XML 92 R17.htm IDEA: XBRL DOCUMENT
v3.2.0.727

Income Taxes | 12 Months Ended
--- | ---
Jun. 30, 2015
Income Tax Disclosure [Abstract] |
Income Taxes | Income Taxes We file a consolidated Federal income tax return. Taxes based on income from continuing operations for the years ended June 30 have been provided as follows:
| 2015 |  | 2014 |  | 2013
Currently payable: |  |  |  |  |
Federal | $ | 47,601 |  |  | $ | 48,718 |  |  | $ | 45,350 |
State and local | 5,229 |  |  | 4,526 |  |  | 3,475 |
Total current provision | 52,830 |  |  | 53,244 |  |  | 48,825 |
Deferred Federal, state and local provision (benefit) | 36 |  |  | (951 | ) |  | 1,133 |
Total taxes based on income | $ | 52,866 |  |  | $ | 52,293 |  |  | $ | 49,958 |
Certain tax benefits recorded directly to common stock for each of the years ended June 30 were as follows:
| 2015 |  | 2014 |  | 2013
Tax benefits recorded directly to common stock | $ | 563 |  |  | $ | 1,020 |  |  | $ | 794 |
For the years ended June 30, our effective tax rate varied from the statutory Federal income tax rate as a result of the following factors:
| 2015 |  | 2014 |  | 2013
Statutory rate | 35.0 | % |  | 35.0 | % |  | 35.0 | %
State and local income taxes | 2.2 |  |  | 2.0 |  |  | 1.5 |
ESOP dividend deduction | (0.2 | ) |  | (0.2 | ) |  | (0.8 | )
Domestic manufacturing deduction for qualified income | (3.0 | ) |  | (3.0 | ) |  | (3.1 | )
Other | 0.2 |  |  | 0.3 |  |  | (0.1 | )
Effective rate | 34.2 | % |  | 34.1 | % |  | 32.5 | %
The tax effect of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities at June 30 were comprised of:
| 2015 |  | 2014
Deferred tax assets: |  |  |
Inventories | $ | 1,179 |  |  | $ | 720 |
Employee medical and other benefits | 11,135 |  |  | 10,149 |
Receivable and other allowances | 5,652 |  |  | 4,410 |
Intangible assets | — |  |  | 482 |
Other accrued liabilities | 2,229 |  |  | 2,413 |
Total deferred tax assets | 20,195 |  |  | 18,174 |
Deferred tax liabilities: |  |  |
Property, plant and equipment | (22,968 | ) |  | (21,307 | )
Intangible assets | (15,223 | ) |  | — |
Goodwill | (4,869 | ) |  | (4,212 | )
Other | (75 | ) |  | (79 | )
Total deferred tax liabilities | (43,135 | ) |  | (25,598 | )
Net deferred tax liability | $ | (22,940 | ) |  | $ | (7,424 | )
Net current deferred tax assets and prepaid Federal, state and local income taxes were included in Deferred Income Taxes and Other Current Assets on the Consolidated Balance Sheets. The related balances at June 30 were as follows:
| 2015 |  | 2014
Net current deferred tax assets | $ | 12,788 |  |  | $ | 11,329 |
Prepaid Federal, state and local income taxes | $ | 4,402 |  |  | $ | 9,688 |
Cash payments for income taxes for each of the years ended June 30 were as follows:
| 2015 |  | 2014 |  | 2013
Cash payments for income taxes | $ | 43,027 |  |  | $ | 37,277 |  |  | $ | 56,992 |
The gross tax contingency reserve at June 30, 2015 was $1.5 million and consisted of tax liabilities of $1.0 million and interest and penalties of $0.5 million. The unrecognized tax benefits recorded as the gross tax contingency reserve noted in the following table for June 30, 2015 and 2014 would affect our effective tax rate, if recognized. The following table sets forth changes in our total gross tax contingency reserve (including interest and penalties):
| 2015 |  | 2014
Balance, beginning of year | $ | 963 |  |  | $ | 912 |
Tax positions related to the current year: |  |  |
Additions | 54 |  |  | 66 |
Reductions | — |  |  | — |
Tax positions related to prior years: |  |  |
Additions | 516 |  |  | 39 |
Reductions | (46 | ) |  | (54 | )
Settlements | — |  |  | — |
Balance, end of year | $ | 1,487 |  |  | $ | 963 |
We have not classified any of the gross tax contingency reserve at June 30, 2015 as a current liability as none of these amounts are expected to be resolved within the next 12 months. Consequently, the entire liability of $1.5 million was included in other noncurrent liabilities. We expect that the amount of these liabilities will change within the next 12 months; however, we do not expect the change to have a significant effect on our financial position or results of operations. We recognize interest and penalties related to these tax liabilities in income tax expense. For each of the years ended June 30, we recognized the change in the accrual for net tax-related interest and penalties as follows:
| 2015 |  | 2014
Expense recognized for net tax-related interest and penalties | $ | 87 |  |  | $ | 9 |
We had accrued interest and penalties at June 30 as follows:
| 2015 |  | 2014
Accrued interest and penalties included in the gross tax contingency reserve | $ | 479 |  |  | $ | 392 |
We file income tax returns in the U.S. and various state and local jurisdictions. With limited exceptions, we are no longer subject to examination of U.S. Federal or state and local income taxes for years prior to 2012. The American Jobs Creation Act provided a tax deduction calculated as a percentage of qualified income from manufacturing in the United States. The deduction percentage for 2015 was 9%. In accordance with FASB guidance, this deduction is treated as a special deduction, as opposed to a tax rate reduction and is properly reflected in the effective tax rate table.

X
- References No definition available. + Details
Name: | us-gaap_IncomeTaxDisclosureAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 235 -SubTopic 10 -Section S99 -Paragraph 1 -Subparagraph (SX 210.4-08.(h)) -URI http://asc.fasb.org/extlink&oid=26873400&loc=d3e23780-122690 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32559-109319 Reference 3: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32718-109319 Reference 4: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 9 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32639-109319 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 2 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32537-109319 Reference 6: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Regulation S-X (SX) -Number 210 -Section 08 -Paragraph h -Article 4 + Details
Name: | us-gaap_IncomeTaxDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration