Income Taxes (Tables)

12 Months Ended

Dec. 31, 2013

Schedule of Income before Income Tax, Domestic and Foreign

Income (loss) from continuing operations before taxes was as follows:



	Years Ended
	December 31, 2013		December 31, 2012			December 31, 2011
	(In thousands)

U.S.	$	3,318	$	(12,827	)	$	3,372
Foreign	876		2,643			(2,363		)
Total	$	4,194	$	(10,184	)	$	1,009

Schedule of Components of Income Tax Expense (Benefit)

Income tax expense consists of the following:



	Years Ended
	December 31, 2013			December 31, 2012			December 31, 2011
				(In thousands)

Current:
Federal	$	223		$	72		$	1,358
State	91			(1,518		)	(152		)
Foreign	1,048			763			950
Total current income tax expense (benefit)	$	1,362		$	(683	)	$	2,156
Deferred:
Federal	$	(1,766	)	$	781		$	(652	)
State	(1,294		)	10			(116		)
Foreign	202			110			(2,144		)
Total deferred income tax expense (benefit)	$	(2,858	)	$	901		$	(2,912	)
Total income tax expense (benefit)	$	(1,496	)	$	218		$	(756	)

Schedule of Effective Income Tax Rate Reconciliation

The following reconciles income taxes computed at the U.S. statutory federal tax rate to income tax expense (benefit):



	Years Ended
	December 31, 2013			December 31, 2012*			December 31, 2011*


Income tax at U.S. statutory rate	$	1,425		$	(3,463	)	$	343
State income taxes, net of federal benefit	172			(52		)	193
Foreign taxes, rate differential	298			163			(27		)
Transaction costs	570			3			15
Indefinite life goodwill	505			791			540
Federal and state research and developmental credits	(1,422		)	(1,764		)	(1,047		)
Equity compensation	174			413			145
Change in tax rate	418			(182		)	2
Meals, entertainment and club dues	424			282			124
Change in uncertain tax positions	31			(2,050		)	(316		)
Alternative minimum tax	139			200			358
Section 956 inclusion	515			330			—
Contingent consideration	934			366			340
Other	314			471			(125		)
Change in valuation allowance	(5,993		)	4,710			(1,301		)
Income tax expense (benefit)	$	(1,496	)	$	218		$	(756	)

* Amounts for the years ended December 31, 2012 and December 31, 2011 have been recast to conform to current year presentation.

Schedule of Deferred Tax Assets and Liabilities

Significant components of our deferred tax assets and liabilities are as follows:



	December 31, 2013			December 31, 2012*
	(In thousands)
Deferred tax assets:
Net operating loss carryforwards	$	34,617		$	35,227
Tax credits	10,845			6,534
Accruals and reserves	8,880			12,613
Property and equipment	3,205			5,567
Long term investments	1,109			6,519
Other deferred tax assets	313			485
Total gross deferred tax assets	$	58,969		$	66,945
Deferred tax liabilities:
Intangible assets	12,323			11,757
Indefinite lived intangible assets	5,038			4,533
Total gross deferred tax liabilities	$	17,361		$	16,290

Total net deferred tax assets	$	41,608		$	50,655
Valuation allowance for deferred tax assets	(46,319		)	(52,670		)
Net deferred taxes	$	(4,711	)	$	(2,015	)

* Amounts for the year ended December 31, 2012 have been recast to conform to current year presentation.

Schedule of Unrecognized Tax Benefits Roll Forward

Following is a tabular reconciliation of the Unrecognized Tax Benefits (“UTB”) activity during the year ended December 31, 2013 (excluding interest and penalties):




	(In thousands)
Balance at December 31, 2010	$	17,761
Additions based on tax positions related to the current year	189
Reductions for tax positions of prior year	—
Settlements	—
Reductions due to lapse of applicable statute of limitations	(747		)
Impact of foreign currency fluctuations	(1,559		)
Balance at December 31, 2011	$	15,644
Additions based on tax positions related to the current year	909
Additions based on tax positions of prior year	611
Settlements	—
Reductions due to lapse of applicable statute of limitations	(2,393		)
Impact of foreign currency fluctuations	95
Balance at December 31, 2012	$	14,866
Additions based on tax positions related to the current year	295
Additions for tax positions of prior year	6,818
Reductions for tax positions of prior year	(1,691		)
Settlements	—
Reductions due to lapse of applicable statute of limitations	—
Impact of foreign currency fluctuations	179
Balance at December 31, 2013	$	20,467