these facility consolidation activities were completed during fiscal 2015 , therefore the increase in gross margin percentage in 2016 was primarily due to our on-going efforts to enhance operational efficiencies in the newly consolidated facilities and return gross margin percentage to historic averages . gross margin decreased 8.4 % to $ 558.4 million in fiscal 2015 as compared to $ 609.6 million in fiscal 2014 . as a percentage of sales , gross margin decreased to 47.7 % in fiscal 2015 from 49.8 % in fiscal 2014 . the decline in gross margin was due to increased costs related to facility consolidation activities in the americas due to duplicate labor and facilities expenses as well as operating inefficiencies following the facility moves , such as additional freight costs and excess inventory and scrap charges . research and development expenses decreased to $ 35.8 million in fiscal 2016 from $ 36.7 million in fiscal 2015 . the decrease in r & d spending in fiscal 2016 compared to the prior year was primarily due to efficiency gains within the r & d function and the strengthening of the u.s. dollar , which were partially offset by an increase in our investment in new products within the ids segment to drive top line growth . research and development expenses increased to $ 36.7 million in fiscal 2015 from $ 35.0 million in fiscal 2014 . the increase in r & d spending was a result of our innovation development initiative to realign the r & d processes in order to accelerate new 16 product innovation , increased investments in emerging technologies such as rfid and sensing technologies , and increased investments in other new products . selling , general and administrative ( “ sg & a ” ) expenses include selling costs directly attributed to the ids and wps segments , as well as administrative expenses including finance , information technology , human resources and legal . sg & a expenses decreased 4.2 % to $ 405.1 million in fiscal 2016 compared to $ 422.7 million in fiscal 2015 . the decrease in sg & a expense from the prior year is primarily due to the strengthening of the u.s. dollar , reduced amortization expense of $ 3.0 million and our continued efforts to control general and administrative costs , which were partially offset by an increase to incentive-based compensation . sg & a expense decreased to $ 422.7 million in fiscal 2015 compared to $ 452.2 million in fiscal 2014 . the decline was primarily due to the strengthening of the u.s. dollar , and to a lesser extent , reduced amortization expense of $ 5.8 million , an amendment to our u.s.-based post-retirement medical benefit plan that resulted in a $ 4.3 million curtailment gain , and our focused efforts to reduce expenses . this decline was partially offset by continued investments in sales personnel within the ids segment and increased spending in the wps segment for both on-line and traditional print advertising . in fiscal 2014 , the company announced a restructuring plan to consolidate facilities in the americas , europe and asia . the company implemented this restructuring plan to enhance customer service , improve efficiency of our operations and reduce operating expenses . restructuring activities related to facility consolidation activities extended into fiscal 2015 and were complete at the end of the fiscal year . in connection with this plan , the company incurred restructuring charges of $ 16.8 million in fiscal 2015. these charges consisted of $ 5.4 million of employee separation costs , $ 5.2 million of facility closure related costs , $ 2.0 million of contract termination costs , and $ 4.2 million of non-cash asset write-offs . the charges for employee separation costs consisted of severance pay , outplacement services , medical and other benefits . non-cash asset write-offs consisted mainly of fixed assets written off in conjunction with facility consolidations . of the $ 16.8 million recognized in fiscal 2015 , $ 12.1 million was incurred within the ids segment and $ 4.7 million was incurred within the wps segment . restructuring charges were $ 15.0 million in fiscal 2014 and consisted of $ 9.3 million of employee separation costs , $ 4.4 million of facility closure related costs , $ 1.0 million of contract termination costs , and $ 0.3 million of non-cash asset write-offs associated with the restructuring plan announced in february 2013 to reorganize into global product-based business platforms and reduce our global cost structure . of the $ 15.0 million recognized in fiscal 2014 , $ 9.0 million was incurred within the ids segment and $ 6.0 million was incurred within the wps segment . the company performed its annual goodwill impairment assessment on may 1 , 2016 , and subsequently concluded that the fair value of the goodwill was substantially in excess of its carrying value at 20 % or greater for all of the reporting units . no impairment charges were recorded in fiscal 2016. in conjunction with the goodwill impairment analysis , management also concluded that no other long-lived assets were impaired . the company 's annual goodwill impairment assessment performed in fiscal 2015 indicated the wps americas and wps apac