the terms of these agreements include payment to us of one or more of the following : nonrefundable , up-front license fees ; milestone payments ; and royalties on product sales . revenue from our human therapeutics segment is shown in our consolidated statements of operations as collaborative arrangements revenue . revenue from our biomanufacturing segment was generated by our former subsidiary , microbia , which had entered into research and development service agreements with various third parties . these agreements generally provided for fees for research and development services rendered . as a result of the sale of our interest in microbia , revenue from our biomanufacturing segment is included in net income ( loss ) from discontinued operations . we expect our revenue to fluctuate for the foreseeable future as our collaborative arrangements revenue is principally based on the achievement of clinical and commercial milestones . research and development expense . research and development expense consists of expenses incurred in connection with the discovery and development of our product candidates . these expenses consist primarily of compensation , benefits and other employee related expenses , research and development related facility costs and third-party contract costs relating to research , formulation , manufacturing , preclinical study and clinical trial activities . the costs of revenue related to the microbia services contracts and costs associated with microbia 's research and development activities are included in net income ( loss ) from discontinued operations . we charge all research and development expenses to operations as incurred . under our forest collaboration agreement we are reimbursed for certain research and development expenses and we net these reimbursements against our research and development expenses as incurred . 43 our lead product candidate is linaclotide and it represents the largest portion of our research and development expense for our product candidates . linaclotide is a first-in-class compound currently in phase 3 clinical development for the treatment of ibs-c and cc and is our only product candidate that has demonstrated clinical proof of concept . in september and november 2010 , we announced the positive top-line results from each of the two phase 3 clinical trials assessing the safety and efficacy of linaclotide in patients with ibs-c , and in november 2009 , we announced that we achieved positive results in each of our phase 3 cc trials . we have a pipeline of early stage , pre-proof of concept development candidates in multiple therapeutic areas , including gastrointestinal disease , pain and inflammation , and respiratory disease . we are also conducting early stage , preclinical research in these therapeutic areas , as well as in the area of cardiovascular disease . the following table sets forth our research and development expenses related to our product pipeline for the years ended december 31 , 2010 , 2009 and 2008. these expenses relate primarily to external costs associated with manufacturing , preclinical studies and clinical trial costs . costs related to facilities , depreciation , share-based compensation and research and development support services are not directly charged to programs . replace_table_token_5_th we began tracking program expenses for linaclotide in 2004 , and research and development program expenses from inception to december 31 , 2010 were approximately $ 123.4 million . the expenses for linaclotide include both reimbursements to us by forest as well as our portion of costs incurred by forest for linaclotide and invoiced to us under the cost-sharing provisions of our collaboration agreement . the lengthy process of securing fda approvals for new drugs requires the expenditure of substantial resources . any failure by us to obtain , or any delay in obtaining , regulatory approvals would materially adversely affect our product development efforts and our business overall . accordingly , we can not currently estimate with any degree of certainty the amount of time or money that we will be required to expend in the future on linaclotide or our other product candidates prior to their regulatory approval , if such approval is ever granted . as a result of these uncertainties surrounding the timing and outcome of any approvals , we are currently unable to estimate precisely when , if ever , linaclotide , or any of our other product candidates will generate revenues and cash flows . we invest carefully in our pipeline , and the commitment of funding for each subsequent stage of our development programs is dependent upon the receipt of clear , supportive data . in addition , we are actively engaged in evaluating externally discovered drug candidates at all stages of development . in evaluating potential assets , we apply the same criteria as those used for investments in internally-discovered assets . the majority of our external costs are spent on linaclotide , as costs associated with later stage clinical trials are , in most cases , more significant than those incurred in earlier stages of our pipeline . we expect external costs related to the linaclotide program to begin decreasing provided that no other clinical trials are necessary to obtain regulatory approval in the u.s. if our other product candidates are successful in early stage clinical trials , we would expect external costs to increase as the programs progress through later stage clinical trials . the remainder of our research and development expense is not tracked by project as it consists primarily of our internal costs , and it benefits multiple projects that are in earlier stages of development and which typically share resources . 