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Income Taxes
9 Months Ended
Sep. 30, 2012
Income Taxes [Abstract]  
Income Taxes
Income Taxes

The Company’s effective tax rate benefit for the three months ended September 30, 2012 and effective tax rate for the three months ended October 2, 2011 was 32.2% and 41.0%, respectively, on (loss) income from continuing operations. The Company’s effective tax rate varies from the U.S. federal statutory rate of 35% due to the effect of (1) state income taxes, net of federal income tax benefit, (2) tax credits, (3) a net reduction in deferred state taxes related to the Company’s debt refinancing and related corporate activities, (4) corrections related to prior year tax matters, and (5) changes in our estimated full year tax rates.
The Company’s effective tax rate benefit for the nine months ended September 30, 2012 and effective tax rate for the nine months ended October 2, 2011 was 45.3% and 40.3%, respectively, on income from continuing operations. The Company’s effective tax rate varies from the U.S. federal statutory rate of 35% due to the effect of (1) state income taxes, net of federal income tax benefit, (2) tax credits, (3) a net reduction in deferred state taxes related to the Company’s debt refinancing and related corporate activities, and (4) corrections related to prior year tax matters.
There were no significant changes to unrecognized tax benefits or related interest and penalties for the Company for the nine months ended September 30, 2012 and October 2, 2011.
The Company participates in the Internal Revenue Service Compliance Assurance Process. During the nine months ended September 30, 2012, we concluded, without adjustment, the examination of our tax year ended January 2, 2011.