Income Taxes (Tables)

12 Months Ended

Oct. 31, 2018

Income tax expense includes the following:

A reconciliation of the U.S. statutory federal rate to the worldwide consolidated effective tax rate follows:

	2018			2017			2016
Statutory federal income tax rate		23.34	%		35.00	%		35.00	%
Transition Tax		6.16			—			—
Tax Rate Change Deferred Tax Remeasurement		(10.94	)		—			—
Share-Based and Other Compensation		(1.45	)		—			—
Domestic Production Deduction		(0.82	)		(1.48	)		(1.43	)
Foreign tax rate variances, net of foreign tax credits		(0.46	)		(4.69	)		(4.59	)
State and local taxes, net of federal income tax benefit		0.45			0.76			0.50
Amounts related to prior years		(0.21	)		0.03			(1.20	)
Tax benefit from previously taxed dividends paid		—			—			(1.67	)
Other – net		(0.21	)		—			(0.38	)
Effective tax rate		15.86	%		29.62	%		26.23	%

A reconciliation of the beginning and ending amount of unrecognized tax benefits for 2018, 2017 and 2016 is as follows:

	2018			2017			2016
Balance at beginning of year	$	3,781		$	3,336		$	6,258
Additions based on tax positions related to the current year		310			529			522
Additions for tax positions of prior years		40			621			310
Reductions for tax positions of prior years		(120	)		(150	)		(140	)
Settlements		—			—			(3,091	)
Lapse of statute of limitations		(1,120	)		(555	)		(523	)
Balance at end of year	$	2,891		$	3,781		$	3,336

Significant components of deferred tax assets and liabilities are as follows:

	2018			2017
Deferred tax assets:
Employee benefits	$	56,622		$	84,109
Other accruals not currently deductible for taxes		18,186			28,579
Tax credit and loss carryforwards		16,652			23,976
Inventory adjustments		4,451			8,778
Total deferred tax assets		95,911			145,442
Valuation allowance		(14,862	)		(14,891	)
Total deferred tax assets		81,049			130,551
Deferred tax liabilities:
Depreciation and amortization		171,304			252,489
Other - net		669			1,132
Total deferred tax liabilities		171,973			253,621
Net deferred tax liabilities	$	(90,924	)	$	(123,070	)