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Income Taxes
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9 Months Ended |
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Sep. 29, 2013
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| Income Tax Disclosure [Abstract] | |
| Income Taxes |
INCOME TAXES
The effective income tax rate for the thirty-nine weeks ended September 29, 2013 was 28.2% compared to an effective income tax rate of 30.0% for the thirty-nine weeks ended September 23, 2012. The decrease in the effective income tax rate from the prior year was primarily attributable to the favorable impact of a one time adjustment made for incremental employment tax credits for the current year as well as the previous open tax years, which resulted in a $556,000 net favorable impact in net income during the thirty-nine weeks ended September 29, 2013. The decrease in the effective income tax rate was partially offset by the unfavorable impact of the non-tax deductible secondary offering costs incurred during the current thirty-nine weeks ended September 29, 2013. The impact on the effective income tax rate for these items will be treated discretely in this thirty-nine week period as required by the FASB's Accounting Standards Codification. The effective income tax rate for 2013 excluding these discrete items is estimated to be approximately 30%.
Since the Company has net operating loss carry forwards, the net favorable tax benefit mentioned above will primarily increase the general business credits deferred tax asset.
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