Income Taxes (Tables)

9 Months Ended

Jul. 31, 2011

Reconciliation of Company's effective tax rate from federal statutory rate

A reconciliation of the Company’s effective tax rate from the federal statutory tax rate for the nine-month and three-month periods ended July 31, 2011 and 2010 is set forth in the tables below (amounts in thousands).


	2011						2010
Nine-month period ended July 31:	$			%*			$			%*
Federal tax benefit at statutory rate		(15,625	)		(35.0	)		(37,701	)		(35.0	)
State taxes, net of federal benefit		(1,451	)		(3.3	)		(3,501	)		(3.3	)
Reversal of tax provisions due to expiration of statutes and settlements		(19,273	)		(43.2	)		(40,460	)		(37.6	)
Reversal of accrual for uncertain tax positions		(30,827	)		(69.0	)
Valuation allowance — recognized		18,791			42.1			52,423			48.7
Valuation allowance — reversed		(23,123	)		(51.8	)		(37,736	)		(35.0	)
Accrued interest on anticipated tax assessments		2,799			6.3			966			0.9
Increase in unrecognized tax benefit								13,000			12.1
Other		(686	)		(1.5	)		(858	)		(0.8	)

Tax benefit		(69,395	)		(155.4	)		(53,867	)		(50.0	)


*		Due to rounding, amounts may not add.


	2011						2010
Three-month period ended July 31:	$			%*			$			%*
Federal tax provision at statutory rate		1,361			35.0			289			35.0
State taxes, net of federal benefit		126			3.2			(948	)		(114.9	)
Reversal of tax provisions due to expiration of statutes and settlements		(16,933	)		(435.5	)		(40,460	)		(4,904.3	)
Reversal of accrual for uncertain tax positions		(12,873	)		(331.1	)
Valuation allowance — recognized								17,408			2,110.1
Valuation allowance — reversed		(10,846	)		(279.0	)		(13,685	)		(1,658.8	)
Accrued interest on anticipated tax assessments		1,174			30.2			(1,797	)		(217.8	)
Increase in unrecognized tax benefit								13,000			1,575.8
Other		(229	)		(5.9	)		(286	)		(34.7	)

Tax benefit		(38,220	)		(983.0	)		(26,479	)		(3,209.6	)


*		Due to rounding, amounts may not add.

Reconciliation of change in gross unrecognized tax benefits


	Nine months ended July 31,						Three months ended July 31,
	2011			2010			2011			2010
Balance, beginning of period	$	160,446		$	171,366		$	141,392		$	177,116
Increase in benefit as a result of tax positions taken in prior years		5,943			4,250			3,443
Increase in benefit as a result of tax positions taken in current year					1,586						86
Decrease in benefit as a result of resolution of uncertain tax positions		(17,954	)		(8,793	)					(8,793	)
Decrease in benefit as a result of lapse of statute of limitation		(8,790	)		(32,053	)		(8,790	)		(32,053	)
Decrease in benefit as a result of completion of tax audits		(35,370	)					(31,770	)

Balance, July 31,	$	104,275		$	136,356		$	104,275		$	136,356

Tax Benefits potential Interest and Penalties


Recognized in statements of operations:
Nine-month period ended July 31, 2011	$	2,500
Nine-month period ended July 31, 2010	$	1,500
Three-month period ended July 31, 2011	$	1,806
Three-month period ended July 31, 2010	$	—

Tax Benefit Amount Accrued for potential Interest and Penalties


Accrued at:
July 31, 2011	$	28,806
October 31, 2010	$	39,209