INCOME TAXES

9 Months Ended

Dec. 30, 2012

INCOME TAXES

NOTE 16.       INCOME TAXES

In the three and nine months ended December 30, 2012, we recorded $1.3 million of income tax benefit which mainly resulted from the release of a $1.3 million reserve for uncertain tax positions related to an NOL carryback refund. The reserve was released due to the expiration of the statute of limitations in U. S. tax jurisdictions.

During the three months ended January 1, 2012, we recorded an income tax benefit of $169,000, which mainly resulted from the partial release of the liability for unrecognized tax benefits due to the expiration of the statute of limitations in U.S. tax jurisdictions. During the nine months ended January 1, 2012, we recorded an income tax expense of $3,000, which was due to expenses recorded for foreign taxable income offset by the partial release of the liability for unrecognized tax benefits.

During the three and nine months ended December 30, 2012, unrecognized tax benefits decreased by $1.2 million and $1.1 million, respectively, to $15.7 million. The decrease was primarily due to release of reserves for federal and state income taxes. If recognized, $13.1 million of these unrecognized tax benefits (net of federal benefit) would be recorded as a reduction of future income tax provision before consideration of changes in the valuation allowance for deferred tax assets.

Estimated interest and penalties related to the income taxes are classified as a component of the provision for income taxes in the condensed consolidated statement of operations. Accrued interest and penalties consisted of the following as of the dates indicated (in thousands):

	December 30, 2012		April 1, 2012
Accrued interest and penalties	$	195	$	295

Our major tax jurisdictions are the United States federal and various U.S. states. The fiscal years 2003 through 2012 remain open and subject to examinations by the appropriate governmental agencies in the United States and in certain of our U.S. state jurisdictions.