in addition , we recorded a charge in the current period of $ 211,000 related to amounts paid to althea for costs to fill and finish alferon® and had recorded these amounts within work-in-process inventory . we no longer believe that the benefits from these payments will be realized and have written off the amount in the current period . research and development costs overall research and development ( “ r & d ” ) costs for the year ended december 31 , 2017 were approximately $ 4,098,000 as compared to $ 5,107,000 for the same period a year ago , reflecting a decrease of approximately $ 1,009,000 or 20 % . the primary reason for the decrease in research and development costs was an overall decrease in ampligen® and alferon® costs as a result of cost cutting programs . general and administrative expenses general and administrative ( “ g & a ” ) expenses for the years ended december 31 , 2017 and 2016 , were approximately $ 6,572,000 and $ 7,681,000 , respectively , reflecting a decrease of approximately $ 1,109,000 or 14 % . the decrease in g & a expenses during the current period was mainly due to a one-time charge of $ 850,000 in 2016 resulting from a severance payment to a former executive upon termination . interest and other income interest and other income for the years ended december 31 , 2017 and 2016 was approximately $ 88,000 and $ 129,000 , respectively , representing a decrease of approximately $ 41,000 or 32 % . the primary cause for the decrease in investment income during the current period was primarily due to lower balances available to invest in the current period as compared to the prior period . redeemable warrants the quarterly fiscal revaluation of certain redeemable warrants resulted in a non-cash adjustment to the redeemable warrants liability for the year ended december 31 , 2017 amounting to a higher gain of approximately $ 740,000 ( see part i ; item 1 ; financial statements ; “ note 17 : fair value ” for the various factors considered in the valuation of redeemable warrants ) . insurance proceeds from legal settlement during the year ended december 31 , 2016 insurance proceeds , net of costs , of approximately $ 1,626,000 were received from the settlement of litigations . there were no insurance proceeds received in the year ended december 31 , 2017 . 39 sale of new jersey tax net operating loss in january 2016 , the company effectively sold $ 16,000,000 of its approximately $ 29,000,000 of new jersey state net operating loss carryforwards ( for the year 2014 ) for approximately $ 1,320,000 and sold research credits for $ 241,000. also , in december 2016 , the company effectively sold $ 14,000,000 of its new jersey state net operating loss carryforwards ( for the year 2015 ) for approximately $ 1,120,000 and sold research credits for $ 189,000. in december 2017 , the company effectively sold $ 8,000,000 new jersey state net operating loss for approximately $ 622,000 and sold research credits for $ 169,000. year ended december 31 , 2016 versus year ended december 31 , 2015 net loss our net loss was approximately $ 7,502,000 and $ 15,230,000 for the year ended december 31 , 2016 and 2015 , respectively , representing a decrease in loss of approximately $ 7,728,000 or 51 % when compared to the same period in 2015. this decrease in loss for this year was primarily due to the following : 1 ) a decrease in research and development expense of $ 2,931,000 or 36 % ; 2 ) a decrease in production costs of approximately $ 490,000 or 31 % ; 3 ) an insurance settlement net of litigation expenses recorded as other income of $ 1,626,000 ; 4 ) an increase in the gain from sale of income tax net operating losses of $ 1,496,000 or 109 % ; and 5 ) a gain on the valuation adjustment on the redeemable warrants of approximately $ 1,677,000 ; offset by 6 ) an increase in general and administrative expense of approximately $ 534,000 or 7 % . net loss per share was $ ( 0.34 ) and $ ( 0.77 ) for the year ended december 31 , 2016 and 2015 , respectively . the weighted average number of shares of our common stock outstanding as of december 31 , 2016 was 21,818,206 as compared to 19,679,315 as of december 31 , 2015. revenues revenues from our ampligen® cost recovery program were $ 92,000 and $ 133,000 for the year ended december 31 , 2016 and 2015 , respectively . for the years ended december 31 , 2016 and 2015 , we had no alferon n injection® finished good product to commercially sell and all revenue was generated from the fda approved open-label treatment protocol , ( “ amp-511 ” ) , that allows patient access to ampligen® for treatment in an open-label safety study . production costs