9. Income Taxes

The Company reported the following income tax for the periods indicated:


	Three Months Ended October 31,				Nine Months Ended October 31,
	2013		2012		2013		2012
	(in thousands)
Income tax expense	$	926	$	1,005	$	2,066	$	1,878

The Company recognized income tax expense of approximately $1.0 million for the three months ended October 31, 2013 and 2012, respectively. The estimated effective tax rate was 9.2% and 13.0% for the three months ended October 31, 2013 and 2012, respectively. The Company recognized income tax expense of approximately $2.1 million and $1.9 million for the nine months ended October 31, 2013 and 2012, respectively. The estimated effective tax rate was 9.3% and 11.4% for the nine months ended October 31, 2013 and 2012, respectively. The effective tax rate for the nine months ended October 31, 2013 was lower than the effective tax rate for the nine months ended October 31, 2012 primarily due to a change in the mix of earnings in various geographic jurisdictions between the two periods.

The Company files federal and state income tax returns in the United States and in various foreign jurisdictions. The tax years 2005 to 2013 remain open to examination by U.S. federal tax authorities and the tax years 2004 to 2010 remain open to examination by U.S. state tax authorities. The tax years 2010 to 2013 remain open to examination by material foreign tax authorities.

The Company is subject to ongoing tax examinations of our tax returns by the Internal Revenue Service and other tax authorities in various jurisdictions. The Company regularly assesses the likelihood of adverse outcomes resulting from these examinations to determine the adequacy of its provision for income taxes. These assessments can require considerable estimates and judgments. As of October 31, 2013, the gross amount of unrecognized tax benefits was approximately $3.2 million. If the estimates of income tax liabilities prove to be less than the ultimate assessment, then a further charge to expense would be required. If events occur and the payment of these amounts ultimately proves to be unnecessary, the reversal of the liabilities would result in tax benefits being recognized in the period in which the Company determines the liabilities are no longer necessary. The Company does not anticipate any material changes to its uncertain tax positions during the next twelve months.