Income Taxes (Tables)

12 Months Ended

Dec. 26, 2020

Components of income before income taxes

The components of income before income taxes were taxed under the following jurisdictions:


(In thousands)	2020		2019		2018

Domestic	$	144,770	$	112,812	$	105,455
Foreign	64,419		53,271		44,962

Income before income taxes	$	209,189	$	166,083	$	150,417

Components of income tax expense

Income tax expense consists of the following:


(In thousands)	2020		2019		2018

Current tax expense:
Federal	$	37,964	$	19,066	$	17,974
Foreign	16,221		12,727		9,650
State and local	5,182		3,892		3,158

Current tax expense	59,367		35,685		30,782

Deferred tax (benefit) expense:
Federal	(5,991)		1,725		(1,381)
Foreign	90		(2,311)		551
State and local	1,855		158		1,000

Deferred tax (benefit) expense	(4,046)		(428)		170

Income tax expense	$	55,321	$	35,257	$	30,952

Income tax reconciliation

The difference between the reported income tax expense and a tax determined by applying the applicable U.S. federal statutory income tax rate to income before income taxes is reconciled as follows:


(In thousands)	2020		2019		2018

Expected income tax expense	$	43,930	$	34,892	$	31,588
State and local income tax, net of federal benefit	5,949		3,234		3,495
Effect of foreign statutory rates different from U.S. and other foreign adjustments	2,783		(771)		759



Investment in unconsolidated affiliates	(387)		538		(2,776)


Effect of tax on accumulated foreign earnings	—		(111)		(4,415)

Other, net	3,046		(2,525)		2,301

Income tax expense	$	55,321	$	35,257	$	30,952

Components of deferred tax assets and liabilities

The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities are presented below:


(In thousands)	2020		2019

Deferred tax assets:
Inventories	$	13,910	$	12,247
Other postretirement benefits and accrued items	11,477		9,271

Other reserves	7,782		6,834
Foreign tax attributes	6,250		5,909
State tax attributes, net of federal benefit	21,178		22,395
Stock-based compensation	3,751		3,378
Right of Use Liability	6,034		5,965
Basis difference in unconsolidated affiliates	8,478		6,547

Total deferred tax assets	78,860		72,546
Less valuation allowance	(27,199)		(23,130)

Deferred tax assets, net of valuation allowance	51,661		49,416

Deferred tax liabilities:
Property, plant, and equipment	48,990		47,791
Pension	—		949
Right of Use Asset	6,157		5,967
Other Liabilities	638		311


Total deferred tax liabilities	55,785		55,018

Net deferred tax liabilities	$	(4,124)	$	(5,602)