we conducted an end of phase 2 meeting with the fda in late february 2017 and we expect to begin a phase 3 clinical program in systemic sclerosis by the end of the third quarter of 2017. based on the positive phase 2 clinical results in systemic sclerosis , we also filed an application with the fda in march 2017 for breakthrough therapy designation . in december 2016 , we completed a second phase 2 study in cystic fibrosis study and expect to report top-line data from this study by the end of march 2017. a third phase 2 study in dermatomyositis is expected to be completed in the third quarter of 2017 and a fourth phase 2 in systemic lupus erythematosus is planned to start during the second quarter of 2017. the united states food and drug administration ( “ fda ” ) has granted jbt-101 orphan designation as well as fast track status for both cystic fibrosis and systemic sclerosis . financial operations overview we are a clinical stage pharmaceutical company and have not generated any revenues from the sale of products . we have never been profitable and , from inception through december 2016 , our losses from operations have been approximately $ 33.3 million . our net losses for the years ended december 31 , 2016 and 2015 were approximately $ 19,999,000 and $ 8,851,000 , respectively . we expect to continue to incur significant expenses and increasing operating losses for the foreseeable future . we expect our expenses to increase significantly in connection with our ongoing activities to develop , seek regulatory approval and commercialization of jbt-101 . furthermore , we expect to incur additional costs associated with operating as a public company . accordingly , we will need additional financing to support our continuing operations . we will seek to fund our operations through public or private equity or debt financings or other sources , which may include government grants and collaborations with third parties . adequate additional financing may not be available to us on acceptable terms , or at all . our failure to raise capital as and when needed would have a negative impact on our financial condition and our ability to pursue our business strategy . we will need to generate significant revenues to achieve profitability , and we may never do so . we expect to continue to incur significant expenses and increasing operating losses for at least the next several years . we expect our expenses will increase substantially in 2016 and in the future in connection with our ongoing activities , as we : ● conduct clinical trials for jbt-101 in scleroderma , cystic fibrosis , systemic lupus erythematosus and other indications ; ● continue our research and development efforts ; ● manufacture clinical study materials and develop commercial scale manufacturing capabilities ; ● seek regulatory approval for our product candidates ; ● add personnel to support development of our product candidates ; and ● operate as a public company . 47 critical accounting policies and estimates our consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the united states of america . the preparation of these financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period . on an ongoing basis , we evaluate our estimates and judgments for all assets and liabilities , including those related to stock-based compensation expense and the fair value determined for stock purchase warrants classified as derivative liabilities . we base our estimates and judgments on historical experience , current economic and industry conditions and on various other factors that are believed to be reasonable under the circumstances . this forms the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources . actual results may differ from these estimates under different assumptions or conditions . we believe that full consideration has been given to all relevant circumstances that we may be subject to , and the consolidated financial statements accurately reflect our best estimate of the results of operations , financial position and cash flows for the periods presented . revenue to date , we have not generated any revenues from the sales of products . we do not expect to generate revenue from product sales unless and until we successfully complete development and obtain regulatory approval for the marketing of jbt-101 , which we expect will take a number of years and is subject to significant uncertainty . we have recorded $ 1,911,424 and $ 648,382 of collaboration revenue in the year ended december 31 , 2016 and december 31 , 2015 , respectively , related to an award agreement we entered into in fiscal 2015 with the cfft , pursuant to which we received a development award ( the “ award ” ) for up to $ 5 million in funding . the funding from the award is supporting the phase 2 clinical trial of jbt-101 in adults with cystic fibrosis . we have billed and received a total of $ 4.5 million in payments since the inception of the award as outlined below . the payments received under the award have been recorded as deferred revenue and are being amortized on a straight-line basis over the expected duration of the performance period under the award , which is expected to conclude in the second quarter of 2017. upon the execution of the award agreement , we received a payment of $ 1,250,000 in may 2015. in november 2015 , we received a second payment of $ 1,250,000 uponthe achievement of a milestone for dosing the first patient . story_separator_special_tag we use historical data , as well as subsequent events occurring prior to the issuance of the consolidated financial statements , to estimate option exercise and employee forfeitures within the valuation model . the expected term of options granted to employees under our stock plans is based on the average of the contractual term ( generally 10 years ) and the vesting period ( generally 48 months ) . the expected term of options granted under the 2014 plan , all of which qualify as “ plain vanilla ” per sec staff accounting bulletin 107 , is based on the average of the 6.25 years . for non-employee options , the expected term is the contractual term and stock options granted to non-employee consultants are revalued at the end of each reporting period until vested and changes in their fair value are recorded as adjustments to expense over the related vesting period . the risk-free rate is based on the yield of a u.s. treasury security with a term consistent with the option . the risk-free rate is based on the yield of a u.s. treasury security with a term consistent with the expected term of the option . we estimate the forfeiture rate at the time of grant and revise it , if necessary , in subsequent periods if actual forfeitures differ from those estimates . forfeitures were estimated based on management 's expectation through industry knowledge and historical data . we have never paid dividends on our common stock and do not anticipate paying dividends on our common stock in the foreseeable future . accordingly , we have assumed no dividend yield for purposes of estimating the fair value of our share-based compensation . 49 the following assumptions were used to estimate the fair value of stock options granted using the black-scholes option pricing model for the years ended december 31 , 2016 and 2015 is as follows : replace_table_token_5_th emerging growth company status under section 107 ( b ) of the jumpstart our business startups act of 2012 , emerging growth companies can delay adopting new or revised accounting standards until such time as those standards apply to private companies . we have irrevocably elected not to avail ourselves of this exemption from new or revised accounting standards and , therefore , we will be subject to the same new or revised accounting standards as other public companies that are not emerging growth companies . results of operations comparison of year ended 2016 to 2015 collaboration revenue . we have recorded $ 1,911,424 and $ 648,382 of collaboration revenue in the year ended december 31 , 2016 and december 31 , 2015 , respectively , related to an award agreement we entered into in fiscal 2015 with the cfft , pursuant to which we received a development award ( the “ award ” ) for up to $ 5 million in funding . the funding from the award is supporting the phase 2 clinical trial of jbt-101 in adults with cystic fibrosis . we have billed and received a total of $ 4.5 million in payments since the inception of the award as outlined below . the payments received under the award have been recorded as deferred revenue and are being amortized on a straight-line basis over the expected duration of the performance period under the award , which is expected to conclude in the second quarter of 2017. upon the execution of the award agreement , we received a payment of $ 1,250,000 in may 2015. in november 2015 , we received a second payment of $ 1,250,000 upon the achievement of a milestone for dosing the first patient . in august 2016 , we received a third payment from the cfft in the amount of $ 1,000,000 for achieving a milestone in july 2016 related to dosing the median clinical trial patient . in january 2017 , we received a fourth payment from the cfft in the amount of $ 1,000,000 for achieving a milestone in december 