44 the successful development of our product candidates is highly uncertain and subject to a number of risks including , but not limited to : the duration of clinical trials may vary substantially according to the type , complexity and novelty of the product candidate . story_separator_special_tag our forfeiture rates were 5.5 % , 5.8 % and 4.4 % as of december 31 , 2010 , 2009 and 2008 , respectively . if our actual forfeiture rate varies from our historical rates and estimates , additional adjustments to compensation expense may be required in future periods . we have historically granted stock options at exercise prices not less than the fair value of our common stock as determined by our board of directors , with input from management . due to the absence of an active market for our common stock , prior to our initial public offering on february 2 , 2010 , our board of directors has historically determined , with input from management , the estimated fair value of our common stock on the date of grant based on a number of objective and subjective factors , including : the prices at which we sold shares of convertible preferred stock ; the superior rights and preferences of securities senior to our common stock at the time of each grant ; the likelihood of achieving a liquidity event such as an initial public offering or sale of our company ; our historical operating and financial performance and the status of our research and product development efforts ; achievement of enterprise milestones , including our entering into collaboration and license agreements ; and external market conditions affecting the biotechnology industry sector . 49 in connection with the preparation of the consolidated financial statements for the years ended december 31 , 2009 and 2008 , our board of directors also considered valuations provided by management in determining the fair value of our common stock . such valuations were prepared as of march 31 , june 30 , october 28 and december 31 , 2008 , and march 31 , june 30 , september 30 , november 2 and december 31 , 2009 , and valued our common stock at $ 4.33 , $ 4.67 , $ 4.98 , $ 4.89 , $ 5.00 , $ 5.48 , $ 7.36 , $ 11.75 and $ 12.05 per share , respectively . the valuations have been used to estimate the fair value of our common stock as of each option grant date and in calculating share-based compensation expense . our board of directors has consistently used the most recent quarterly valuation provided by management for determining the fair value of our common stock unless a specific event occurred that necessitated an interim valuation . the valuations were prepared consistent with the american institute of certified public accountants practice aid , valuation of privately-held company equity securities issued as compensation , or the practice aid . we used the guideline company method and the similar transaction method of the market approach , which compare our company to similar publicly-traded companies or transactions , and an income approach , which looks at projected future cash flows , to value our company from among the alternatives discussed in the practice aid . in addition , as we had several series of convertible preferred stock outstanding prior to our initial public offering in february 2010 , it was also necessary to allocate our company 's value to the various classes of stock , including stock options . as provided in the practice aid , there are several approaches for allocating enterprise value of a privately-held company among the securities held in a complex capital structure . the possible methodologies include the probability-weighted expected return method , the option-pricing method and the current value method . we used the probability-weighted expected return method described in the practice aid to allocate the enterprise values to the common stock . under this method , the value of our common stock is estimated based upon an analysis of future values for our company assuming various future outcomes , the timing of which is based on the plans of our board of directors and management . under this approach , share value is based on the probability-weighted present value of expected future investment returns , considering each of the possible outcomes available to us , as well as the rights of each share class . we estimated the fair value of our common stock using a probability-weighted analysis of the present value of the returns afforded to our stockholders under each of four possible future scenarios . three of the scenarios assumed a stockholder exit , either through an ipo or a sale of our company . the fourth scenario assumed a sale of our company at a value that is less than the cumulative amounts invested by our preferred stockholders . for the march 31 , 2008 valuation , we utilized a one product ipo scenario reflecting only linaclotide advancing in the clinic at the time of an ipo . beginning with the october 28 , 2008 valuation , we included two separate ipo scenarios to better reflect our company 's risk