Income Taxes (Tables)

12 Months Ended

Dec. 31, 2012

Income Tax Disclosure [Abstract]

Income before income taxes and equity earnings (losses)

Income (loss) before income taxes and equity earnings is attributable to the following jurisdictions (in thousands):

	Year Ended December 31,
	2012			2011		2010
United States	$	144,578		$	111,376	$	92,108
Foreign (1)	(6,178		)	5,727		2,518
Total	$	138,400		$	117,103	$	94,626

  ⁽¹⁾  The foreign loss before income taxes in 2012 includes the $6.9 million goodwill impairment charge related to the United Kingdom.

Provision for income taxes

The provision for income taxes consisted of the following (in thousands):

	Year Ended December 31,
	2012		2011		2010
Current:
Federal	$	43,871	$	32,850	$	29,040
State and other	5,958		7,675		5,682
Total current provision for income taxes	49,829		40,525		34,722
Deferred:
Federal	6,071		4,754		1,715
State and other	844		40		656
Total deferred provision for income taxes	6,915		4,794		2,371
Provision for income taxes	$	56,744	$	45,319	$	37,093

Reconciliation of the U.S. federal statutory tax rate to effective tax rate on income before income taxes and equity earnings (losses)

A reconciliation of the U.S. federal statutory tax rate to our effective tax rate on Income before income taxes and equity earnings is as follows:

	Year Ended December 31,
	2012		2011		2010
Federal statutory rate	35.00	%	35.00	%	35.00	%
Change in valuation allowance	1.97		0.37		0.81
Other, primarily state income tax rate	4.03		3.33		3.39
Total effective tax rate	41.00	%	38.70	%	39.20	%

Components of deferred tax assets and liabilities

The components of the deferred tax assets and liabilities are as follows (in thousands):

	December 31,
	2012			2011
Deferred tax assets:
Product inventories	$	7,703		$	8,075
Accrued expenses	2,780			2,885
Allowance for doubtful accounts	420			777
Total current	10,903			11,737
Less: valuation allowance	(1,584		)	(1,677		)
Component reclassified for net presentation	(4,133		)	(2,976		)
Total current, net	5,186			7,084
Leases	1,957			1,866
Share-based compensation	16,970			17,740
Uncertain tax positions	1,226			1,650
Net operating losses	6,703			3,972
Interest rate swaps	1,327			164
Equity losses in unconsolidated investments	5,653			5,653
Other	1,150			1,037
Total non-current	34,986			32,082
Less: valuation allowance	(10,772		)	(7,948		)
Component reclassified for net presentation	(23,474		)	(23,461		)
Total non-current, net	740			673
Total deferred tax assets	5,926			7,757
Deferred tax liabilities:
Trade discounts on purchases	2,681			1,944
Prepaid expenses	1,452			1,032
Total current	4,133			2,976
Component reclassified for net presentation	(4,133		)	(2,976		)
Total current, net	—			—
Intangible assets, primarily goodwill	30,645			27,107
Depreciation	6,282			5,885
Total non-current	36,927			32,992
Component reclassified for net presentation	(23,474		)	(23,461		)
Total non-current, net	13,453			9,531
Total deferred tax liabilities	13,453			9,531
Net deferred tax liability	$	(7,527	)	$	(1,774	)

Summary of activity related to uncertain tax positions

The following is a summary of the activity related to uncertain tax positions for the past three years (in thousands):

	2012			2011			2010
Balance at beginning of year	$	4,715		$	3,962		$	4,550
Increases for tax positions taken during a prior period	—			—			114
Increases for tax positions taken during the current period	972			914			811
Decreases resulting from the expiration of the statute of limitations	(2,123		)	(46		)	(992		)
Decreases relating to settlements	(60		)	(115		)	(521		)
Balance at end of year	$	3,504		$	4,715		$	3,962