Annual report pursuant to Section 13 and 15(d)

Income taxes (Tables)

v2.4.0.6
Income taxes (Tables)
12 Months Ended
Jun. 30, 2012
Components of Provisions for Income Taxes

The provisions for income taxes consist of the following (in thousands):

 

     Year Ended June 30,  
     2012     2011      2010  

Earnings before income taxes consist of:

       

Domestic

   $ 130,009      $ 131,080       $ 124,860   

Foreign

     32,186        33,901         31,586   
  

 

 

   

 

 

    

 

 

 
   $ 162,195      $ 164,981       $ 156,446   
  

 

 

   

 

 

    

 

 

 

Taxes on income consist of:

       

Currently payable:

       

Federal

   $ 42,288      $ 36,600       $ 37,098   

State

     3,065        2,302         1,856   

Foreign

     8,891        9,854         9,266   

Net deferred:

       

Federal

     (4,318 )      3,893         (1,494 ) 

State

     (149 )      19         39   

Foreign

     87        11         (95 ) 
  

 

 

   

 

 

    

 

 

 
   $ 49,864      $ 52,679       $ 46,670   
  

 

 

   

 

 

    

 

 

 
Reconciliation of Federal Tax Calculated at Statutory Rate

The following is a reconciliation of the federal tax calculated at the statutory rate of 35% to the actual income taxes provided (in thousands):

 

     Year Ended June 30,  
     2012     2011     2010  

Computed expected federal income tax expense

   $ 56,768      $ 57,743      $ 54,756   

State income taxes, net of federal benefit

     2,038        1,463        1,247   

Qualified production activity deduction

     (3,917 )      (3,889 )      (2,459 ) 

Research and development tax credit

     (465 )      (1,329 )      (444 ) 

Tax-exempt interest

     (565 )      (858 )      (1,114 ) 

Change in deferred tax valuation allowance

     (3,016 )      60        44   

Foreign exchange loss on repatriation

     0        0        (4,424 ) 

Other

     (979 )      (511 )      (936 ) 
  

 

 

   

 

 

   

 

 

 
   $ 49,864      $ 52,679      $ 46,670   
  

 

 

   

 

 

   

 

 

 
Temporary Differences Comprising Deferred Taxes on Consolidated Balance Sheets

Temporary differences comprising deferred taxes on the Consolidated Balance Sheets are as follows (in thousands):

 

     June 30  
     2012     2011  

Inventory

   $ 6,893      $ 4,269   

Unrealized profit on intercompany sales

     1,686        1,075   

Excess tax basis in equity investments

     4,776        3,643   

Deferred compensation

     2,651        2,198   

Other

     891        596   

Valuation allowance

     0        (3,016 ) 
  

 

 

   

 

 

 

Net deferred tax assets

     16,897        8,765   

Net unrealized gain on available-for-sale investments

     (23,791 )      (369 ) 

Goodwill and intangible asset amortization

     (15,123 )      (15,077 ) 

Depreciation

     (847 )      (485 ) 

Other

     (502 )      (397 ) 
  

 

 

   

 

 

 

Deferred tax liabilities

     (40,263 )      (16,328 ) 
  

 

 

   

 

 

 

Net deferred tax liabilities

   $ (23,366 )    $ (7,563 ) 
  

 

 

   

 

 

 
Changes in Unrecognized Tax Benefits

A summary of changes in unrecognized tax benefits is as follows (in thousands):

 

     June 30  
     2012     2011  

Beginning balance

   $ 34      $ 96   

Change due to tax positions related to the current year

     (4 )      (53 ) 

Decrease due to lapse of statute of limitations

     (7 )      (9 ) 
  

 

 

   

 

 

 

Ending balance

   $ 23      $ 34