Income Taxes (Tables)

12 Months Ended

Jan. 31, 2013

Earnings from Operations before Income Taxes

Earnings from operations before income taxes consisted of the following:

	Years Ended January 31,
(in thousands)	2013		2012		2011
United States	$	510,853	$	448,780	$	352,126
Foreign		132.723		216,171		195,308
	$	643,576	$	664,951	$	547,434

Components of Provision for Income Taxes

Components of the provision for income taxes were as follows:

	Years Ended January 31,
(in thousands)	2013			2012			2011
Current:
Federal	$	167,462		$	181,935		$	149,815
State		28,461			35,109			36,580
Foreign		50,778			59,485			52,968
		246,701			276,529			239,363
Deferred:
Federal		378			(49,746	)		(52,452	)
State		223			(447	)		(8,220	)
Foreign		(19,883	)		(575	)		340
		(19,282	)		(50,768	)		(60,332	)
	$	227,419		$	225,761		$	179,031

Reconciliations of Provision for Income Taxes at Statutory Federal Income Tax Rate

Reconciliations of the provision for income taxes at the statutory Federal income tax rate to the Company’s effective income tax rate were as follows:

	Years Ended January 31,
	2013			2012			2011
Statutory Federal income tax rate		35.0	%		35.0	%		35.0	%
State income taxes, net of Federal benefit		3.0			3.3			2.8
Foreign losses with no tax benefit		0.5			0.2			0.6
Undistributed foreign earnings		(3.4	)		(4.0	)		(4.0	)
Net change in uncertain tax positions		0.9			0.3			0.3
Domestic manufacturing deduction		(1.4	)		(1.6	)		(1.2	)
Other		0.7			0.8			(0.8	)
		35.3	%		34.0	%		32.7	%

Deferred Tax Assets (Liabilities)

Deferred tax assets (liabilities) consisted of the following:

	January 31,
(in thousands)	2013			2012
Deferred tax assets:
Pension/postretirement benefits	$	131,974		$	123,721
Accrued expenses		28,637			30,219
Share-based compensation		25,252			24,312
Depreciation		49,159			42,141
Amortization		11,711			11,425
Foreign and state net operating losses		27,976			20,891
Sale-leaseback		57,955			73,562
Inventory		59,071			35,426
Accrued exit charges		6,193			9,233
Financial hedging instruments		13,824			4,054
Unearned income		11,022			13,638
Other		25,115			16,804
		447,889			405,426
Valuation allowance		(14,181	)		(13,570	)
		433,708			391,856
Deferred tax liabilities:
Foreign tax credit		(47,913	)		(38,294	)
Net deferred tax asset	$	385,795		$	353,562

Reconciliation of Unrecognized Tax Benefits

The following table reconciles the unrecognized tax benefits:

	January 31,
(in thousands)	2013			2012			2011
Unrecognized tax benefits at beginning of year	$	25,509		$	32,273		$	32,226
Gross increases – tax positions in prior period		4,426			1,365			2,367
Gross decreases – tax positions in prior period		(1,713	)		(6,480	)		(2,003	)
Gross increases – current period tax positions		156			312			3,241
Settlements		—			(1,760	)		(1,394	)
Lapse of statute of limitations		(161	)		(201	)		(2,164	)
Unrecognized tax benefits at end of year	$	28,217		$	25,509		$	32,273