although customer traffic and sales initially slowed following the imposition of social distancing and government-mandated economic shutdowns in march 2020 , resulting in higher rates of cancellation than usual as a result of buyers ' economic uncertainty , we saw a recovery in all of our metrics , including net sales orders , average sales pace per community , home closings , and cancellation rate throughout the remainder of the year . however , the duration and magnitude of the impact of the covid-19 pandemic remains unknown , and could adversely affect our business in future periods . because residential construction was designated as an essential business in nearly all of our operating markets , our construction operations continued wherever appropriate during the year , despite the shelter-in-place orders and other restrictions on commercial activity . all company operations have been conducted in compliance with federal , state , and local covid-19 guidelines , orders , and ordinances applicable to construction and homebuilding activities . since the height of the pandemic , the majority of the states in which we operate have begun to gradually resume normal business operations , and we have continued our construction operations in each of those states . from the beginning of the pandemic , we have taken and continue to take a number of strategic actions in response to the covid-19 crisis to continue to provide uninterrupted service 34 table of contents to our customers while protecting their health and safety , as well as that of our employees and vendors . specifically , we have focused on transforming our customer experience online through innovative digital options , including ( i ) shifting to a remote selling environment ; ( ii ) providing virtual options for online home tours , design center selections and new home demonstrations ; and ( iii ) offering “ curbside ” or “ drive thru ” closings nationwide . to mitigate the inherent business impacts and the uncertainty of the duration of the covid-19 pandemic , we implemented initiatives across the company to reduce all non-essential expenses and capital expenditures , including but not limited to temporarily reducing or deferring new land acquisitions , phasing development , and implementing a revised cadence on all new inventory home starts . these actions may reduce growth and cause a decline of our lot count and the volume of homes delivered in future periods . although we intentionally reduced our forecasted land spend for the year ended december 31 , 2020 , we continue to allocate capital and manage our land portfolio to acquire assets that have attractive characteristics , including good access to schools , shopping , recreation and transportation facilities . in connection with our overall land inventory management and investment process , our management team reviews these considerations , as well as other financial metrics , in order to decide the highest and best use of our capital . we intend to maintain a consistent approach to land positioning within our regions , markets and communities in the foreseeable future in an effort to concentrate a greater amount of our land inventory in attractive areas . we also intend to continue to combine our land development expertise with our homebuilding operations to increase the flexibility of our business and to optimize our margin performance . from time to time , we may sell land in our communities if we believe it is best for our overall strategy and operations . we do not expect such sales to have a significant effect on our overall results , but they may impact our overall gross margins . factors affecting comparability of results for the year ended december 31 , 2020 , we recognized $ 127.2 million of costs relating to our acquisition of wlh . for the year ended december 31 , 2019 , we recognized aggregate costs of $ 10.7 million relating to our acquisitions of wlh and av homes . for the year ended december 31 , 2018 , we recognized $ 30.8 million of costs relating to the av homes acquisition . such costs are recognized in transaction and corporate reorganization expenses on the consolidated statement of operations . for the year ended december 31 , 2020 , we recognized $ 74.1 million of expense relating to purchase accounting for wlh . of that expense , $ 69.7 million is included in cost of home closings and $ 4.4 million is included in cost of land closings . no such expenses were recognized for the years ended december 31 , 2019 or december 31 , 2018. for the years ended december 31 , 2020 and 2019 , we recognized $ 10.2 million and $ 5.8 million of expense relating to losses on our extinguishment of debt , respectively . for the year ended december 31 , 2018 , we did not incur a loss on extinguishment of debt . as of december 31 , 2019 , our assets in chicago were held for sale and as a result we adjusted the fair value of the assets within this division to the lower of fair value ( less costs to sell ) or net book value . in addition , we wrote off other components of the operations in accordance with the guidance set forth in accounting standards codification ( “ asc ” ) topic 360 , property , plant , and equipment . for the year ended december 31 , 2019 , total impacts to the consolidated statement of operations include the following : cost of home closings impact of $ 0.7 million , cost of land closings impact of $ 9.9 million , sales , commissions and other marketing costs impact of $ 0.4 million , general and administrative expenses impact of $ 1.1 million and other expense , net impact of $ 1.2 million . story_separator_special_tag lot option contracts enable us to control significant lot positions with a minimal initial capital investment and substantially reduce the risks associated with land ownership and development . in accordance with asc topic 38 table of contents 810 , consolidation , we have concluded that when we enter into an option or purchase agreement to acquire land or lots and pay a non-refundable deposit , a vie may be created because we are deemed to have provided subordinated financial support that will absorb some or all of an entity 's expected losses if they occur . if we are the primary beneficiary of the vie , we will consolidate the vie in our consolidated financial statements and reflect such assets and liabilities as real estate not owned under option agreements within our inventory balance in the consolidated balance sheets . valuation of deferred tax assets we account for income taxes using the asset and liability method , which requires that deferred tax assets and liabilities be recognized based on future tax consequences of both temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases . deferred tax assets and liabilities are measured using enacted tax rates expected to apply in the years in which the temporary differences are expected to be recovered or settled . the effect on deferred tax assets and liabilities of a change in tax rates is recognized in earnings in the period when the changes are enacted . in accordance with asc topic 740-10 , income taxes , we evaluate our deferred tax assets by tax jurisdiction , including the benefit from net operating loss ( “ nol ” ) carryforwards by tax jurisdiction , to determine if a valuation allowance is required . companies must assess , using significant judgments , whether a valuation allowance should be established based on the consideration of all available evidence using a “ more likely than not ” standard with significant weight being given to evidence that can be objectively verified . this assessment considers , among other matters , the nature , frequency and severity of current and cumulative losses , forecasts of future profitability , the length of statutory carryforward periods , experience with operating losses and experience of utilizing tax credit carryforwards and tax planning alternatives . 39 table of contents results of operations the following table sets forth our results of operations for the periods presented : replace_table_token_10_th 40 table of contents non-gaap measures in addition to the results reported in accordance with accounting principles generally accepted in the united states ( “ gaap ” ) , we have provided information in this annual report relating to : ( i ) adjusted income before income taxes and related margin , ( ii ) ebitda and adjusted ebitda , ( iii ) adjusted net income and adjusted earnings per share , ( iv ) net homebuilding debt to capitalization ratio , and ( v ) adjusted home closings gross margin . adjusted income before income taxes ( and related margin ) is a non-gaap financial measure that reflects our income before income taxes excluding the impact of purchase accounting adjustments related to the acquisition of wlh , transaction expenses , loss on extinguishment of debt , inventory impairment and warranty charges and legal costs relating thereto and the write-off of our chicago operations , as applicable . ebitda and adjusted ebitda are non-gaap financial measures that measure performance by adjusting net income before allocation to non-controlling interests to exclude interest income/ ( expense ) , net , amortization of capitalized interest , income taxes , depreciation and amortization ( ebitda ) , non-cash compensation expense , if any , purchase accounting adjustments relating to the acquisition of wlh , transaction expenses , loss on extinguishment of debt , inventory impairment and warranty charges and legal costs relating thereto and the write-off of our chicago operations , as applicable.adjusted net income and adjusted earnings per share are non-gaap financial measures that reflect the net income available to the company excluding the impact of purchase accounting adjustments relating to the acquisition of wlh , transaction expenses , loss on extinguishment of debt , inventory impairment and warranty charges and legal costs relating thereto , the write-off of our chicago operations and the tax impact due to such adjustments , as applicable . net homebuilding debt to capitalization ratio is a non-gaap financial measure we calculate by dividing ( i ) total debt , less unamortized debt issuance costs/premiums and mortgage warehouse borrowings , net of unrestricted cash and cash equivalents , by ( ii ) total capitalization ( the sum of net homebuilding debt and total stockholders ' equity ) . adjusted home closings gross margin is a non-gaap financial measure based on gaap home closings gross margin ( which is inclusive of capitalized interest ) , excluding purchase accounting adjustments relating to the acquisition of wlh and inventory impairment and warranty charges , as applicable . management uses these non-gaap financial measures to evaluate our performance on a consolidated basis , as well as the performance of our regions , and to set targets for performance-based compensation . we also use the ratio of net homebuilding debt to total capitalization as an indicator of overall leverage and to evaluate our performance against other companies in the homebuilding industry . in the future , we may include additional adjustments in the above-described non-gaap financial measures to the extent we deem them appropriate and useful to management and investors . we believe that adjusted income before income taxes and related margin , adjusted net income and adjusted earnings per share , as well as ebitda and adjusted ebitda , are useful for investors in order to allow them to evaluate our operations without the effects of various items we do not believe are characteristic of our ongoing operations or performance and also because such metrics assist both investors and management in

cash flow activities operating cash flow activities our net cash provided by operating activities was $ 1.1 billion for the year ended december 31 , 2020 compared to $ 393.2 million for the year ended december 31 , 2019. the increase in cash provided by operating activities was primarily attributable to an increase in homes closed and a decrease in real estate inventory , exclusive of real estate added as a result of wlh , and an increase in customer deposits . investing cash flow activities net cash used in investing activities was $ 312.8 million for the year ended december 31 , 2020 compared to net cash used in investing activities of $ 19.3 million for the year ended december 31 , 2019. the increase in cash used in investing activities for the year ended december 31 , 2020 was due to the acquisition of wlh . financing cash flow activities net cash used in financing activities was $ 604.9 million for the year ended december 31 , 2020 compared to $ 377.2 million for the year ended december 31 , 2019. the increase in cash used in financing activities was primarily due to our repayments of the 2023 6.00 % senior notes and 2025 5.875 % senior notes .


 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.
     ```cash flow activities operating cash flow activities our net cash provided by operating activities was $ 1.1 billion for the year ended december 31 , 2020 compared to $ 393.2 million for the year ended december 31 , 2019. the increase in cash provided by operating activities was primarily attributable to an increase in homes closed and a decrease in real estate inventory , exclusive of real estate added as a result of wlh , and an increase in customer deposits . investing cash flow activities net cash used in investing activities was $ 312.8 million for the year ended december 31 , 2020 compared to net cash used in investing activities of $ 19.3 million for the year ended december 31 , 2019. the increase in cash used in investing activities for the year ended december 31 , 2020 was due to the acquisition of wlh . financing cash flow activities net cash used in financing activities was $ 604.9 million for the year ended december 31 , 2020 compared to $ 377.2 million for the year ended december 31 , 2019. the increase in cash used in financing activities was primarily due to our repayments of the 2023 6.00 % senior notes and 2025 5.875 % senior notes .
