7. Income Taxes

The provision for income taxes consists of the following:


	Three Months Ended June 30,						Six Months Ended June 30,
	2013			2012			2013			2012
	(In thousands)
Current:
Federal	$	9,089		$	(2,554	)	$	12,597		$	1,011
State and local		1,819			(298	)		2,898			872
Foreign		418			(31	)		290			(121	)

Total current provision		11,326			(2,883	)		15,785			1,762

Deferred:
Federal		989			9,473			4,736			13,018
State and local		184			2,120			863			2,992
Foreign		(331	)		(139	)		(229	)		54

Total deferred provision		842			11,454			5,370			16,064

Provision for income taxes	$	12,168		$	8,571		$	21,155		$	17,826

The following is a summary of the Company’s net deferred tax assets:


	As of
	June 30, 2013			December 31, 2012
	(In thousands)
Deferred tax assets and liabilities	$	5,210		$	10,169
Valuation allowance		(699	)		(727	)

Deferred tax assets, net	$	4,511		$	9,442

The Company or one of its subsidiaries files U.S. federal, state and foreign income tax returns. No income tax returns have been audited, with the exception of New York city (through 2003) and state (through 2006) and Connecticut state (through 2003) tax returns. Examinations of the Company’s federal tax return for 2011 and New York state franchise tax returns for 2007 through 2009 are currently underway. The Company cannot estimate when the examinations will conclude.

Effective January 1, 2013, the Company has determined that unremitted earnings of its foreign subsidiaries will be considered indefinitely reinvested outside of the United States. There were no aggregate unremitted earnings as of December 31, 2012 and the impact of the reinvestment decision was immaterial to the income tax provision for the three and six months ended June 30, 2013.