in addition , a $ 1.1 million increase in depreciation and amortization expense attributable to our purchase of water transfer assets also contributed to the increase in net loss in 2016. adjusted ebitda for the year ended december 31 , 2016 was a negative $ 3.3 million as compared to $ 6.3 million in 2015. for further details on the calculation of adjusted ebitda see adjusted ebitda section below . industry overview the low crude oil prices since july 2014 that continued through 2016 resulted in our customers significantly scaling back drilling and completion programs , shifting capital resources to higher margin basins , requiring substantial concessions from vendors , and reducing or delaying certain maintenance related work to preserve capital . further , the overall reduction in drilling , completion and service work resulted in more service vendors seeking fewer jobs putting even further downward pressure on the pricing of services . some competitors responded by pricing work at what we believe to be negative margins . although the company has been able to partially mitigate the impact of the operating environment by deploying resources to more active customers and basins , our revenue growth and operating margins have been significantly negatively impacted by reduced overall demand for our services , requiring pricing concessions and the delay of hot oiling and acidizing maintenance work . many customers implemented capital spending programs at the beginning of 2016 and some customers suspended drilling and completion programs altogether until oil and natural gas prices recover and stabilize at an economical price for continuing operations . in addition , some customers delayed their routine hot oiling and acidizing maintenance work . crude prices and the north american rig count have increased significantly since the low points in february 2016 and may 2016 , respectively , signaling that the industry downturn may have hit bottom and begun a market recovery . in the fourth quarter of 2016 , the average united states rig count increased 23 % compared to the third quarter , and we started to see a pickup in completion and production maintenance service activity towards the end of the fourth quarter . segment overview enservco 's reportable business segments are well enhancement services , water transfer services , water hauling services , and construction services . these segments have been selected based on changes in management 's resource allocation and performance assessment in making decisions regarding the company . the following is a description of the segments : well enhancement services : this segment utilizes a fleet of frac water heating units , hot oil trucks and acidizing units to provide well enhancement and completion services to the domestic oil and gas industry . these services include frac water heating , hot oil services , pressure testing , and acidizing services . 35 water transfer services : this segment utilizes high and low volume pumps , lay flat hose , aluminum pipe and manifolds and related equipment to move fresh and or recycled water from a water source such as a pond , lake , river , stream , or water storage facility to frac tanks at drilling locations to be used in connection with well completion activities . also included in this segment are water treatment services whereby to remove bacteria and scale from water , the company uses patented hydropath technology under an agreement with hydroflow usa . water hauling services : this segment utilizes a fleet of trucks and related assets , including specialized tank trucks , vacuum trailers , storage tanks , and disposal facilities to provide various water hauling services . these services are primarily provided by dillco in the hugoton area in kansas and oklahoma . construction services : this segment utilizes a fleet of trucks and equipment to provide supplementary construction and roustabout services to the oil and gas and construction industry . in 2016 , the company started utilizing this fleet of equipment to provide dirt hauling services to a general construction contractor in colorado . segment results : the following tables set forth revenue from operations and segment profits for the company 's business segments for the fiscal years ended december 31 , 2016 and 2015 : replace_table_token_2_th replace_table_token_3_th well enhancement services : for 2016 , well enhancement service revenue declined $ 15.0 million , or 46 % , to $ 17.9 million . a significant decline in demand for our frac water heating services due to unseasonably warm weather in our two largest frac water heating markets ( d-j/niobrara and marcellus/utica ) and the overall decline in drilling and completions activity related to low oil and natural gas price were the primary reasons for the decline in revenues . these declines were partially offset by $ 2.3 million of incremental revenues from our geographic expansion into the texas area . 