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 Suspicious Activity Report : although customer traffic and sales initially slowed following the imposition of social distancing and government-mandated economic shutdowns in march 2020 , resulting in higher rates of cancellation than usual as a result of buyers ' economic uncertainty , we saw a recovery in all of our metrics , including net sales orders , average sales pace per community , home closings , and cancellation rate throughout the remainder of the year . however , the duration and magnitude of the impact of the covid-19 pandemic remains unknown , and could adversely affect our business in future periods . because residential construction was designated as an essential business in nearly all of our operating markets , our construction operations continued wherever appropriate during the year , despite the shelter-in-place orders and other restrictions on commercial activity . all company operations have been conducted in compliance with federal , state , and local covid-19 guidelines , orders , and ordinances applicable to construction and homebuilding activities . since the height of the pandemic , the majority of the states in which we operate have begun to gradually resume normal business operations , and we have continued our construction operations in each of those states . from the beginning of the pandemic , we have taken and continue to take a number of strategic actions in response to the covid-19 crisis to continue to provide uninterrupted service 34 table of contents to our customers while protecting their health and safety , as well as that of our employees and vendors . specifically , we have focused on transforming our customer experience online through innovative digital options , including ( i ) shifting to a remote selling environment ; ( ii ) providing virtual options for online home tours , design center selections and new home demonstrations ; and ( iii ) offering “ curbside ” or “ drive thru ” closings nationwide . to mitigate the inherent business impacts and the uncertainty of the duration of the covid-19 pandemic , we implemented initiatives across the company to reduce all non-essential expenses and capital expenditures , including but not limited to temporarily reducing or deferring new land acquisitions , phasing development , and implementing a revised cadence on all new inventory home starts . these actions may reduce growth and cause a decline of our lot count and the volume of homes delivered in future periods . although we intentionally reduced our forecasted land spend for the year ended december 31 , 2020 , we continue to allocate capital and manage our land portfolio to acquire assets that have attractive characteristics , including good access to schools , shopping , recreation and transportation facilities . in connection with our overall land inventory management and investment process , our management team reviews these considerations , as well as other financial metrics , in order to decide the highest and best use of our capital . we intend to maintain a consistent approach to land positioning within our regions , markets and communities in the foreseeable future in an effort to concentrate a greater amount of our land inventory in attractive areas . we also intend to continue to combine our land development expertise with our homebuilding operations to increase the flexibility of our business and to optimize our margin performance . from time to time , we may sell land in our communities if we believe it is best for our overall strategy and operations . we do not expect such sales to have a significant effect on our overall results , but they may impact our overall gross margins . factors affecting comparability of results for the year ended december 31 , 2020 , we recognized $ 127.2 million of costs relating to our acquisition of wlh . for the year ended december 31 , 2019 , we recognized aggregate costs of $ 10.7 million relating to our acquisitions of wlh and av homes . for the year ended december 31 , 2018 , we recognized $ 30.8 million of costs relating to the av homes acquisition . such costs are recognized in transaction and corporate reorganization expenses on the consolidated statement of operations . for the year ended december 31 , 2020 , we recognized $ 74.1 million of expense relating to purchase accounting for wlh . of that expense , $ 69.7 million is included in cost of home closings and $ 4.4 million is included in cost of land closings . no such expenses were recognized for the years ended december 31 , 2019 or december 31 , 2018. for the years ended december 31 , 2020 and 2019 , we recognized $ 10.2 million and $ 5.8 million of expense relating to losses on our extinguishment of debt , respectively . for the year ended december 31 , 2018 , we did not incur a loss on extinguishment of debt . as of december 31 , 2019 , our assets in chicago were held for sale and as a result we adjusted the fair value of the assets within this division to the lower of fair value ( less costs to sell ) or net book value . in addition , we wrote off other components of the operations in accordance with the guidance set forth in accounting standards codification ( “ asc ” ) topic 360 , property , plant , and equipment . for the year ended december 31 , 2019 , total impacts to the consolidated statement of operations include the following : cost of home closings impact of $ 0.7 million , cost of land closings impact of $ 9.9 million , sales , commissions and other marketing costs impact of $ 0.4 million , general and administrative expenses impact of $ 1.1 million and other expense , net impact of $ 1.2 million . story_separator_special_tag lot option contracts enable us to control significant lot positions with a minimal initial capital investment and substantially reduce the risks associated with land ownership and