Income Taxes (Tables)

12 Months Ended

Sep. 28, 2013

Income Taxes

Income before income taxes and the provision for income taxes

 Income before income taxes and the provision for income taxes for fiscal years 2013, 2012 and 2011, consist of the following (in thousands):

	Fiscal 2013			Fiscal 2012			Fiscal 2011
Income before income taxes:
United States	$	675,438		$	486,258		$	248,108
Foreign		65,436			89,883			54,639
Total income before income taxes	$	740,874		$	576,141		$	302,747
Income tax expense:
United States federal:
Current	$	202,006		$	75,932		$	75,225
Deferred		(8,654	)		74,042			(3,327	)
		193,352			149,974			71,898
State and local:
Current		47,930			40,270			13,939
Deferred		(1,695	)		(712	)		(1,758	)
		46,235			39,558			12,181
Total United States		239,587			189,532			84,079
Foreign:
Current		29,901			26,860			21,306
Deferred		(12,717	)		(3,751	)		(3,686	)
Total foreign		17,184			23,109			17,620
Total income tax expense	$	256,771		$	212,641		$	101,699

Net deferred tax liabilities

 Net deferred tax liabilities consist of the following (in thousands) as of:

	September 28, 2013			September 29, 2012
Deferred tax assets:
Section 263A capitalized expenses	$	1,876		$	2,150
Deferred hedging losses		4,774			3,919
Deferred compensation		13,632			11,534
Net operating loss carryforward		—			1,017
Capital loss carryforward		1,418			1,418
Valuation allowance—capital loss carryforward		(1,418	)		(1,418	)
Warranty, obsolete inventory and bad debt allowance		32,692			27,421
Tax credit carryforwards		3,651			3,301
Other reserves and temporary differences		15,558			12,412
Gross deferred tax assets		72,183			61,754
Deferred tax liabilities:
Prepaid expenses		(2,994	)		(2,367	)
Depreciation		(125,504	)		(123,044	)
Intangible assets		(138,262	)		(144,329	)
Other reserves and temporary differences		(237	)		(10,994	)
Gross deferred tax liabilities		(266,997	)		(280,734	)
Net deferred tax liabilities	$	(194,814	)	$	(218,980	)

Reconciliation for continuing operations of reported income tax expense and amount computed using U.S. Federal Statutory rate

A reconciliation for continuing operations between the amount of reported income tax expense and the amount computed using the U.S. Federal Statutory rate of 35% is as follows (in thousands):

	Fiscal 2013			Fiscal 2012			Fiscal 2011
Tax at U.S. Federal Statutory rate	$	259,306		$	201,692		$	105,961
Increase (decrease) in rates resulting from:
Foreign tax rate differential		(13,087	)		(18,072	)		(9,289	)
Non-deductible stock compensation expense		2,700			1,024			1,761
State taxes, net of federal benefit		31,869			27,114			11,276
Provincial taxes		7,878			10,591			6,309
Domestic production activities deduction		(23,558	)		(9,245	)		(7,831	)
Acquisition costs		—			—			4,158
Federal tax credits		(4,506	)		(282	)		(962	)
Release of capital loss valuation allowance		—			(3,071	)		(6,194	)
Other		(3,831	)		2,890			(3,490	)
Tax at effective rates	$	256,771		$	212,641		$	101,699

Reconciliation of unrecognized tax benefits, including interest and penalties

A reconciliation of increases and decreases in unrecognized tax benefits, including interest and penalties, is as follows (in thousands):

	Fiscal 2013			Fiscal 2012			Fiscal 2011
Gross tax contingencies—balance, beginning of year	$	23,956		$	24,419		$	5,480
Increases from positions taken during prior periods		438			2,864			—
Decreases from positions taken during prior periods		—			(4,093	)		(236	)
Increases from positions taken during current periods		2,709			906			19,175
Decreases resulting from the lapse of the applicable statute of limitations		(3,820	)		(140	)		—
Gross tax contingencies—balance, end of year	$	23,283		$	23,956		$	24,419