36 frac water heating revenues for the year ended december 31 , 2016 declined 64 % to $ 6.7 million as compared to $ 18.3 million in 2015. unseasonably warm winter weather in the dj basin and marcellus/utica basin in the first and fourth quarters of 2016 significantly reduced demand for our frac water heating services in these , our two largest frac heating markets . our eastern usa region was hit particularly hard as sufficiently cold weather did not materialize in first and fourth quarter 2016 , contributing to a $ 3.8 million , or 83 % , decline in heating revenues in the marcellus/utica shale basin . further , industry wide declines in drilling and completion programs due to low oil and natural gas prices and price concessions issued to customers also contributed to the annual decline in frac heating revenues . story_separator_special_tag we use , and we believe investors benefit from the presentation of , ebitda and adjusted ebitda in evaluating our operating performance because it provides us and our investors with an additional tool to compare our operating performance on a consistent basis by removing the impact of certain items that management believes do not directly reflect our core operations . we believe that ebitda is useful to investors and other external users of our financial statements in evaluating our operating performance because ebitda is widely used by investors to measure a company 's operating performance without regard to items such as interest expense , taxes , and depreciation and amortization , which can vary substantially from company to company depending upon accounting methods and book value of assets , capital structure and the method by which assets were acquired . additionally , our leverage and fixed charge ratio covenants associated with our 2014 credit agreement require the use of adjusted ebitda in specific calculations . because not all companies use identical calculations , the company 's presentation of non-gaap financial measures may not be comparable to other similarly titled measures of other companies . however , these measures can still be useful in evaluating the company 's performance against its peer companies because management believes the measures provide users with valuable insight into key components of gaap financial disclosures . changes in adjusted ebitda * adjusted ebitda from operations declined $ 9.6 million to a negative $ 3.3 million for the year ended december 31 , 2016 as compared to a positive $ 6.3 million for 2015. this decrease was primarily due to the $ 10.2 million decline in segment profit discussed above . 42 story_separator_special_tag under the revolving credit facility . liquidity : as of december 31 , 2016 , the company 's available liquidity was $ 5.15 million , which was substantially comprised of $ 4.5 million of availability on the credit facility and $ 620,000 in cash . the company continues to borrow from the credit facility to fund working capital requirements . as of march 3 , 2017 , our liquidity decreased by $ 545,000 which consisted of credit facility availability of $ 3.06 million and cash of $ 542,000 . 44 the company has incurred substantial losses from years ended december 31 , 2016 and 2015 and negative cash from operations in 2016 of $ 1.9 million . the company 's current operating plan indicates that it will continue to incur losses from operations . as noted above , the tenth amendment to the company 's 2014 credit agreement with pnc has modified the maturity date of the loan balance to april 30 , 2018. thus , beginning in may 2017 , the entire loan balance ( approximately $ 25.7 million as of march 28 , 2017 ) will be classified as a current liability . the company is exploring alternatives for other sources of capital and for ongoing liquidity needs to enhance its ability to comply with the financial covenants under its credit agreement and fund obligations . the company is working to improve its operating performance and its cash , liquidity and financial position . this includes : ( i ) improving labor and equipment utilization rates ; ( ii ) selling certain assets of the company ; and ( iii ) exploring new bank relationships . however , there can be no assurance that management 's plan to improve the company 's operating performance and financial position will be successful or that the company will be able to obtain additional financing or more favorable covenant requirements . as a result , the company 's ability to pay its obligation and meet its covenant requirement can be adversely affected . working capital : as of december 31 , 2016 , the company had working capital of approximately $ 3.04 million as compared to $ 6.23 million at our 2015 fiscal year end . the decrease in working capital was primarily attributable to a decrease in accounts receivable of $ 2.2 million due to lower frac water heating revenues during the fourth quarter of 2016 as compared to the fourth quarter last year due to warmer weather . further , working capital decreased as a result of an