XML 58 R14.htm IDEA: XBRL DOCUMENT
v2.4.0.6

Note F - Income Taxes | 12 Months Ended
--- | ---
Dec. 31, 2012
Income Tax Disclosure [Text Block] | Note F - Income Taxes The components of income before income taxes are:
|  | 2012 |  |  | 2011 |  |  | 2010 |
United States |  | $ | 40,019 |  |  | $ | 37,329 |  |  | $ | 34,593 |
Foreign countries |  |  | 2,428 |  |  |  | 5,356 |  |  |  | 3,740 |
Income tax expense |  | $ | 42,447 |  |  | $ | 42,685 |  |  | $ | 38,333 |
The components of income tax expense are:
|  | 2012 |  |  | 2011 |  |  | 2010 |
Current expense: |  |  |  |  |  |  |  |  |
Federal |  | $ | 11,542 |  |  | $ | 10,037 |  |  | $ | 6,369 |
Foreign |  |  | (324 | ) |  |  | 1,576 |  |  |  | 1,064 |
State and local |  |  | 1,021 |  |  |  | 761 |  |  |  | 771 |
|  |  | 12,239 |  |  |  | 12,374 |  |  |  | 8,204 |
Deferred expense (benefit): |  |  |  |  |  |  |  |  |  |  |  |
Federal |  |  | 2,109 |  |  |  | 1,429 |  |  |  | 4,138 |
Foreign |  |  | (189 | ) |  |  | (101 | ) |  |  | (42 | )
State and local |  |  | 85 |  |  |  | 179 |  |  |  | 70 |
|  |  | 2,005 |  |  |  | 1,507 |  |  |  | 4,166 |
Income tax expense |  | $ | 14,244 |  |  | $ | 13,881 |  |  | $ | 12,370 |
The reconciliation between income tax expense and the amount computed by applying the statutory federal income tax rate of 35% to income before income taxes is:
|  | 2012 |  |  | 2011 |  |  | 2010 |
Income taxes at statutory rate |  | $ | 14,856 |  |  | $ | 14,940 |  |  | $ | 13,417 |
State and local income taxes, net of federal tax benefit |  |  | 719 |  |  |  | 611 |  |  |  | 547 |
Research and development tax credits |  |  | - |  |  |  | (375 | ) |  |  | (350 | )
Domestic production activities |  |  | (980 | ) |  |  | (811 | ) |  |  | (599 | )
Lower foreign taxes differential |  |  | (528 | ) |  |  | (577 | ) |  |  | (439 | )
Uncertain tax positions |  |  | (236 | ) |  |  | 49 |  |  |  | (234 | )
Other |  |  | 413 |  |  |  | 44 |  |  |  | 28 |
|  | $ | 14,244 |  |  | $ | 13,881 |  |  | $ | 12,370 |
Deferred tax assets and liabilities consist of:
|  | 2012 |  |  | 2011 |  |  | 2010 |
Deferred tax assets: |  |  |  |  |  |  |  |  |
Inventories |  | $ | 170 |  |  | $ | 49 |  |  | $ | - |
Accrued liabilities |  |  | 2,430 |  |  |  | 2,506 |  |  |  | 2,237 |
Postretirement health benefits obligation |  |  | 7,848 |  |  |  | 8,060 |  |  |  | 7,849 |
Pension |  |  | 1,217 |  |  |  | 873 |  |  |  | - |
Other |  |  | 452 |  |  |  | 1,634 |  |  |  | 1,834 |
|  |  | 12,117 |  |  |  | 13,122 |  |  |  | 11,920 |
Deferred tax liabilities: |  |  |  |  |  |  |  |  |  |  |  |
Inventories |  |  | - |  |  |  | - |  |  |  | 391 |
Depreciation and amortization |  |  | 14,376 |  |  |  | 13,419 |  |  |  | 11,524 |
Pension |  |  | - |  |  |  | - |  |  |  | 2,001 |
|  |  | 14,376 |  |  |  | 13,419 |  |  |  | 13,916 |
Net deferred tax liabilities |  | $ | (2,259 | ) |  | $ | (297 | ) |  | $ | (1,996 | )
The Company made income tax payments of $12.0 million, $10.3 million and $8.1 million in 2012, 2011 and 2010, respectively. At December 31, 2012, total unrecognized tax benefits were $421,000. Of the total, $311,000 of unrecognized tax benefits, if ultimately recognized, would reduce the Company’s annual effective tax rate. A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:
|  | 2012 |  |  | 2011 |  |  | 2010 |
Balance at beginning of year |  | $ | 1,423 |  |  | $ | 1,298 |  |  | $ | 1,461 |
Additions based on tax positions related to the current year |  |  | 68 |  |  |  | 132 |  |  |  | 106 |
(Reduction) additions for tax positions of prior years |  |  | (1 | ) |  |  | 117 |  |  |  | 149 |
Reductions due to lapse of applicable statute of limitations |  |  | (131 | ) |  |  | (124 | ) |  |  | (157 | )
Settlements |  |  | (938 | ) |  |  | - |  |  |  | (261 | )
Balance at end of year |  | $ | 421 |  |  | $ | 1,423 |  |  | $ | 1,298 |
The Company is subject to income taxes in the U.S. federal and various state, local and foreign jurisdictions. Income tax regulations within each jurisdiction are subject to the interpretation of the related tax laws and regulations and require significant judgment to apply. With few exceptions, the Company is no longer subject to U.S. federal, state and local, or non-U.S. income tax examinations by tax authorities for the years before 2009. During 2012, examinations were completed by the Canadian Revenue Agency for years 2004 through 2006 and by the Internal Revenue Service for 2009 and 2010. An adjustment for $140,000 was made to the 2009 and 2010 U.S. tax returns, which also resulted in a $40,000 refund on the Company’s Irish tax returns. An adjustment of $315,000 was made to the Company’s 2004 through 2008 Canadian tax returns, partially offset by approximately $250,000 from U.S. tax refunds due to additional foreign tax credits generated from the Canadian exam. The statutes of limitations in taxing jurisdictions expire in varying periods. The Company has no unrecognized tax benefits recorded for periods which the relevant statutes of limitations expire in the next 12 months. The Company has not provided an estimate for any U.S. or additional foreign taxes on undistributed earnings of foreign subsidiaries that might be payable if these earnings were repatriated since the Company considers these amounts to be permanently invested. The Company recognizes interest and penalties accrued related to unrecognized tax benefits in income tax expense for all periods presented. The Company accrued approximately $91,000, $361,000 and $310,000 for the payment of interest and penalties at December 31, 2012, 2011 and 2010 respectively.

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 Statement of Financial Accounting Standard (FAS) -Number 109 -Paragraph 136, 172 -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. 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=6881521&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 15 -URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32718-109319 Reference 5: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Statement of Financial Accounting Standard (FAS) -Number 109 -Paragraph 43, 44, 45, 46, 47, 48, 49 -LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy. Reference 6: 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 7: 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 8: 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