Income Taxes (Tables)

12 Months Ended

Jan. 01, 2017

Income Tax Disclosure [Abstract]

Components of Income Tax Provision (Benefit)

Income tax provision (benefit) - in millions:	2016			2015			2014
Current
Federal	$	43.0		$	54.4		$	57.4
State	3.9			5.3			(1.1		)
Foreign	3.4			4.0			9.3
Total current	50.3			63.7			65.6
Deferred
Federal	4.3			3.5			(0.2		)
State	(4.8		)	(2.5		)	1.0
Foreign	0.6			(2.0		)	0.1
Total deferred	0.1			(1.0		)	0.9
Provision for income taxes	$	50.4		$	62.7		$	66.5

Reconciliation of the Statutory Federal Income Tax Rate to the Actual Effective Income Tax Rate

The following is a reconciliation of the statutory federal income tax rate to the actual effective income tax rate:

Tax rate reconciliation:	2016		2015		2014
U.S. federal statutory tax rate	35.0	%	35.0	%	35.0	%
State and local taxes, net of federal benefit	1.6		1.9		2.5
Research and development tax credits	(2.0	)	(3.4	)	(3.3	)
Investment tax credits	(1.8	)	(1.2	)	(1.9	)
Qualified production activity deduction	(1.6	)	(2.2	)	(2.0	)
Foreign rate differential	(2.7	)	(2.1	)	(3.7	)
Net reversals for unrecognized tax benefits	(1.5	)	(2.1	)	(1.4	)
Stock-based compensation (ASU 2016-09)	(3.5	)	—		—
Other	(2.6	)	(1.6	)	(1.6	)
Effective income tax rate	20.9	%	24.3	%	23.6	%

Schedule of Deferred Tax Assets and Liabilities

The categories of assets and liabilities that have resulted in differences in the timing of the recognition of income and expense were as follows (in millions):

Deferred income tax assets:	2016			2015
Long-term:
Accrued liabilities	$	36.4		$	31.3
Inventory valuation	17.7			17.3
Accrued vacation	10.7			10.5
Deferred compensation and other benefit plans	24.5			16.8
Postretirement benefits other than pensions	4.6			4.8
Tax credit and net operating loss carryforward	47.7			49.1
Valuation allowance	(16.9		)	(18.8		)
Total deferred income tax assets	124.7			111.0
Deferred income tax liabilities:
Long-term:
Property, plant and equipment differences	30.6			26.5
Intangible amortization	110.7			111.6
Other	4.8			3.3
Total deferred income tax liabilities	146.1			141.4
Net deferred income tax liabilities	$	21.4		$	30.4

Rollforward of our Unrecognized Tax Benefits

Unrecognized tax benefits (in millions):	2016			2015			2014
Beginning of year	$	28.8		$	32.3		$	35.4
Increase in prior year tax positions (a)	1.6			2.1			4.3
Increase for tax positions taken during the current period	1.6			1.6			0.9
Reduction related to settlements with taxing authorities	—			(1.5		)	(2.8		)
Reduction related to lapse of the statute of limitations	(7.5		)	(5.0		)	(4.8		)
Impact of exchange rate changes	—			(0.7		)	(0.7		)
End of year	$	24.5		$	28.8		$	32.3
a) Includes the impact of acquisitions in all years.