reporting units were impaired . in conjunction with the goodwill impairment analysis , management concluded that other long-lived assets were impaired . impairment charges were $ 46.9 million in fiscal 2015 , which consisted of $ 37.1 million in goodwill charges associated with the wps americas and wps apac reporting units and $ 9.8 million related to the impairment of certain other long-lived assets . the company 's annual goodwill impairment assessment performed in fiscal 2014 indicated that the peopleid reporting unit was impaired . in conjunction with the goodwill impairment analysis , management concluded that other long-lived assets were impaired . story_separator_special_tag operating leases — the leases generally are entered into for investments in facilities such as manufacturing facilities , warehouses and office space , computer equipment and company vehicles . purchase commitments — the company has purchase commitments for materials , supplies , services , and property , plant and equipment as part of the ordinary conduct of its business . in the aggregate , such commitments are not in excess of current market prices and are not material to the financial position of the company . due to the proprietary nature of many of the company 's materials and processes , certain supply contracts contain penalty provisions for early termination . the company does not believe a material amount of penalties will be incurred under these contracts based upon historical experience and current expectations . other contractual obligations — the company does not have material financial guarantees or other contractual commitments that are reasonably likely to adversely affect liquidity . payments due under contractual obligations the company 's future commitments at july 31 , 2016 , for long-term debt , operating lease obligations , purchase obligations , interest obligations , tax obligations and other obligations are as follows ( dollars in thousands ) : replace_table_token_10_th ( 1 ) purchase obligations include all open purchase orders as of july 31 , 2016 . ( 2 ) other obligations represent expected payments under the company 's u.s. postretirement medical plan and international pension plans as disclosed in note 4 to the consolidated financial statements , under item 8 of this report . 24 inflation and changing prices essentially all of the company 's revenue is derived from the sale of its products and services in competitive markets . because prices are influenced by market conditions , it is not always possible to fully recover cost increases through pricing . changes in product mix from year to year , timing differences in instituting price changes , and the large amount of part numbers make it impracticable to accurately define the impact of inflation on profit margins . critical accounting estimates management 's discussion and analysis of the company 's financial condition and results of operations are based upon the company 's consolidated financial statements , which have been prepared in accordance with accounting principles generally accepted in the united states . the preparation of these financial statements requires management to make estimates and judgments that affect the reported amounts of assets , liabilities , revenues and expenses , and related disclosure of contingent assets and liabilities . the company bases these estimates and judgments on historical experience and on various other assumptions that are believed to be reasonable under the circumstances . actual results may differ from these estimates and judgments . the company believes the following accounting estimates are most critical to an understanding of its financial statements . estimates are considered to be critical if they meet both of the following criteria : ( 1 ) the estimate requires assumptions about material matters that are uncertain at the time the accounting estimates are made , and ( 2 ) material changes in the estimates are reasonably likely from period to period . for a detailed discussion on the application of these and other accounting estimates , refer to note 1 to the company 's consolidated financial statements . income taxes we operate in numerous taxing jurisdictions and are subject to regular examinations by u.s. federal , state and non-u.s. taxing authorities . our income tax positions are based on research and interpretations of the income tax laws and rulings in each of the jurisdictions in which we do business . due to the ambiguity of laws and rulings in each jurisdiction , the differences and interplay in tax laws between those jurisdictions , the uncertainty of how underlying facts may be construed and the inherent uncertainty in estimating the final resolution of complex tax audit matters , our estimates of income tax liabilities may differ from actual payments or assessments . while we have support for the positions we take on our tax returns , taxing authorities may assert interpretations of laws and facts and may challenge cross-jurisdictional transactions . the company generally re-evaluates the technical merits of its tax positions and recognizes an uncertain tax benefit when ( i ) there is completion of a tax audit ; ( ii ) there is a change in applicable tax law including a tax case ruling or legislative guidance ; or ( iii ) there is an expiration of the statute of limitations . the gross liability for unrecognized tax benefits , excluding interest and penalties , was $ 15.3 million and $ 21.1 million as of july 31 , 2016 and 2015 , respectively , of which the entire amount would reduce our effective income tax rate if recognized . accrued interest and penalties related to unrecognized tax benefits were $ 4.3 million and $ 4.2 million at july 31 , 2016 and 2015 , respectively . we recognize interest and penalties related to unrecognized tax benefits in income tax expense ( benefit ) on the consolidated statement of earnings . we believe it is reasonably possible that the amount of gross unrecognized tax benefits could be reduced by up to $ 3.9 million in the next twelve months as a result of the resolution of worldwide tax matters , tax audit settlements , amended tax filings , and or statute expirations , which would be the maximum amount that would be recognized through the consolidated statements of earnings as an income tax benefit . we recorded a valuation allowance for a portion of our deferred tax assets related to net operating loss and tax credit carryforwards ( `` carryforwards `` ) and certain temporary differences in the amount of $ 38.0 million at july 31 , 2016 , and $ 39.9 million at july 31 , 2015 , based on the projected profitability of the entity in the respective tax

net cash used in investing activities was $ 15.4 million during fiscal 2016 , compared to $ 14.4 million in the prior year . current year capital expenditures were $ 17.1 million compared to $ 26.7 million in the prior year due to the completion of facility consolidation activities in fiscal 2015. prior year capital expenditures were offset by $ 6.2 million in cash received for certain assets sold as part of facility consolidation activities , and $ 6.1 million in net cash received from the die-cut divestiture . net cash used in financing activities was $ 99.6 million during fiscal 2016 , compared to $ 32.2 million during the prior year . the increase in cash used in financing activities was primarily due to improved operating performance and cash flow resulting in decreased net borrowings , which were partially offset by $ 23.6 million of share repurchases in fiscal 2016. the effect of fluctuations in exchange rates increased cash balances by $ 2.8 million in fiscal 2016 primarily due to cash balances held in currencies that appreciated against the u.s. dollar during the current fiscal year . fiscal 2015 vs. 2014 net cash provided by operating activities decreased slightly to $ 93.3 million during fiscal 2015 compared to $ 93.4 million in the prior year . the prior year results included discontinued operations , which generated approximately $ 2.7 million in cash from operating activities . therefore , there was an increase in cash flow from operating activities from continuing operations of $ 2.6 million . this increase was primarily due to a change in working capital of $ 36.0 million , largely offset by the decrease in segment profit of $ 33.4 million .


 Write a concise suspicious activity report of the following text delimited by triple backquotes. Return your response as a formal report which covers the key points highlighting the location,dates,entity names and account holder information in chronological order of the text.
     ```net cash used in investing activities was $ 15.4 million during fiscal 2016 , compared to $ 14.4 million in the prior year . current year capital expenditures were $ 17.1 million compared to $ 26.7 million in the prior year due to the completion of facility consolidation activities in fiscal 2015. prior year capital expenditures were offset by $ 6.2 million in cash received for certain assets sold as part of facility consolidation activities , and $ 6.1 million in net cash received from the die-cut divestiture . net cash used in financing activities was $ 99.6 million during fiscal 2016 , compared to $ 32.2 million during the prior year . the increase in cash used in financing activities was primarily due to improved operating performance and cash flow resulting in decreased net borrowings , which were partially offset by $ 23.6 million of share repurchases in fiscal 2016. the effect of fluctuations in exchange rates increased cash balances by $ 2.8 million in fiscal 2016 primarily due to cash balances held in currencies that appreciated against the u.s. dollar during the current fiscal year . fiscal 2015 vs. 2014 net cash provided by operating activities decreased slightly to $ 93.3 million during fiscal 2015 compared to $ 93.4 million in the prior year . the prior year results included discontinued operations , which generated approximately $ 2.7 million in cash from operating activities . therefore , there was an increase in cash flow from operating activities from continuing operations of $ 2.6 million . this increase was primarily due to a change in working capital of $ 36.0 million , largely offset by the decrease in segment profit of $ 33.4 million .
