|
INCOME TAXES
|
9 Months Ended |
|---|---|
|
Sep. 30, 2012
|
|
| INCOME TAXES |
(6) INCOME TAXES The Company’s effective tax rates for the third quarter and first nine months of 2012 were 24.3% and (78.3)%, respectively, compared to the effective tax rates of (390.7)% and 73.1% for the third quarter and first nine months of 2011, respectively. Income tax expense for the three months ended September 30, 2012 was $3.7 million compared to income tax benefit of $6.7 million for the same period in 2011. Income tax benefit for the nine months ended September 30, 2012 was $3.0 million compared to $26.0 million for the same period in 2011. Estimating a reliable annual effective tax rate for the Company for the year has become increasingly difficult due to the uncertainty in forecasting taxable income or loss for the remainder of the year for each of our domestic and international operations. Such forecasts may vary significantly from quarter to quarter and even small changes in forecasts or actual results for either our domestic or international operations can result in significant changes in our estimated annual effective tax rate. Since forecasting an annual effective tax rate under these circumstances would not provide a meaningful estimate, we believe that the actual year-to-date effective tax rate is the best estimate of the annual tax rate in accordance with ASC 740-270. Our income tax expense (benefit) has been calculated utilizing our actual effective tax rate for the three-month and nine-month periods ended September 30, 2012. |