management believes the most complex and sensitive judgments , because of their significance to the consolidated financial statements , result primarily from the need to make estimates about the effects of matters that are inherently uncertain . management bases its estimates on historical experience , current market and economic conditions and other assumptions that management believes are reasonable . the results of these estimates form the basis for judgments about the carrying value of assets and liabilities where the values are not readily apparent from other sources . actual results may differ from these estimates under different assumptions or conditions . there have been no significant changes from the methodology applied by management for critical accounting estimates previously disclosed in our annual report on form 10-k for the fiscal year ended december 31 , 2016 . for goodwill , we perform an impairment assessment at the reporting unit level on an annual basis as of the end of our october month end or more frequently if circumstances warrant . in fiscal year 2017 when we performed our analysis , the fair value of each of our reporting units exceeded the respective carrying amount , and no goodwill impairments were recorded . the fair values utilized for our 2017 goodwill assessment exceeded the carrying amounts by more than 20 % for our energy , aerospace , and power , process , & industrial reporting units , respectively . the growth rate assumptions utilized were consistent with growth rates within the markets that we serve . if our results significantly vary from our estimates , related projections , or business assumptions in the future due to change in industry or market conditions , we may be required to record impairment charges . 20 results of operations 2017 compared with 2016 consolidated operations replace_table_token_4_th net revenues in 2017 were $ 661.7 million , an increase of $ 71.5 million from 2016 primarily driven by our october 2016 acquisition of critical flow solutions ( `` cfs `` ) ( $ 43.1 million ) and december 2017 acquisition of fluid handling ( $ 36.5 million ) , partially offset by an operating decline in our energy segment ( as described in detail below ) . segment results the chief operating decision maker ( `` codm `` ) is the function that allocates the resources of the enterprise and assesses the performance of the company 's reportable operating segments . circor has determined that the codm is solely comprised of its ceo , as the ceo has the ultimate responsibility for circor strategic decision-making and resource allocation . our codm evaluates segment operating performance using segment operating income . segment operating income is defined as gaap operating income excluding intangible amortization and amortization of fair value step-ups of inventory and fixed assets from acquisitions completed subsequent to december 31 , 2011 , the impact of restructuring related inventory write-offs , impairment charges and special charges or gains . the company also refers to this measure as adjusted operating income . the company uses this measure because it helps management understand and evaluate the segments ' core operating results and facilitate comparison of performance for determining incentive compensation achievement . for information regarding our segment determination refer to note 17 , “ business segment and geographical information . `` 21 ( in thousands ) 2017 2016 change net revenues energy $ 347,578 $ 322,046 $ 25,532 advanced flow solutions 277,637 268,213 9,424 fluid handling 36,495 — 36,495 consolidated net revenues $ 661,710 $ 590,259 $ 71,451 operating income energy - segment operating income $ 30,748 $ 34,619 $ ( 3,871 ) afs - segment operating income 37,230 33,463 3,767 fluid handling - segment operating income 5,460 — 5,460 corporate expenses ( 21,744 ) ( 25,672 ) 3,928 subtotal 51,694 42,410 9,284 restructuring charges , net 7,989 8,975 ( 986 ) special charges , net 6,063 8,196 ( 2,133 ) special and restructuring charges , net ( 1 ) 14,052 17,171 ( 3,119 ) restructuring related inventory charges ( 1 ) — 2,846 ( 2,846 ) amortization of inventory step-up 4,300 1,366 2,934 impairment charges — 208 ( 208 ) acquisition amortization 12,542 9,901 2,641 acquisition depreciation 233 — 233 restructuring and other costs 17,075 14,321 2,754 consolidated operating income $ 20,567 $ 10,918 $ 9,649 consolidated operating margin 3.1 % 1.8 % ( 1 ) see note 4 `` special and restructuring charges , net `` of the consolidated financial statements , for additional details . energy segment replace_table_token_5_th energy segment net revenues increased $ 25.5 million , or 8 % , in 2017 compared to 2016 . the increase was primarily driven by our october 2016 acquisition of cfs ( +13 % ) and our north american short-cycle business ( +12 % ) , partially offset by declines in our large international projects business ( -20 % ) . segment operating income decreased $ 3.9 million , or 11 % , to $ 30.7 million for 2017 compared to $ 34.6 million in 2016 . the decrease in segment