Income Taxes Income Taxes (Tables)

12 Months Ended

Jan. 03, 2015

Schedule of Income before Income Tax, Domestic and Foreign

U.S. and foreign income from operations before income taxes are as follows (in thousands):



	January 3, 2015		December 28, 2013			December 29, 2012
United States	$	58,972	$	174,470		$	206,785
Foreign	22,480		(10,792		)	—
Income from operations before income taxes	$	81,452	$	163,678		$	206,785

Schedule of Components of Income Tax Expense (Benefit)

Income tax expense attributable to income from continuing operations before income taxes consists of the following (in thousands):



	January 3, 2015			December 28, 2013			December 29, 2012
Current:
Federal	$	1,134		$	8,109		$	54,982
State	(884		)	7,213			10,368
Foreign	24,770			482			58
Total current	25,020			15,804			65,408
Deferred:
Federal	886			40,396			10,015
State	1,235			505			592
Foreign	(14,000		)	(1,994		)	—
Total deferred	(11,879		)	38,907			10,607
	$	13,141		$	54,711		$	76,015

A reconciliation of the beginning and ending amounts of unrecognized tax benefits is as follows (in thousands):



	January 3, 2015			December 28, 2013
Balance at beginning of Year	$	652		$	—
Change in tax positions related to current year	—			652
Change in tax positions related to prior years	7,935			—
Expiration of the Statute of Limitations	(457		)	—
Balance at end of year	$	8,130		$	652

Schedule of Effective Income Tax Rate Reconciliation

Income tax expense for the years ended January 3, 2015, December 28, 2013 and December 29, 2012, differed from the amount computed by applying the statutory U.S. federal income tax rate to income from continuing operations before income taxes as a result of the following (in thousands):



	January 3, 2015			December 28, 2013			December 29, 2012
Computed "expected" tax expense	$	28,508		$	57,287		$	72,375
State income taxes, net of federal benefit	228			5,017			7,124
Section 199 qualified domestic production deduction	—			(619		)	(4,830		)
Change in valuation allowance	5,420			507			254
Non-deductible compensation expenses	1,622			106			253
Deferred tax on unremitted foreign earnings	1,956			—			—
Sub-Part F income	3,786			—			—
Foreign rate differential	(9,754		)	694			—
Biofuel tax incentives	(22,546		)	(9,342		)	—
Non-deductible transaction costs	4,107			996			—
Other, net	(186		)	65			839
	$	13,141		$	54,711		$	76,015

Schedule of Deferred Tax Assets and Liabilities

The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities at January 3, 2015 and December 28, 2013 are presented below (in thousands):



	January 3, 2015			December 28, 2013
Deferred tax assets:
Loss contingency reserves	$	11,500		$	10,756
Employee benefits	11,866			9,749
Pension liability	20,106			4,183
Intangible assets amortization, including taxable goodwill	3,300			7,040
Net operating losses	75,920			4,732
Inventory	7,965			2,120
Other	11,130			7,186
Total gross deferred tax assets	141,787			45,766
Less valuation allowance	(18,037		)	(871		)
Net deferred tax assets	123,750			44,895

Deferred tax liabilities:
Intangible assets amortization, including taxable goodwill	(189,877		)	(63,779		)
Property, plant and equipment depreciation	(203,602		)	(67,535		)
Investment in DGD Joint Venture	(41,040		)	(31,842		)
Tax on unremitted foreign earnings	(47,870		)	—
Other	(3,368		)	(3,209		)
Total gross deferred tax liabilities	(485,757		)	(166,365		)
Net deferred tax liability	$	(362,007	)	$	(121,470	)

Amounts reported on Consolidated Balance Sheets:
Current deferred tax asset	$	45,001		$	17,289
Current deferred tax liability	(642		)	—
Non-current deferred tax asset	16,431			—
Non-current deferred tax liability	(422,797		)	(138,759		)
Net deferred tax liability	$	(362,007	)	$	(121,470	)