Income Taxes

6 Months Ended

Jun. 30, 2011

Income Taxes

Income Taxes

NOTE 11: Income Taxes

The provision for income tax for the three and six months ended June 30, 2011 was $2.2 million and $2.8 million, respectively.  The provision for income tax for the three and six months ended June 30, 2010, was $1.8 million and $2.3 million, respectively.  While the Company had pretax losses during the three and six months ended June 30, 2011 and 2010, the income tax provision for these periods relate primarily to taxes due in countries with deemed profit tax regimes, withholding taxes and the release of valuation allowance in certain foreign jurisdictions with current year operating income based on the Company’s reevaluation of the realizability of these future tax benefits.

The following summarizes changes in the Company’s uncertain tax positions for the six months ended June 30, 2011 (in thousands):

Balance at December 31, 2010	$	7,997
Increase in tax positions related to current period	—
Interest	382
Balance at June 30, 2011	$	8,379

All additions or reductions to the above liability affect the Company’s effective tax rate in the respective period of change. The Company accounts for any applicable interest and penalties on uncertain tax positions as a component of income tax expense.  Interest and penalties for the three and six months ended June 30, 2011 were $0.2 million and $0.4 million, respectively.  Interest and penalties for the three and six months ended June 30, 2010 were $0.2 million and $0.4 million, respectively.

At June 30, 2011 and December 31, 2010, the Company had $2.4 million and $2.0 million of accrued interest related to unrealized tax benefits, respectively.  The tax years that remain subject to examination by major tax jurisdictions are from 2004 to 2010.