Income Taxes (Tables)

12 Months Ended

Jan. 31, 2013

Income Taxes [Abstract]

Summary of components of income tax expense (benefit)

The provision (benefit) for income taxes consisted of the following (in thousands):

	Fiscal Years Ended January 31,
	2013			2012			2011
Current:
Federal	$	5,731		$	12,488		$	10,102
State		238			1,777			923
Foreign		2,273			2,776			1,881
		8,242			17,041			12,906
Deferred:
Federal		(10,832	)		(14,916	)		(21,348	)
State		(1,057	)		(1,583	)		(3,890	)
Foreign		(334	)		376			(105	)
		(12,223	)		(16,123	)		(25,343	)
Total income tax (benefit) provision	$	(3,981	)	$	918		$	(12,437	)

Reconciliation of tax calculated at United States federal statutory rate to tax calculated on effective

The (benefit) provision for income taxes differs from the amount computed by applying the federal statutory rate to (loss) income before (benefit) provision for income taxes as follows (in thousands):

	Fiscal Years Ended January 31,
	2013			2012			2011
Tax (benefit) expense at federal statutory rate	$	(524	)	$	3,452		$	(7,698	)
Research and experimentation credit		(303	)		(316	)		(571	)
State tax, net of federal effect		(489	)		(251	)		(1,550	)
Foreign rate differential		(1,376	)		(1,400	)		706
Change in reserves for uncertain tax positions		(680	)		259			(2,493	)
Impairment of goodwill and other intangibles		—			—			502
Domestic manufacturing deduction		(737	)		(1,267	)		(1,083	)
Other		128			441			(250	)
Total income tax (benefit) provision	$	(3,981	)	$	918		$	(12,437	)

Components of deferred tax assets (liabilities)

The Company’s net deferred tax assets (liabilities) are summarized as follows (in thousands):

	Fiscal Years Ended January 31,
	2013			2012
Deferred tax assets:
Allowance for doubtful accounts	$	299		$	290
Accrued expenses		1,348			1,282
Deferred revenue		4,128			3,333
State taxes		225			675
Long-lived assets acquired in a business combination, net		861			1,041
Net operating losses and tax credits carryforward		5,987			5,893
Stock-based compensation		3,285			3,709
Other		245			291
Gross deferred tax assets		16,378			16,514
Valuation allowance		(1,779	)		(846	)
Net deferred tax assets		14,599			15,668
Deferred tax liabilities:
Long-lived assets acquired in a business combination, net		(14,119	)		(27,758	)
Property and equipment, net		(520	)		(176	)
Income from discharge of indebtedness		(2,850	)		(2,843	)
Unremitted foreign earnings		(483	)		(725	)
Other		(229	)		14
Total deferred tax liabilities		(18,201	)		(31,488	)
Net deferred tax liabilities	$	(3,602	)	$	(15,820	)

Summary of activity of unrecognized tax benefits

A reconciliation of the beginning and ending amounts of unrecognized tax benefits is as follows (in thousands):

	Fiscal Years Ended January 31,
	2013			2012
Balance at beginning of fiscal year	$	3,590		$	2,883
Increases related to current year tax positions		114			107
Increase related to prior year tax positions		199			631
Decreases related to prior year tax positions		—			(31	)
Decreases related to lapsing of statute of limitations		(640	)		—
Decreases related to settlements with taxing authorities		(496	)		—
Balance at end of fiscal year	$	2,767		$	3,590