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Income Taxes
 6 Months Ended
Mar. 25, 2012
Income Taxes [Abstract]  
Income Tax Disclosure [Text Block]
INCOME TAXES

The provision for income taxes includes deferred taxes and is based upon estimated annual effective tax rates in the tax jurisdictions in which we operate. Such annualization of effective tax rates can cause distortion in quarterly tax rates.
Income tax expense differs from the amounts computed by applying the U.S. federal income tax rate to income (loss) before income taxes. The reasons for these differences are as follows:
 
 
13 Weeks Ended
 
26 Weeks Ended
 
(Percent of Income Before Income Taxes)
March 25
2012

March 27
2011

March 25
2012

March 27
2011
 
 
 
 
 
 
 
Computed “expected” income tax expense (benefit)
(35.0
)
(35.0
)
(35.0
)
35.0
 
State income taxes, net of federal tax expense (benefit)
(3.2
)
(3.0
)
(3.2
)
3.0
 
Reorganization costs
2.2

—

5.2

—
 
Restricted Common Stock
—

—

—

4.4
 
Valuation allowance
(1.4
)
—

(0.6
)
—
 
Resolution of tax matters
0.6

22.4

3.3

1.8
 
Other
1.4

39.0

(3.0
)
1.4
 
 
(35.4
)
23.4

(33.3
)
45.6
 
In connection with the refinancing of debt under the Chapter 11 Proceedings, we realized substantial cancellation of debt income (“CODI”) for income tax purposes. However, this income was not immediately taxable for U.S. income tax purposes because the CODI resulted from the Company's reorganization under the U.S. Bankruptcy Code. For U.S. income tax reporting purposes, the Company is required to reduce certain tax attributes, including any net operating loss carryforwards, capital losses, certain tax credit carryforwards, and the tax basis in certain assets and liabilities, including debt, in a total amount equal to the tax gain on the extinguishment of debt.  As a result, we have begun recognizing additional interest expense deductions for income tax purposes beginning in February 2012.  The reduction in the basis of certain assets will result in reduced  depreciation expense for income tax purposes beginning in 2013.