Income Taxes

6 Months Ended

Jun. 30, 2011

Income Taxes

Income Taxes

8.     Income Taxes

Income tax expense from continuing operations increased primarily due to higher earnings from continuing operations for the three and six months ended June 30, 2011 compared with the three and six months ended June 30, 2010.  The effective income tax rate related to continuing operations for the three and six months ended June 30, 2011 was 25.4% and 25.3%, respectively.  The effective income tax rate related to continuing operations for the three and six months ended June 30, 2010 was 27.3% and 26.6%, respectively.  The effective income tax rate decreased primarily due to the recognition of income tax benefits from the expiration of the statutes of limitations for uncertain tax positions in certain jurisdictions.

An income tax benefit from an uncertain tax position may be recognized when it is more-likely-than-not that the position will be sustained upon examination, including resolutions of any related appeals or litigation processes, based on technical merits.  The unrecognized income tax benefit at June 30, 2011 was $52.3 million including interest and penalties.  Within the next twelve months, it is reasonably possible that up to $11.2 million of such amount will be recognized upon settlement of tax examinations and the expiration of various statutes of limitations.