Income Taxes (Tables)

12 Months Ended

May 31, 2013

Income Tax Disclosure [Abstract]

Components of income before income taxes

(In thousands)	2013		2012		2011
Income before income taxes consist of the following components:
U.S. operations	$	485,046	$	454,811	$	377,922
Foreign operations	14,862		16,133		14,747
	$	499,908	$	470,944	$	392,669

Components of income taxes

(In thousands)	2013		2012		2011
Income tax expense consists of the following components:
Current:
Federal	$	109,964	$	139,251	$	70,811
State and local	12,478		17,780		15,063
	122,442		157,031		85,874
Deferred	62,024		16,276		59,806
	$	184,466	$	173,307	$	145,680

Reconciliation of income tax expense using the statutory rate and actual income tax expense

(In thousands)	2013			2012			2011
Reconciliation of income tax expense using the statutory rate and actual income tax expense is as follows:
Income taxes at the U.S. federal statutory rate	$	174,968		$	164,830		$	137,434
State and local income taxes, net of federal benefit	12,192			11,876			11,984
Other	(2,694		)	(3,399		)	(3,738		)
	$	184,466		$	173,307		$	145,680

The components of deferred income taxes included on the consolidated balance sheets

The components of deferred income taxes included on the consolidated balance sheets are as follows:

(In thousands)	2013			2012
Deferred tax assets:
Allowance for doubtful accounts	$	5,322		$	5,577
Inventory obsolescence	12,220			11,507
Insurance and contingencies	33,984			28,708
Stock-based compensation	17,513			16,017
Foreign tax credit carry-forward	5,397			9,054
Treasury locks	8,020			9,032
Other	20,030			9,421
	102,486			89,316
Valuation allowance	(12,789		)	(9,054		)
	89,697			80,262
Deferred tax liabilities:
In service inventory	131,334			64,061
Property	123,904			122,675
Intangibles	99,267			88,696
State taxes and other	22,844			11,970
	377,349			287,402
Net deferred tax liability	$	287,652		$	207,140

A reconciliation of the beginning and ending amount of unrecognized tax benefits

A reconciliation of the beginning and ending amount of the gross unrecognized tax benefits (exclusive of interest and penalties) is as follows:

(In thousands)
Balance at June 1, 2011	$	103,099
Additions for tax positions of prior years	5,660
Settlements	(5,048		)
Change in tax regulations	(57,182		)
Statute expirations	(1,998		)
Balance at May 31, 2012	$	44,531
Additions based on tax positions related to the current year	1,843
Additions for tax positions of prior years	2,960
Change in tax regulations	(33,600		)
Statute expirations	(2,025		)
Balance at May 31, 2013	$	13,709