as part of this strategy , we significantly reduced the price of our core technology products to make the products affordable to a broader patient base , maximize synergies between our pos and tos businesses , increase our tumor model offerings to our tos sponsors , and increase the number of models in our tumorbank . we have increased spending on sales and marketing efforts to support this strategy . we will continue to offer related personalized oncology services to our customers ; however , we expect future pos revenue to be driven by our core products . during the second half of fiscal 2012 , we transitioned the laboratory activities that support the pos and tos services from a third-party contract research organization ( “ cro ” ) to our facility in baltimore , maryland . to facilitate this strategy and support the increase in current and expected volume , we have invested in the infrastructure and increased our laboratory staff and are evaluating options to increase our lab capacity to meet the future demand . we believe that bringing these activities in house will significantly reduce the future cost of providing our services and allow us to maintain a more competitive pricing strategy . 12 results of operations the following table summarizes our operating results for the periods presented below ( dollars in thousands ) : replace_table_token_3_th operating revenues operating revenues for the years ended april 30 , 2012 and 2011 were $ 7.1 and $ 6.9 million , respectively , an increase of $ 0.2 million , or 3 % . pos revenues were $ 2.3 million and $ 3.4 million for the years ended april 30 , 2012 and 2011 , respectively , a decrease of $ 1.1 million , or 31 % . panel revenue , a component of pos revenue , decreased $ 1.2 million from the prior year , which is primarily attributable to a decrease in pricing per panel . excluding panel revenue , pos revenue was $ 1.8 million and $ 1.7 million for the years ended april 30 , 2012 and 2011 , respectively , an increase of $ 0.1 million . during fiscal 2012 , the company experienced significantly higher volumes of implants and drug studies compared to fiscal 2011. for the year ended april 30 , 2012 , the company performed 97 tumorgraft implants , compared to 12 in the prior year . for the year ended april 30 , 2012 , the company completed 19 drug studies , compared to 5 in the prior year . the increase in volume was offset by decreased pricing for both the tumorgraft implants and drug studies , as part of our strategic decision to obtain more tumors to increase our tumor model offerings to our tos sponsors and increase the number of models in our tumorbank . tos revenues were $ 4.8 million and $ 3.5 million for the years ended april 30 , 2012 and 2011 , respectively , an increase of $ 1.3 million or 38 % . the increases in tos revenues were due primarily to increased sales efforts and investments in growing our tumorbank . cost of personalized oncology solutions cost of pos was $ 2.4 million and $ 1.7 million for the years ended april 30 , 2012 and 2011 , respectively , an increase of $ 0.7 million , or 42 % . gross margin for pos was -1 % and 51 % for the years ended april 30 , 2012 and 2011 , respectively . gross margins declined due to the strategic decision to decrease prices to drive increased volumes . additionally , during the second half of fiscal 2012 , the company transitioned its laboratory work in-house from a third-party cro . while this has resulted in increased costs during the transition , it is expected to yield future savings . finally , costs related to pos studies are expensed as incurred , so expenses include ongoing costs related to 11 pos drug studies in progress at april 30 , 2012 . 13 cost of translational oncology solutions cost of tos was $ 2.5 million and $ 1.8 million for the years ended april 30 , 2012 and 2011 , respectively , an increase of $ 0.7 million , or 38 % . the increase in costs was due to the increased volume of the tos business . gross margin for tos was 47 % for the years ended april 30 , 2012 and 2011. research and development research and development expense was $ 2.9 million for the years ended april 30 , 2012 and 2011. our research and development efforts are focused on increasing our understanding of our tumorgraft models , their clinical predictability , improving growth and tumor take rates , and other biological and molecular characteristics of the models . in fiscal 2012 , we increased these efforts , but this was offset by decreased expenses incurred on testing in-licensed compounds . sales and marketing sales and marketing expense was $ 2.9 million and $ 1.1 million for the years ended april 30 , 2012 and 2011 , respectively , an increase of $ 1.8 million , or 170 % . the increase for fiscal 2012 is primarily related to employee costs associated with increases in our sales force and