INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2013

The domestic and foreign source component of income (loss) from continuing operations before income taxes was:



	Year Ended December 31,
	2013			2012
U.S.	$	(15,452	)	$	(21,244	)
Foreign	9,276			10,872
Total	$	(6,176	)	$	(10,372	)

Schedule of Components of Income Tax Expense (Benefit)

Significant components of the provision for income taxes from continuing operations were:



	Year Ended December 31,
	2013			2012
Current:
Federal	$	—		$	(548	)
State	—			(77		)
Foreign	(29		)	499
Total current (benefit)	$	(29	)	$	(126	)

Deferred:
Federal	$	25		$	(10	)
State	2			(1		)
Foreign	232			253
Total deferred expense	$	259		$	242

Income tax expense	$	230		$	116

Schedule of Deferred Tax Assets and Liabilities

Significant components of deferred tax assets and deferred tax liabilities included in the accompanying consolidated balance sheets as of December 31, 2013 and 2012 were:



	Year Ended December 31,
	2013			2012
Current deferred tax assets (liabilities):
Accrued restructuring costs	$	(41	)	$	218
Other accrued liabilities	15			90
Derivative instruments	816			(176		)
Prepaid expenses	(209		)	(480		)
Cumulative translation adjustment	(1,397		)	(1,760		)
Other	373			438
Total current net deferred tax liabilities	$	(443	)	$	(1,670	)

Long-term deferred tax assets (liabilities):
Fixed assets	$	2,969		$	3,385
Accrued stock compensation	3,085			2,556
Accrued restructuring costs	47			89
Foreign tax credit carryforward	—			525
Work opportunity credit carryforward	4,988			4,988
Operating loss carryforward	10,653			8,443
Intangibles and goodwill	22			—
Other	221			114
Total long-term net deferred tax assets	$	21,985		$	20,100

Subtotal	$	21,542		$	18,430
Valuation allowance	(20,000		)	(16,602		)

Total net deferred tax asset	$	1,542		$	1,828

Schedule of Effective Income Tax Rate Reconciliation

Differences between U.S. federal statutory income tax rates and our effective tax rates for the years ended December 31, 2013 and 2012 for continuing operations were:



	Year Ended December 31,
	2013		2012
U.S. statutory tax rate	35.0	%	35.0	%
Effect of state taxes (net of federal benefit)	-1.0	%	5.8	%
Effect of change in Canadian tax rate	1.5	%	-0.3	%
Other permanent differences (including meals and entertainment)	1.8	%	-0.4	%
Stock based compensation	-0.9	%	-0.8	%
Rate differential on foreign earnings	48.5	%	29.5	%
Foreign income taxed in the U.S.	-95.0	%	-43.2	%
Uncertain tax positions	19.5	%	-45.4	%
Unremitted foreign earnings of subsidiary	27.7	%	-16.5	%
Tax expense allocation to other comprehensive income	—	%	6.1	%
Valuation allowance	-33.5	%	28.0	%
Expiration of foreign tax credit carryforward	-8.5	%	—	%
Other, net	1.1	%	1.1	%
Total	-3.8	%	-1.1	%

Schedule of Unrecognized Tax Benefits Roll Forward

The following table indicates the changes to our unrecognized tax benefits for the years ended December 31, 2013 and 2012. The term “unrecognized tax benefits” in the accounting standards for income taxes refers to the differences between a tax position taken or expected to be taken in a tax return and the benefit measured and recognized in the financial statements. If recognized, all of these benefits would impact our income tax expense, before consideration of any related valuation allowance.



	Year Ended December 31,
	2013			2012
Unrecognized, January 1,	$	4,705		$	—
Additions based on tax positions taken in current year	1,090			4,705
Reductions based on tax positions taken in prior year	(2,293		)	—
Unrecognized, December 31,	$	3,502		$	4,705