Annual and transition report of foreign private issuers pursuant to Section 13 or 15(d)

Income Taxes (Tables)

v2.4.0.8
Income Taxes (Tables)
12 Months Ended
Dec. 31, 2013
Income Taxes [Abstract]  
Schedule of Deferred Tax Assets (Liabilities)

The components of the Company's deferred tax assets (liabilities) at December 31, 2013 and 2012 were as follows:

in thousands 2013       2012
Current deferred tax assets:              
       Inventory related $ 9,309     $ 1,110  
       Tax losses carry forward   3,773       -  
       Deferred revenue   612       528  
       Allowance for doubtful accounts   462       295  
       Research and development credit carryforward   475       -  
       Reserve for warranty expenses   67       468  
       Provision for employee related obligations   1,219       1,269  
       Accrued interest   -       1,126  
       Issuance costs   431       -  
       Other   153       172  
              Current deferred tax assets $ 16,501     $ 4,968  
               
Long-term deferred tax assets:              
       Tax losses carry forward   407       -  
       Foreign currency losses   358       -  
       Stock-based compensation expense   586       1,184  
              Long-term deferred tax assets $ 1,351     $ 1,184  
               
Current deferred tax liabilities              
       Issuance costs   (112 )     -  
       Inventory related   -       (645 )
       Deferred revenue   -       (104 )
       Order backlog   -       (196 )
              Current deferred tax liabilities $ (112 )   $ (945 )
               
Long-term deferred tax assets:              
       Stock-based compensation expense $ 903     $ 876  
       Tax losses carry forward   8,311       463  
       Depreciation   579       -  
       Research and development credit carryforward   1,904       -  
       Issuance costs   478       -  
       Foreign tax credit   893       -  
       Other   367       186  
              Long-term deferred tax assets   13,435       1,525  
               
Long-term deferred tax liabilities:              
       Intangibles   (115,248 )     (55,320 )
       Issuance costs   (430 )     -  
       Depreciation   (3,658 )     (898 )
Net long-term deferred tax liabilities $      (105,901 )   $      (54,693 )
               
Total $ (88,161 )   $ (49,486 )
Schedule of Income (loss) before Income Taxes

Income (loss) before income taxes for the years ended December 31, 2013, 2012 and 2011 was as follows:

in thousands 2013       2012       2011
Domestic (1) $      (13,391 )   $      23,274     $      30,464
Foreign   (15,990 )     (4,764 )     888
  $ (29,381 )   $ 18,510     $ 31,352
Schedule of Components of Income Tax Expense (Benefit)

For 2012 and 2011 domestic represents U.S. federal taxes, while foreign reflects non-U.S.):

in thousands 2013         2012         2011
Current                      
       Domestic   14,714       12,319       10,667  
       Foreign   1,914       1,445       293  
    16,628       13,764       10,960  
Deferred                      
       Domestic   (9,428 )     (3,113 )     (234 )
       Foreign   (9,674 )     (964 )     -  
          (19,102 )           (4,077 )     (234 )
       Total income taxes $ (2,474 )   $ 9,687     $       10,726  
Schedule of Reconciliation of Income Tax Rate

A reconciliation of the statutory federal income tax rate and the effective tax rate for the years ended December 31, 2013, 2012, and 2011 is set forth below:

  2013       2012       2011
Statutory rate (1) 25.0   %   35.0   %   35.0   %
Approved and Privileged enterprise benefits       6.0                    
State income taxes, net of                      
       federal benefit -       2.5       2.1    
Tax exempt interest income -       -       -    
Stock compensation expense (17.3 )     3.4       0.6    
Manufacturing deduction -       (5.9 )           (2.7 )  
Federal research and                      
       development tax credit -       -       (1.6 )  
Tax contingencies (12.1 )     (3.5 )     0.4    
Non-deductible acquisition expenses (4.8 )           12.9       0.3    
Earning taxed under foreign law 13.2       3.4       -    
Other (1.6 )     4.5       0.1    
Effective income tax rate 8.4   %   52.3   %   34.2   %
Schedule of Unrecognized Tax Benefits

A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows:

in thousands 2013       2012
Balance at beginning of year $ 3,809     $ 1,598  
Additions for tax positions related to the current year   1,248       223  
Additions for tax positions related to previous years   2,562       14  
Additions from the merger   -       3,130  
Reduction of reserve for statute expirations   (254 )           (1,156 )
Balance at end of year $       7,365     $ 3,809