used for espionage and information theft ; and rugged small-form factor embedded computing solutions . our results of operations in fiscal 2020 were significantly affected by the covid-19 global pandemic ( the “ pandemic ” ) . the effects of the pandemic and related actions by governments around the world to mitigate its spread have impacted our employees , customers , suppliers and manufacturers . in response to the economic impact from the pandemic , we implemented certain cost reduction efforts , including layoffs , temporary reduced work hours and temporary pay reductions within various departments of our business , including within our executive management team and our board of directors . additionally , our response to the pandemic included the implementation of varying health and safety measures at our facilities , including : supplying and requiring the use of personal protective equipment ; staggering work shifts ; body temperature taking ; increasing work-from-home capabilities ; consistent and ongoing cleaning of work spaces and high-touch areas ; and establishing processes aligned with the centers for disease and control guidelines to work with any individual exposed to covid-19 on their necessary quarantine period and the process for the individual to return to work . with respect to our results of operations , approximately 59 % of our net sales in fiscal 2020 were derived from defense , space and other industrial markets including electronics , medical and telecommunications . although demand for these products was slightly moderated in fiscal 2020 , our overall results from this portion of our business were not materially impacted by the pandemic . however , we experienced , and expect to continue experiencing , periodic operational disruptions resulting from supply chain disturbances , staffing challenges - including at some of our customers , temporary facility closures , transportation interruptions and other conditions which slow production and orders , or increase costs . the remaining portion of our fiscal 2020 net sales was derived from commercial aviation products and services . the pandemic has caused significant volatility and a substantial decline in value across global markets . most notably , the commercial aerospace industry experienced an ongoing substantial decline in demand resulting from a significant number of aircraft in the 34 index global fleet being grounded during fiscal 2020. our businesses that operate within the commercial aerospace industry were materially impacted by the significant decline in global commercial air travel that began in march 2020. consolidated net sales for our businesses that operate within the commercial aerospace industry decreased by approximately 32 % during fiscal 2020. as we look ahead to fiscal 2021 , the extent to which the pandemic may have a material adverse effect on our future business , financial condition and results of operations will depend on many factors that are not within heico 's control , including but not limited to the duration , spread and severity of the pandemic , government responses and other actions to mitigate the spread of and to treat the pandemic , and when and to what extent normal business , economic and social activity and conditions resume . however , we are cautiously optimistic that the recent vaccine progress may generate increased commercial air travel and result in a gradual recovery in demand for our commercial aerospace parts and services commencing in fiscal 2021. additionally , our results of operations in fiscal 2020 have been affected by recent acquisitions as further detailed in note 2 , acquisitions , of the notes to consolidated financial statements . presentation of results of operations and liquidity and capital resources the following discussion and analysis of our results of operations and liquidity and capital resources includes a comparison of fiscal 2020 to fiscal 2019. a similar discussion and analysis that compares fiscal 2019 to fiscal 2018 may be found in item 7 , `` management 's discussion and analysis of financial condition and results of operations , ” of our form 10-k for the fiscal year ended october 31 , 2019 . 35 index results of operations the following table sets forth the results of our operations , net sales and operating income by segment and the percentage of net sales represented by the respective items in our consolidated statements of operations ( in thousands ) : replace_table_token_9_th 36 index comparison of fiscal 2020 to fiscal 2019 net sales our consolidated net sales in fiscal 2020 decreased by 13 % to $ 1,787.0 million , as compared to net sales of $ 2,055.6 million in fiscal 2019. the decrease in consolidated net sales principally reflects a decrease of $ 315.4 million ( a 25 % decrease ) to $ 924.8 million in net sales within the fsg partially offset by an increase of $ 40.5 million ( a 5 % increase ) to a record $ 875.0 million in net sales within the etg . the net sales decrease in the fsg is principally organic and reflects lower demand for the majority of our products and services resulting from the significant decline in global commercial air travel beginning in march 2020 due to the pandemic . as a result , organic net sales of our aftermarket replacement parts , repair and overhaul parts and services , and specialty products product lines decreased by $ 154.0 million , $ 106.2 million , and $ 58.8 million , respectively . the net sales increase in the etg principally reflects $ 52.8 million contributed by our fiscal 2020 and 2019 acquisitions and higher demand for our defense products resulting in an organic net sales increase of $ 13.6 million partially offset by lower demand for our commercial aerospace and medical products resulting in organic net sales decreases of $ 12.9 million and $ 5.6 million , respectively , largely attributable to the pandemic . story_separator_special_tag our performance obligations are satisfied and control is transferred either at a point-in-time or over-time . the majority of our revenue is recognized at a point-in-time when control is transferred , which is generally evidenced by the shipment or delivery of the product to the customer , a transfer of title , a transfer of the significant risks and rewards of ownership , and customer acceptance . for certain contracts under which we produce products with no alternative use and for which we have an enforceable right to recover costs incurred plus a reasonable profit margin for work completed to date and for certain other contracts under which we create or enhance a customer-owned asset while performing repair and overhaul services , control is transferred to the customer over-time . heico recognizes revenue using an over-time recognition model for these types of contracts . we utilize the cost-to-cost method as a measure of progress