Income Taxes

3 Months Ended

Jan. 31, 2012

Income Tax Disclosure [Abstract]

Income Taxes

15. Income Taxes

The provision for income taxes was $35.9 million and $35.2 million, or 37.9percent and 35.7percent of pre-tax income,for the three months ended January 31, 2013 and 2012, respectively. The provision for income taxes in the three months ended January 31,2013 and 2012is comprised of federal, state, and foreign taxes. The primary difference between the Company's effective tax rate and the statutory federal rate of 35.0 percent are state income taxes, income recognized by the consolidated CLO entity and other non-controlling interests.

The Company records a valuation allowance when necessary to reduce deferred tax assets to an amount that is more likely than not to be realized. There was no valuation allowance recorded as of January 31, 2013orOctober 31, 2012.

The Company is currently under audit by several states. One state previously provided the Company with a draft position that may result in a proposed adjustment to the Company's previously filed tax returns. During the three months ended January 31, 2013, this state provided additional background to the Company on the state's draft position. The Company has evaluated this recent correspondence and determined that there is no new information that causes the Company to change its initial conclusion regarding the technical merits of its position. The Company intends to continue its discussions with the state on this matter, and on February 5, 2013 requested mediation. If an adjustment is proposed, the Company intends to vigorously defend its positions. It is possible the ultimate resolution of the proposed adjustment, if unfavorable, may be material to the results of operations in the period it occurs. Pending receipt of a formal assessment, an estimate of the range of the reasonably possible change in unrecognized tax benefits over the next twelve months cannot be made.