operating income was primarily due to the significant revenue decline in the large international projects business ( -58 % ) , partially offset by increased shipment volumes within our north american short-cycle business ( +28 % ) and our cfs business in the downstream refining market ( +24 % ) . energy segment orders increased $ 118.9 million , or 44 % , to $ 389.4 million for 2017 compared to $ 270.5 million in 2016 , primarily due to cfs ( +25 % ) , our north american short-cycle business ( +23 % ) due to improved demand and higher production activity in the u.s. shale plays , partially offset by lower orders in our large international projects business ( -4 % ) due to a significant reduction in capital expenditures for exploration and production by the major oil companies resulting in fewer projects . story_separator_special_tag these restructuring charges and other special charges are described in further detail in note 4 , `` special and restructuring charges , net `` , of the consolidated financial statements . in relation to our 2016 and 2015 acquisitions of cfs and schroedahl , respectively , we incurred $ 9.9 million of intangible asset amortization related to these acquisitions . this amortization is recorded within selling , general , and administrative expenses ( $ 9.3 million ) or cost of revenues ( $ 0.6 million ) depending upon the nature of the underlying intangible asset . in addition , we recorded $ 1.4 million of amortization expense related to the step-up in fair value of the inventory acquired as part of our cfs acquisition . this expense is included in cost of revenues . also during 2016 , we also recorded a $ 0.2 million impairment charge for a china patent deemed to no longer have economic value . the impairment charge is included in the impairment charge line on our consolidated statement of income ( loss ) . in 2015 , the company recorded $ 23.7 million of special and restructuring charges , net . in our statement of operations , these charges are recorded in costs of revenue ( $ 9.4 million ) and special and restructuring charges , net ( $ 14.4 million ) . these costs are primarily related to our simplification and restructuring efforts . the amount recorded in costs of revenues relates to inventory charges associated with the exit of non-strategic product lines . in addition , we incurred $ 3.2 million of brazil restatement charges . these restructuring charges and other special charges are described in further detail in note 4 , “ special and restructuring charges , net ” , of the consolidated financial statements . in relation to our schroedahl acquisition we recorded $ 6.8 million of intangible asset amortization during 2015. this amortization is recorded within selling , general , and administrative expenses . also during 2015 , we recorded $ 2.5 million of plant , property , and equipment and intangible impairments related to our brazil business . these impairment charges are included in the impairment charge line on our consolidated statement of operations . interest expense , net interest expense increased $ 0.5 million to $ 3.3 million for 2016. this change in interest expense was primarily due to higher outstanding debt balances during the period as a result of the cfs acquisition . other ( income ) expense , net other income , net , was $ 2.1 million for 2016 compared to other expense , net of ( $ 0.9 million ) in 2015. the difference of $ 3.0 million was primarily due to the impact of foreign currency fluctuations . comprehensive ( loss ) income comprehensive loss was reduced from a comprehensive loss of $ 22.2 million for the year-ended december 31 , 2015 to a comprehensive loss of $ 0.2 million for the year-ended december 31 , 2016 , primarily driven by an increase of $ 16.9 million in favorable foreign currency balance sheet remeasurements . these favorable foreign currency balance sheet remeasurements were driven by the brazilian real ( $ 9.9 million ) and euro ( $ 6.3 million ) . as of december 31 , 2016 , we had a cumulative currency translation adjustment of $ 17.3 million regarding our brazil entity . ( benefit from ) provision for income taxes the effective tax rate was -4 % for 2016 compared to 56 % for 2015. the primary drivers for the lower tax rate in 2016 included the tax benefit associated with the repatriation of foreign earnings which we completed in 2016 ( -27 % ) , reduced foreign losses in 2016 with no tax benefit ( -27 % ) , mix of lower taxed foreign earnings to u.s. earnings ( -18 % ) , and other items in 2016 including the prior year impact of a foreign audit settlement ( -14 % ) . this was partially offset by the establishment of a valuation allowance for certain state net operating loss carryforwards ( +26 % ) . 