Income Taxes (Tables)

12 Months Ended

Dec. 28, 2014

Domestic And Foreign Components Of Earnings From Continuing Operations Before Income Taxes

The domestic and foreign components of earnings from continuing operations before income taxes are:



(amounts in thousands)	December 28, 2014		December 29, 2013			December 30, 2012
Domestic	$	14,200	$	(11,014	)	$	(54,066	)
Foreign	19,974		12,914			(78,949		)
Total	$	34,174	$	1,900		$	(133,015	)

Domestic And Foreign Components Of Earnings From Continuing Operations Provision For Income Taxes

Provision for income taxes:



(amounts in thousands)	December 28, 2014			December 29, 2013			December 30, 2012
Currently payable
Federal	$	(41	)	$	(2,218	)	$	2,544
State	63			73			88
Puerto Rico	77			(275		)	354
Foreign	5,746			9,519			5,949
Total currently payable	5,845			7,099			8,935

Deferred
Federal	2,145			3,701			(792		)
State	14			35			227
Puerto Rico	—			314			763
Foreign	15,217			(7,478		)	(3,128		)
Total deferred	17,376			(3,428		)	(2,930		)
Total provision	$	23,221		$	3,671		$	6,005

Deferred Tax Assets And Liabilities

Deferred tax assets/liabilities at December 28, 2014 and December 29, 2013 consist of:



(amounts in thousands)	December 28, 2014			December 29, 2013
Inventory	$	3,821		$	4,472
Accounts receivable	1,093			2,279
Capitalized research and development costs	23,938			22,986
Financing liability	7,276			9,168
Net operating loss and foreign tax credit carryforwards	88,442			101,396
Interest carryforward	4,661			6,691
Deferred revenue	1,455			988
Pension	17,967			13,221
Uncertain tax positions	11,628			11,190
Deferred compensation	3,278			2,871
Stock based compensation	8,861			8,756
Depreciation	1,623			1,851
Other	4,557			4,847
Valuation allowance	(148,838		)	(145,508		)
Deferred tax assets	29,762			45,208
Intangibles	10,831			10,756
Unremitted earnings	6,177			2,983
Deferred tax liabilities	17,008			13,739
Net deferred tax assets	$	12,754		$	31,469

Reconciliation Of The Tax Provision At The Statutory U.S. Federal Income Tax Rate With The Tax Provision At The Effective Income Tax Rate

A reconciliation of the tax provision at the statutory U.S. Federal income tax rate with the tax provision at the effective income tax rate follows:



(amounts in thousands)	December 28, 2014			December 29, 2013			December 30, 2012
Tax provision at the statutory federal income tax rate	$	11,961		$	665		$	(46,555	)
Unremitted earnings	4,281			60			690
Non-deductible permanent items	1,220			1,677			1,566
Non-deductible goodwill impairment	—			—			32,503
State and local income taxes, net of federal benefit	55			82			(467		)
Current year income or losses with no tax benefit or expense recognized due to valuation allowance	(8,551		)	(165		)	38,606
Effect of foreign operations	3,143			1,041			(19,198		)
Potential tax contingencies	(634		)	160			(1,052		)
Change in valuation allowance	11,297			(125		)	283
Stock based compensation	316			315			994
Other	133			(39		)	(1,365		)
Tax provision at the effective tax rate	$	23,221		$	3,671		$	6,005

Reconciliation Of The Beginning And Ending Amount Of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:



(amounts in thousands)	December 28, 2014			December 29, 2013			December 30, 2012
Gross unrecognized tax benefits at beginning of year	$	26,592		$	24,436		$	22,543
Increases in tax positions for prior years	585			910			225
Decreases in tax positions for prior years	—			(1,083		)	(1,068		)
Increases in tax positions for current year	1,164			4,003			5,209
Settlements	—			—			(683		)
Acquisition reserves	—			—			1,166
Lapse in statute of limitations	(2,442		)	(1,674		)	(2,956		)
Gross unrecognized tax benefits at end of year	$	25,899		$	26,592		$	24,436

- Definition

Tabular disclosure of tax positions taken in the tax returns filed or to be filed for which it is more likely than not that the tax position will not be sustained upon examination by taxing authorities (i.e., uncertain tax positions) and other types of income tax contingencies, including: (1) the policy on classification of interest and penalties; (2) a tabular reconciliation of the total amounts of unrecognized tax benefits at the beginning and end of the period; the total amount(s) of: (3) unrecognized tax benefits that, if recognized, would affect the effective tax rate, and (4) interest and penalties recognized in each of the income statement and balance sheet; (5) for positions for which it is reasonably possible that the total amounts unrecognized will significantly change within 12 months of the reporting date the: (i) nature of the uncertainty, (ii) nature of the event that could occur that would cause the change, and (iii) an estimate of the range of the reasonably possible change or a statement that an estimate of the range cannot be made; and (6) a description of tax years that remain subject to examination by major tax jurisdictions.

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