Income Taxes (Tables)

12 Months Ended

Dec. 29, 2012

Significant Components of Provision (Benefit) for Income Taxes

Significant components of the provision (benefit) for income taxes are as follows:

(in thousands)	2012			2011			2010
Current:
U.S. Federal	$	(1,898	)	$	(90	)	$	1,239
U.S. State		(388	)		(250	)		(71	)
Foreign		831			4,075			6,397
Total current		(1,455	)		3,735			7,565
Deferred:
U.S. Federal		1,890			(977	)		(1,519	)
U.S. State		186			(4	)		(207	)
Foreign		(1,495	)		(695	)		(245	)
Total deferred		581			(1,676	)		(1,971	)
	$	(874	)	$	2,059		$	5,594

Income (Loss) Before Income Taxes

Income (loss) before income taxes consisted of the following:

(in thousands)	2012			2011		2010
U.S.	$	(10,189	)	$	8,154	$	7,059
Foreign		(2,928	)		9,624		23,179
Total	$	(13,117	)	$	17,778	$	30,238

Significant Components of Deferred Tax Assets and Liabilities

Deferred income taxes reflect the net tax effects of temporary differences between the carrying amounts of assets and liabilities for financial reporting and tax purposes. Significant components of our deferred tax assets and liabilities were as follows:

(in thousands)	2012			2011
Deferred tax assets:
Inventory, receivable and warranty reserves	$	11,434		$	12,604
Net operating loss carryforwards		2,299			1,069
Tax credit carryforwards		7,764			7,213
Accrued employee benefits		2,167			2,233
Deferred profit		502			688
Stock-based compensation		3,409			2,715
Acquisition basis differences		2,226			2,369
Depreciation and fixed asset related		318			—
Other		243			207
Gross deferred tax assets		30,362			29,098
Less valuation allowance		(24,948	)		(22,352	)
Total deferred tax assets		5,414			6,746
Deferred tax liabilities:
Depreciation and fixed asset related		—			211
Gain on facilities sale		2,792			2,788
Acquisition basis differences		9,340			9,591
Other		283			252
Total deferred tax liabilities		12,415			12,842
Net deferred tax liabilities	$	(7,001	)	$	(6,096	)

Reconciliation of Income Tax Computed at U.S. Federal Statutory Tax Rate to Provision (Benefit) for Income Taxes

The reconciliation of income tax computed at the U.S. federal statutory tax rate to the provision (benefit) for income taxes is as follows:

(in thousands)	2012			2011			2010
Tax provision (credit) at U.S. 35% statutory rate	$	(4,591	)	$	6,223		$	10,583
State income taxes, net of federal tax benefit		(645	)		(941	)		95
Settlements, adjustments and releases from statute expirations		367			(791	)		(712	)
Change in effective tax rate for deferred balances		346			—			638
Federal tax credits		—			(707	)		(688	)
Stock-based compensation on which no tax benefit provided		177			202			55
Change in valuation allowance		2,614			(483	)		(2,027	)
Foreign income taxed at different rates		(227	)		(726	)		(1,740	)
Non-deductible transaction costs		700			—			—
Other, net		385			(718	)		(610	)
	$	(874	)	$	2,059		$	5,594

Reconciliation of Gross Unrecognized Tax Benefits

A reconciliation of our gross unrecognized tax benefits is as follows:

(in thousands)	2012			2011			2010
Balance at beginning of year	$	5,381		$	5,069		$	4,886
Gross additions for tax positions of current year		776			1,455			578
Gross additions (reductions) for tax positions of prior years		195			126			(23	)
Reductions as a result of a lapse of the statute of limitations		(272	)		(1,269	)		(372	)
Balance at end of year	$	6,080		$	5,381		$	5,069