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Income taxes | 12 Months Ended
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Dec. 28, 2013
Income Tax Disclosure [Abstract] |
Income Tax Disclosure [Text Block] | 14. Income T axes The provision for income taxes from continuing operations differs from the amount that would have resulted by applying the combined Canadian federal and provincial statuto ry income tax rate to earnings before income taxes due to the following:
|  |  |  | December 28, 2013 | December 29, 2012 | December 31, 2011
|  |  |  | $ | $ | $
Income tax provision (recovery) at combined |  |  |
| statutory rate | (232) | 9,392 | 7,773
Income (decrease) by the effects of: |  |  |
| Change in valuation allowance | 3,434 | (1,354) | (1,054)
| Impairment loss on investments | 2,799 | - | -
| Foreign tax rate differential | 2,535 | 2,820 | 824
| Change in unrecognized tax benefits | 153 | 180 | -
| Impact of substantively enacted tax rates | 29 | (406) | 1,036
| Benefits of intercompany financing structures | (626) | (210) | (1,231)
| Impact of foreign exchange | (224) | 18 | 194
| Impact of goodwill and intangible asset |  |  |
| Expiring non-capital losses and R&D credits |  |  |
|  | plus a change in Canadian capital losses | - | - | 2,002
| Other | (88) | 494 | 352
| Provision for income taxes | 7,780 | 10,934 | 9,896
The components of earnings (loss) from continuing operations before income taxes are shown below:
|  |  |  | December 28, 2013 | December 29, 2012 | December 31, 2011
|  |  |  | $ | $ | $
Canada | (15,945) | 9,070 | (1,559)
U.S. | 13,462 | 15,416 | 17,136
Other | 1,609 | 10,959 | 12,185
|  |  |  | (874) | 35,445 | 27,762
The components of the provision for (recovery of) income taxes are shown below:
|  |  |  | December 28, 2013 | December 29, 2012 | December 31, 2011
|  |  |  | $ | $ | $
Current income tax provision (recovery): |  |  |
| Canada | 402 | 250 | (468)
| U.S. | 5,434 | 3,123 | 3,534
| Other | 806 | 3,041 | 2,724
|  |  |  | 6,642 | 6,414 | 5,790
Deferred income tax provision (recovery): |  |  |
| Canada | 1,766 | 889 | 613
| U.S. | (728) | 3,648 | 3,121
| Other | 100 | (17) | 372
|  |  | 1,138 | 4,520 | 4,106
Provision for income taxes | 7,780 | 10,934 | 9,896
Deferred income taxes of the Company are comprised of the following:
|  |  |  | December 28, 2013 | December 29, 2012 | December 31, 2011
|  |  |  | $ | $ | $
Differences in property, plant and equipment |  |  |
| and intangible assets | (32,654) | (33,476) | (29,088)
Capital and non-capital losses | 14,822 | 16,076 | 16,240
Tax benefit of scientific research expenditures | 4,974 | 5,086 | 4,908
Tax benefit of costs incurred during share issuances | 354 | 368 | 191
Inventory basis differences | 2,106 | 1,944 | 2,423
Other accrued reserves | 3,863 | 1,241 | 2,124
|  |  | (6,535) | (8,761) | (3,202)
Less: valuation allowance | 6,535 | 3,145 | 4,547
Net deferred income tax liability | (13,070) | (11,906) | (7,749)
The components of the deferred income tax asset (liability) are shown below:
|  |  |  | December 28, 2013 | December 29, 2012 | December 31, 2011
|  |  |  | $ | $ | $
Canada | 6,053 | 7,848 | 11,278
U.S. | (15,475) | (16,721) | (16,009)
Other | (3,648) | (3,033) | (3,018)
| (13,070) | (11,906) | (7,749)
The components of the deferred income tax valuation allowance are as follows:
|  |  |  | December 28, 2013 | December 29, 2012 | December 31, 2011
|  |  |  | $ | $ | $
Balance, beginning of year | 3,145 | 4,547 | 5,880
Increase (decrease) in valuation allowance | 3,434 | (1,354) | (1,054)
Adjustments to valuation allowance as a result of |  |  |
| acquisitions and foreign exchange | (44) | (48) | (279)
Balance, end of year | 6,535 | 3,145 | 4,547
The Company has approximately $10,098 (December 29, 2012 - $10,847) in Canadian s cientific e xpenditures, which can be carried forward indefinitely to reduce future years' taxable income. The Company also has approximately $953 and $71 (December 29, 2012 – $958 and $71) in Canadian and U.S. scientific research investment t ax c redits and $166 (December 29, 2012 - $166) in Massachusetts research and development tax credits, which will expire in varyi ng amounts up to 2029. The Company has Canadian and U.S. federal non-capital loss carry-forwards of approximately $21,581 and $5,108, respectively, as at December 28, 2013 (December 29, 2012 - $28,821 and $11,517, respectively). The Company also has state loss