marketing expenses incurred in connection with growing our pos and tos businesses in the united states and in our overseas operations . general and administrative general and administrative expense was $ 5.5 million and $ 4.6 million for the years ended april 30 , 2012 and 2011 , respectively , an increase of $ 0.9 million , or 18 % . stock-based compensation expense was $ 3.0 million and $ 2.9 million for the years ended april 30 , 2012 and 2011 , respectively . story_separator_special_tag if the carrying value of goodwill exceeds its implied fair value , then an impairment of goodwill has occurred and an impairment loss would be recognized for the difference between the carrying amount and the implied fair value of goodwill as a component of operating income . the implied fair value of goodwill is calculated by subtracting the fair value of tangible and intangible assets associated with the reporting unit from the fair value of the unit . we have two reporting units and two operating segments . in determining fair value , we primarily utilize our market capitalization , which is determined based on the fair value of our common stock . however , we may test the results of fair value under this method using ( i ) discounted cash flows ; ( ii ) operating results based on a comparative multiple of earnings or revenues ; ( iii ) offers from interested investors , if any ; or ( iv ) appraisals . additionally , there may be instances where these alternative methods provide a more accurate measure or indication of fair value . 16 in addition , we evaluate impairment if events or circumstances change between the annual assessments , indicating a possible impairment . examples of such events or circumstances include : ( i ) a significant adverse change in legal factors or in the business climate ; ( ii ) an adverse action or assessment by a regulator ; or ( iii ) a significant decline in market capitalization as compared to book value . the estimated fair value of each reporting unit , as calculated for the april 30 , 2012 impairment test , exceeded the carrying value of the reporting unit . judgments regarding the existence of impairment indicators are based on legal factors , market conditions and operational performance of the acquired businesses . future events , including but not limited to continued declines in economic activity , loss of contracts or a significant number of customers or a rapid increase in costs or capital expenditures , could cause us to conclude that impairment indicators exist and that goodwill is impaired . any resulting goodwill impairment could have a material adverse impact on our financial condition and results of operations . accounting for income taxes we use the asset and liability method to account for income taxes . significant management judgment is required in determining the provision for income taxes , deferred tax assets and liabilities and any valuation allowance recorded against net deferred tax assets . in preparing the consolidated financial statements , we are required to estimate income taxes in each of the jurisdictions in which we operate . this process involves estimating the actual current tax liability together with assessing temporary differences resulting from differing treatment of items , such as deferred revenue , depreciation on property , plant and equipment , goodwill and losses for tax and accounting purposes . these differences result in deferred tax assets , which include tax loss carry-forwards , and liabilities , which are included within the consolidated balance sheet . we then assess the likelihood that deferred tax assets will be recovered from future taxable income , and to the extent that recovery is not likely or there is insufficient operating history , a valuation allowance is established . to the extent a valuation allowance is established or increased in a period , we include an expense within the tax provision of the consolidated statements of operations . as of april 30 , 2012 and 2011 , we have established a full valuation allowance for all deferred tax assets . as of april 30 , 2012 and 2011 , we did not recognize any assets or liabilities relative to uncertain tax positions , nor do we anticipate any significant unrecognized tax benefits will be recorded during the next 12 months . any interest or penalties related to unrecognized tax benefits is recognized in income tax expense . since there are no unrecognized tax benefits as a result of tax positions taken , there are no accrued penalties or interest . in fiscal 2012 , the company has accounted for a disallowance to the net operating loss carryforwards of $ 607,000 , offset by a corresponding increase to amortizable intangible assets related to capitalized research and development expenditures of $ 542,000 , in connection with a tax examination by the internal revenue service of the company 's 2009 and 2010 tax years . for further discussion on this examination , see note 13 to the company 's audited financial statements included with this report . recent accounting pronouncements during september 2011 , the financial accounting standards board ( “ fasb ” ) issued accounting standards update ( “ asu ” ) no . 