Income Taxes (Tables)

12 Months Ended

Jun. 30, 2013

Income before income taxes for the fiscal years ended June 30, 2013, 2012 and 2011 were as follows:


	Year Ended June 30,
	2013		2012		2011
Domestic income (loss)	$	110,136	$	63,411	$	(14,410	)
Foreign income		64,134		197,742		174,630

Income before income taxes	$	174,270	$	261,153	$	160,220

Income Tax Expense (Benefit), Net

Income tax expense (benefit), net for the fiscal years ended June 30, 2013, 2012 and 2011 consisted of the following:


	Year Ended June 30,
	2013			2012			2011
Current:
Federal	$	6,416		$	1,679		$	5,411
State		2,315			1,061			1,028
Foreign		15,415			28,178			26,791

Current income tax expense, net		24,146			30,918			33,230
Deferred:
Federal		23,186			(105,823	)		(10,022	)
State		(11,703	)		(8,553	)		(255	)
Foreign		(3,900	)		15,070			1,351

Deferred income tax expense (benefit), net		7,583			(99,306	)		(8,926	)

Income tax expense (benefit), net	$	31,729		$	(68,388	)	$	24,304

Schedule of Tax Provisions and Analysis of Effective Income Tax Rates

The tax provisions and analysis of effective income tax rates for the fiscal years ended June 30, 2013, 2012 and 2011 consisted of the following:


	Year Ended June 30,
	2013			2012			2011
Provision for Federal income taxes before credits at statutory rate	$	60,995		$	91,404		$	56,077
State income taxes		986			2,124			623
Difference between Federal statutory rate and foreign effective rate		(33,209	)		(22,240	)		(16,688	)
Expenses not deductible for tax purposes and other		4,000			12,444			1,703
Tax benefit from U.S. production activities		(3,879	)		(3,704	)		(1,581	)
Change in valuation allowance		2,874			(124,211	)		166
Change in uncertain tax positions		5,035			(1,937	)		7,206
Deferred tax true-up		0			0			(3,703	)
Difference between Federal and financial tax accounting for equity compensation		2,053			896			494
Federal income tax credits		(7,592	)		(22,144	)		(18,024	)
Other		466			(1,020	)		(1,969	)

Income tax expense (benefit), net	$	31,729		$	(68,388	)	$	24,304

Schedule of Deferred Taxes

Deferred taxes are recorded based upon differences between the financial statement basis and tax basis of assets and liabilities and available tax loss and credit carryforwards. At June 30, 2013 and 2012, deferred taxes consisted of the following:


	June 30,
Assets/(Liabilities)	2013			2012⁽¹⁾
Federal and state tax credits	$	112,937		$	163,029
Deferred interest and loss carryforwards		77,522			58,507
Inventory costing differences		10,076			9,945
Capitalized research and development		106,935			107,204
Fixed assets		9,261			6,270
Amortization of share-based compensation		15,440			21,459
Pension liability and other		42,795			43,943
Reserves and other		35,814			25,048

Deferred tax assets, gross		410,780			435,405
Less valuation allowance		(63,947	)		(60,554	)

Deferred tax assets, net of valuation allowance		346,833			374,851
Intangible assets		(6,843	)		(181	)
Financial instruments		(2,965	)		(13,117	)

Deferred tax liability, gross		(9,808	)		(13,298	)

Net deferred tax asset	$	337,025		$	361,553

⁽¹⁾	Amounts have been revised from the prior year to reflect the gross deferred tax assets for certain loss carryforwards that previously were reported net of valuation allowance and other minor reclassifications.

Schedule of Gross Unrecognized Tax Benefits, Including Penalties

Changes in the total amount of gross unrecognized tax benefits, including penalties, are as follows:


	2013			2012
Balance, beginning of year	$	34,200		$	32,266
Increases based on tax positions related to the current year		2,485			3,434
Increases identified during the current year related to prior years		1,884			410
Reclassification		(772	)		0
Decreases related to settlement with taxing authorities		(1,687	)		0
Reductions to unrecognized benefits as a result of a lapse of the applicable statute of limitations		(430	)		(45	)
Foreign currency translation		(474	)		(1,865	)

Balance, end of year	$	35,206		$	34,200