increase in accounts payable and accrued liabilities of $ 640,000 due to extending vendor payments . cash flow from operating activities : cash flow from operating activities for the year ended december 31 , 2016 decreased $ 14.1 million to a cash used in operating activities of $ 2.0 million as compared to cash provided by operating activities of $ 12.1 million during 2015 primarily due to the $ 10.7 million increase in pre-tax net loss and changes in working capital associated with lower revenues . cash flow used in investing activities : cash flow used in investing activities for the fiscal year ended december 31 , 2016 was $ 4.7 million as compared to $ 4.5 million during the comparable period last year . during 2016 , the company purchased $ 4.3 million of water transfer assets from wet and hiit . during 2015 , the company used $ 4.5 million of cash flow to complete the fabrication of equipment from the 2014 capex program . cash flow from financing activities : cash provided in financing activities for fiscal year ended december 31 , 2016 was $ 6.5 million as compared to cash used in financing activities of $ 7.8 million for the year ended 2015. during 2016 , the company completed a secondary stock issuance which provided the company gross proceeds of $ 5.2 million which was offset by stock issuance costs for net proceeds of $ 4.4 million . during 2016 , the company made principal payments of $ 13.9 million to the pnc senior revolving credit facility compared to $ 24.7 million in 2015 . 45 outlook : the current oil and gas environment provides a great opportunity for us to optimize

liquidity and capital resources the following table summarizes our statements of cash flows for the years ended december 31 , 2016 and 2015 and ( combined with the working capital table and discussion below ) is important for understanding our liquidity : replace_table_token_6_th the following table sets forth a summary of certain aspects of our balance sheets at december 31 , 2016 and 2015 : replace_table_token_7_th overview : we have relied on cash flow from operations , borrowings under our revolving credit agreements , and equity offerings to satisfy our liquidity needs . our ability to fund operating cash flow shortfalls , fund capital expenditures , and make acquisitions will depend upon our future operating performance and on the availability of equity and debt financing . at december 31 , 2016 , we had approximately $ 621,000 of cash and cash equivalents and approximately $ 4.5 million available under our asset based senior revolving credit facility . in september 2014 , the company entered into an amended and restated revolving credit and security agreement ( the “ 2014 credit agreement ” ) with pnc bank , national association ( “ pnc ” ) which provides for a five-year $ 30 million senior secured revolving credit facility . the facility allowed the company to borrow up to 85 % of eligible receivables , 85 % of the appraised value of trucks and equipment , and up to 90 % of the cost of new equipment . the company had the option to pay variable interest rate based on ( a ) 1 , 2 or 3 month libor plus applicable margin ranging from 2.50 % to 3.50 % for libor rate loans or ( b ) interest at pnc base rate plus applicable margin of 1.00 % to 2.00 % for domestic rate loans .


 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 summarizes our statements of cash flows for the years ended december 31 , 2016 and 2015 and ( combined with the working capital table and discussion below ) is important for understanding our liquidity : replace_table_token_6_th the following table sets forth a summary of certain aspects of our balance sheets at december 31 , 2016 and 2015 : replace_table_token_7_th overview : we have relied on cash flow from operations , borrowings under our revolving credit agreements , and equity offerings to satisfy our liquidity needs . our ability to fund operating cash flow shortfalls , fund capital expenditures , and make acquisitions will depend upon our future operating performance and on the availability of equity and debt financing . at december 31 , 2016 , we had approximately $ 621,000 of cash and cash equivalents and approximately $ 4.5 million available under our asset based senior revolving credit facility . in september 2014 , the company entered into an amended and restated revolving credit and security agreement ( the “ 2014 credit agreement ” ) with pnc bank , national association ( “ pnc ” ) which provides for a five-year $ 30 million senior secured revolving credit facility . the facility allowed the company to borrow up to 85 % of eligible receivables , 85 % of the appraised value of trucks and equipment , and up to 90 % of the cost of new equipment . the company had the option to pay variable interest rate based on ( a ) 1 , 2 or 3 month libor plus applicable margin ranging from 2.50 % to 3.50 % for libor rate loans or ( b ) interest at pnc base rate plus applicable margin of 1.00 % to 2.00 % for domestic rate loans .
