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All amounts reclassified from accumulated other comprehensive income were related to gains (losses) on
available-for-sale securities. These reclassifications impacted “Interest and other income (expense)” on the
Consolidated Statements of Operations.
10. Income Taxes
Income before provision for income taxes was as follows:
Year Ended December 31,
2013 2012 2011
(in thousands)
United States ......................................... $159,126 $27,885 $359,786
Foreign .............................................. 11,948 2,595 (264)
Income before income taxes ......................... $171,074 $30,480 $359,522
The components of provision for income taxes for all periods presented were as follows:
Year Ended December 31,
2013 2012 2011
(in thousands)
Current tax provision:
Federal .......................................... $58,558 $ 34,387 $123,406
State ............................................ 15,154 7,850 28,657
Foreign .......................................... 7,003 1,162 (70)
Total current ................................. 80,715 43,399 151,993
Deferred tax provision:
Federal .......................................... (18,930) (26,903) (14,008)
State ............................................ (2,751) (3,168) (4,589)
Foreign .......................................... (363) — —
Total deferred ................................ (22,044) (30,071) (18,597)
Provision for income taxes .............................. $58,671 $ 13,328 $133,396
U.S. income taxes and foreign withholding taxes associated with the repatriation of earnings of foreign
subsidiaries were not provided for on a cumulative total of $9.5 million of undistributed earnings for certain
foreign subsidiaries as of December 31, 2013. The Company intends to reinvest these earnings indefinitely in its
foreign subsidiaries. If these earnings were distributed to the United States in the form of dividends or otherwise,
the Company would be subject to additional U.S. income taxes net of available foreign tax credits associated with
these earnings. The amount of unrecognized deferred income tax liability related to these earnings is
approximately $3.3 million.
Income tax benefits attributable to the exercise of employee stock options of $80.0 million, $4.4 million and
$45.5 million for the years ended December 31, 2013, 2012 and 2011, respectively, were recorded directly to
additional paid-in-capital.
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