Note 8. Income Taxes (Tables)

12 Months Ended

Jun. 30, 2012

Income Taxes [Abstract]

Schedule of Deferred Tax Assets and Liabilities

The components of the deferred tax assets and liabilities as of June 30, 2012 and 2011, were as follows:

(Amounts in Thousands)	2012			2011
Deferred Tax Assets:
Receivables	$	1,492		$	1,420
Inventory	2,009			2,409
Employee benefits	640			608
Deferred compensation	12,885			12,092
Other current liabilities	1,313			1,583
Warranty reserve	767			698
Credit carryforwards	2,734			6,272
Restructuring	107			3,173
Goodwill	3,510			4,011
Net operating loss carryforward	5,698			5,749
Miscellaneous	4,322			2,698
Valuation Allowance	(1,911		)	(6,698		)
Total asset	$	33,566		$	34,015
Deferred Tax Liabilities:
Property & equipment	$	10,075		$	6,986
Capitalized software	62			115
Net foreign currency gains	—			1,677
Miscellaneous	494			597
Total liability	$	10,631		$	9,375
Net Deferred Income Taxes	$	22,935		$	24,640

Schedule of Income before Income Tax, Domestic and Foreign

The components of income (loss) before taxes on income are as follows:

	Year Ended June 30
(Amounts in Thousands)	2012		2011			2010
United States	$	7,831	$	(2,966	)	$	(8,434	)
Foreign	9,871		7,403			14,402
Total income before income taxes on income	$	17,702	$	4,437		$	5,968

Schedule of Components of Income Tax Expense (Benefit)

The provision (benefit) for income taxes is composed of the following items:

	Year Ended June 30
(Amounts in Thousands)	2012			2011			2010
Currently Payable (Refundable):
Federal	$	954		$	(2,527	)	$	(6,768	)
Foreign	1,849			(130		)	3,474
State	877			150			(305		)
Total current	3,680			(2,507		)	(3,599		)
Deferred Taxes:
Federal	1,784			1,090			1,407
Foreign	970			1,509			(1,553		)
State	(366		)	(577		)	(1,090		)
Total deferred	2,388			2,022			(1,236		)
Total provision (benefit) for income taxes	$	6,068		$	(485	)	$	(4,835	)

Schedule of Effective Income Tax Rate Reconciliation

A reconciliation of the statutory U.S. income tax rate to the Company's effective income tax rate follows:

	Year Ended June 30
	2012					2011					2010
(Amounts in Thousands)	Amount			%		Amount			%		Amount			%
Tax computed at U.S. federal statutory rate	$	6,196		35.0	%	$	1,553		35.0	%	$	2,089		35.0	%
State income taxes, net of federal income tax benefit	332			1.9		(277		)	(6.3	)	(907		)	(15.2	)
Foreign tax effect	(639		)	(3.6	)	(1,213		)	(27.3	)	(3,120		)	(52.3	)
Tax-exempt interest income	—			—		—			—		(169		)	(2.8	)
Research credit	(247		)	(1.4	)	(751		)	(16.9	)	(674		)	(11.3	)
Foreign subsidiary land and building gain	—			—		—			—		(2,236		)	(37.5	)
Other  - net	426			2.4		203			4.6		182			3.1
Total provision (benefit) for income taxes	$	6,068		34.3	%	$	(485	)	(10.9	)%	$	(4,835	)	(81.0	)%

Summary of Income Tax Contingencies

Changes in the unrecognized tax benefit, excluding accrued interest and penalties, during fiscal years 2012, 2011, and 2010 were as follows:

(Amounts in Thousands)	2012			2011			2010
Beginning balance - July 1	$	2,499		$	2,466		$	2,165
Tax positions related to prior fiscal years:
Additions	250			312			532
Reductions	(84		)	(77		)	(130		)
Tax positions related to current fiscal year:
Additions	—			96			74
Reductions	—			(42		)	—
Settlements	—			(74		)	(36		)
Lapses in statute of limitations	(41		)	(182		)	(139		)
Ending balance - June 30	$	2,624		$	2,499		$	2,466
Portion that, if recognized, would reduce tax expense and effective tax rate	$	2,190		$	2,125		$	2,097

Accrued Interest and Penalties on Unrecognized Tax Benefits

Amounts accrued for interest and penalties were as follows:

	As of June 30
(Amounts in Thousands)	2012		2011		2010
Accrued Interest and Penalties:
Interest	$	256	$	230	$	311
Penalties	85		86		117