2011-08 , “ testing goodwill for impairment ” ( “ asu 2011-08 ” ) . asu 2011-08 is intended to simplify the testing of goodwill for impairment by permitting an entity to first assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount as a basis for determining whether it is necessary to perform the two-step goodwill impairment test , which is currently required for all companies that report goodwill . the amendments are effective for annual and interim goodwill impairment tests performed for fiscal years beginning after december 15 , 2011 , although early adoption is permitted . the company does not anticipate that the adoption of this guidance will have a material impact on its financial position and results of operations . during june 2011 , the fasb issued asu no . 2011-05 , “ presentation of comprehensive income ” ( “ asu 2011-05 ” ) . asu 2011-05 provides for the option to present the total of comprehensive income , the components of net income and the components of other comprehensive income ( “ oci ” ) either in a

liquidity and capital resources our liquidity needs have typically arisen from the funding of our research and development programs and the launch of new products , working capital requirements , and other strategic initiatives . in the past , we have met these cash requirements through our cash and cash equivalents , working capital management , and proceeds from certain private placements of our securities . as of april 30 , 2012 , we had working capital of $ 2.1 million and cash and cash equivalents of $ 4.8 million . we believe that our cash and cash equivalents on hand at april 30 , 2012 are adequate to fund operations for at least the next twelve months . on march 24 , 2011 , the company entered into a securities purchase agreement with several accredited investors for the sale to the investors of an aggregate 12,533,333 shares of the company 's common stock at a purchase price of $ 0.75 per share , or an aggregate of $ 9.4 million , of which , $ 0.5 million was sold to officers and directors of the company . as part of this transaction , we issued warrants to purchase an aggregate 1,266,667 shares of common stock at an exercise price of $ 0.90 per share . these warrants expire five years after the closing date , which occurred on april 4 , 2011. the securities purchase agreement contains certain anti-dilution protections for the investors and certain registration rights with respect to the shares of common stock issued to the investors . furthermore , investors have the right to require the company to repurchase the purchased common shares held ( the “ put option ” ) for cash for $ 0.75 per share upon a change of control or sale of substantially all of the company 's assets .


 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.
     ```liquidity and capital resources our liquidity needs have typically arisen from the funding of our research and development programs and the launch of new products , working capital requirements , and other strategic initiatives . in the past , we have met these cash requirements through our cash and cash equivalents , working capital management , and proceeds from certain private placements of our securities . as of april 30 , 2012 , we had working capital of $ 2.1 million and cash and cash equivalents of $ 4.8 million . we believe that our cash and cash equivalents on hand at april 30 , 2012 are adequate to fund operations for at least the next twelve months . on march 24 , 2011 , the company entered into a securities purchase agreement with several accredited investors for the sale to the investors of an aggregate 12,533,333 shares of the company 's common stock at a purchase price of $ 0.75 per share , or an aggregate of $ 9.4 million , of which , $ 0.5 million was sold to officers and directors of the company . as part of this transaction , we issued warrants to purchase an aggregate 1,266,667 shares of common stock at an exercise price of $ 0.90 per share . these warrants expire five years after the closing date , which occurred on april 4 , 2011. the securities purchase agreement contains certain anti-dilution protections for the investors and certain registration rights with respect to the shares of common stock issued to the investors . furthermore , investors have the right to require the company to repurchase the purchased common shares held ( the “ put option ” ) for cash for $ 0.75 per share upon a change of control or sale of substantially all of the company 's assets .
