INCOME TAXES (Tables)

12 Months Ended

Dec. 31, 2012

Components of Income Tax Expense (Benefit)

Components of income tax expense/(benefit) are as follows (amounts in thousands):

	Year Ended December 31,
	2012			2011		2010
Current
Federal	$	254,021		$	165,409	$	105,077
Foreign		9,084			300		2,555
State		39,076			22,901		16,547
		302,181			188,610		124,179
Deferred
Federal and foreign		(21,408	)		53,056		26,419
State		(6,157	)		5,800		1,704
		(27,565	)		58,856		28,123
Total	$	274,616		$	247,466	$	152,302

Components of Deferred Taxes

The components of deferred taxes are as follows (amounts in thousands):

	Year Ended December 31,
	2012			2011
Deferred income tax assets:
Self-insurance reserves	$	112,587		$	115,201
Compensation accruals		47,571			49,717
State and foreign net operating loss carryforwards and other state and foreign deferred tax assets		54,874			52,506
Other currently non-deductible accrued liabilities		29,934			19,699
Net pension liability—OCI only		12,061			13,959
Doubtful accounts and other reserves		17,562			17,345
Other combined items—OCI only		15,282			17,684
		289,871			286,111
Less: Valuation Allowance		(44,511	)		(42,143	)
Net deferred income tax assets:		245,360			243,968
Deferred income tax liabilities:
Depreciable and amortizable assets		(322,317	)		(342,655	)
Other deferred tax liabilities		(2,329	)		(2,581	)
Net deferred income tax liabilities	$	(79,286	)	$	(101,268	)

Effective Tax Rates Calculation

The effective tax rates, as calculated by dividing the provision for income taxes by income before income taxes, were as follows for each of the years ended December 31, 2012, 2011 and 2010 (dollar amounts in thousands):

	2012			2011			2010
Provision for income taxes	$	274,616		$	247,466		$	152,302
Income before income taxes		763,663			696,336			428,097
Effective tax rate		36.0	%		35.5	%		35.6	%

Reconciliation Between Federal Statutory Rate and Effective Tax Rate

A reconciliation between the federal statutory rate and the effective tax rate is as follows:

	Year Ended December 31,
	2012			2011			2010
Federal statutory rate		35.0	%		35.0	%		35.0	%
State taxes, net of federal income tax benefit		3.0			2.9			3.1
Nondeductible transaction costs		0.2			—			1.3
Other items		0.1			0.4			0.4
Impact of income attributable to noncontrolling interests		(2.3	)		(2.8	)		(4.2	)
Effective tax rate		36.0	%		35.5	%		35.6	%

Net Deferred Tax Assets and Liabilities

The net deferred tax assets and liabilities are comprised as follows (amounts in thousands):

	Year Ended December 31,
	2012			2011
Current deferred taxes
Assets	$	105,639		$	109,297
Liabilities		(1,178	)		(973	)
Total deferred taxes-current		104,461			108,324
Noncurrent deferred taxes
Assets		142,065			135,189
Liabilities		(325,812	)		(344,781	)
Total deferred taxes-noncurrent		(183,747	)		(209,592	)
Total deferred tax liabilities	$	(79,286	)	$	(101,268	)

Reconciliation of Unrecognized Tax Benefits

The tabular reconciliation of unrecognized tax benefits for the years ended December 31, 2012, 2011 and 2010 is as follows (amounts in thousands).

	As of December 31,
	2012			2011			2010
Balance at January 1,	$	7,403		$	7,923		$	5,754
Additions based on tax positions related to the current year		200			750			1,219
Additions for tax positions of prior years		386			419			2,076
Reductions for tax positions of prior years		(1,165	)		(1,628	)		(907	)
Settlements		—			(61	)		(219	)
Balance at December 31,	$	6,824		$	7,403		$	7,923