development . in accordance with asc topic 38 table of contents 810 , consolidation , we have concluded that when we enter into an option or purchase agreement to acquire land or lots and pay a non-refundable deposit , a vie may be created because we are deemed to have provided subordinated financial support that will absorb some or all of an entity 's expected losses if they occur . if we are the primary beneficiary of the vie , we will consolidate the vie in our consolidated financial statements and reflect such assets and liabilities as real estate not owned under option agreements within our inventory balance in the consolidated balance sheets . valuation of deferred tax assets we account for income taxes using the asset and liability method , which requires that deferred tax assets and liabilities be recognized based on future tax consequences of both temporary differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases . deferred tax assets and liabilities are measured using enacted tax rates expected to apply in the years in which the temporary differences are expected to be recovered or settled . the effect on deferred tax assets and liabilities of a change in tax rates is recognized in earnings in the period when the changes are enacted . in accordance with asc topic 740-10 , income taxes , we evaluate our deferred tax assets by tax jurisdiction , including the benefit from net operating loss ( “ nol ” ) carryforwards by tax jurisdiction , to determine if a valuation allowance is required . companies must assess , using significant judgments , whether a valuation allowance should be established based on the consideration of all available evidence using a “ more likely than not ” standard with significant weight being given to evidence that can be objectively verified . this assessment considers , among other matters , the nature , frequency and severity of current and cumulative losses , forecasts of future profitability , the length of statutory carryforward periods , experience with operating losses and experience of utilizing tax credit carryforwards and tax planning alternatives . 39 table of contents results of operations the following table sets forth our results of operations for the periods presented : replace_table_token_10_th 40 table of contents non-gaap measures in addition to the results reported in accordance with accounting principles generally accepted in the united states ( “ gaap ” ) , we have provided information in this annual report relating to : ( i ) adjusted income before income taxes and related margin , ( ii ) ebitda and adjusted ebitda , ( iii ) adjusted net income and adjusted earnings per share , ( iv ) net homebuilding debt to capitalization ratio , and ( v ) adjusted home closings gross margin . adjusted income before income taxes ( and related margin ) is a non-gaap financial measure that reflects our income before income taxes excluding the impact of purchase accounting adjustments related to the acquisition of wlh , transaction expenses , loss on extinguishment of debt , inventory impairment and warranty charges and legal costs relating thereto and the write-off of our chicago operations , as applicable . ebitda and adjusted ebitda are non-gaap financial measures that measure performance by adjusting net income before allocation to non-controlling interests to exclude interest income/ ( expense ) , net , amortization of capitalized interest , income taxes , depreciation and amortization ( ebitda ) , non-cash compensation expense , if any , purchase accounting adjustments relating to the acquisition of wlh , transaction expenses , loss on extinguishment of debt , inventory impairment and warranty charges and legal costs relating thereto and the write-off of our chicago operations , as applicable.adjusted net income and adjusted earnings per share are non-gaap financial measures that reflect the net income available to the company excluding the impact of purchase accounting adjustments relating to the acquisition of wlh , transaction expenses , loss on extinguishment of debt , inventory impairment and warranty charges and legal costs relating thereto , the write-off of our chicago operations and the tax impact due to such adjustments , as applicable . net homebuilding debt to capitalization ratio is a non-gaap financial measure we calculate by dividing ( i ) total debt , less unamortized debt issuance costs/premiums and mortgage warehouse borrowings , net of unrestricted cash and cash equivalents , by ( ii ) total capitalization ( the sum of net homebuilding debt and total stockholders ' equity ) . adjusted home closings gross margin is a non-gaap financial measure based on gaap home closings gross margin ( which is inclusive of capitalized interest ) , excluding purchase accounting adjustments relating to the acquisition of wlh and inventory impairment and warranty charges , as applicable . management uses these non-gaap financial measures to evaluate our performance on a consolidated basis , as well as the performance of our regions , and to set targets for performance-based compensation . we also use the ratio of net homebuilding debt to total capitalization as an indicator of overall leverage and to evaluate our performance against other companies in the homebuilding industry . in the future , we may include additional adjustments in the above-described non-gaap financial measures to the extent we deem them appropriate and useful to management and investors . we believe that adjusted income before income taxes and related margin , adjusted net income and adjusted earnings per share , as well as ebitda and adjusted ebitda , are useful for investors in order to allow them to evaluate our operations without the effects of various items we do not believe are characteristic of our ongoing operations or performance and also because such metrics assist both investors and management in