2016 related to completing the final visit for the final patient . we expect that the last milestone payment of $ 500,000 under the award will be recorded in the second quarter of 2017 upon the achievement of the final milestone related to the phase 2 cf clinical trial , as set forth in the award agreement . research and development . research and development expenses for the year ended december 31 , 2016 totaled approximately $ 15,437,000 , an increase of $ 9,548,000 over the $ 5,889,000 recorded for the year ended december 31 , 2015. the increase in fiscal 2016 as compared to fiscal 2015 was primarily attributable to increases of $ 7,132,000 in clinical trial costs , $ 1,447,000 in compensation costs , and $ 969,000 in stock-based compensation expense . general and administrative . general and administrative expense for the year ended december 31 , 2016 totaled approximately $ 6,460,000 , an increase of $ 2,847,000 over the $ 3,613,000 recorded for year ended december 31 , 2015. the increase in fiscal 2016 as compared to fiscal 2015 was primarily attributable to increases of approximately $ 1,251,000 in stock-based compensation expense , $ 997,000 in compensation costs , $ 375,000 in investor relations costs , and $ 213,000 in legal costs . other income ( loss ) , net . other loss , net for fiscal 2016 was approximately $ 14,000 as compared to other income , net of approximately $ 3,000 recorded for fiscal 2015 and was primarily attributable to an increase in foreign currency exchange transaction losses recorded during fiscal 2016. story_separator_special_tag contractual obligations and commitments the following table presents information about our known contractual obligations as of december 31 , 2016. it does not reflect contractual obligations that may have arisen or may arise after that date . except for historical facts , the information in this section is forward-looking information . replace_table_token_6_th ( 1 ) in september 2016 , our

liquidity and capital resources since inception , we have experienced negative cash flows from operations . we have financed our operations primarily through sales of equity-related securities . in addition , the majority of the costs of the dermatomyositis and systemic lupus erythematosus clinical trials are being funded by nih grants and our cystic fibrosis clinical trial has been partially funded by a $ 5 million award from the cfft . at december 31 , 2016 , our accumulated deficit since inception was approximately $ 33,276,000 . 50 at december 31 , 2016 , we had total current assets of approximately $ 17,403,000 and current liabilities of approximately $ 8,899,000 resulting in working capital of $ 8,504,000. net cash used in operating activities for the year ended december 31 , 2016 was approximately $ 13,571,000 , which includes a net loss of approximately $ 19,999,000 , non-cash expenses of approximately $ 3,341,000 principally related to the increase in stock-based compensation expense , and approximately $ 3,086,000 of cash provided from a change in net working capital items principally related to the increase in accounts payable and accrued expenses . cash used in investing activities for the year ended december 31 , 2016 totaled approximately $ 353,000 for the purchase of property and equipment .


 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 since inception , we have experienced negative cash flows from operations . we have financed our operations primarily through sales of equity-related securities . in addition , the majority of the costs of the dermatomyositis and systemic lupus erythematosus clinical trials are being funded by nih grants and our cystic fibrosis clinical trial has been partially funded by a $ 5 million award from the cfft . at december 31 , 2016 , our accumulated deficit since inception was approximately $ 33,276,000 . 50 at december 31 , 2016 , we had total current assets of approximately $ 17,403,000 and current liabilities of approximately $ 8,899,000 resulting in working capital of $ 8,504,000. net cash used in operating activities for the year ended december 31 , 2016 was approximately $ 13,571,000 , which includes a net loss of approximately $ 19,999,000 , non-cash expenses of approximately $ 3,341,000 principally related to the increase in stock-based compensation expense , and approximately $ 3,086,000 of cash provided from a change in net working capital items principally related to the increase in accounts payable and accrued expenses . cash used in investing activities for the year ended december 31 , 2016 totaled approximately $ 353,000 for the purchase of property and equipment .
