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Note 5 - Income Taxes
 3 Months Ended
Aug. 31, 2014
Income Tax Disclosure [Abstract]  
Income Tax Disclosure [Text Block]

5.

Income Taxes


The provision for income taxes for the three months ended August 31, 2014 was $1.3 million. The effective tax rate for the three months ended August 31, 2014 was 36%, compared to 34% for the first quarter of fiscal year 2014. The effective tax rate for the three months ended August 31, 2014 was higher than the statutory federal income tax rate of 35% due to several factors, including state taxes, domestic manufacturing deductions, non-deductible stock-based compensation expense and the benefit of federal and state research and development credits.


As of August 31, 2014 and May 25, 2014, the Company had unrecognized tax benefits of approximately $1.1 million and $1.0 million, respectively.  Included in the balance of unrecognized tax benefits as of August 31, 2014 and May 25, 2014 is approximately $850,000 and $817,000, respectively, of tax benefits that, if recognized, would result in an adjustment to the Company’s effective tax rate.  The Company does not expect its unrecognized tax benefits to change significantly within the next twelve months.


The Company has elected 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 August 31, 2014 and May 25, 2014.


Due to tax attribute carryforwards, the Company is subject to examination for tax years 1997 forward for U.S. tax purposes. The Company is also subject to examination in various state jurisdictions for tax years 1998 forward, none of which were individually material.