Income Taxes (Tables)

12 Months Ended

Nov. 29, 2013

Income Tax Disclosure [Abstract]

Income before income taxes, domestic and foreign

Income before income taxes for fiscal 2013, 2012 and 2011 consisted of the following (in thousands):

	2013		2012		2011
Domestic	$	132,916	$	512,987	$	252,476
Foreign	223,225		605,807		782,754
Income before income taxes	$	356,141	$	1,118,794	$	1,035,230

Provision for income taxes, current

The provision for income taxes for fiscal 2013, 2012 and 2011 consisted of the following (in thousands):

	2013			2012			2011
Current:
United States federal	$	(53,985	)	$	162,574		$	104,587
Foreign	65,609			59,255			41,724
State and local	3,317			(2,244		)	(8,769		)
Total current	14,941			219,585			137,542
Deferred:
United States federal	24,139			69,374			60,617
Foreign	(6,215		)	(6,082		)	8,262
State and local	(7,328		)	3,142			(13,606		)
Total deferred	10,596			66,434			55,273
Tax expense attributable to employee stock plans	40,619			—			9,568
Provision for income taxes	$	66,156		$	286,019		$	202,383

Income tax expense differs from the expected tax expense

Total income tax expense differs from the expected tax expense (computed by multiplying the U.S. federal statutory rate of 35% by income before income taxes) as a result of the following (in thousands):

	2013			2012			2011
Computed “expected” tax expense	$	124,649		$	391,578		$	362,331
State tax expense, net of federal benefit	(6,304		)	11,320			8,436
Tax credits	(29,087		)	(1,226		)	(30,283		)
Differences between statutory rate and foreign effective tax rate	(39,678		)	(122,999		)	(135,178		)
Change in deferred tax asset valuation allowance	514			(2,144		)	(493		)
Stock-based compensation (net of tax deduction)	9,783			10,976			3,983
Resolution of income tax examinations	(8,421		)	(26,687		)	—
Domestic manufacturing deduction benefit	(2,929		)	(17,010		)	(14,350		)
U.S. tax benefits related to state income tax ruling	—			—			(22,320		)
Tax charge for licensing acquired company technology to foreign subsidiaries	18,935			38,849			31,298
Other, net	(1,306		)	3,362			(1,041		)
Provision for income taxes	$	66,156		$	286,019		$	202,383

Deferred tax assets and liabilities

The tax effects of the temporary differences that gave rise to significant portions of the deferred tax assets and liabilities as of November 29, 2013 and November 30, 2012 are presented below (in thousands):

	2013			2012
Deferred tax assets:
Acquired technology	$	14,379		$	3,890
Reserves and accruals	67,753			71,888
Deferred revenue	10,218			9,941
Unrealized losses on investments	9,793			17,482
Stock-based compensation	64,244			85,179
Net operating loss carryforwards of acquired companies	9,222			16,257
Credit carryforwards	43,175			31,172
Capitalized expenses	188			4,023
Other	6,788			5,165
Total gross deferred tax assets	225,760			244,997
Deferred tax asset valuation allowance	(21,493		)	(28,247		)
Total deferred tax assets	204,267			216,750
Deferred tax liabilities:
Depreciation and amortization	(89,611		)	(81,034		)
Undistributed earnings of foreign subsidiaries	(211,417		)	(187,528		)
Acquired intangible assets	(176,626		)	(153,757		)
Total deferred tax liabilities	(477,654		)	(422,319		)
Net deferred tax liabilities	$	(273,387	)	$	(205,569	)

Gross amount of unrecognized tax benefits

During fiscal 2013 and 2012, our aggregate changes in our total gross amount of unrecognized tax benefits are summarized as follows (in thousands):

	2013			2012
Beginning balance	$	160,468		$	163,607
Gross increases in unrecognized tax benefits – prior year tax positions	20,244			1,038
Gross increases in unrecognized tax benefits – current year tax positions	16,777			23,771
Settlements with taxing authorities	(55,851		)	(1,754		)
Lapse of statute of limitations	(4,066		)	(25,387		)
Foreign exchange gains and losses	(1,474		)	(807		)
Ending balance	$	136,098		$	160,468