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 Suspicious Activity Report : these facility consolidation activities were completed during fiscal 2015 , therefore the increase in gross margin percentage in 2016 was primarily due to our on-going efforts to enhance operational efficiencies in the newly consolidated facilities and return gross margin percentage to historic averages . gross margin decreased 8.4 % to $ 558.4 million in fiscal 2015 as compared to $ 609.6 million in fiscal 2014 . as a percentage of sales , gross margin decreased to 47.7 % in fiscal 2015 from 49.8 % in fiscal 2014 . the decline in gross margin was due to increased costs related to facility consolidation activities in the americas due to duplicate labor and facilities expenses as well as operating inefficiencies following the facility moves , such as additional freight costs and excess inventory and scrap charges . research and development expenses decreased to $ 35.8 million in fiscal 2016 from $ 36.7 million in fiscal 2015 . the decrease in r & d spending in fiscal 2016 compared to the prior year was primarily due to efficiency gains within the r & d function and the strengthening of the u.s. dollar , which were partially offset by an increase in our investment in new products within the ids segment to drive top line growth . research and development expenses increased to $ 36.7 million in fiscal 2015 from $ 35.0 million in fiscal 2014 . the increase in r & d spending was a result of our innovation development initiative to realign the r & d processes in order to accelerate new 16 product innovation , increased investments in emerging technologies such as rfid and sensing technologies , and increased investments in other new products . selling , general and administrative ( “ sg & a ” ) expenses include selling costs directly attributed to the ids and wps segments , as well as administrative expenses including finance , information technology , human resources and legal . sg & a expenses decreased 4.2 % to $ 405.1 million in fiscal 2016 compared to $ 422.7 million in fiscal 2015 . the decrease in sg & a expense from the prior year is primarily due to the strengthening of the u.s. dollar , reduced amortization expense of $ 3.0 million and our continued efforts to control general and administrative costs , which were partially offset by an increase to incentive-based compensation . sg & a expense decreased to $ 422.7 million in fiscal 2015 compared to $ 452.2 million in fiscal 2014 . the decline was primarily due to the strengthening of the u.s. dollar , and to a lesser extent , reduced amortization expense of $ 5.8 million , an amendment to our u.s.-based post-retirement medical benefit plan that resulted in a $ 4.3 million curtailment gain , and our focused efforts to reduce expenses . this decline was partially offset by continued investments in sales personnel within the ids segment and increased spending in the wps segment for both on-line and traditional print advertising . in fiscal 2014 , the company announced a restructuring plan to consolidate facilities in the americas , europe and asia . the company implemented this restructuring plan to enhance customer service , improve efficiency of our operations and reduce operating expenses . restructuring activities related to facility consolidation activities extended into fiscal 2015 and were complete at the end of the fiscal year . in connection with this plan , the company incurred restructuring charges of $ 16.8 million in fiscal 2015. these charges consisted of $ 5.4 million of employee separation costs , $ 5.2 million of facility closure related costs , $ 2.0 million of contract termination costs , and $ 4.2 million of non-cash asset write-offs . the charges for employee separation costs consisted of severance pay , outplacement services , medical and other benefits . non-cash asset write-offs consisted mainly of fixed assets written off in conjunction with facility consolidations . of the $ 16.8 million recognized in fiscal 2015 , $ 12.1 million was incurred within the ids segment and $ 4.7 million was incurred within the wps segment . restructuring charges were $ 15.0 million in fiscal 2014 and consisted of $ 9.3 million of employee separation costs , $ 4.4 million of facility closure related costs , $ 1.0 million of contract termination costs , and $ 0.3 million of non-cash asset write-offs associated with the restructuring plan announced in february 2013 to reorganize into global product-based business platforms and reduce our global cost structure . of the $ 15.0 million recognized in fiscal 2014 , $ 9.0 million was incurred within the ids segment and $ 6.0 million was incurred within the wps segment . the company performed its annual goodwill impairment assessment on may 1 , 2016 , and subsequently concluded that the fair value of the goodwill was substantially in excess of its carrying value at 20 % or greater for all of the reporting units . no impairment charges were recorded in fiscal 2016. in conjunction with the goodwill impairment analysis , management also concluded that no other long-lived assets were impaired . the company 's annual goodwill impairment assessment performed in fiscal 2015 indicated the wps americas and wps apac reporting units were impaired . in conjunction with the goodwill impairment analysis , management concluded that other long-lived assets were impaired . impairment charges were $ 46.9 million in fiscal 2015 , which consisted of $ 37.1 million in goodwill charges associated with the wps americas and wps apac reporting units and $ 9.8 million related to the impairment of certain other long-lived assets . the company 's annual goodwill impairment assessment performed in fiscal 2014 indicated that the peopleid reporting unit was impaired . in conjunction with the goodwill impairment analysis , management concluded that other long-lived assets were impaired . story_separator_special_tag operating leases — the leases generally