Columbia Sportswear 2014 Annual Report Download - page 66

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COLUMBIA SPORTSWEAR COMPANY
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS—(Continued)
62
and the Company does not anticipate that adjustments relative to ongoing tax audits will result in material changes to its
consolidated financial position, results of operations or cash flows.
A reconciliation of the beginning and ending amount of gross unrecognized tax benefits is as follows (in thousands):
December 31,
2014 2013 2012
Balance at beginning of period $ 14,639 $ 12,431 $ 14,316
Increases related to prior year tax positions 821 252 3,208
Decreases related to prior year tax positions (7,623) (332) (19)
Increases related to current year tax positions 2,473 4,281 2,049
Settlements (3,121) (84) (1,817)
Expiration of statute of limitations (559) (1,909) (5,306)
Balance at end of period $ 6,630 $ 14,639 $ 12,431
Due to the potential for resolution of income tax audits currently in progress, and the expiration of various statutes of
limitation, it is reasonably possible that the unrecognized tax benefits balance may change within the twelve months following
December 31, 2014 by a range of zero to $3,592,000. Open tax years, including those previously mentioned, contain matters
that could be subject to differing interpretations of applicable tax laws and regulations as they relate to the amount, timing,
or inclusion of revenue and expenses or the sustainability of income tax credits for a given examination cycle.
Unrecognized tax benefits of $5,139,000 and $12,679,000 would affect the effective tax rate if recognized at December
31, 2014 and 2013, respectively.
The Company recognizes interest expense and penalties related to income tax matters in income tax expense. The
Company recognized a net reversal of accrued interest and penalties of $65,000, $253,000 and $357,000 in 2014, 2013 and
2012, respectively, all of which related to uncertain tax positions. The Company had $2,758,000 and $2,823,000 of accrued
interest and penalties related to uncertain tax positions at December 31, 2014 and 2013, respectively.
NOTE 12—OTHER LONG-TERM LIABILITIES
Other long-term liabilities consisted of the following (in thousands):
December 31,
2014 2013
Straight-line and deferred rent liabilities $ 26,992 $ 22,525
Asset retirement obligations 2,404 2,052
Deferred compensation plan liability (Note 13) 6,039 4,855
Other — 95
$ 35,435 $ 29,527
NOTE 13—RETIREMENT SAVINGS PLANS
401(k) Profit-Sharing Plan
The Company has a 401(k) profit-sharing plan, which covers substantially all U.S. employees. Participation begins
the first day of the quarter following completion of 30 days of service. The Company may elect to make discretionary
matching and/or non-matching contributions. All Company contributions to the plan as determined by the Board of Directors
totaled $7,056,000, $5,200,000 and $4,966,000 for the years ended December 31, 2014, 2013 and 2012, respectively.
Deferred Compensation Plan