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Note 8 - Income Taxes
 9 Months Ended
Feb. 24, 2013
Income Tax Disclosure [Text Block]
8.             Income Taxes

The provision for income taxes for the three and nine months ended February 24, 2013 was $2.8 million and $8.2 million, respectively.  The effective tax rate for the nine months ended February 24, 2013 was 31% compared to 38% for the same periods in fiscal year 2012. The effective tax rate for the nine months ended February 24, 2013 differs from the statutory federal income tax rate of 35% as a result of several factors, including state taxes, domestic manufacturing deduction, non-deductible stock-based compensation expense and the benefit of federal and state research and development credits.  In addition, the tax expense for the nine months ended February 24, 2013 includes discrete tax benefits for  tax adjustments related to the earn-out payment to the former GreenLine owners, disqualifying disposition on Incentive Stock Options, and reinstatement of a prior year research credit as a result of the American Taxpayer Relief Act of 2012. 

As of February 24, 2013, the Company had unrecognized tax benefits of approximately $1.0 million.  Included in the balance of unrecognized tax benefits as of February 24, 2013 is approximately $785,000 of tax benefits that, if recognized, would result in an adjustment to the Company’s effective tax rate. The Company does not expect to significantly change its unrecognized tax benefits within the next twelve months.

In accordance with accounting guidance, the Company has decided to classify interest and penalties related to uncertain tax positions as a component of its provision for income taxes.  The Company has accrued an insignificant amount of interest and penalties relating to the income tax on the unrecognized tax benefits as of February 24, 2013 and May 27, 2012.

Due to tax attribute carry forwards, the Company is subject to examination for tax years 1996 and later for U.S. tax purposes.  The Company was also subject to examination in various state jurisdictions for tax years 1998 and later, none of which were individually significant.