for performance obligations that are satisfied over-time as we believe this input method best represents the transfer of control to the customer . under this method , revenue for the current period is recorded at an amount equal to the ratio of costs incurred to date divided by total estimated contract costs multiplied by ( i ) the transaction price , less ( ii ) cumulative revenue recognized in prior periods . contract costs include all direct material and labor costs and those indirect costs related to contract performance , such as indirect labor , supplies , tools , repairs and depreciation . under the cost-to-cost method , the extent of progress toward completion is measured based on the proportion of costs incurred to date to the total estimated costs at completion of the performance obligation . these projections require management to make numerous assumptions and estimates relating to items such as the complexity of design and related development costs , performance of subcontractors , availability and cost of materials , labor productivity and cost , overhead , capital costs , and manufacturing efficiency . we review our cost estimates on a periodic basis , or when circumstances change and warrant a modification to a previous estimate . cost estimates are largely based on negotiated or estimated purchase contract terms , historical performance trends and other economic projections . for certain contracts with similar characteristics and for which revenue is recognized using an over-time model , we use a portfolio approach to estimate the amount of revenue to recognize . for each portfolio of contracts , the respective work in process and or finished goods inventory balances are identified and the portfolio-specific margin is applied to estimate the pro rata portion of the transaction price to recognize in relation to the costs incurred . this approach is utilized only when the resulting revenue recognition is not expected to be materially different than if the accounting was applied to the individual contracts . certain of our contracts give rise to variable consideration when they contain items such as customer rebates , credits , volume purchase discounts , penalties and other provisions that may impact the total consideration we will receive . we include variable consideration in the transaction price generally by applying the most likely amount method of the consideration that we expect to be entitled to receive based on an assessment of all available information ( i.e . , historical experience , current and forecasted performance ) and only to the extent it is probable 45 index that a significant reversal of revenue recognized will not occur when the uncertainty is resolved . we estimate variable consideration by applying the most likely amount method when there are a limited number of outcomes related to the resolution of the variable consideration . changes in estimates that result in adjustments to net sales and cost of sales are recognized as necessary in the period they become known on a cumulative catch-up basis . changes in estimates did not have a material effect on net income from consolidated operations in fiscal 2020 , 2019 and 2018. valuation of inventory inventory is stated at the lower of cost or net realizable value , with cost being determined on the first-in , first-out or the average cost basis . losses , if any , are recognized fully in the period when identified . we periodically evaluate the carrying value of inventory , giving consideration to factors such as its physical condition , sales patterns and expected future demand in order to estimate the amount necessary to write down any slow moving , obsolete or damaged inventory . these estimates could vary significantly from actual amounts based upon future economic conditions , customer inventory levels , or competitive factors that were not foreseen or did not exist when the estimated write-downs were made . in accordance with industry practice , all inventories are classified as a current asset including portions with long production cycles , some of which may not be realized within one year . business combinations we allocate the purchase price of acquired entities to the underlying tangible and identifiable intangible assets acquired and liabilities and any noncontrolling interests assumed based on their estimated fair values , with any excess recorded as goodwill . determining the fair value of assets acquired and liabilities and noncontrolling interests assumed requires management 's judgment and often involves the use of significant estimates and assumptions , including assumptions with respect to future cash inflows and outflows , discount rates , asset lives and market multiples , among other items . we determine the fair values of intangible assets acquired generally in consultation with third-party valuation advisors . as part of the agreement to acquire certain subsidiaries , we may be obligated to pay contingent consideration should the acquired entity meet certain earnings objectives subsequent to the date of acquisition . as of the acquisition date , contingent consideration is recorded at fair value as determined through the use of a probability-based scenario analysis approach

liquidity and capital resources the following table summarizes our capitalization ( in thousands ) : replace_table_token_10_th our principal uses of cash include acquisitions , capital expenditures , cash dividends , distributions to noncontrolling interests and working capital needs . capital expenditures in fiscal 2021 are anticipated to approximate $ 40 million . we finance our activities primarily from our operating and financing activities , including borrowings under our revolving credit facility . as of december 22 , 2020 , we had approximately $ 755 million of unused committed availability under the terms of our revolving credit facility . based on our current outlook , we believe that net cash provided by operating activities and available borrowings under our revolving credit facility will be sufficient to fund our cash requirements for at least the next twelve months . 40 index operating activities net cash provided by operating activities was $ 409.1 million in fiscal 2020 and consisted primarily of net income from consolidated operations of $ 335.9 million , depreciation and amortization expense of $ 88.6 million ( a non-cash item ) , net changes in other long-term liabilities and assets related to the heico leadership compensation plan ( “ lcp ” ) of $ 14.8 million ( principally participant deferrals and employer contributions ) , $ 10.1 million in share-based compensation expense ( a non-cash item ) , and $ 9.6 million in employer contributions to the heico savings and investment plan ( a non-cash item ) , partially offset by a $ 48.5 million increase in working capital .


