Income taxes (Tables)

12 Months Ended

Jun. 30, 2012

Components of Provisions for Income Taxes

The provisions for income taxes consist of the following (in thousands):

	Year Ended June 30,
	2012			2011		2010
Earnings before income taxes consist of:
Domestic	$	130,009		$	131,080	$	124,860
Foreign		32,186			33,901		31,586
	$	162,195		$	164,981	$	156,446
Taxes on income consist of:
Currently payable:
Federal	$	42,288		$	36,600	$	37,098
State		3,065			2,302		1,856
Foreign		8,891			9,854		9,266
Net deferred:
Federal		(4,318	)		3,893		(1,494	)
State		(149	)		19		39
Foreign		87			11		(95	)
	$	49,864		$	52,679	$	46,670

Reconciliation of Federal Tax Calculated at Statutory Rate

The following is a reconciliation of the federal tax calculated at the statutory rate of 35% to the actual income taxes provided (in thousands):

	Year Ended June 30,
	2012			2011			2010
Computed expected federal income tax expense	$	56,768		$	57,743		$	54,756
State income taxes, net of federal benefit		2,038			1,463			1,247
Qualified production activity deduction		(3,917	)		(3,889	)		(2,459	)
Research and development tax credit		(465	)		(1,329	)		(444	)
Tax-exempt interest		(565	)		(858	)		(1,114	)
Change in deferred tax valuation allowance		(3,016	)		60			44
Foreign exchange loss on repatriation		0			0			(4,424	)
Other		(979	)		(511	)		(936	)
	$	49,864		$	52,679		$	46,670

Temporary Differences Comprising Deferred Taxes on Consolidated Balance Sheets

Temporary differences comprising deferred taxes on the Consolidated Balance Sheets are as follows (in thousands):

	June 30
	2012			2011
Inventory	$	6,893		$	4,269
Unrealized profit on intercompany sales		1,686			1,075
Excess tax basis in equity investments		4,776			3,643
Deferred compensation		2,651			2,198
Other		891			596
Valuation allowance		0			(3,016	)
Net deferred tax assets		16,897			8,765
Net unrealized gain on available-for-sale investments		(23,791	)		(369	)
Goodwill and intangible asset amortization		(15,123	)		(15,077	)
Depreciation		(847	)		(485	)
Other		(502	)		(397	)
Deferred tax liabilities		(40,263	)		(16,328	)
Net deferred tax liabilities	$	(23,366	)	$	(7,563	)

Changes in Unrecognized Tax Benefits

A summary of changes in unrecognized tax benefits is as follows (in thousands):

	June 30
	2012			2011
Beginning balance	$	34		$	96
Change due to tax positions related to the current year		(4	)		(53	)
Decrease due to lapse of statute of limitations		(7	)		(9	)
Ending balance	$	23		$	34