XML 79 R11.htm IDEA: XBRL DOCUMENT
v2.4.0.8

Note 4 - Income Taxes | 12 Months Ended
--- | ---
Aug. 30, 2014
Income Tax Disclosure [Abstract] |
Income Tax Disclosure [Text Block] | 4. Income Taxes The provision for income taxes consists of the following (in thousands):
Year ended |  | August 30, 2014 |  |  | August 31, 2013 |  |  | August 25, 2012 |
Current: |  |  |  |  |  |  |  |  |  |  |  |
Federal |  | $ | 54,005 |  |  | $ | 39,455 |  |  | $ | 43,470 |
Foreign |  |  | 3,480 |  |  |  | 3,999 |  |  |  | 3,604 |
State |  |  | 9,216 |  |  |  | 6,722 |  |  |  | 8,066 |
Total current |  | $ | 66,701 |  |  | $ | 50,176 |  |  | $ | 55,140 |
Deferred: |  |  |  |  |  |  |  |  |  |  |  |
Federal |  | $ | 6,838 |  |  | $ | 17,514 |  |  | $ | 540 |
Foreign |  |  | 59 |  |  |  | 151 |  |  |  | 90 |
State |  |  | 1,828 |  |  |  | 3,083 |  |  |  | (25 | )
Total deferred |  | $ | 8,725 |  |  | $ | 20,748 |  |  | $ | 605 |
Total |  | $ | 75,426 |  |  | $ | 70,924 |  |  | $ | 55,745 |
The following table reconciles the provision for income taxes using the statutory federal income tax rate to the actual provision for income taxes (in thousands):
|  | August 30, 2014 |  |  | August 31, 2013 |  |  | August 25, 2012 |
Income taxes at the statutory federal income tax rate |  |  | 35.0 | % |  |  | 35.0 | % |  |  | 35.0 | %
State income taxes |  |  | 3.8 |  |  |  | 3.5 |  |  |  | 3.5 |
Adjustments to tax reserves |  |  | 0.1 |  |  |  | -0.1 |  |  |  | -0.6 |
Foreign tax rate differential |  |  | -0.5 |  |  |  | -0.8 |  |  |  | -1.0 |
Permanent and other |  |  | 0.2 |  |  |  | 0.2 |  |  |  | 0.1 |
Total |  |  | 38.6 | % |  |  | 37.8 | % |  |  | 37.0 | %
The tax effect of items giving rise to the Company’s deferred tax assets and liabilities is as follows (in thousands):
|  | August 30, 2014 |  |  | August 31, 2013 |
Deferred Tax Assets |  |  |  |  |  |  |  |
Payroll and benefit related |  | $ | 16,216 |  |  | $ | 16,524 |
Insurance related |  |  | 13,935 |  |  |  | 13,073 |
Environmental |  |  | 7,765 |  |  |  | 7,133 |
Other |  |  | 13,682 |  |  |  | 11,421 |
Total deferred tax assets |  | $ | 51,598 |  |  | $ | 48,151 |
Deferred Tax Liabilities |  |  |  |  |  |  |  |
Tax in excess of book depreciation |  | $ | 37,152 |  |  | $ | 42,512 |
Purchased intangible assets |  |  | 31,100 |  |  |  | 28,632 |
Rental merchandise in service |  |  | 52,745 |  |  |  | 38,722 |
Total deferred tax liabilities |  |  | 120,997 |  |  |  | 109,866 |
Net deferred tax liability |  | $ | 69,399 |  |  | $ | 61,715 |
The Company has evaluated its deferred tax assets and believes that they will be fully recovered. As a result, the Company has not established a valuation allowance. The Company’s deferred liability related to rental merchandise in service increased from $38.7 million as of August 31, 2013 to $52.7 million as of August 30, 2014 as a result of a change in tax regulations which impacted the timing of certain allowable deductions. As of August 30, 2014 and August 31, 2013, there was $0.8 million and $0.7 million, respectively, in total unrecognized tax benefits, which if recognized, would favorably impact the Company’s effective tax rate. The Company recognizes interest and penalties related to uncertain tax positions as a component of income tax expense which is consistent with the recognition of these items in prior reporting periods. As of August 30, 2014, the Company had accrued a total of $0.1 million in interest and penalties, in its long-term accrued liabilities. For the year ended August 30, 2014, the Company recognized a nominal expense in its accompanying Consolidated Statement of Income related to interest and penalties. For the year ended August 31, 2013, the Company recognized a nominal benefit in its accompanying Consolidated Statement of Income related to interest and penalties. For the year ended August 25, 2012, the Company recognized a benefit in its accompanying Consolidated Statement of Income related to interest and penalties totaling $0.5 million. A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows (in thousands):
Balance at August 25, 2012 |  | $ | 1,051 |
Additions based on tax positions related to the current year |  |  | 350 |
Statute expirations |  |  | (475 | )
Balance at August 31, 2013 |  | $ | 926 |
Additions based on tax positions related to the current year |  |  | 430 |
Statute expirations |  |  | (186 | )
Balance at August 30, 2014 |  | $ | 1,170 |
The Company has a significant portion of its operations in the United States and Canada. It is required to file federal income tax returns as well as state income tax returns in a majority of the U.S. states and also in the Canadian provinces of Alberta, British Columbia, Ontario, Saskatchewan, Quebec and New Brunswick. At times, the Company is subject to audits in these jurisdictions, which typically are complex and can require several years to resolve. The final resolution of any such tax audits could result in either a reduction in the Company’s accruals or an increase in its income tax provision, both of which could have a material impact on the consolidated results of operations in any given period. U.S. and Canadian federal income tax statutes have lapsed for filings up to and including fiscal years 2010 and 2006, respectively, and the Company recently concluded an audit of U.S. federal income taxes for 2010 and 2011. With a few exceptions, the Company is no longer subject to state and local income tax examinations for periods prior to fiscal 2009. The Company is not aware of any tax positions for which it is reasonably possible that the total amounts of unrecognized tax benefits will change significantly in the next 12 months.

X
- 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 740 -SubTopic 10 -Section 50 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32718-109319 Reference 2: 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 3: http://www.xbrl.org/2003/role/presentationRef -Publisher SEC -Name Regulation S-X (SX) -Number 210 -Section 08 -Paragraph h -Article 4 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 FASB -Name Accounting Standards Codification -Topic 740 -SubTopic 10 -Section 50 -Paragraph 3 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32559-109319 + Details
Name: | us-gaap_IncomeTaxDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | nonnum:textBlockItemType
Balance Type: | na
Period Type: | duration