29 story_separator_special_tag liabilities was 2.0:1 at december 31 , 2017 compared to 3.1:1 at december 31 , 2016 . as of december 31 , 2017 , cash and cash equivalents totaled $ 110.4 million , of which $ 65.3 million is payable back to colfax . these cash and cash equivalent balances are substantially all held in foreign bank accounts . this compares to $ 58.3 million of cash and cash equivalents as of december 31 , 2016 substantially all of which was also held in foreign bank accounts . the cash and cash equivalents located at our foreign subsidiaries may not be repatriated to the united states or other jurisdictions without significant tax implications . on a provisional basis , the company does not expect to owe the one-time transition tax liability , based on foreign tax pools that are in excess of u.s. tax rates . we believe that our u.s. based subsidiaries , in the aggregate , will generate positive operating cash flows and in addition we may utilize our new credit agreement for u.s. based cash needs . in 2018 , we expect to generate positive cash flow from operating activities sufficient to support our capital expenditures and service our debt . based on our expected cash flows from operations and contractually available borrowings under our credit facility , we expect to have sufficient liquidity to fund working capital needs and future growth over at least the next twelve months from date of filing the 2017 financial statements . on february 28 , 2018 , we announced the suspension of our nominal dividend , as part of our capital deployment strategy . cash flow activities for the year ended december 31 , 2016 compared to the year ended december 31 , 2015 during the year ended december 31 , 2016

liquidity and capital resources our liquidity needs arise primarily from capital investment in machinery , equipment and the improvement of facilities , funding working capital requirements to support business growth initiatives , acquisitions , dividend payments , and debt service costs . we have historically generated cash from operations and remain in a strong financial position , with resources available for reinvestment in existing businesses , strategic acquisitions and managing our capital structure on a short and long-term basis . we completed the acquisition of fh on december 11 , 2017. the total consideration paid to acquire fh consisted of $ 542 million in cash , 3,283,424 unregistered shares of our common stock and the assumption of net pension and post-retirement liabilities of fh . we financed the cash consideration through a combination of committed debt financing and cash on hand . refer to note 3 , “ business acquisitions , ” of the consolidated financial statements for details . as a result of the transaction we incurred significant debt , including secured indebtedness , as described below . the following table summarizes our cash flow activities for the year-ended indicated ( in thousands ) : 2017 2016 2015 cash flow provided by ( used in ) : operating activities $ 9,637 $ 59,399 $ 27,142 investing activities ( 502,124 ) ( 210,481 ) ( 87,726 ) financing activities 535,568 158,764 2,251 effect of exchange rate changes on cash and cash equivalents 8,996 ( 3,944 ) ( 8,498 ) increase ( decrease ) in cash and cash equivalents ( 1 ) $ 52,077 $ 3,738 $ ( 66,831 ) ( 1 ) pursuant to the terms of the fh purchase agreement , $ 64.5 million of the cash balance as of december 31 , 2017 is due back to colfax corporation ( “ colfax ” ) , which has been reflected as a current liability within the balance sheet .


 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 our liquidity needs arise primarily from capital investment in machinery , equipment and the improvement of facilities , funding working capital requirements to support business growth initiatives , acquisitions , dividend payments , and debt service costs . we have historically generated cash from operations and remain in a strong financial position , with resources available for reinvestment in existing businesses , strategic acquisitions and managing our capital structure on a short and long-term basis . we completed the acquisition of fh on december 11 , 2017. the total consideration paid to acquire fh consisted of $ 542 million in cash , 3,283,424 unregistered shares of our common stock and the assumption of net pension and post-retirement liabilities of fh . we financed the cash consideration through a combination of committed debt financing and cash on hand . refer to note 3 , “ business acquisitions , ” of the consolidated financial statements for details . as a result of the transaction we incurred significant debt , including secured indebtedness , as described below . the following table summarizes our cash flow activities for the year-ended indicated ( in thousands ) : 2017 2016 2015 cash flow provided by ( used in ) : operating activities $ 9,637 $ 59,399 $ 27,142 investing activities ( 502,124 ) ( 210,481 ) ( 87,726 ) financing activities 535,568 158,764 2,251 effect of exchange rate changes on cash and cash equivalents 8,996 ( 3,944 ) ( 8,498 ) increase ( decrease ) in cash and cash equivalents ( 1 ) $ 52,077 $ 3,738 $ ( 66,831 ) ( 1 ) pursuant to the terms of the fh purchase agreement , $ 64.5 million of the cash balance as of december 31 , 2017 is due back to colfax corporation ( “ colfax ” ) , which has been reflected as a current liability within the balance sheet .
