Income Taxes

6 Months Ended

Jun. 30, 2011

Income Taxes

Income Taxes

(4) Income Taxes

For the three-month and six-month periods ended June 30, 2011, there were no material changes to the total amount of unrecognized tax benefits. We accrued interest expense of $83,000 during the three-month period and $135,000 during the six-month period ended June 30, 2011. Our total gross liability for unrecognized tax benefits at June 30, 2011 is $7.7 million. If recognized, $4.9 million of unrecognized tax benefits would impact our effective tax rate. Interest of $3.1 million has been reflected as a component of the total liability. We do not expect any other significant increases or decreases for uncertain tax positions during the next twelve months.

We file U.S. federal income tax returns, as well as income tax returns in various states and several foreign jurisdictions. The years 2007 through 2010 are open for examination by the Internal Revenue Service ("IRS"), and various years are open for examination by state and foreign tax authorities. In May 2010, the IRS began an audit of the 2007 and 2008 tax years. State and foreign jurisdictional statutes of limitations generally range from three to four years.