```    
 Suspicious Activity Report : we conducted an end of phase 2 meeting with the fda in late february 2017 and we expect to begin a phase 3 clinical program in systemic sclerosis by the end of the third quarter of 2017. based on the positive phase 2 clinical results in systemic sclerosis , we also filed an application with the fda in march 2017 for breakthrough therapy designation . in december 2016 , we completed a second phase 2 study in cystic fibrosis study and expect to report top-line data from this study by the end of march 2017. a third phase 2 study in dermatomyositis is expected to be completed in the third quarter of 2017 and a fourth phase 2 in systemic lupus erythematosus is planned to start during the second quarter of 2017. the united states food and drug administration ( “ fda ” ) has granted jbt-101 orphan designation as well as fast track status for both cystic fibrosis and systemic sclerosis . financial operations overview we are a clinical stage pharmaceutical company and have not generated any revenues from the sale of products . we have never been profitable and , from inception through december 2016 , our losses from operations have been approximately $ 33.3 million . our net losses for the years ended december 31 , 2016 and 2015 were approximately $ 19,999,000 and $ 8,851,000 , respectively . we expect to continue to incur significant expenses and increasing operating losses for the foreseeable future . we expect our expenses to increase significantly in connection with our ongoing activities to develop , seek regulatory approval and commercialization of jbt-101 . furthermore , we expect to incur additional costs associated with operating as a public company . accordingly , we will need additional financing to support our continuing operations . we will seek to fund our operations through public or private equity or debt financings or other sources , which may include government grants and collaborations with third parties . adequate additional financing may not be available to us on acceptable terms , or at all . our failure to raise capital as and when needed would have a negative impact on our financial condition and our ability to pursue our business strategy . we will need to generate significant revenues to achieve profitability , and we may never do so . we expect to continue to incur significant expenses and increasing operating losses for at least the next several years . we expect our expenses will increase substantially in 2016 and in the future in connection with our ongoing activities , as we : ● conduct clinical trials for jbt-101 in scleroderma , cystic fibrosis , systemic lupus erythematosus and other indications ; ● continue our research and development efforts ; ● manufacture clinical study materials and develop commercial scale manufacturing capabilities ; ● seek regulatory approval for our product candidates ; ● add personnel to support development of our product candidates ; and ● operate as a public company . 47 critical accounting policies and estimates our consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the united states of america . the preparation of these financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period . on an ongoing basis , we evaluate our estimates and judgments for all assets and liabilities , including those related to stock-based compensation expense and the fair value determined for stock purchase warrants classified as derivative liabilities . we base our estimates and judgments on historical experience , current economic and industry conditions and on various other factors that are believed to be reasonable under the circumstances . this forms the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources . actual results may differ from these estimates under different assumptions or conditions . we believe that full consideration has been given to all relevant circumstances that we may be subject to , and the consolidated financial statements accurately reflect our best estimate of the results of operations , financial position and cash flows for the periods presented . revenue to date , we have not generated any revenues from the sales of products . we do not expect to generate revenue from product sales unless and until we successfully complete development and obtain regulatory approval for the marketing of jbt-101 , which we expect will take a number of years and is subject to significant uncertainty . we have recorded $ 1,911,424 and $ 648,382 of collaboration revenue in the year ended december 31 , 2016 and december 31 , 2015 , respectively , related to an award agreement we entered into in fiscal 2015 with the cfft , pursuant to which we received a development award ( the “ award ” ) for up to $ 5 million in funding . the funding from the award is supporting the phase 2 clinical trial of jbt-101 in adults with cystic fibrosis . we have billed and received a total of $ 4.5 million in payments since the inception of the award as outlined below . the payments received under the award have been recorded as deferred revenue and are being amortized on a straight-line basis over the expected duration of the performance period under the award , which is expected to conclude in the second quarter of 2017. upon the execution of the award agreement , we received a payment of $ 1,250,000 in may 2015. in november 2015 , we received a second payment of $ 1,250,000 uponthe achievement of a milestone for dosing the first patient . story_separator_special_tag we use historical data , as well as subsequent events occurring prior to the issuance of the consolidated financial statements , to estimate option exercise and employee forfeitures within the valuation model . the expected term of options granted to employees under our stock plans is based on the average of the contractual term ( generally 10 years ) and the vesting period ( generally 48 months ) . the expected term of options granted under the 2014 plan , all of which qualify as “ plain vanilla ” per sec staff accounting bulletin 107 , is based on the average of the 6.25 years . for non-employee options , the expected term is the contractual term and stock options granted to non-employee consultants are revalued at the end of each reporting period until vested and changes in their fair value are recorded as adjustments to expense over the related vesting period . the risk-free rate is based on the yield of a u.s. treasury security with a term consistent with the option . the risk-free rate is based on the yield of a u.s. treasury security with a term consistent with the expected term of the option . we estimate the forfeiture rate at the time of grant and revise it , if necessary , in subsequent periods if actual forfeitures differ from those estimates . forfeitures were estimated based on management 's expectation through industry knowledge and historical data . we have never paid dividends on our common stock and do not anticipate paying dividends on our common stock in the foreseeable future . accordingly , we have assumed no dividend yield for purposes of estimating the fair value of our share-based compensation . 49 the following assumptions were used to estimate the fair value of stock options granted using the black-scholes option pricing model for the years ended december 31 , 2016 and 2015 is as follows : replace_table_token_5_th emerging growth company status under section 107 ( b ) of the jumpstart our business startups act of 2012 , emerging growth companies can delay adopting new or revised accounting standards until such time as those standards apply to private companies . we have irrevocably elected not to avail ourselves of this exemption from new or revised accounting standards and , therefore , we will be subject to the same new or revised accounting standards as other public companies that are not emerging growth companies . results of operations comparison of year ended 2016 to 2015 collaboration revenue . we have recorded $ 1,911,424 and $ 648,382 of collaboration revenue in the year ended december 31 , 2016 and december 31 , 2015 , respectively , related to an award agreement we entered into in fiscal 2015 with the cfft , pursuant to which we received a development award ( the “ award ” ) for up to $ 5 million in funding . the funding from the award is supporting the phase 2 clinical trial of jbt-101 in adults with cystic fibrosis . we have billed and received a total of $ 4.5 million in payments since the inception of the award as outlined below . the payments received under the award have been recorded as deferred revenue and are being amortized on a straight-line basis over the expected duration of the performance period under the award , which is expected to conclude in the second quarter of 2017. upon the execution of the award agreement , we received a payment of $ 1,250,000 in may 2015. in november 2015 , we received a second payment of $ 1,250,000 upon the achievement of a milestone for dosing the first patient . in august 2016 , we received a third payment from the cfft in the amount of $ 1,000,000 for achieving a milestone in july 2016 related to dosing the median clinical trial patient . in january 2017 , we received a fourth payment from the cfft in the amount of $ 1,000,000 for achieving a milestone in december 2016 related to completing the final visit for the final patient . we expect that the last milestone payment of $ 500,000 under the award will be recorded in the second quarter of 2017 upon the achievement of the final milestone related to the phase 2 cf clinical trial , as set forth in the award agreement . research and development . research and development expenses for the year ended december 31 , 2016 totaled approximately $ 15,437,000 , an increase of $ 9,548,000 over the $ 5,889,000 recorded for the year ended december 31 , 2015. the increase in fiscal 2016 as compared to fiscal 2015 was primarily attributable to increases of $ 7,132,000 in clinical trial costs , $ 1,447,000 in compensation costs , and $ 969,000 in stock-based compensation expense . general and administrative . general and administrative expense for the year ended december 31 , 2016 totaled approximately $ 6,460,000 , an increase of $ 2,847,000 over the $ 3,613,000 recorded for year ended december 31 , 2015. the increase in fiscal 2016 as compared to fiscal 2015 was primarily attributable to increases of approximately $ 1,251,000 in stock-based compensation expense , $ 997,000 in compensation costs , $ 375,000 in investor relations costs , and $ 213,000 in legal costs . other income ( loss ) , net . other loss , net for fiscal 2016 was approximately $ 14,000 as compared to other income , net of approximately $ 3,000 recorded for fiscal 2015 and was primarily attributable to an increase in foreign currency exchange transaction losses recorded during fiscal 2016. story_separator_special_tag contractual obligations and commitments the following table presents information about our known contractual obligations as of december 31 , 2016. it does not reflect contractual obligations that may have arisen or may arise after that date . except for historical facts , the information in this section is forward-looking information . replace_table_token_6_th ( 1 ) in september 2016 , our