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 Suspicious Activity Report : management believes the most complex and sensitive judgments , because of their significance to the consolidated financial statements , result primarily from the need to make estimates about the effects of matters that are inherently uncertain . management bases its estimates on historical experience , current market and economic conditions and other assumptions that management believes are reasonable . the results of these estimates form the basis for judgments about the carrying value of assets and liabilities where the values are not readily apparent from other sources . actual results may differ from these estimates under different assumptions or conditions . there have been no significant changes from the methodology applied by management for critical accounting estimates previously disclosed in our annual report on form 10-k for the fiscal year ended december 31 , 2016 . for goodwill , we perform an impairment assessment at the reporting unit level on an annual basis as of the end of our october month end or more frequently if circumstances warrant . in fiscal year 2017 when we performed our analysis , the fair value of each of our reporting units exceeded the respective carrying amount , and no goodwill impairments were recorded . the fair values utilized for our 2017 goodwill assessment exceeded the carrying amounts by more than 20 % for our energy , aerospace , and power , process , & industrial reporting units , respectively . the growth rate assumptions utilized were consistent with growth rates within the markets that we serve . if our results significantly vary from our estimates , related projections , or business assumptions in the future due to change in industry or market conditions , we may be required to record impairment charges . 20 results of operations 2017 compared with 2016 consolidated operations replace_table_token_4_th net revenues in 2017 were $ 661.7 million , an increase of $ 71.5 million from 2016 primarily driven by our october 2016 acquisition of critical flow solutions ( `` cfs `` ) ( $ 43.1 million ) and december 2017 acquisition of fluid handling ( $ 36.5 million ) , partially offset by an operating decline in our energy segment ( as described in detail below ) . segment results the chief operating decision maker ( `` codm `` ) is the function that allocates the resources of the enterprise and assesses the performance of the company 's reportable operating segments . circor has determined that the codm is solely comprised of its ceo , as the ceo has the ultimate responsibility for circor strategic decision-making and resource allocation . our codm evaluates segment operating performance using segment operating income . segment operating income is defined as gaap operating income excluding intangible amortization and amortization of fair value step-ups of inventory and fixed assets from acquisitions completed subsequent to december 31 , 2011 , the impact of restructuring related inventory write-offs , impairment charges and special charges or gains . the company also refers to this measure as adjusted operating income . the company uses this measure because it helps management understand and evaluate the segments ' core operating results and facilitate comparison of performance for determining incentive compensation achievement . for information regarding our segment determination refer to note 17 , “ business segment and geographical information . `` 21 ( in thousands ) 2017 2016 change net revenues energy $ 347,578 $ 322,046 $ 25,532 advanced flow solutions 277,637 268,213 9,424 fluid handling 36,495 — 36,495 consolidated net revenues $ 661,710 $ 590,259 $ 71,451 operating income energy - segment operating income $ 30,748 $ 34,619 $ ( 3,871 ) afs - segment operating income 37,230 33,463 3,767 fluid handling - segment operating income 5,460 — 5,460 corporate expenses ( 21,744 ) ( 25,672 ) 3,928 subtotal 51,694 42,410 9,284 restructuring charges , net 7,989 8,975 ( 986 ) special charges , net 6,063 8,196 ( 2,133 ) special and restructuring charges , net ( 1 ) 14,052 17,171 ( 3,119 ) restructuring related inventory charges ( 1 ) — 2,846 ( 2,846 ) amortization of inventory step-up 4,300 1,366 2,934 impairment charges — 208 ( 208 ) acquisition amortization 12,542 9,901 2,641 acquisition depreciation 233 — 233 restructuring and other costs 17,075 14,321 2,754 consolidated operating income $ 20,567 $ 10,918 $ 9,649 consolidated operating margin 3.1 % 1.8 % ( 1 ) see note 4 `` special and restructuring charges , net `` of the consolidated financial statements , for additional details . energy segment replace_table_token_5_th energy segment net revenues increased $ 25.5 million , or 8 % , in 2017 compared to 2016 . the increase was primarily driven by our october 2016 acquisition of cfs ( +13 % ) and our north american short-cycle business ( +12 % ) , partially offset by declines in our large international projects business ( -20 % ) . segment operating income decreased $ 3.9 million , or 11 % , to $ 30.7 million for 2017 compared to $ 34.6 million in 2016 . the decrease in segment operating income was primarily due to the significant revenue decline in the large international projects business ( -58 % ) , partially offset by increased shipment volumes within our north american short-cycle business ( +28 % ) and our cfs business in the downstream refining market ( +24 % ) . energy segment orders increased $ 118.9 million , or 44 % , to $ 389.4 million for 2017 compared to $ 270.5 million in 2016 , primarily due to cfs ( +25 % ) , our north american short-cycle business ( +23 % ) due to improved demand and higher production activity in the u.s. shale plays , partially offset by lower orders in our large international projects