Dick's Sporting Goods 2014 Annual Report Download - page 87

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61
DICK'S SPORTING GOODS, INC. AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS – (Continued)
Components of deferred tax assets (liabilities) consist of the following as of the fiscal periods ended (in thousands):
2014 2013
Inventory $ 42,163 $ 35,531
Store closing expense 4,984 6,674
Stock-based compensation 25,913 26,692
Capital loss carryforward 5,608 6,242
Employee benefits 34,167 33,156
Other accrued expenses not currently deductible for tax purposes 5,520 4,631
Deferred rent 31,234 27,609
Insurance 2,432 2,352
Gift cards 13,691 11,531
Deferred revenue currently taxable 4,837 4,404
Non income-based tax reserves 8,174 7,098
Uncertain income tax positions 3,524 3,112
Valuation allowance (5,608)(6,242)
Other 77 —
Total deferred tax assets 176,716 162,790
Property and equipment (134,057)(118,854)
Inventory (27,386)(30,342)
Intangibles (6,319)(10,875)
Other — (24)
Total deferred tax liabilities (167,762)(160,095)
Net deferred tax asset $ 8,954 $ 2,695
In 2014, of the $9.0 million net deferred tax asset, $51.6 million is included within current assets, $1.9 million is included
within other long-term assets and $44.5 million is included within other long-term liabilities on the Consolidated Balance
Sheets. In 2013, of the $2.7 million net deferred tax asset, $38.8 million was included within current assets, $2.5 million was
included within other long-term assets and $38.6 million was included within other long-term liabilities on the Consolidated
Balance Sheets.
The Company determined that a valuation allowance of $7.9 million was required for a portion of the deferred tax asset
recorded in fiscal 2012 relating to a $32.4 million net capital loss carryforward resulting from the impairment of its investment
in JJB Sports, plc ("JJB Sports"). During the first quarter of 2013, the Company determined that it would recover $4.3 million
of its investment in JJB Sports, which it had previously impaired. There was no related tax expense for this recovery as the
Company reversed a portion of the deferred tax valuation allowance it had previously recorded for net capital loss
carryforwards it did not expect to realize at the time its investment in JJB Sports was fully impaired. The Company has
received, and may receive in future periods, additional immaterial recoveries related to its investment in JJB Sports.
As of January 31, 2015, the total liability for uncertain tax positions, including related interest and penalties, was approximately
$10.1 million.