carry-forwards of approximately $6,576 as at December 28, 2013 (December 29, 2012 - $11,311). The amounts are available to reduce future federal and provincial/state income taxes. Non-capital loss carry-forwards attributable to Canada and the U.S. expire in varying amounts over the next 20 years. The Company has Canadian capital losses of approximately $394 as at December 28, 2013 (December 29, 2012 - $845) for which a full valuation allowance exists. These amounts are available to reduce future capital gains and do not expire. The Company records net deferred tax assets to the extent it believes these assets will more likely than not be realized. In making such determinations, the Company considers all available positive and negative evidence, including future reversals of existing temporary differences, projected future taxable income, tax planning strategies and recent financial operations. Based on this evaluation, a valuation allowance of $6,535 (December 29, 2012 - $3,145) has been recorded against certain assets to reduce the net benefit recorded in the consolidated financial statements. The Company has not provided Canadian deferred taxes on cumulative earnings of non-Canadian affiliates and associated companies that have been reinvested indefinitely. Deferred taxes are provided for earnings of non-Canadian affiliates and associated companies when the Company determines that such earnings are no longer indefinitely reinvested. T he Company believes it has adequately examined its tax positions taken or expected to be taken in a tax return; however, amounts asserted by taxing authorities could differ from the Company's position s. Accordingly, additional provisions on federal, provincial, state and foreign tax-related matters could be recorded in the future as revised estimates are made or the underlying matters are settled or otherwise resolved. A reconciliation of the beginning and ending amount of unrecognized tax benefits (excluding interest and penalties) is presented below.
|  |  |  |  | December 28, 2013 | December 29, 2012
|  |  |  |  | $ | $
Balance, beginning of year | 2,757 | 2,568
Additions based on tax positions related to the current year | 153 | 189
Balance, end of year | 2,910 | 2,757
The Company's unrecognized tax benefits largely include a possible reduction to prior year losses for U.S. exposures relating to the deductibility of certain interest amount accrued. The Company believes that it is reasonably possible that a decrease in unrecognized tax benefits related to tax exposures in the U.S. may be necessary as statute limitations lapse beginning in 2015. Consistent with its historical financial reporting, the Company has classified interest and penalties related to income tax liabilities, when applicable, as part of interest expense in its consolidated statements of operations. The Company recognized $85 in potential interest and penalties associated with unrecognized tax benefits for the year ended December 28, 2013 (December 29, 2012 - $nil). The unrecognized tax benefits have been recorded in income taxes payable or as a reduction of long-term deferred tax assets. All of the unrecognized tax be nefits could impact the Company's effective tax rate if recognized. The number of years with open tax audits varies depending on the tax jurisdiction. The Company's major taxing jurisd ictions include Canada (including Ontario) the U.S. (including multiple states), and the Netherlands. The Company's 200 6 through 20 1 2 tax years (and any tax year for which available non-capital loss carry-forwards were generated up to the amount of non-capital loss carry-forward) remain subject to examination by the Internal Revenue Service for U.S. federal tax purposes, and the 200 6 through 20 1 2 tax years remain subject to examination by the appropriate governmental agencies for Canadian federal tax purposes. There are other ongoing audits in various other jurisdictions that are not considered material to the Company's consolidated financial statements.

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- 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=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 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 Reference 7: 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 8: 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. + Details
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