business ( -4 % ) due to a significant reduction in capital expenditures for exploration and production by the major oil companies resulting in fewer projects . story_separator_special_tag these restructuring charges and other special charges are described in further detail in note 4 , `` special and restructuring charges , net `` , of the consolidated financial statements . in relation to our 2016 and 2015 acquisitions of cfs and schroedahl , respectively , we incurred $ 9.9 million of intangible asset amortization related to these acquisitions . this amortization is recorded within selling , general , and administrative expenses ( $ 9.3 million ) or cost of revenues ( $ 0.6 million ) depending upon the nature of the underlying intangible asset . in addition , we recorded $ 1.4 million of amortization expense related to the step-up in fair value of the inventory acquired as part of our cfs acquisition . this expense is included in cost of revenues . also during 2016 , we also recorded a $ 0.2 million impairment charge for a china patent deemed to no longer have economic value . the impairment charge is included in the impairment charge line on our consolidated statement of income ( loss ) . in 2015 , the company recorded $ 23.7 million of special and restructuring charges , net . in our statement of operations , these charges are recorded in costs of revenue ( $ 9.4 million ) and special and restructuring charges , net ( $ 14.4 million ) . these costs are primarily related to our simplification and restructuring efforts . the amount recorded in costs of revenues relates to inventory charges associated with the exit of non-strategic product lines . in addition , we incurred $ 3.2 million of brazil restatement charges . these restructuring charges and other special charges are described in further detail in note 4 , “ special and restructuring charges , net ” , of the consolidated financial statements . in relation to our schroedahl acquisition we recorded $ 6.8 million of intangible asset amortization during 2015. this amortization is recorded within selling , general , and administrative expenses . also during 2015 , we recorded $ 2.5 million of plant , property , and equipment and intangible impairments related to our brazil business . these impairment charges are included in the impairment charge line on our consolidated statement of operations . interest expense , net interest expense increased $ 0.5 million to $ 3.3 million for 2016. this change in interest expense was primarily due to higher outstanding debt balances during the period as a result of the cfs acquisition . other ( income ) expense , net other income , net , was $ 2.1 million for 2016 compared to other expense , net of ( $ 0.9 million ) in 2015. the difference of $ 3.0 million was primarily due to the impact of foreign currency fluctuations . comprehensive ( loss ) income comprehensive loss was reduced from a comprehensive loss of $ 22.2 million for the year-ended december 31 , 2015 to a comprehensive loss of $ 0.2 million for the year-ended december 31 , 2016 , primarily driven by an increase of $ 16.9 million in favorable foreign currency balance sheet remeasurements . these favorable foreign currency balance sheet remeasurements were driven by the brazilian real ( $ 9.9 million ) and euro ( $ 6.3 million ) . as of december 31 , 2016 , we had a cumulative currency translation adjustment of $ 17.3 million regarding our brazil entity . ( benefit from ) provision for income taxes the effective tax rate was -4 % for 2016 compared to 56 % for 2015. the primary drivers for the lower tax rate in 2016 included the tax benefit associated with the repatriation of foreign earnings which we completed in 2016 ( -27 % ) , reduced foreign losses in 2016 with no tax benefit ( -27 % ) , mix of lower taxed foreign earnings to u.s. earnings ( -18 % ) , and other items in 2016 including the prior year impact of a foreign audit settlement ( -14 % ) . this was partially offset by the establishment of a valuation allowance for certain state net operating loss carryforwards ( +26 % ) . 29 story_separator_special_tag liabilities was 2.0:1 at december 31 , 2017 compared to 3.1:1 at december 31 , 2016 . as of december 31 , 2017 , cash and cash equivalents totaled $ 110.4 million , of which $ 65.3 million is payable back to colfax . these cash and cash equivalent balances are substantially all held in foreign bank accounts . this compares to $ 58.3 million of cash and cash equivalents as of december 31 , 2016 substantially all of which was also held in foreign bank accounts . the cash and cash equivalents located at our foreign subsidiaries may not be repatriated to the united states or other jurisdictions without significant tax implications . on a provisional basis , the company does not expect to owe the one-time transition tax liability , based on foreign tax pools that are in excess of u.s. tax rates . we believe that our u.s. based subsidiaries , in the aggregate , will generate positive operating cash flows and in addition we may utilize our new credit agreement for u.s. based cash needs . in 2018 , we expect to generate positive cash flow from operating activities sufficient to support our capital expenditures and service our debt . based on our expected cash flows from operations and contractually available borrowings under our credit facility , we expect to have sufficient liquidity to fund working capital needs and future growth over at least the next twelve months from date of filing the 2017 financial statements . on february 28 , 2018 , we announced the suspension of our nominal dividend , as part of our capital deployment strategy . cash flow activities for the year ended december 31 , 2016 compared to the year ended december 31 , 2015 during the year ended december 31 , 2016

