Cabela's 2006 Annual Report Download - page 83

Download and view the complete annual report

Please find page 83 of the 2006 Cabela's annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 114

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114

79
CABELA’S INCORPORATED AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(Dollars in Thousands Except Share and Per Share Amounts)
9. INCOME TAXES
The provision for income taxes consisted of the following for each fiscal year ended:
2006 2005 2004
Current:
Federal ................................. $24,601 $28,874 $36,833
State ................................... 2,840 2,619 631
27,441 31,493 37,464
Deferred:
Federal ................................. 22,225 10,723 (2,339)
State ................................... 1,805 585 (40)
24,030 11,308 (2,379)
$51,471 $42,801 $35,085
A reconciliation of the statutory federal income tax rate to the effective income tax rate is as follows for the
fiscal years ended:
2006 2005 2004
Statutory federal rate . . . . . . . . . . . . . . . . . . . . . . . . . 35.0% 35.0% 35.0%
State income taxes, net of federal tax benefit . . . . . . 1.8 1.2 0.5
Other nondeductible items . . . . . . . . . . . . . . . . . . . . . 0.1 (0.1) 0.1
Other ...................................... 0.6 1.0 (0.5)
37.5% 37.1% 35.1%
Deferred tax assets and liabilities consisted of the following at each respective fiscal year ended:
2006 2005
Deferred tax assets:
Deferred compensation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,907 $ 3,528
Deferred revenue ....................................... 3,276 4,153
Reserve for returns ...................................... 8,032 6,729
Accrued vacation pay.................................... 2,938 3,148
Reserve for health insurance claims......................... 413 1,521
Unrealized loss on available-for-sale securities. . . . . . . . . . . . . . . . — 14
Accrued expenses....................................... 1,422 917
Amortization........................................... 1,289 1,347
Allowance for doubtful accounts . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,822 1,390
Other................................................. 596 1,088
23,695 23,835
Deferred tax liabilities:
Prepaid catalog costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12,963 13,456
Property and equipment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26,772 20,999
Capitalized software costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,183 2,230
Credit card issuance costs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,286 1,415
Inventories ............................................ 16,999 1,875
Unrealized gains on available-for-sale securities. . . . . . . . . . . . . . . 175 —
Retained interests in securitized loans ....................... 9,055 5,635
Other................................................. 2,680 2,409
72,113 48,019
Net deferred tax liability . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $(48,418) $(24,184)