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 Suspicious Activity Report : as part of this strategy , we significantly reduced the price of our core technology products to make the products affordable to a broader patient base , maximize synergies between our pos and tos businesses , increase our tumor model offerings to our tos sponsors , and increase the number of models in our tumorbank . we have increased spending on sales and marketing efforts to support this strategy . we will continue to offer related personalized oncology services to our customers ; however , we expect future pos revenue to be driven by our core products . during the second half of fiscal 2012 , we transitioned the laboratory activities that support the pos and tos services from a third-party contract research organization ( “ cro ” ) to our facility in baltimore , maryland . to facilitate this strategy and support the increase in current and expected volume , we have invested in the infrastructure and increased our laboratory staff and are evaluating options to increase our lab capacity to meet the future demand . we believe that bringing these activities in house will significantly reduce the future cost of providing our services and allow us to maintain a more competitive pricing strategy . 12 results of operations the following table summarizes our operating results for the periods presented below ( dollars in thousands ) : replace_table_token_3_th operating revenues operating revenues for the years ended april 30 , 2012 and 2011 were $ 7.1 and $ 6.9 million , respectively , an increase of $ 0.2 million , or 3 % . pos revenues were $ 2.3 million and $ 3.4 million for the years ended april 30 , 2012 and 2011 , respectively , a decrease of $ 1.1 million , or 31 % . panel revenue , a component of pos revenue , decreased $ 1.2 million from the prior year , which is primarily attributable to a decrease in pricing per panel . excluding panel revenue , pos revenue was $ 1.8 million and $ 1.7 million for the years ended april 30 , 2012 and 2011 , respectively , an increase of $ 0.1 million . during fiscal 2012 , the company experienced significantly higher volumes of implants and drug studies compared to fiscal 2011. for the year ended april 30 , 2012 , the company performed 97 tumorgraft implants , compared to 12 in the prior year . for the year ended april 30 , 2012 , the company completed 19 drug studies , compared to 5 in the prior year . the increase in volume was offset by decreased pricing for both the tumorgraft implants and drug studies , as part of our strategic decision to obtain more tumors to increase our tumor model offerings to our tos sponsors and increase the number of models in our tumorbank . tos revenues were $ 4.8 million and $ 3.5 million for the years ended april 30 , 2012 and 2011 , respectively , an increase of $ 1.3 million or 38 % . the increases in tos revenues were due primarily to increased sales efforts and investments in growing our tumorbank . cost of personalized oncology solutions cost of pos was $ 2.4 million and $ 1.7 million for the years ended april 30 , 2012 and 2011 , respectively , an increase of $ 0.7 million , or 42 % . gross margin for pos was -1 % and 51 % for the years ended april 30 , 2012 and 2011 , respectively . gross margins declined due to the strategic decision to decrease prices to drive increased volumes . additionally , during the second half of fiscal 2012 , the company transitioned its laboratory work in-house from a third-party cro . while this has resulted in increased costs during the transition , it is expected to yield future savings . finally , costs related to pos studies are expensed as incurred , so expenses include ongoing costs related to 11 pos drug studies in progress at april 30 , 2012 . 13 cost of translational oncology solutions cost of tos was $ 2.5 million and $ 1.8 million for the years ended april 30 , 2012 and 2011 , respectively , an increase of $ 0.7 million , or 38 % . the increase in costs was due to the increased volume of the tos business . gross margin for tos was 47 % for the years ended april 30 , 2012 and 2011. research and development research and development expense was $ 2.9 million for the years ended april 30 , 2012 and 2011. our research and development efforts are focused on increasing our understanding of our tumorgraft models , their clinical predictability , improving growth and tumor take rates , and other biological and molecular characteristics of the models . in fiscal 2012 , we increased these efforts , but this was offset by decreased expenses incurred on testing in-licensed compounds . sales and marketing sales and marketing expense was $ 2.9 million and $ 1.1 million for the years ended april 30 , 2012 and 2011 , respectively , an increase of $ 1.8 million , or 170 % . the increase for fiscal 2012 is primarily related to employee costs associated with increases in our sales force and marketing expenses incurred in connection with growing our pos and tos businesses in the united states and in our overseas operations . general and administrative general and administrative expense was $ 5.5 million and $ 4.6 million for the years ended april 30 , 2012 and 2011 , respectively , an increase of $ 0.9 million , or 18 % . stock-based compensation expense was $ 3.0 million and $ 2.9 million for the years ended april 30 , 2012 and 2011 , respectively . story_separator_special_tag if the carrying value of goodwill exceeds its implied fair value , then an impairment of goodwill has occurred and an impairment loss would be recognized for