XML 41 R17.htm IDEA: XBRL DOCUMENT v2.4.0.8
Income Taxes
6 Months Ended
May 25, 2014
Income Tax Disclosure [Abstract]  
INCOME TAXES
INCOME TAXES
The effective income tax rate was 26.6% for the six months ended May 25, 2014, compared to 29.7% for the same period ended May 26, 2013. The decrease in the effective tax rate in 2014 was primarily due to a $3.7 million tax benefit that the Company recorded during the six months ended May 25, 2014, as a result of reversing a deferred tax liability associated with undistributed foreign earnings.
The Company historically planned to repatriate to the United States the undistributed earnings of its foreign subsidiaries, and accordingly, provided for a deferred tax liability totaling $3.7 million as of November 24, 2013. For the six months ended May 25, 2014, management made an assertion that $75.0 million of undistributed foreign earnings in certain foreign subsidiaries are indefinitely reinvested. As such, the Company recorded a $3.7 million tax benefit resulting from a reversal of the previously recorded deferred tax liability on undistributed foreign earnings.