production costs were approximately $ 1,108,000 and 1,598,000 , respectively , for the years ended december 31 , 2016 and 2015. this decrease of approximately $ 490,000 or 31 % was primarily due to a decline in ongoing stability testing on alferon® work-in-process inventory . research and development costs overall research and development ( “ r & d ” ) costs for the year ended december 31 , 2016 were approximately $ 5,107,000 as compared to $ 8,038,000 for the same period a year ago , reflecting a decrease of approximately $ 2,931,000 or 36 % . story_separator_special_tag ” new accounting pronouncements refer to “ note 2 ( i ) – recent accounting standards and pronouncements ” under notes to consolidated financial statements . disclosure about off-balance sheet arrangements none . critical accounting policies financial reporting release no . 60 requires all companies to include a discussion of critical accounting policies or methods used in the preparation of financial statements . our significant accounting policies are described in the notes to consolidated financial statements . the significant accounting policies that we believe are most critical to aid in fully understanding our reported financial results are the following : revenue the company has elected to apply the full retrospective application to implement the new revenue recognition standard asc 606. the company , based on the nature of its ampligen sales under its cost recovery programs , determined that there were no material differences between the new accounting standard and legacy gaap and that difficulties will not arise for any “ open ” contract issues with its customers during the transition period . the company also determined that the adoption of this standard will have little or no impact to the company 's opening balance of retained earnings . revenue from the sale of ampligen® under cost recovery clinical treatment protocols approved by the fda is recognized when the treatment is provided to the patient . revenues from the sale of product are recognized when the product is delivered , as title is then transferred to the customer . we have no other obligation associated with our products once shipment has been accepted by the customer inventories we use the lower of first-in , first-out ( “ fifo ” ) cost and net realizable value method of accounting for inventory . 45 patents and trademarks patents and trademarks are stated at cost ( primarily legal fees ) and are amortized using the straight-line method over the estimated useful life of 17 years . we review our patents and trademark rights periodically to determine whether they have continuing value . such review includes an analysis of the patent and trademark 's ultimate revenue and profitability potential . in addition , management 's review addresses whether each patent continues to fit into our strategic business plans . long-lived assets we assess long-lived assets for impairment when events or changes in circumstances indicate that the carrying value of the assets or the asset grouping may not be recoverable . factors that we considers in deciding when to perform an impairment review include significant under-performance of a business or product line in relation to expectations , significant negative industry or economic trends , and significant changes or planned changes in its use of the assets . we measure the recoverability of assets that it will continue to use in its operations by comparing the carrying value of the asset grouping to our estimate of the related total future undiscounted net cash flows . if an asset grouping 's carrying value is not recoverable through the related undiscounted cash flows , the asset grouping is considered to be impaired . we measure the impairment by comparing the difference between the asset grouping 's carrying value and its fair value . long-lived assets are considered a non-financial asset and are recorded at fair value only if an impairment charge is recognized . impairments are determined for groups of assets related to the lowest level of identifiable independent cash flows . we make subjective judgments in determining the independent cash flows that can be related to specific asset groupings . in addition , as we review our manufacturing process and other manufacturing planning decisions , we must make subjective judgments regarding the remaining useful lives of assets . when we determine that the useful lives of assets are shorter than originally estimated , we accelerate the rate of depreciation over the assets ' new , shorter useful lives . stock-based compensation under fasb asc 718-compensation-stock compensation ( “ asc 718 ” ) share-based compensation cost is measured at the grant date , based on the estimated fair value of the award , and is recognized as expense over the requisite service period . we adopted the provisions of asc-718 , using a modified prospective application . under this method , compensation cost is recognized for all share-based payments granted , modified or settled after the date of adoption , as well as for any unvested awards that were granted prior to the date of adoption . the fair value of each option award is estimated on the date of grant using a black-scholes-merton pricing option valuation model . expected volatility is based on the historical volatility of the price of our common stock . the risk-free interest rate is based on u.s. treasury issues with a term equal to the expected life of the option . we use historical data to estimate expected dividend yield , expected life , which represents the period of time the options are expected to be outstanding until they are exercised , and forfeiture rates . redeemable warrants we utilize the guidance contained in asc 480 ( formerly sfas 150 ) in the determination of whether to record warrants and options as equity and or liability . if the guidance of asc 480 is deemed inconclusive , we continue our analysis utilizing asc 815 ( formerly eitf 00-19 ) . our method of recording the related value attempts to be consistent with the standards as defined by the financial accounting standards board utilizing the concept of “ fair value ” from asc 820-10-55-1 that states that any fair value measurement requires that the reporting entity , to determine the valuation technique ( s ) appropriate for the measurement , consider the availability of data with which to develop inputs that represent the assumptions that market participants would use in pricing the asset or liability and the level in the fair value hierarchy within which the inputs fall . 46 we recomputed the

liquidity and capital resources under new leadership and direction , we have set and met extensive financial goals . in february 2018 , we sold an under-utilized warehouse at jules lane for $ 1,050,000. in march 2018 , we sold our manufacturing facility for $ 4,080,000 while simultaneously entering into a favorable long term lease with an option to repurchase the facility . in february and march , 2018 , we realized $ 1,260,000 through the exercising of outstanding warrants . in december 2017 , we reactivated the eda and , through strategic management , have raised $ 853,000 and , most recently , on march 24 , 2018 , we sold common stock netting us an additional $ 475,000. in short , we have raised in excess of $ 5,000,000 allowing us to move forward free of debt . cash used in operating activities for the year ended december 31 , 2017 was approximately $ 7,941,000 compared to approximately $ 7,380,000 for the same period in 2016 , an increase of $ 561,000 or 8 % . the primary reasons for this increase in cash used in operations in 2017 was the receipt of $ 2,870,000 in funds in 2016 from the sale of our new jersey state net operating loss carryforwards and $ 1,626,000 of insurance proceeds for litigation settlements . in 2017 we received only $ 791,000 from the sale of our new jersey net operating loss carryforwards .


 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 under new leadership and direction , we have set and met extensive financial goals . in february 2018 , we sold an under-utilized warehouse at jules lane for $ 1,050,000. in march 2018 , we sold our manufacturing facility for $ 4,080,000 while simultaneously entering into a favorable long term lease with an option to repurchase the facility . in february and march , 2018 , we realized $ 1,260,000 through the exercising of outstanding warrants . in december 2017 , we reactivated the eda and , through strategic management , have raised $ 853,000 and , most recently , on march 24 , 2018 , we sold common stock netting us an additional $ 475,000. in short , we have raised in excess of $ 5,000,000 allowing us to move forward free of debt . cash used in operating activities for the year ended december 31 , 2017 was approximately $ 7,941,000 compared to approximately $ 7,380,000 for the same period in 2016 , an increase of $ 561,000 or 8 % . the primary reasons for this increase in cash used in operations in 2017 was the receipt of $ 2,870,000 in funds in 2016 from the sale of our new jersey state net operating loss carryforwards and $ 1,626,000 of insurance proceeds for litigation settlements . in 2017 we received only $ 791,000 from the sale of our new jersey net operating loss carryforwards .