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 Suspicious Activity Report : in addition , a $ 1.1 million increase in depreciation and amortization expense attributable to our purchase of water transfer assets also contributed to the increase in net loss in 2016. adjusted ebitda for the year ended december 31 , 2016 was a negative $ 3.3 million as compared to $ 6.3 million in 2015. for further details on the calculation of adjusted ebitda see adjusted ebitda section below . industry overview the low crude oil prices since july 2014 that continued through 2016 resulted in our customers significantly scaling back drilling and completion programs , shifting capital resources to higher margin basins , requiring substantial concessions from vendors , and reducing or delaying certain maintenance related work to preserve capital . further , the overall reduction in drilling , completion and service work resulted in more service vendors seeking fewer jobs putting even further downward pressure on the pricing of services . some competitors responded by pricing work at what we believe to be negative margins . although the company has been able to partially mitigate the impact of the operating environment by deploying resources to more active customers and basins , our revenue growth and operating margins have been significantly negatively impacted by reduced overall demand for our services , requiring pricing concessions and the delay of hot oiling and acidizing maintenance work . many customers implemented capital spending programs at the beginning of 2016 and some customers suspended drilling and completion programs altogether until oil and natural gas prices recover and stabilize at an economical price for continuing operations . in addition , some customers delayed their routine hot oiling and acidizing maintenance work . crude prices and the north american rig count have increased significantly since the low points in february 2016 and may 2016 , respectively , signaling that the industry downturn may have hit bottom and begun a market recovery . in the fourth quarter of 2016 , the average united states rig count increased 23 % compared to the third quarter , and we started to see a pickup in completion and production maintenance service activity towards the end of the fourth quarter . segment overview enservco 's reportable business segments are well enhancement services , water transfer services , water hauling services , and construction services . these segments have been selected based on changes in management 's resource allocation and performance assessment in making decisions regarding the company . the following is a description of the segments : well enhancement services : this segment utilizes a fleet of frac water heating units , hot oil trucks and acidizing units to provide well enhancement and completion services to the domestic oil and gas industry . these services include frac water heating , hot oil services , pressure testing , and acidizing services . 35 water transfer services : this segment utilizes high and low volume pumps , lay flat hose , aluminum pipe and manifolds and related equipment to move fresh and or recycled water from a water source such as a pond , lake , river , stream , or water storage facility to frac tanks at drilling locations to be used in connection with well completion activities . also included in this segment are water treatment services whereby to remove bacteria and scale from water , the company uses patented hydropath technology under an agreement with hydroflow usa . water hauling services : this segment utilizes a fleet of trucks and related assets , including specialized tank trucks , vacuum trailers , storage tanks , and disposal facilities to provide various water hauling services . these services are primarily provided by dillco in the hugoton area in kansas and oklahoma . construction services : this segment utilizes a fleet of trucks and equipment to provide supplementary construction and roustabout services to the oil and gas and construction industry . in 2016 , the company started utilizing this fleet of equipment to provide dirt hauling services to a general construction contractor in colorado . segment results : the following tables set forth revenue from operations and segment profits for the company 's business segments for the fiscal years ended december 31 , 2016 and 2015 : replace_table_token_2_th replace_table_token_3_th well enhancement services : for 2016 , well enhancement service revenue declined $ 15.0 million , or 46 % , to $ 17.9 million . a significant decline in demand for our frac water heating services due to unseasonably warm weather in our two largest frac water heating markets ( d-j/niobrara and marcellus/utica ) and the overall decline in drilling and completions activity related to low oil and natural gas price were the primary reasons for the decline in revenues . these declines were partially offset by $ 2.3 million of incremental revenues from our geographic expansion into the texas area . 