Note 15 - Income Taxes

12 Months Ended

Dec. 31, 2011

Income Tax Disclosure [Text Block]

(15)         Income Taxes

Income tax provision (benefit) from continuing operations was as follows (in thousands):

Year Ended December 31,	2011		2010			2009
Current:
Federal	$	22,009	$	9,056		$	(5,117	)
State		3,598		1,613			(80	)
		25,607		10,669			(5,197	)
Deferred:
Federal		7,120		(1,664	)		8,704
State		681		(416	)		1,535
		7,801		(2,080	)		10,239
Total	$	33,408	$	8,589		$	5,042

At December 31, 2011, we had income taxes receivable totaling $6.2 million included as a component of other current assets on the Consolidated Balance Sheets and at December 31, 2010, we had income taxes payable totaling $0.3 million included as a component of accrued liabilities.

Individually significant components of the deferred tax assets and liabilities are presented below (in thousands):

December 31,	2011			2010
Deferred tax assets:
Deferred revenue and cancellation reserves	$	6,369		$	6,047
Allowances and accruals, including state tax carryforward amounts		20,234			16,324
Interest on derivatives		2,889			3,337
Goodwill		26,817			33,380
Capital loss carryforward		12,841			-
Total deferred tax assets		69,150			59,088
Deferred tax liabilities:
Inventories		(4,351	)		(3,503	)
Property and equipment, principally due to differences in depreciation		(16,418	)		(11,653	)
Prepaids and property taxes		(1,540	)		(1,471	)
Total deferred tax liabilities		(22,309	)		(16,627	)
Valuation allowance		(12,841	)		-
Total	$	34,000		$	42,461

We consider whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon future taxable income during the periods in which those temporary differences become deductible. We consider the scheduled reversal of deferred tax liabilities (including the impact of available carryback and carryforward periods), projected future taxable income and tax-planning strategies in making this assessment.

At December 31, 2011, we had a $12.8 million valuation allowance recorded associated with our deferred tax assets. We recorded this allowance in association with losses from the sale of corporate entities.  As these amounts are characterized as capital losses, we evaluated the availability of projected capital gains and determined that it would be unlikely these amounts would be fully utilized.  We will continue to evaluate if it is more likely than not that we will realize the benefits of these deductible differences. However, additional valuation allowance amounts could be recorded in the future if estimates of taxable income during the carryforward period are reduced.

At December 31, 2011, we had a number of state tax carryforward amounts totaling approximately $1.1 million, tax effected, with expiration dates through 2029.

The reconciliation between amounts computed using the federal income tax rate of 35% and our income tax provision from continuing operations for 2011, 2010 and 2009 is shown in the following tabulation (in thousands):

Year Ended December 31,	2011			2010			2009
Federal tax provision at statutory rate	$	31,200		$	7,315		$	4,117
State taxes, net of federal income tax benefit		3,439			917			632
Non-deductible expenses		205			211			320
Permanent differences related to the employee stock purchase program		25			155			17
Other		(1,461	)		(9	)		(44	)
Income tax provision	$	33,408		$	8,589		$	5,042

We did not have any unrecognized tax benefits at December 31, 2011 or 2010. No interest or penalties were included in our results of operations during 2011, 2010 or 2009, and we had no accrued interest or penalties at December 31, 2011 or 2010.

Open tax years at December 31, 2011 included the following:

Federal	2007-2010
13 states	2006-2010