Statutory Rate and Income Taxes

A reconciliation between the provision for income taxes computed at the U.S. federal statutory rate and income taxes for financial reporting purposes is as follows:

In thousands	2012					2011					2010
Federal tax at statutory rate	$	(18,472	)	35.0	%	$	(4,291	)	35.0	%	$	33,892		35.0	%
State tax, net of federal tax benefit		77		(0.1	%)		260		(2.1	%)		5,631		5.8	%
State deferred tax rate change, net of federal effect		425		(0.8	%)		(1,323	)	10.8	%		(567	)	(0.6	%)
Foreign tax credits generated, net of expirations		11,202		(21.2	%)		—		—			296		0.3	%
Foreign earnings repatriation, net		1,963		(3.7	%)		1,534		(12.5	%)		2,108		2.2	%
Goodwill and intangible impairment charges		21,889		(41.5	%)		8,216		(67.0	%)		—		—
Decrease in deferred tax valuation allowance		(10,882	)	20.6	%		—		—			(296	)	(0.3	%)
Foreign tax rate differences		(435	)	0.8	%		(522	)	4.2	%		(12	)	0.0	%
Other differences, net		56		(0.1	%)		(1,249	)	10.2	%		(384	)	(0.4	%)
Provision for income taxes	$	5,823		(11.0	%)	$	2,625		(21.4	%)	$	40,668		42.0	%

Tax Effect of Temporary Differences which Give Rise to Deferred Tax Assets and Liabilities

The tax effect of temporary differences which give rise to deferred tax assets and liabilities is:

In thousands	2012			2011
Basis difference on property, plant and equipment	$	(35,025	)	$	(39,951	)
Capitalized software development costs		(9,690	)		(5,999	)
Basis difference on financing arrangements		(14,928	)		(18,353	)
Basis difference on intangible assets		(144,711	)		(161,685	)
Other		(3,169	)		(3,221	)
Deferred tax liabilities		(207,523	)		(229,209	)
Reserves for accounts receivable and salespersons overdrafts		8,069			9,842
Reserves for employee benefits		21,131			18,665
Other reserves not recognized for tax purposes		6,926			5,968
Foreign tax credit carryforwards		2,853			14,055
Net operating loss and state tax credit carryforwards		13,184			23,030
Basis difference on pension liabilities		37,953			25,969
Other		13,533			12,100
Deferred tax assets		103,649			109,629
Valuation allowance		(3,173	)		(14,055	)
Deferred tax assets, net		100,476			95,574
Net deferred tax liability	$	(107,047	)	$	(133,635	)

Reconciliation of Total Gross Amount Recorded for Unrecognized Tax Benefits

The reconciliation of the total gross amount recorded for unrecognized tax benefits for the Company is as follows:

In thousands	2012			2011			2010
Balance at beginning of period	$	16,141		$	17,104		$	17,645
Gross increases—tax positions in prior periods		104			—			445
Gross decreases—tax positions in prior periods		(7,606	)		(1,286	)		(370	)
Gross increases—current period tax positions		—			674			368
Settlements—(payments) refunds		(233	)		3			(242	)
Lapse of statute of limitations		—			(354	)		(742	)
Balance at end of period	$	8,406		$	16,141		$	17,104