profile at that time . the linaclotide program was by then advancing in two indications , cc and ibs-c. we believed that the ibs-c indication had a significantly higher market value and higher clinical risk for ironwood . to better reflect the potential liquidity outcomes for linaclotide , the first ipo scenario included an assumption of successful phase 3 clinical trials for both the cc and ibs-c indications at the time of an ipo , and the second ipo scenario reflected successful phase 3 clinical trials in only the cc indication at the time of the ipo . for both ipo scenarios and the sale scenario , the estimated future values of our common stock were calculated using assumptions including : the expected pre-money or sale valuations based on the market approach , and the income approach using the discounted cash flow method , and the expected dates of the future expected ipo or sale . for the sale at an assumed price less than the liquidation preference scenario , the estimated future and present

liquidity and capital resources the following table sets forth the major sources and uses of cash for each of the periods set forth below : replace_table_token_12_th we have incurred losses since our inception on january 5 , 1998 and , as of december 31 , 2010 , we had a cumulative deficit of approximately $ 367.5 million . we have financed our operations to date primarily through the sale of preferred stock and common stock , including approximately $ 203.2 million of net proceeds from our ipo , payments received under collaborative arrangements , including reimbursement of certain expenses , debt financings and interest earned on investments . at december 31 , 2010 , we had approximately $ 248.0 million of unrestricted cash , cash equivalents and available-for-sale securities . our cash equivalents include amounts held in money market funds , stated at cost plus accrued interest , which approximates fair market value and amounts held in certain u.s. government sponsored securities . our available-for-sale securities include amounts held in u.s. treasury securities and u.s. government sponsored securities . we invest cash in excess of immediate requirements in accordance with our investment policy , which limits the amounts we may invest in any one type of investment and requires all investments held by us to be a+ rated so as to primarily achieve liquidity and capital preservation . cash flows from operating activities net cash used in operating activities totaled approximately $ 67.9 million for the year ended december 31 , 2010. the primary uses of cash were our net loss from continuing operations of approximately $ 56.4 million , approximately $ 6.0 million used in operating activities from discontinued operations and a decrease of approximately $ 21.3 million in working capital resulting primarily from changes in deferred revenue associated with the recognition of revenue from our forest collaboration agreement and our almirall and astellas license agreements , as well as the achievement of the milestone associated with the almirall agreement . these uses of cash were partially offset by non-cash items of approximately $ 15.8 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.
     ```liquidity and capital resources the following table sets forth the major sources and uses of cash for each of the periods set forth below : replace_table_token_12_th we have incurred losses since our inception on january 5 , 1998 and , as of december 31 , 2010 , we had a cumulative deficit of approximately $ 367.5 million . we have financed our operations to date primarily through the sale of preferred stock and common stock , including approximately $ 203.2 million of net proceeds from our ipo , payments received under collaborative arrangements , including reimbursement of certain expenses , debt financings and interest earned on investments . at december 31 , 2010 , we had approximately $ 248.0 million of unrestricted cash , cash equivalents and available-for-sale securities . our cash equivalents include amounts held in money market funds , stated at cost plus accrued interest , which approximates fair market value and amounts held in certain u.s. government sponsored securities . our available-for-sale securities include amounts held in u.s. treasury securities and u.s. government sponsored securities . we invest cash in excess of immediate requirements in accordance with our investment policy , which limits the amounts we may invest in any one type of investment and requires all investments held by us to be a+ rated so as to primarily achieve liquidity and capital preservation . cash flows from operating activities net cash used in operating activities totaled approximately $ 67.9 million for the year ended december 31 , 2010. the primary uses of cash were our net loss from continuing operations of approximately $ 56.4 million , approximately $ 6.0 million used in operating activities from discontinued operations and a decrease of approximately $ 21.3 million in working capital resulting primarily from changes in deferred revenue associated with the recognition of revenue from our forest collaboration agreement and our almirall and astellas license agreements , as well as the achievement of the milestone associated with the almirall agreement . these uses of cash were partially offset by non-cash items of approximately $ 15.8 million .
