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Income Taxes
 12 Months Ended
Dec. 25, 2021
Income Tax Disclosure [Abstract]  
Income Taxes Income Taxes
The components of income before income taxes were taxed under the following jurisdictions:

(In thousands)202120202019
Domestic$518,080 $144,770 $112,812 
Foreign123,059 64,419 53,271 
Income before income taxes$641,139 $209,189 $166,083 
 
Income tax expense consists of the following:

(In thousands)202120202019
Current tax expense:   
Federal$107,804 $37,964 $19,066 
Foreign34,455 16,221 12,727 
State and local16,186 5,182 3,892 
Current tax expense158,445 59,367 35,685 
Deferred tax expense (benefit):   
Federal(3,504)(5,991)1,725 
Foreign2,572 90 (2,311)
State and local8,345 1,855 158 
Deferred tax expense (benefit)7,413 (4,046)(428)
Income tax expense$165,858 $55,321 $35,257 
 
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)202120202019
Expected income tax expense$134,639 $43,930 $34,892 
State and local income tax, net of federal benefit21,132 5,949 3,234 
Effect of foreign statutory rates different from U.S. and other foreign adjustments11,185 2,783 (882)
Investment in unconsolidated affiliates(679)(387)538 
Other, net(419)3,046 (2,525)
Income tax expense$165,858 $55,321 $35,257 

The Company continues to assert that the undistributed earnings of most of its foreign subsidiaries are permanently reinvested. No taxes have been accrued with respect to these undistributed earnings or any outside basis differences. The Company has elected to provide for the tax expense related to global intangible low-taxed income (GILTI) in the year the tax is incurred.

The Company includes interest and penalties related to income tax matters as a component of income tax expense, none of which was material in 2021, 2020, and 2019. 
During 2021, the Internal Revenue Service completed its audit of the Company’s 2015 and 2017 tax returns, the results of which were immaterial to the Consolidated Financial Statements. The statute of limitations is open for the Company’s federal tax return for 2018 and all subsequent years.  The statutes of limitations for most state returns are open for 2018 and all subsequent years, and some state and foreign returns are also open for some earlier tax years due to differing statute periods. While the Company believes that it is adequately reserved for possible audit adjustments, the final resolution of these examinations cannot be determined with certainty and could result in final settlements that differ from current estimates.

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)20212020
Deferred tax assets:  
Inventories$15,153 $13,910 
Other postretirement benefits and accrued items8,382 11,477 
Other reserves9,962 7,782 
Foreign tax attributes6,410 6,250 
State tax attributes, net of federal benefit12,043 21,178 
Stock-based compensation3,608 3,751 
Right of use liability4,988 6,034 
Basis difference in unconsolidated affiliates7,690 8,478 
Total deferred tax assets68,236 78,860 
Less valuation allowance(26,624)(27,199)
Deferred tax assets, net of valuation allowance41,612 51,661 
Deferred tax liabilities:  
Property, plant, and equipment45,804 48,990 
Right of use asset5,099 6,157 
Other liabilities1,765 638 
Total deferred tax liabilities52,668 55,785 
Net deferred tax liabilities$(11,056)$(4,124)

As of December 25, 2021, after consideration of the federal impact, the Company had state income tax credit carryforwards of $1.7 million, all of which expire by 2024, and state net operating loss (NOL) carryforwards with potential tax benefits of $10.4 million, after consideration of the federal impact, expiring between 2022 and 2036.  The state tax credit and NOL carryforwards were fully offset by valuation allowances.

As of December 25, 2021, the Company had other foreign tax attributes with potential tax benefits of $4.6 million, which have an unlimited life and were fully offset by a valuation allowance. The Company also had other foreign tax attributes of $1.8 million, which have limited lives expiring between 2030 and 2038, which are offset by a valuation allowance of $0.6 million. The Company has also recorded a valuation allowance against deferred tax assets related to the book-tax differences in investments in unconsolidated affiliates.

Income taxes paid were approximately $132.9 million in 2021, $49.3 million in 2020, and $41.8 million in 2019.