Income Taxes (Tables)

12 Months Ended

Dec. 31, 2013

Pre-Tax Income (Loss)

Pre-tax income (loss) consisted of the following for the years ended December 31 (in thousands):

	2013			2012		2011
Domestic	$	(20,863	)	$	13,315	$	12,135
Foreign		6,075			9,767		9,550
Total	$	(14,788	)	$	23,082	$	21,685

Reconciliation of Income Taxes Computed at Statutory Rate

A reconciliation of income taxes computed at the statutory rates to the reported income tax (benefit) provision for the years ended December 31 is as follows (in thousands):

	2013			2012			2011
Federal provision at statutory rate	$	(5,176	)	$	8,079		$	7,590
U.S./foreign tax rate differential		(809	)		665			555
Foreign non-deductible expenses		1,174			1,557			—
Foreign tax provision		114			83			582
State taxes, net of federal benefit		1,009			1,194			37
Change in uncertain tax positions		(253	)		(359	)		184
Change in valuation allowance		856			(43,804	)		(3,951	)
Tax credits		(326	)		(37	)		(259	)
Share-based compensation		636			539			325
Reduction of prior year’s tax attributes		—			255			(1,424	)
Permanent goodwill		—			—			(412	)
Entity reclassification gain		—			4,167			—
Other		438			713			(132	)
(Benefit) provision for income taxes	$	(2,337	)	$	(26,948	)	$	3,095

Provision (Benefit) for Income Taxes

The (benefit) provision for income taxes for the years ended December 31 is as follows (in thousands):

	2013									2012									2011
	Current Provision			Deferred Provision			Total Provision			Current Provision			Deferred Provision			Total Provision			Current Provision			Deferred Provision			Total Provision
Federal	$	(2,689	)	$	(1,837	)	$	(4,526	)	$	(6,295	)	$	(31,676	)	$	(37,971	)	$	(240	)	$	(817	)	$	(1,057	)
State and local		17			994			1,011			854			1,023			1,877			857			(533	)		324
Foreign		731			447			1,178			9,281			(135	)		9,146			3,482			346			3,828
Total	$	(1,941	)	$	(396	)	$	(2,337	)	$	3,840		$	(30,788	)	$	(26,948	)	$	4,099		$	(1,004	)	$	3,095

Summary of Deferred Income Taxes Assets and Liabilities

A summary of deferred income tax assets and liabilities as of December 31 is as follows (in thousands):

	2013			2012
Current deferred tax assets (liabilities):
Accounts receivable	$	202		$	306
Inventories		3,265			3,318
Warranty costs		2,302			1,874
Foreign exchange contracts		(58	)		(157	)
Accrued benefits		1,993			1,945
Other accruals not currently deductible for tax purposes		1,044			1,453
		8,748			8,739
Valuation allowance		(568	)		(532	)
Net current deferred tax assets	$	8,180		$	8,207
Noncurrent deferred tax (liabilities) assets:
Amortization and fixed assets	$	8,516		$	13,620
Pension obligation		4,913			8,828
Net operating loss carryforwards		27,613			18,365
Tax credit carryforwards		1,823			1,631
Stock options		410			608
Other temporary differences not currently available for tax purposes		(2,617	)		(2,478	)
		40,658			40,574
Valuation allowance		(16,621	)		(16,960	)
Net noncurrent deferred tax assets	$	24,037		$	23,614
Total deferred tax asset	$	32,217		$	31,821

Reconciliation of Beginning and Ending Amount of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits (including interest and penalties) at December 31 is as follows (in thousands):

	2013			2012			2011
Balance — Beginning of the year	$	444		$	851		$	666
Gross increase — tax positions in prior periods		—			162			235
Gross decreases — tax positions in prior periods		(257	)		(523	)		(48	)
Gross increases — current period tax positions		2			20			—
Lapse of statute of limitations		—			(66	)		(2	)
Balance — End of the year	$	189		$	444		$	851