```    
 Suspicious Activity Report : in addition , we recorded a charge in the current period of $ 211,000 related to amounts paid to althea for costs to fill and finish alferon® and had recorded these amounts within work-in-process inventory . we no longer believe that the benefits from these payments will be realized and have written off the amount in the current period . research and development costs overall research and development ( “ r & d ” ) costs for the year ended december 31 , 2017 were approximately $ 4,098,000 as compared to $ 5,107,000 for the same period a year ago , reflecting a decrease of approximately $ 1,009,000 or 20 % . the primary reason for the decrease in research and development costs was an overall decrease in ampligen® and alferon® costs as a result of cost cutting programs . general and administrative expenses general and administrative ( “ g & a ” ) expenses for the years ended december 31 , 2017 and 2016 , were approximately $ 6,572,000 and $ 7,681,000 , respectively , reflecting a decrease of approximately $ 1,109,000 or 14 % . the decrease in g & a expenses during the current period was mainly due to a one-time charge of $ 850,000 in 2016 resulting from a severance payment to a former executive upon termination . interest and other income interest and other income for the years ended december 31 , 2017 and 2016 was approximately $ 88,000 and $ 129,000 , respectively , representing a decrease of approximately $ 41,000 or 32 % . the primary cause for the decrease in investment income during the current period was primarily due to lower balances available to invest in the current period as compared to the prior period . redeemable warrants the quarterly fiscal revaluation of certain redeemable warrants resulted in a non-cash adjustment to the redeemable warrants liability for the year ended december 31 , 2017 amounting to a higher gain of approximately $ 740,000 ( see part i ; item 1 ; financial statements ; “ note 17 : fair value ” for the various factors considered in the valuation of redeemable warrants ) . insurance proceeds from legal settlement during the year ended december 31 , 2016 insurance proceeds , net of costs , of approximately $ 1,626,000 were received from the settlement of litigations . there were no insurance proceeds received in the year ended december 31 , 2017 . 39 sale of new jersey tax net operating loss in january 2016 , the company effectively sold $ 16,000,000 of its approximately $ 29,000,000 of new jersey state net operating loss carryforwards ( for the year 2014 ) for approximately $ 1,320,000 and sold research credits for $ 241,000. also , in december 2016 , the company effectively sold $ 14,000,000 of its new jersey state net operating loss carryforwards ( for the year 2015 ) for approximately $ 1,120,000 and sold research credits for $ 189,000. in december 2017 , the company effectively sold $ 8,000,000 new jersey state net operating loss for approximately $ 622,000 and sold research credits for $ 169,000. year ended december 31 , 2016 versus year ended december 31 , 2015 net loss our net loss was approximately $ 7,502,000 and $ 15,230,000 for the year ended december 31 , 2016 and 2015 , respectively , representing a decrease in loss of approximately $ 7,728,000 or 51 % when compared to the same period in 2015. this decrease in loss for this year was primarily due to the following : 1 ) a decrease in research and development expense of $ 2,931,000 or 36 % ; 2 ) a decrease in production costs of approximately $ 490,000 or 31 % ; 3 ) an insurance settlement net of litigation expenses recorded as other income of $ 1,626,000 ; 4 ) an increase in the gain from sale of income tax net operating losses of $ 1,496,000 or 109 % ; and 5 ) a gain on the valuation adjustment on the redeemable warrants of approximately $ 1,677,000 ; offset by 6 ) an increase in general and administrative expense of approximately $ 534,000 or 7 % . net loss per share was $ ( 0.34 ) and $ ( 0.77 ) for the year ended december 31 , 2016 and 2015 , respectively . the weighted average number of shares of our common stock outstanding as of december 31 , 2016 was 21,818,206 as compared to 19,679,315 as of december 31 , 2015. revenues revenues from our ampligen® cost recovery program were $ 92,000 and $ 133,000 for the year ended december 31 , 2016 and 2015 , respectively . for the years ended december 31 , 2016 and 2015 , we had no alferon n injection® finished good product to commercially sell and all revenue was generated from the fda approved open-label treatment protocol , ( “ amp-511 ” ) , that allows patient access to ampligen® for treatment in an open-label safety study . production costs production costs were approximately $ 1,108,000 and 1,598,000 , respectively , for the years ended december 31 , 2016 and 2015. this decrease of approximately $ 490,000 or 31 % was primarily due to a decline in ongoing stability testing on alferon® work-in-process inventory . research and development costs overall research and development ( “ r & d ” ) costs for the year ended december 31 , 2016 were approximately $ 5,107,000 as compared to $ 8,038,000 for the same period a year ago , reflecting a decrease of approximately $ 2,931,000 or 36 % . story_separator_special_tag ” new accounting pronouncements refer to “ note 2 ( i ) – recent accounting standards and pronouncements ” under notes to consolidated financial statements . disclosure about off-balance sheet arrangements none . critical accounting policies financial reporting release no . 