the difference between the carrying amount and the implied fair value of goodwill as a component of operating income . the implied fair value of goodwill is calculated by subtracting the fair value of tangible and intangible assets associated with the reporting unit from the fair value of the unit . we have two reporting units and two operating segments . in determining fair value , we primarily utilize our market capitalization , which is determined based on the fair value of our common stock . however , we may test the results of fair value under this method using ( i ) discounted cash flows ; ( ii ) operating results based on a comparative multiple of earnings or revenues ; ( iii ) offers from interested investors , if any ; or ( iv ) appraisals . additionally , there may be instances where these alternative methods provide a more accurate measure or indication of fair value . 16 in addition , we evaluate impairment if events or circumstances change between the annual assessments , indicating a possible impairment . examples of such events or circumstances include : ( i ) a significant adverse change in legal factors or in the business climate ; ( ii ) an adverse action or assessment by a regulator ; or ( iii ) a significant decline in market capitalization as compared to book value . the estimated fair value of each reporting unit , as calculated for the april 30 , 2012 impairment test , exceeded the carrying value of the reporting unit . judgments regarding the existence of impairment indicators are based on legal factors , market conditions and operational performance of the acquired businesses . future events , including but not limited to continued declines in economic activity , loss of contracts or a significant number of customers or a rapid increase in costs or capital expenditures , could cause us to conclude that impairment indicators exist and that goodwill is impaired . any resulting goodwill impairment could have a material adverse impact on our financial condition and results of operations . accounting for income taxes we use the asset and liability method to account for income taxes . significant management judgment is required in determining the provision for income taxes , deferred tax assets and liabilities and any valuation allowance recorded against net deferred tax assets . in preparing the consolidated financial statements , we are required to estimate income taxes in each of the jurisdictions in which we operate . this process involves estimating the actual current tax liability together with assessing temporary differences resulting from differing treatment of items , such as deferred revenue , depreciation on property , plant and equipment , goodwill and losses for tax and accounting purposes . these differences result in deferred tax assets , which include tax loss carry-forwards , and liabilities , which are included within the consolidated balance sheet . we then assess the likelihood that deferred tax assets will be recovered from future taxable income , and to the extent that recovery is not likely or there is insufficient operating history , a valuation allowance is established . to the extent a valuation allowance is established or increased in a period , we include an expense within the tax provision of the consolidated statements of operations . as of april 30 , 2012 and 2011 , we have established a full valuation allowance for all deferred tax assets . as of april 30 , 2012 and 2011 , we did not recognize any assets or liabilities relative to uncertain tax positions , nor do we anticipate any significant unrecognized tax benefits will be recorded during the next 12 months . any interest or penalties related to unrecognized tax benefits is recognized in income tax expense . since there are no unrecognized tax benefits as a result of tax positions taken , there are no accrued penalties or interest . in fiscal 2012 , the company has accounted for a disallowance to the net operating loss carryforwards of $ 607,000 , offset by a corresponding increase to amortizable intangible assets related to capitalized research and development expenditures of $ 542,000 , in connection with a tax examination by the internal revenue service of the company 's 2009 and 2010 tax years . for further discussion on this examination , see note 13 to the company 's audited financial statements included with this report . recent accounting pronouncements during september 2011 , the financial accounting standards board ( “ fasb ” ) issued accounting standards update ( “ asu ” ) no . 2011-08 , “ testing goodwill for impairment ” ( “ asu 2011-08 ” ) . asu 2011-08 is intended to simplify the testing of goodwill for impairment by permitting an entity to first assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount as a basis for determining whether it is necessary to perform the two-step goodwill impairment test , which is currently required for all companies that report goodwill . the amendments are effective for annual and interim goodwill impairment tests performed for fiscal years beginning after december 15 , 2011 , although early adoption is permitted . the company does not anticipate that the adoption of this guidance will have a material impact on its financial position and results of operations . during june 2011 , the fasb issued asu no . 2011-05 , “ presentation of comprehensive income ” ( “ asu 2011-05 ” ) . asu 2011-05 provides for the option to present the total of comprehensive income , the components of net income and the components of other comprehensive income ( “ oci ” ) either in a