are entered into for investments in facilities such as manufacturing facilities , warehouses and office space , computer equipment and company vehicles . purchase commitments — the company has purchase commitments for materials , supplies , services , and property , plant and equipment as part of the ordinary conduct of its business . in the aggregate , such commitments are not in excess of current market prices and are not material to the financial position of the company . due to the proprietary nature of many of the company 's materials and processes , certain supply contracts contain penalty provisions for early termination . the company does not believe a material amount of penalties will be incurred under these contracts based upon historical experience and current expectations . other contractual obligations — the company does not have material financial guarantees or other contractual commitments that are reasonably likely to adversely affect liquidity . payments due under contractual obligations the company 's future commitments at july 31 , 2016 , for long-term debt , operating lease obligations , purchase obligations , interest obligations , tax obligations and other obligations are as follows ( dollars in thousands ) : replace_table_token_10_th ( 1 ) purchase obligations include all open purchase orders as of july 31 , 2016 . ( 2 ) other obligations represent expected payments under the company 's u.s. postretirement medical plan and international pension plans as disclosed in note 4 to the consolidated financial statements , under item 8 of this report . 24 inflation and changing prices essentially all of the company 's revenue is derived from the sale of its products and services in competitive markets . because prices are influenced by market conditions , it is not always possible to fully recover cost increases through pricing . changes in product mix from year to year , timing differences in instituting price changes , and the large amount of part numbers make it impracticable to accurately define the impact of inflation on profit margins . critical accounting estimates management 's discussion and analysis of the company 's financial condition and results of operations are based upon the company 's consolidated financial statements , which have been prepared in accordance with accounting principles generally accepted in the united states . the preparation of these financial statements requires management to make estimates and judgments that affect the reported amounts of assets , liabilities , revenues and expenses , and related disclosure of contingent assets and liabilities . the company bases these estimates and judgments on historical experience and on various other assumptions that are believed to be reasonable under the circumstances . actual results may differ from these estimates and judgments . the company believes the following accounting estimates are most critical to an understanding of its financial statements . estimates are considered to be critical if they meet both of the following criteria : ( 1 ) the estimate requires assumptions about material matters that are uncertain at the time the accounting estimates are made , and ( 2 ) material changes in the estimates are reasonably likely from period to period . for a detailed discussion on the application of these and other accounting estimates , refer to note 1 to the company 's consolidated financial statements . income taxes we operate in numerous taxing jurisdictions and are subject to regular examinations by u.s. federal , state and non-u.s. taxing authorities . our income tax positions are based on research and interpretations of the income tax laws and rulings in each of the jurisdictions in which we do business . due to the ambiguity of laws and rulings in each jurisdiction , the differences and interplay in tax laws between those jurisdictions , the uncertainty of how underlying facts may be construed and the inherent uncertainty in estimating the final resolution of complex tax audit matters , our estimates of income tax liabilities may differ from actual payments or assessments . while we have support for the positions we take on our tax returns , taxing authorities may assert interpretations of laws and facts and may challenge cross-jurisdictional transactions . the company generally re-evaluates the technical merits of its tax positions and recognizes an uncertain tax benefit when ( i ) there is completion of a tax audit ; ( ii ) there is a change in applicable tax law including a tax case ruling or legislative guidance ; or ( iii ) there is an expiration of the statute of limitations . the gross liability for unrecognized tax benefits , excluding interest and penalties , was $ 15.3 million and $ 21.1 million as of july 31 , 2016 and 2015 , respectively , of which the entire amount would reduce our effective income tax rate if recognized . accrued interest and penalties related to unrecognized tax benefits were $ 4.3 million and $ 4.2 million at july 31 , 2016 and 2015 , respectively . we recognize interest and penalties related to unrecognized tax benefits in income tax expense ( benefit ) on the consolidated statement of earnings . we believe it is reasonably possible that the amount of gross unrecognized tax benefits could be reduced by up to $ 3.9 million in the next twelve months as a result of the resolution of worldwide tax matters , tax audit settlements , amended tax filings , and or statute expirations , which would be the maximum amount that would be recognized through the consolidated statements of earnings as an income tax benefit . we recorded a valuation allowance for a portion of our deferred tax assets related to net operating loss and tax credit carryforwards ( `` carryforwards `` ) and certain temporary differences in the amount of $ 38.0 million at july 31 , 2016 , and $ 39.9 million at july 31 , 2015 , based on the projected profitability of the entity in the respective tax

