Income Tax Expense

9 Months Ended

Sep. 30, 2014

NOTE 10. INCOME TAX EXPENSE


	Three Months Ended		Nine Months Ended
	September 30,		September 30,
	2014	2013	2014	2013
Earnings from continuing operations before income taxes	$ 58.1	$ 82.0	$ 139.9	$ 153.6
Income tax expense	26.3	26.1	70.2	63.9
Effective tax rate	45.3%	31.8%	50.2%	41.6%

The effective tax rate for the third quarter and first nine months of 2014 was higher than the comparable period of 2013 primarily due to increased losses in foreign jurisdictions which was impacted by the European Resilient Flooring fixed asset impairment charge and a decrease in consolidated pre-tax income which increased the impact of the losses on the effective tax rate. Tax benefits for foreign losses, which would have reduced consolidated income tax expense, were not recorded (unbenefitted) because our ability to utilize these tax benefits in future periods is uncertain.

We do not expect to record any material changes during 2014 to unrecognized tax benefits that were claimed on tax returns covering tax years ended on or before December 31, 2013.

As of September 30, 2014, we consider foreign unremitted earnings to be permanently reinvested.

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

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