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Income Taxes
6 Months Ended
Jun. 29, 2013
Income Taxes

Note 8. Income Taxes

The effective tax rates were 27.6% and 8.6%, respectively, for the three and six months ended June 29, 2013, and were 4.7% and 16.0%, respectively, for the comparable periods of 2012.

The effective tax rate in the six months ended June 29, 2013 included $2.0 million of 2012 federal research and development tax credit benefits recognized in the first quarter of 2013 as a result of the American Taxpayer Relief Act of 2012, passed in January 2013. This Act includes an extension of the federal research and development tax credit for the amounts paid or incurred after December 31, 2011 and before January 1, 2014. We recognized total federal research and development tax credit benefits of $2.5 million and $0.5 million in the first quarter and second quarter of 2013, respectively. We expect to continue to recognize approximately $0.5 million per quarter for these benefits throughout 2013. The effective tax rate for the three and six months ended June 30, 2012 included no federal research and development tax credit benefits. The effective tax rate for the three and six months ended June 30, 2012 included a benefit of $1.6 million as a result of the 2011 acquisition of LaBarge Inc., which allowed us to file state consolidated tax returns in certain states.

Our unrecognized tax benefits were $2.2 million and $1.7 million at June 29, 2013 and December 31, 2012, respectively. Most of these amounts, if recognized, would affect our annual income tax rate.