Income Taxes

9 Months Ended

Sep. 30, 2011

Income Taxes [Abstract]

Income Taxes

17. INCOME TAXES

The following table summarizes the provision for income taxes for continuing operations for the three and nine months ended September 30 and the applicable effective tax rates (in thousands):

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2011		2010		2011		2010
Provision for (benefit of) income taxes	$	6,094	$	(944)	$	12,628	$	(314)
Effective tax rate		45.2%		579.1%		44.0%		-47.0%

The Company's provision for income taxes in interim periods is computed by applying forecasted annual effective tax rates to income or loss before income taxes for the interim period. In addition, non-recurring or discrete items, including interest on prior year tax liabilities, are recorded during the period in which they occur. To the extent that actual income or loss before taxes for the full year differs from the forecast estimates applied at the end of the most recent interim period, the actual tax rate recognized for the year ending December 31, 2011 could be materially different from the forecasted rate used for the nine months ended September 30, 2011.

The provision of income taxes resulted in an effective tax rate of 45.2% and 44.0% for the three and nine months ended September 30, 2011, respectively. The effective tax rate for the interim periods of 2011 exceeded the U.S. federal statutory tax rate of 35% due to the recognition of non-deductible permanent differences and state taxes.

A change in forecasted earnings caused a significant change in the forecasted annual effective tax rate during the three months ended September 30, 2010. As a result, the Company recognized a tax benefit for continuing operations during the three months ended September 30, 2010 due to the change in the year-to-date provision for income taxes. The provision for income taxes for continuing operations for the nine months ended September 30, 2010 was based on the most recent estimate of the income tax provision forecasted for the full year. Small changes in the Company's forecasted earnings had a significant impact on the Company's effective tax rate for the full year as a result of pre-tax earnings approximating break-even, non-deductible permanent items, and certain state taxes.