36 frac water heating revenues for the year ended december 31 , 2016 declined 64 % to $ 6.7 million as compared to $ 18.3 million in 2015. unseasonably warm winter weather in the dj basin and marcellus/utica basin in the first and fourth quarters of 2016 significantly reduced demand for our frac water heating services in these , our two largest frac heating markets . our eastern usa region was hit particularly hard as sufficiently cold weather did not materialize in first and fourth quarter 2016 , contributing to a $ 3.8 million , or 83 % , decline in heating revenues in the marcellus/utica shale basin . further , industry wide declines in drilling and completion programs due to low oil and natural gas prices and price concessions issued to customers also contributed to the annual decline in frac heating revenues . story_separator_special_tag we use , and we believe investors benefit from the presentation of , ebitda and adjusted ebitda in evaluating our operating performance because it provides us and our investors with an additional tool to compare our operating performance on a consistent basis by removing the impact of certain items that management believes do not directly reflect our core operations . we believe that ebitda is useful to investors and other external users of our financial statements in evaluating our operating performance because ebitda is widely used by investors to measure a company 's operating performance without regard to items such as interest expense , taxes , and depreciation and amortization , which can vary substantially from company to company depending upon accounting methods and book value of assets , capital structure and the method by which assets were acquired . additionally , our leverage and fixed charge ratio covenants associated with our 2014 credit agreement require the use of adjusted ebitda in specific calculations . because not all companies use identical calculations , the company 's presentation of non-gaap financial measures may not be comparable to other similarly titled measures of other companies . however , these measures can still be useful in evaluating the company 's performance against its peer companies because management believes the measures provide users with valuable insight into key components of gaap financial disclosures . changes in adjusted ebitda * adjusted ebitda from operations declined $ 9.6 million to a negative $ 3.3 million for the year ended december 31 , 2016 as compared to a positive $ 6.3 million for 2015. this decrease was primarily due to the $ 10.2 million decline in segment profit discussed above . 42 story_separator_special_tag under the revolving credit facility . liquidity : as of december 31 , 2016 , the company 's available liquidity was $ 5.15 million , which was substantially comprised of $ 4.5 million of availability on the credit facility and $ 620,000 in cash . the company continues to borrow from the credit facility to fund working capital requirements . as of march 3 , 2017 , our liquidity decreased by $ 545,000 which consisted of credit facility availability of $ 3.06 million and cash of $ 542,000 . 44 the company has incurred substantial losses from years ended december 31 , 2016 and 2015 and negative cash from operations in 2016 of $ 1.9 million . the company 's current operating plan indicates that it will continue to incur losses from operations . as noted above , the tenth amendment to the company 's 2014 credit agreement with pnc has modified the maturity date of the loan balance to april 30 , 2018. thus , beginning in may 2017 , the entire loan balance ( approximately $ 25.7 million as of march 28 , 2017 ) will be classified as a current liability . the company is exploring alternatives for other sources of capital and for ongoing liquidity needs to enhance its ability to comply with the financial covenants under its credit agreement and fund obligations . the company is working to improve its operating performance and its cash , liquidity and financial position . this includes : ( i ) improving labor and equipment utilization rates ; ( ii ) selling certain assets of the company ; and ( iii ) exploring new bank relationships . however , there can be no assurance that management 's plan to improve the company 's operating performance and financial position will be successful or that the company will be able to obtain additional financing or more favorable covenant requirements . as a result , the company 's ability to pay its obligation and meet its covenant requirement can be adversely affected . working capital : as of december 31 , 2016 , the company had working capital of approximately $ 3.04 million as compared to $ 6.23 million at our 2015 fiscal year end . the decrease in working capital was primarily attributable to a decrease in accounts receivable of $ 2.2 million due to lower frac water heating revenues during the fourth quarter of 2016 as compared to the fourth quarter last year due to warmer weather . further , working capital decreased as a result of an increase in accounts payable and accrued liabilities of $ 640,000 due to extending vendor payments . cash flow from operating activities : cash flow from operating activities for the year ended december 31 , 2016 decreased $ 14.1 million to a cash used in operating activities of $ 2.0 million as compared to cash provided by operating activities of $ 12.1 million during 2015 primarily due to the $ 10.7 million increase in pre-tax net loss and changes in working capital associated with lower revenues . cash flow used in investing activities : cash flow used in investing activities for the fiscal year ended december 31 , 2016 was $ 4.7 million as compared to $ 4.5 million during the comparable period last year . during 2016 , the company purchased $ 4.3 million of water transfer assets from wet and hiit . during 2015 , the company used $ 4.5 million of cash flow to complete the fabrication of equipment from the 2014 capex program . cash flow from financing activities : cash provided in financing activities for fiscal year ended december 31 , 2016 was $ 6.5 million as compared to cash used in financing activities of $ 7.8 million for the year ended 2015. during 2016 , the company completed a secondary stock issuance which provided the company gross proceeds of $ 5.2 million which was offset by stock issuance costs for net proceeds of $ 4.4 million . during 2016 , the company made principal payments of $ 13.9 million to the pnc senior revolving credit facility compared to $ 24.7 million in 2015 . 45 outlook : the current oil and gas environment provides a great opportunity for us to optimize

