Note 11 - Income Taxes

9 Months Ended

Sep. 30, 2015

Income Tax Disclosure [Abstract]

Income Tax Disclosure [Text Block]

11. Income Taxes

Income tax expense totaled $43.2 million, or an effective tax rate of 26.5%, for the first nine months of 2015, compared to an income tax expense of $60.9 million, or an effective tax rate of 37.3%, for the same period a year ago. The effective tax rate includes the impact of the utilization of low income housing tax credits and for 2015 the utilization of alternative energy tax credits. At September 30, 2015, the Company forecasted its effective tax rate for the fourth quarter of 2015 to be 27.0%.

As of December 31, 2014, the Company had income tax refunds receivable of $18.1 million. These income tax receivables are included in other assets in the accompanying condensed consolidated balance sheets.

The Company’s tax returns are open for audit by the Internal Revenue Service back to 2012 and by the California Franchise Tax Board back to 2003. The Company is under audit by the California Franchise Tax Board for the years 2003 to 2007. As the Company is presently under audit by a number of tax authorities, it is reasonably possible that unrecognized tax benefits could change significantly over the next twelve months. The Company does not expect that any such changes would have a material impact on its annual effective tax rate.