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Income Taxes
9 Months Ended
Jul. 02, 2016
Income Tax Disclosure [Abstract]  
Income Taxes
INCOME TAXES
The effective tax rate was 31.8% and 33.6% for the third quarter of fiscal 2016 and 2015, respectively and 33.2% and 32.8% for the first nine months of fiscal 2016 and 2015, respectively. The effective tax rates for the third quarter and first nine months of fiscal 2016 and fiscal 2015 were impacted by such items as the domestic production deduction, state income taxes and losses in foreign jurisdictions for which no benefit is recognized. In addition, changes in tax reserves resulting from the expiration of statutes of limitations and settlements with taxing authorities reduced the effective tax rate for the third quarter of fiscal 2016 by 1.1% and the first nine months of fiscal 2016 and 2015 by 1.4% and 2.3%, respectively.
Unrecognized tax benefits were $301 million and $306 million at July 2, 2016, and October 3, 2015, respectively.
We estimate that during the next twelve months it is reasonably possible that unrecognized tax benefits could decrease by as much as $34 million primarily due to expiration of statutes of limitations in various jurisdictions.