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 Suspicious Activity Report : the terms of these agreements include payment to us of one or more of the following : nonrefundable , up-front license fees ; milestone payments ; and royalties on product sales . revenue from our human therapeutics segment is shown in our consolidated statements of operations as collaborative arrangements revenue . revenue from our biomanufacturing segment was generated by our former subsidiary , microbia , which had entered into research and development service agreements with various third parties . these agreements generally provided for fees for research and development services rendered . as a result of the sale of our interest in microbia , revenue from our biomanufacturing segment is included in net income ( loss ) from discontinued operations . we expect our revenue to fluctuate for the foreseeable future as our collaborative arrangements revenue is principally based on the achievement of clinical and commercial milestones . research and development expense . research and development expense consists of expenses incurred in connection with the discovery and development of our product candidates . these expenses consist primarily of compensation , benefits and other employee related expenses , research and development related facility costs and third-party contract costs relating to research , formulation , manufacturing , preclinical study and clinical trial activities . the costs of revenue related to the microbia services contracts and costs associated with microbia 's research and development activities are included in net income ( loss ) from discontinued operations . we charge all research and development expenses to operations as incurred . under our forest collaboration agreement we are reimbursed for certain research and development expenses and we net these reimbursements against our research and development expenses as incurred . 43 our lead product candidate is linaclotide and it represents the largest portion of our research and development expense for our product candidates . linaclotide is a first-in-class compound currently in phase 3 clinical development for the treatment of ibs-c and cc and is our only product candidate that has demonstrated clinical proof of concept . in september and november 2010 , we announced the positive top-line results from each of the two phase 3 clinical trials assessing the safety and efficacy of linaclotide in patients with ibs-c , and in november 2009 , we announced that we achieved positive results in each of our phase 3 cc trials . we have a pipeline of early stage , pre-proof of concept development candidates in multiple therapeutic areas , including gastrointestinal disease , pain and inflammation , and respiratory disease . we are also conducting early stage , preclinical research in these therapeutic areas , as well as in the area of cardiovascular disease . the following table sets forth our research and development expenses related to our product pipeline for the years ended december 31 , 2010 , 2009 and 2008. these expenses relate primarily to external costs associated with manufacturing , preclinical studies and clinical trial costs . costs related to facilities , depreciation , share-based compensation and research and development support services are not directly charged to programs . replace_table_token_5_th we began tracking program expenses for linaclotide in 2004 , and research and development program expenses from inception to december 31 , 2010 were approximately $ 123.4 million . the expenses for linaclotide include both reimbursements to us by forest as well as our portion of costs incurred by forest for linaclotide and invoiced to us under the cost-sharing provisions of our collaboration agreement . the lengthy process of securing fda approvals for new drugs requires the expenditure of substantial resources . any failure by us to obtain , or any delay in obtaining , regulatory approvals would materially adversely affect our product development efforts and our business overall . accordingly , we can not currently estimate with any degree of certainty the amount of time or money that we will be required to expend in the future on linaclotide or our other product candidates prior to their regulatory approval , if such approval is ever granted . as a result of these uncertainties surrounding the timing and outcome of any approvals , we are currently unable to estimate precisely when , if ever , linaclotide , or any of our other product candidates will generate revenues and cash flows . we invest carefully in our pipeline , and the commitment of funding for each subsequent stage of our development programs is dependent upon the receipt of clear , supportive data . in addition , we are actively engaged in evaluating externally discovered drug candidates at all stages of development . in evaluating potential assets , we apply the same criteria as those used for investments in internally-discovered assets . the majority of our external costs are spent on linaclotide , as costs associated with later stage clinical trials are , in most cases , more significant than those incurred in earlier stages of our pipeline . we expect external costs related to the linaclotide program to begin decreasing provided that no other clinical trials are necessary to obtain regulatory approval in the u.s. if our other product candidates are successful in early stage clinical trials , we would expect external costs to increase as the programs progress through later stage clinical trials . the remainder of our research and development expense is not tracked by project as it consists primarily of our internal costs , and it benefits multiple projects that are in earlier stages of development and which typically share resources . 