60 requires all companies to include a discussion of critical accounting policies or methods used in the preparation of financial statements . our significant accounting policies are described in the notes to consolidated financial statements . the significant accounting policies that we believe are most critical to aid in fully understanding our reported financial results are the following : revenue the company has elected to apply the full retrospective application to implement the new revenue recognition standard asc 606. the company , based on the nature of its ampligen sales under its cost recovery programs , determined that there were no material differences between the new accounting standard and legacy gaap and that difficulties will not arise for any “ open ” contract issues with its customers during the transition period . the company also determined that the adoption of this standard will have little or no impact to the company 's opening balance of retained earnings . revenue from the sale of ampligen® under cost recovery clinical treatment protocols approved by the fda is recognized when the treatment is provided to the patient . revenues from the sale of product are recognized when the product is delivered , as title is then transferred to the customer . we have no other obligation associated with our products once shipment has been accepted by the customer inventories we use the lower of first-in , first-out ( “ fifo ” ) cost and net realizable value method of accounting for inventory . 45 patents and trademarks patents and trademarks are stated at cost ( primarily legal fees ) and are amortized using the straight-line method over the estimated useful life of 17 years . we review our patents and trademark rights periodically to determine whether they have continuing value . such review includes an analysis of the patent and trademark 's ultimate revenue and profitability potential . in addition , management 's review addresses whether each patent continues to fit into our strategic business plans . long-lived assets we assess long-lived assets for impairment when events or changes in circumstances indicate that the carrying value of the assets or the asset grouping may not be recoverable . factors that we considers in deciding when to perform an impairment review include significant under-performance of a business or product line in relation to expectations , significant negative industry or economic trends , and significant changes or planned changes in its use of the assets . we measure the recoverability of assets that it will continue to use in its operations by comparing the carrying value of the asset grouping to our estimate of the related total future undiscounted net cash flows . if an asset grouping 's carrying value is not recoverable through the related undiscounted cash flows , the asset grouping is considered to be impaired . we measure the impairment by comparing the difference between the asset grouping 's carrying value and its fair value . long-lived assets are considered a non-financial asset and are recorded at fair value only if an impairment charge is recognized . impairments are determined for groups of assets related to the lowest level of identifiable independent cash flows . we make subjective judgments in determining the independent cash flows that can be related to specific asset groupings . in addition , as we review our manufacturing process and other manufacturing planning decisions , we must make subjective judgments regarding the remaining useful lives of assets . when we determine that the useful lives of assets are shorter than originally estimated , we accelerate the rate of depreciation over the assets ' new , shorter useful lives . stock-based compensation under fasb asc 718-compensation-stock compensation ( “ asc 718 ” ) share-based compensation cost is measured at the grant date , based on the estimated fair value of the award , and is recognized as expense over the requisite service period . we adopted the provisions of asc-718 , using a modified prospective application . under this method , compensation cost is recognized for all share-based payments granted , modified or settled after the date of adoption , as well as for any unvested awards that were granted prior to the date of adoption . the fair value of each option award is estimated on the date of grant using a black-scholes-merton pricing option valuation model . expected volatility is based on the historical volatility of the price of our common stock . the risk-free interest rate is based on u.s. treasury issues with a term equal to the expected life of the option . we use historical data to estimate expected dividend yield , expected life , which represents the period of time the options are expected to be outstanding until they are exercised , and forfeiture rates . redeemable warrants we utilize the guidance contained in asc 480 ( formerly sfas 150 ) in the determination of whether to record warrants and options as equity and or liability . if the guidance of asc 480 is deemed inconclusive , we continue our analysis utilizing asc 815 ( formerly eitf 00-19 ) . our method of recording the related value attempts to be consistent with the standards as defined by the financial accounting standards board utilizing the concept of “ fair value ” from asc 820-10-55-1 that states that any fair value measurement requires that the reporting entity , to determine the valuation technique ( s ) appropriate for the measurement , consider the availability of data with which to develop inputs that represent the assumptions that market participants would use in pricing the asset or liability and the level in the fair value hierarchy within which the inputs fall . 46 we recomputed the

