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Income Taxes
3 Months Ended
Jan. 03, 2015
Income Tax Expense (Benefit), Continuing Operations [Abstract]  
Income Taxes
Income tax expense for the three months ended January 3, 2015 and December 28, 2013 was $3.0 million and $2.2 million, respectively. The effective tax rates for the three months ended January 3, 2015 and December 28, 2013 were 11.4 percent and 10.9 percent, respectively. The effective tax rate remained relatively constant between the two quarters due to tax expense increasing in the current quarter by $0.8 million over the prior year primarily as a result of increased earnings as well as the Company's worldwide earnings mix.
As demonstrated in recent quarters, the Company's effective tax rate fluctuates depending on the geographic distribution of its worldwide earnings.
There were no material additions to the amount of unrecognized tax benefits recorded for uncertain tax positions as of January 3, 2015 as compared to fiscal 2014 year end. The Company recognizes accrued interest and penalties related to the remaining uncertain tax positions in income tax expense. The amount of interest and penalties recorded for both the three months ended January 3, 2015 and December 28, 2013 was not material.
It is reasonably possible that a number of uncertain tax positions related to federal and state tax positions may be settled within the next 12 months. The Company is not currently under examination by taxing authorities in the U.S. or any foreign jurisdictions in which the Company has significant operations.
The Company maintains valuation allowances when it is more likely than not that all or a portion of a deferred tax asset will not be realized. During the three months ended January 3, 2015, the Company continued to record a full valuation allowance against its net deferred tax assets in certain jurisdictions within the AMER and EMEA segments, as it is more likely than not that these assets will not be fully realized based primarily on historical performance. The Company will continue to provide a valuation allowance against its net deferred tax assets in each of the applicable jurisdictions going forward until the need for a valuation allowance is eliminated. The need for a valuation allowance will be eliminated when the Company determines it is more likely than not that the deferred tax assets will be realized.