44 the successful development of our product candidates is highly uncertain and subject to a number of risks including , but not limited to : the duration of clinical trials may vary substantially according to the type , complexity and novelty of the product candidate . story_separator_special_tag our forfeiture rates were 5.5 % , 5.8 % and 4.4 % as of december 31 , 2010 , 2009 and 2008 , respectively . if our actual forfeiture rate varies from our historical rates and estimates , additional adjustments to compensation expense may be required in future periods . we have historically granted stock options at exercise prices not less than the fair value of our common stock as determined by our board of directors , with input from management . due to the absence of an active market for our common stock , prior to our initial public offering on february 2 , 2010 , our board of directors has historically determined , with input from management , the estimated fair value of our common stock on the date of grant based on a number of objective and subjective factors , including : the prices at which we sold shares of convertible preferred stock ; the superior rights and preferences of securities senior to our common stock at the time of each grant ; the likelihood of achieving a liquidity event such as an initial public offering or sale of our company ; our historical operating and financial performance and the status of our research and product development efforts ; achievement of enterprise milestones , including our entering into collaboration and license agreements ; and external market conditions affecting the biotechnology industry sector . 49 in connection with the preparation of the consolidated financial statements for the years ended december 31 , 2009 and 2008 , our board of directors also considered valuations provided by management in determining the fair value of our common stock . such valuations were prepared as of march 31 , june 30 , october 28 and december 31 , 2008 , and march 31 , june 30 , september 30 , november 2 and december 31 , 2009 , and valued our common stock at $ 4.33 , $ 4.67 , $ 4.98 , $ 4.89 , $ 5.00 , $ 5.48 , $ 7.36 , $ 11.75 and $ 12.05 per share , respectively . the valuations have been used to estimate the fair value of our common stock as of each option grant date and in calculating share-based compensation expense . our board of directors has consistently used the most recent quarterly valuation provided by management for determining the fair value of our common stock unless a specific event occurred that necessitated an interim valuation . the valuations were prepared consistent with the american institute of certified public accountants practice aid , valuation of privately-held company equity securities issued as compensation , or the practice aid . we used the guideline company method and the similar transaction method of the market approach , which compare our company to similar publicly-traded companies or transactions , and an income approach , which looks at projected future cash flows , to value our company from among the alternatives discussed in the practice aid . in addition , as we had several series of convertible preferred stock outstanding prior to our initial public offering in february 2010 , it was also necessary to allocate our company 's value to the various classes of stock , including stock options . as provided in the practice aid , there are several approaches for allocating enterprise value of a privately-held company among the securities held in a complex capital structure . the possible methodologies include the probability-weighted expected return method , the option-pricing method and the current value method . we used the probability-weighted expected return method described in the practice aid to allocate the enterprise values to the common stock . under this method , the value of our common stock is estimated based upon an analysis of future values for our company assuming various future outcomes , the timing of which is based on the plans of our board of directors and management . under this approach , share value is based on the probability-weighted present value of expected future investment returns , considering each of the possible outcomes available to us , as well as the rights of each share class . we estimated the fair value of our common stock using a probability-weighted analysis of the present value of the returns afforded to our stockholders under each of four possible future scenarios . three of the scenarios assumed a stockholder exit , either through an ipo or a sale of our company . the fourth scenario assumed a sale of our company at a value that is less than the cumulative amounts invested by our preferred stockholders . for the march 31 , 2008 valuation , we utilized a one product ipo scenario reflecting only linaclotide advancing in the clinic at the time of an ipo . beginning with the october 28 , 2008 valuation , we included two separate ipo scenarios to better reflect our company 's risk profile at that time . the linaclotide program was by then advancing in two indications , cc and ibs-c. we believed that the ibs-c indication had a significantly higher market value and higher clinical risk for ironwood . to better reflect the potential liquidity outcomes for linaclotide , the first ipo scenario included an assumption of successful phase 3 clinical trials for both the cc and ibs-c indications at the time of an ipo , and the second ipo scenario reflected successful phase 3 clinical trials in only the cc indication at the time of the ipo . for both ipo scenarios and the sale scenario , the estimated future values of our common stock were calculated using assumptions including : the expected pre-money or sale valuations based on the market approach , and the income approach using the discounted cash flow method , and the expected dates of the future expected ipo or sale . for the sale at an assumed price less than the liquidation preference scenario , the estimated future and present

