Income Taxes Income Taxes (Tables)

12 Months Ended

Jan. 28, 2012

Schedule of Components of Income Tax Expense (Benefit) [Table Text Block]

The provision for income taxes from continuing operations was comprised of the following:



	2011		2010			2009
(In thousands)
Current:
U.S. Federal	$	107,410	$	95,124		$	91,083
U.S. State and local	16,791		17,326			11,890
Non-U.S.	—		—			—
Total current tax expense	124,201		112,450			102,973
Deferred:
U.S. Federal	9,203		20,876			15,176
U.S. State and local	1,253		(489		)	3,826
Non-U.S.	—		—			—
Total deferred tax expense	10,456		20,387			19,002
Income tax provision	$	134,657	$	132,837		$	121,975

Schedule of Effective Income Tax Rate Reconciliation [Table Text Block]

Reconciliation between the statutory federal income tax rate and the effective income tax rate for continuing operations was as follows:



	2011		2010		2009
Statutory federal income tax rate	35.0	%	35.0	%	35.0	%
Effect of:
State and local income taxes, net of federal tax benefit	3.4		3.1		3.2
Non-U.S. income tax rate differential	0.4		—		—
Work opportunity tax and other employment tax credits	(0.4	)	(0.3	)	(0.5	)
Net benefit recognized for prior year tax uncertainties	—		(0.3	)	—
Valuation allowance	1.0		—		(0.4	)
Other, net	—		(0.1	)	0.4
Effective income tax rate	39.4	%	37.4	%	37.7	%

Schedule of Income Taxes Paid [Table Text Block]

Income tax payments and refunds were as follows:



	2011			2010			2009
(In thousands)
Income taxes paid	$	114,406		$	100,973		$	105,961
Income taxes refunded	(983		)	(837		)	(694		)
Net income taxes paid	$	113,423		$	100,136		$	105,267

Schedule of Deferred Tax Assets and Liabilities [Table Text Block]

Significant components of our deferred tax assets and liabilities were as follows:



	January 28, 2012			January 29, 2011
(In thousands)
Deferred tax assets:
Workers’ compensation and other insurance reserves	$	28,998		$	28,437
Compensation related	28,788			29,663
Accrued rent	26,516			17,755
Uniform inventory capitalization	20,289			21,702
Non-U.S. net operating losses	19,019			—
Depreciation and fixed asset basis differences	10,695			19,862
Accrued state taxes	7,779			8,327
Pension plans	4,467			1,049
State tax credits, net of federal tax benefit	3,390			2,830
Accrued operating liabilities	3,023			1,721
State tax net operating losses, net of federal tax benefit	710			1,171
KB store lease and other discontinued operations contingencies	1,474			1,409
Other	24,366			23,008
Valuation allowances - primarily related to Non-U.S. operations	(20,392		)	(1,382		)
Total deferred tax assets	159,122			155,552
Deferred tax liabilities:
Accelerated depreciation and fixed asset basis differences	70,569			58,693
Lease construction reimbursements	13,584			12,701
Compensation related	5,401			8,101
Prepaid expenses	5,695			5,699
Other	14,540			13,440
Total deferred tax liabilities	109,789			98,634
Net deferred tax assets	$	49,333		$	56,918

Net deferred tax assets are shown separately on our consolidated balance sheets as current and non-current deferred income taxes. The following table summarizes net deferred income tax assets from the consolidated balance sheets:



	January 28, 2012		January 29, 2011
(In thousands)
Current deferred income taxes	$	42,784	$	50,252
Noncurrent deferred income taxes	6,549		6,666
Net deferred tax assets	$	49,333	$	56,918

Summary of Tax Credit Carryforwards [Table Text Block]

We have the following income tax loss and credit carryforwards at January 28, 2012 (amounts are shown net of tax excluding the federal income tax effect of the state and local items):



(In thousands)
Non-U.S.:
Net operating loss carryforwards	$	19,019	Expires fiscal years 2026 through 2031
U.S. State and local:
State net operating loss carryforwards	1,092		Expires fiscal years 2014 through 2025
California enterprise zone credits	4,931		No expiration date
Texas business loss credits	285		Expires fiscal years through 2025
Total income tax loss and credit carryforwards	$	25,327

Summary of Income Tax Contingencies [Table Text Block]

The following is a tabular reconciliation of the total amounts of unrecognized tax benefits for 2011, 2010, and 2009:



	2011			2010			2009
(In thousands)
Unrecognized tax benefits - opening balance	$	27,250		$	35,824		$	34,729
Gross increases - tax positions in current year	2,179			1,127			11,757
Gross increases - tax positions in prior period	616			1,237			5,556
Gross decreases - tax positions in prior period	(9,513		)	(1,190		)	(4,101		)
Settlements	(2,581		)	(9,121		)	(11,944		)
Lapse of statute of limitations	(1,196		)	(627		)	(173		)
Unrecognized tax benefits - end of year	$	16,755		$	27,250		$	35,824

- Definition

Tabular disclosure of tax positions taken in the tax returns filed or to be filed for which it is more likely than not that the tax position will not be sustained upon examination by taxing authorities (i.e., uncertain tax positions) and other types of income tax contingencies, including: (1) the policy on classification of interest and penalties; (2) a tabular reconciliation of the total amounts of unrecognized tax benefits at the beginning and end of the period; the total amount(s) of: (3) unrecognized tax benefits that, if recognized, would affect the effective tax rate, and (4) interest and penalties recognized in each of the income statement and balance sheet; (5) for positions for which it is reasonably possible that the total amounts unrecognized will significantly change within 12 months of the reporting date the: (i) nature of the uncertainty, (ii) nature of the event that could occur that would cause the change, and (iii) an estimate of the range of the reasonably possible change or a statement that an estimate of the range cannot be made; and (6) a description of tax years that remain subject to examination by major tax jurisdictions.

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- Definition

Tabular disclosure of tax credit carryforwards available to reduce future taxable income, including amounts, expiration dates, limitations on use and the related deferred tax assets and valuation allowances.

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