Note 7 — Income Taxes

The effective tax rates for the three- and six-month periods ended June 30, 2014 were 23.3% and 25.3%, respectively. The effective tax rates for the three- and six-month periods ended June 30, 2013 were 23.4% and 23.5%, respectively. The effective tax rate for the three-month period ended June 30, 2014 was consistent with the effective tax rate for the same period in 2013. The effective tax rate for the second quarter of 2014 was adversely impacted by projected year-over-year increases in profitability in the United States offset by the recognition of previously unrecognized tax benefits. The effective tax rate for the six-month period ended June 30, 2014 was higher than the effective tax rate for the same period in 2013 as a result of projected year-over-year increases in profitability in the United States partially offset by the recognition of previously unrecognized tax benefits.

Income taxes have been provided based on the U.S. statutory rate of 35% and at the local statutory rate for each foreign jurisdiction adjusted for items that are allowed as deductions for federal and foreign income tax reporting purposes, but not for book purposes. The primary differences between the statutory rate and our effective rate from continuing operations are as follows:


	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2014		2013		2014		2013

Statutory rate	35.0	%	35.0	%	35.0	%	35.0	%
Foreign provision	(8.4)		(10.6)		(8.3)		(11.1)
Tax benefits previously unrecognized	(4.5)		-		(2.3)		-
Other	1.2		(1.0)		0.9		(0.4)
Effective rate	23.3	%	23.4	%	25.3	%	23.5	%