XML 73 R12.htm IDEA: XBRL DOCUMENT
v2.4.1.9

Income Taxes | 12 Months Ended
--- | ---
Dec. 31, 2014
Income Taxes | (3) Income Taxes The components of income tax (benefit) expense are:
|  | 2014 |  |  | 2013 |  |  | 2012 |
Current: |  |  |  |  |  |  |  |  |  |  |  |
Federal |  | $ | (4,256 | ) |  | $ | 12,285 |  |  | $ | 17,448 |
State |  |  | 251 |  |  |  | 3,007 |  |  |  | 2,528 |
Foreign |  |  | 934 |  |  |  | 1,101 |  |  |  | 1,027 |
Deferred: |  |  |  |  |  |  |  |  |  |  |  |
Federal |  |  | 3,492 |  |  |  | 2,213 |  |  |  | (590 | )
State |  |  | (872 | ) |  |  | 310 |  |  |  | (387 | )
|  | $ | (451 | ) |  | $ | 18,916 |  |  | $ | 20,026 |
Total income tax expense differed from the amounts computed by applying the U.S. Federal income tax rate of 35.0% to income before income tax expense as a result of the following:
|  | 2014 |  |  | 2013 |  |  | 2012 |
Computed tax expense at statutory federal rates |  | $ | 1,536 |  |  | $ | 18,678 |  |  | $ | 19,911 |
Increase (decrease) in taxes resulting from: |  |  |  |  |  |  |  |  |  |  |  |
State taxes, net of federal income tax benefit |  |  | (11 | ) |  |  | 1,983 |  |  |  | 1,947 |
Domestic production deduction |  |  | 420 |  |  |  | (1,142 | ) |  |  | (1,661 | )
Income tax credits |  |  | (728 | ) |  |  | (724 | ) |  |  | (395 | )
Foreign tax rate differential |  |  | (2,159 | ) |  |  | (1,459 | ) |  |  | (195 | )
Subpart F income |  |  | 338 |  |  |  | — |  |  |  | 87 |
Other expenses |  |  | 153 |  |  |  | 1,580 |  |  |  | 332 |
|  | $ | (451 | ) |  | $ | 18,916 |  |  | $ | 20,026 |
The components of income before provision for income tax expense (benefit) are as follows:
|  | 2014 |  |  | 2013 |  |  | 2012 |
Domestic |  | $ | (5,196 | ) |  | $ | 46,520 |  |  | $ | 53,361 |
Foreign |  |  | 8,840 |  |  |  | 7,314 |  |  |  | 3,491 |
|  | $ | 3,644 |  |  | $ | 53,834 |  |  | $ | 56,852 |
Temporary differences between the financial statement carrying amounts and tax bases of assets and liabilities that give rise to significant portions of the net deferred tax liability at December 31, 2014 and 2013 relate to the following:
|  | 2014 |  |  | 2013 |
Current: |  |  |  |  |  |  |  |
Inventories |  | $ | 5,558 |  |  | $ | 4,398 |
State income taxes |  |  | (633 | ) |  |  | (331 | )
Vacation pay accrual |  |  | 776 |  |  |  | 648 |
Accrued bonuses |  |  | 95 |  |  |  | 1,791 |
Bad debt |  |  | 45 |  |  |  | 169 |
Prepaid expenses |  |  | (1,314 | ) |  |  | (1,929 | )
Stock compensation |  |  | 2,446 |  |  |  | 1,281 |
Other |  |  | 1,758 |  |  |  | 494 |
Net deferred tax asset |  | $ | 8,731 |  |  | $ | 6,521 |
Non-Current: |  |  |  |  |  |  |  |
Plant and equipment, principally due to differences in depreciation and capitalized interest |  | $ | (28,365 | ) |  | $ | (25,662 | )
NOL Carryforward |  |  | 361 |  |  |  | — |
Tax credit |  |  | 319 |  |  |  | 14 |
Fair value adjustment |  |  | — |  |  |  | 207 |
Other |  |  | (474 | ) |  |  | 2,111 |
Net deferred tax liability |  |  | (28,159 | ) |  |  | (23,330 | )
Total net deferred tax liability |  | $ | (19,428 | ) |  | $ | (16,809 | )
The following is a roll-forward of the Company’s total gross unrecognized tax liabilities, not including interest and penalties, for the fiscal year ended December 31, 2014:
|  | 2014 |  |  | 2013 |
|  | Gross Unrecognized Tax Liabilities |  |  | Gross Unrecognized Tax Liabilities |
Balance at December 31, 2013 |  | $ | 1,692 |  |  | $ | 282 |
Additions for tax positions related to the current year |  |  | 140 |  |  |  | 1,290 |
Additions for tax positions related to the prior year |  |  | 499 |  |  |  | 161 |
Deletion for tax positions related to the prior year |  |  | (373 | ) |  |  | (41 | )
Balance at December 31, 2014 |  | $ | 1,958 |  |  | $ | 1,692 |
The Company recognizes accrued interest and penalties related to unrecognized tax benefits in the provision for income taxes in the Company’s consolidated financial statements. For the year ended December 31, 2014, the Company had recognized approximately $215 in interest and penalties related to unrecognized tax benefits accrued. It is expected that the amount of unrecognized tax benefits will change within the next 12 months; however we do not expect the change to have a significant impact on our consolidated financial statements. At this time, an estimate of the range of the reasonable possible outcomes cannot be made. The Company believes it is more likely than not that the deferred tax assets detailed in the table above will be realized in the normal course of business. It is the intent of the Company that undistributed earnings of foreign subsidiaries are permanently reinvested and, accordingly, no provision for United States federal and state income taxes has been provided thereon. This amounted to $23,803 and $16,202 as of December 31, 2014 and December 31, 2013, respectively. Upon distribution of earnings in the form of dividends or otherwise, the Company would be subject to both United States income taxes (subject to adjustment for foreign tax credits) and withholding taxes payable to the various foreign countries. Determination of the unrecognized deferred United States income tax liability is not practical due to the complexities of a hypothetical calculation. The Company is subject to U.S. federal income tax as well as to income tax in multiple state jurisdictions. Federal income tax returns of the Company are subject to IRS examination for the 2011 through 2013 tax years. State income tax returns are subject to examination for the 2010 through 2013 tax years. The Company’s research and development credit is currently under audit by the California Franchise Tax Board for the years ended December 31, 2004 through December 31, 2006. In February 2015, the Company has agreed in principle to settle this matter for partial payment of the claimed refund plus interest.

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