Income Taxes	9 Months Ended
Sep. 30, 2013
Income Taxes	9. Income Taxes Our income tax provision was $2.0 million expense and $1.6 million benefit for the three months ended September 30, 2013 and 2012, and $4.4 million expense for both the nine months ended September 30, 2013 and 2012, respectively. Our effective tax rate was 52.8% expense and 9.6% benefit for the three months ended September 30, 2013 and 2012, and 329.5% and 24.7% expense for the nine months ended September 30, 2013 and 2012, respectively. Our effective tax rates differed from the U.S. corporate statutory tax rate of 35.0%, primarily due to the mix of pre-tax income or loss earned in certain jurisdictions and the change in our valuation allowance. As of September 30, 2013 and December 31, 2012, a valuation allowance of $98.3 million and $90.4 million, respectively, has been provided for net operating loss carryforwards and other deferred tax assets. We record a valuation allowance when it is more likely than not that some portion, or all, of the deferred tax assets will not be realized. We increased our valuation allowance by $3.6 million for the three months ended September 30, 2013, of which $3.5 million represents current period net operating losses and $0.1 million represents changes in other comprehensive income (loss). We increased our valuation allowance by $9.8 million for the three months ended September 30, 2012, due to net operating losses. We increased our valuation allowance by $7.9 million for the nine months ended September 30, 2013, of which $8.0 million represents current period net operating losses, partially offset by $0.1 million, which represents changes in other comprehensive income (loss). We increased our valuation allowance by $9.6 million for the nine months ended September 30, 2012, due to net operating losses. Excluding the change in our valuation allowance, our effective tax rate would have been 38.3% and 66.4% benefit for the three months ended September 30, 2013 and 2012, respectively, and a 276.9% and 29.1% benefit for the nine months ended September 30, 2013 and 2012, respectively, primarily due to the mix of pre-tax income or loss earned in certain tax jurisdictions. As of September 30, 2013 and December 31, 2012, we had total unrecognized tax benefits of $6.9 million and $5.1 million, respectively, related to uncertain foreign tax positions, all of which, if recognized, would impact our effective tax rate. During the three months ended September 30, 2013 and 2012, we had an increase in uncertain tax positions of $0.7 million and $0.4 million, respectively, and $1.8 million and $1.5 million during the nine months ended September 30, 2013 and 2012, respectively, primarily related to uncertain tax positions in Europe. We recorded interest and penalties related to unrecognized tax benefits within our provision for income taxes. We believe that no current tax positions that have resulted in unrecognized tax benefits will significantly increase or decrease within one year. We file income tax returns in the U.S. federal jurisdiction and in various state and foreign jurisdictions. For our U.S. federal income tax returns, the statute of limitations has expired through the tax year ended December 31, 2003. As a result of net operating loss carryforwards from 2004, the statute of limitations remains open for all years subsequent to 2003. In addition, open tax years for state and foreign jurisdictions remain subject to examination.

9. Income Taxes

Our income tax provision was $2.0 million expense and $1.6 million benefit for the three months ended September 30, 2013 and 2012, and $4.4 million expense for both the nine months ended September 30, 2013 and 2012, respectively. Our effective tax rate was 52.8% expense and 9.6% benefit for the three months ended September 30, 2013 and 2012, and 329.5% and 24.7% expense for the nine months ended September 30, 2013 and 2012, respectively. Our effective tax rates differed from the U.S. corporate statutory tax rate of 35.0%, primarily due to the mix of pre-tax income or loss earned in certain jurisdictions and the change in our valuation allowance.

As of September 30, 2013 and December 31, 2012, a valuation allowance of $98.3 million and $90.4 million, respectively, has been provided for net operating loss carryforwards and other deferred tax assets. We record a valuation allowance when it is more likely than not that some portion, or all, of the deferred tax assets will not be realized. We increased our valuation allowance by $3.6 million for the three months ended September 30, 2013, of which $3.5 million represents current period net operating losses and $0.1 million represents changes in other comprehensive income (loss). We increased our valuation allowance by $9.8 million for the three months ended September 30, 2012, due to net operating losses. We increased our valuation allowance by $7.9 million for the nine months ended September 30, 2013, of which $8.0 million represents current period net operating losses, partially offset by $0.1 million, which represents changes in other comprehensive income (loss). We increased our valuation allowance by $9.6 million for the nine months ended September 30, 2012, due to net operating losses. Excluding the change in our valuation allowance, our effective tax rate would have been 38.3% and 66.4% benefit for the three months ended September 30, 2013 and 2012, respectively, and a 276.9% and 29.1% benefit for the nine months ended September 30, 2013 and 2012, respectively, primarily due to the mix of pre-tax income or loss earned in certain tax jurisdictions.

As of September 30, 2013 and December 31, 2012, we had total unrecognized tax benefits of $6.9 million and $5.1 million, respectively, related to uncertain foreign tax positions, all of which, if recognized, would impact our effective tax rate. During the three months ended September 30, 2013 and 2012, we had an increase in uncertain tax positions of $0.7 million and $0.4 million, respectively, and $1.8 million and $1.5 million during the nine months ended September 30, 2013 and 2012, respectively, primarily related to uncertain tax positions in Europe. We recorded interest and penalties related to unrecognized tax benefits within our provision for income taxes. We believe that no current tax positions that have resulted in unrecognized tax benefits will significantly increase or decrease within one year.

We file income tax returns in the U.S. federal jurisdiction and in various state and foreign jurisdictions. For our U.S. federal income tax returns, the statute of limitations has expired through the tax year ended December 31, 2003. As a result of net operating loss carryforwards from 2004, the statute of limitations remains open for all years subsequent to 2003. In addition, open tax years for state and foreign jurisdictions remain subject to examination.