Income Taxes (Tables)

12 Months Ended

May 31, 2013

Components of Tax Provision

The components of our tax provision were as follows (in thousands):

	Current		Deferred			Total
Year ended May 31, 2013:
U.S. Federal	$	7,947	$	4,873		$	12,820
State & local		1,847		236			2,083
Foreign jurisdictions		4,328		(20	)		4,308
	$	14,122	$	5,089		$	19,211
Year ended May 31, 2012:
U.S. Federal	$	10,918	$	379		$	11,297
State & local		1,880		62			1,942
Foreign jurisdictions		7,378		(1,195	)		6,183
	$	20,176	$	(754	)	$	19,422
Year ended May 31, 2011:
U.S. Federal	$	8,546	$	(984	)	$	7,562
State & local		1,676		24			1,700
Foreign jurisdictions		4,872		(586	)		4,286
	$	15,094	$	(1,546	)	$	13,548

Components of Pre-Tax Income

The components of pre-tax income for the years ended May 31, 2013, 2012 and 2011 were as follows (in thousands):

	Twelve Months Ended May 31,
	2013		2012		2011
Domestic	$	37,445	$	31,984	$	27,641
Foreign		14,480		20,506		12,531
	$	51,925	$	52,490	$	40,172

Income Tax Expense Attributable to Income Differed from Amounts Computed by Federal Income Tax Rate

Income tax expense attributable to income differed from the amounts computed by applying the U.S. Federal income tax rate of 35% to pre-tax income from continuing operations as a result of the following (in thousands):

	Twelve Months Ended May 31,
	2013			2012			2011
Pre-tax income	$	51,925		$	52,490		$	40,172
Computed income taxes at statutory rate	$	18,174		$	18,371		$	14,060
State income taxes, net of federal benefit		1,570			1,342			1,135
Foreign tax differential		(363	)		(471	)		(326	)
Production activity deduction		(113	)		(161	)		(178	)
Non-deductible expenses		473			470			350
Tax credits		(340	)		(233	)		(197	)
Stock options		—			—			(1,682	)
Other		(190	)		104			386
Total provision for income tax	$	19,211		$	19,422		$	13,548

Tax Effects of Temporary Differences that Give Rise to Significant Portions of Deferred Tax Assets and Deferred Tax Liabilities

The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities are presented below (in thousands):

	May 31,
	2013			2012
Deferred tax assets:
Accrued compensation and benefits	$	3,819		$	4,386
Receivables		1,686			1,330
Inventory		598			598
Stock options		3,671			4,755
Net operating loss carry forwards		175			242
Other		1,158			818
Deferred tax assets		11,107			12,129
Less: Valuation allowance		(65	)		—
Deferred tax assets, net		11,042			12,129
Deferred tax liabilities:
Property, plant and equipment		(12,548	)		(9,798	)
Goodwill and intangible costs		(5,308	)		(4,406	)
Foreign currency translation and other equity adjustments		(261	)		(672	)
Unremitted earnings of foreign subsidiaries		(1,973	)		(420	)
Prepaids		(1,263	)		(1,518	)
Other		(718	)		(766	)
Deferred tax liabilities		(22,071	)		(17,580	)
Net deferred tax liability	$	(11,029	)	$	(5,451	)

Reconciliation of Changes in Unrecognized Tax Benefits Associated with Uncertain Tax Positions

Set forth below is a reconciliation of the changes in our unrecognized tax benefits associated with uncertain tax positions (in thousands):

	Ended May 31
	2013			2012			2011
Balance at beginning of year	$	624		$	421		$	321
Additions based on tax positions related to the current year		—			326			112
Additions based on tax positions related to prior years		191			—			—
Reductions resulting from a lapse of the applicable statute of limitations		(118	)		(123	)		(12	)
Balance at end of year	$	697		$	624		$	421