 Write a concise suspicious activity report of the following text delimited by triple backquotes. Return your response as a formal report which covers the key points highlighting the location,dates,entity names and account holder information in chronological order of the text.
     ```liquidity and capital resources the following table summarizes our capitalization ( in thousands ) : replace_table_token_10_th our principal uses of cash include acquisitions , capital expenditures , cash dividends , distributions to noncontrolling interests and working capital needs . capital expenditures in fiscal 2021 are anticipated to approximate $ 40 million . we finance our activities primarily from our operating and financing activities , including borrowings under our revolving credit facility . as of december 22 , 2020 , we had approximately $ 755 million of unused committed availability under the terms of our revolving credit facility . based on our current outlook , we believe that net cash provided by operating activities and available borrowings under our revolving credit facility will be sufficient to fund our cash requirements for at least the next twelve months . 40 index operating activities net cash provided by operating activities was $ 409.1 million in fiscal 2020 and consisted primarily of net income from consolidated operations of $ 335.9 million , depreciation and amortization expense of $ 88.6 million ( a non-cash item ) , net changes in other long-term liabilities and assets related to the heico leadership compensation plan ( “ lcp ” ) of $ 14.8 million ( principally participant deferrals and employer contributions ) , $ 10.1 million in share-based compensation expense ( a non-cash item ) , and $ 9.6 million in employer contributions to the heico savings and investment plan ( a non-cash item ) , partially offset by a $ 48.5 million increase in working capital .
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 Suspicious Activity Report : used for espionage and information theft ; and rugged small-form factor embedded computing solutions . our results of operations in fiscal 2020 were significantly affected by the covid-19 global pandemic ( the “ pandemic ” ) . the effects of the pandemic and related actions by governments around the world to mitigate its spread have impacted our employees , customers , suppliers and manufacturers . in response to the economic impact from the pandemic , we implemented certain cost reduction efforts , including layoffs , temporary reduced work hours and temporary pay reductions within various departments of our business , including within our executive management team and our board of directors . additionally , our response to the pandemic included the implementation of varying health and safety measures at our facilities , including : supplying and requiring the use of personal protective equipment ; staggering work shifts ; body temperature taking ; increasing work-from-home capabilities ; consistent and ongoing cleaning of work spaces and high-touch areas ; and establishing processes aligned with the centers for disease and control guidelines to work with any individual exposed to covid-19 on their necessary quarantine period and the process for the individual to return to work . with respect to our results of operations , approximately 59 % of our net sales in fiscal 2020 were derived from defense , space and other industrial markets including electronics , medical and telecommunications . although demand for these products was slightly moderated in fiscal 2020 , our overall results from this portion of our business were not materially impacted by the pandemic . however , we experienced , and expect to continue experiencing , periodic operational disruptions resulting from supply chain disturbances , staffing challenges - including at some of our customers , temporary facility closures , transportation interruptions and other conditions which slow production and orders , or increase costs . the remaining portion of our fiscal 2020 net sales was derived from commercial aviation products and services . the pandemic has caused significant volatility and a substantial decline in value across global markets . most notably , the commercial aerospace industry experienced an ongoing substantial decline in demand resulting from a significant number of aircraft in the 34 index global fleet being grounded during fiscal 2020. our businesses that operate within the commercial aerospace industry were materially impacted by the significant decline in global commercial air travel that began in march 2020. consolidated net sales for our businesses that operate within the commercial aerospace industry decreased by approximately 32 % during fiscal 2020. as we look ahead to fiscal 2021 , the extent to which the pandemic may have a material adverse effect on our future business , financial condition and results of operations will depend on many factors that are not within heico 's control , including but not limited to the duration , spread and severity of the pandemic , government responses and other actions to mitigate the spread of and to treat the pandemic , and when and to what extent normal business , economic and social activity and conditions resume . however , we are cautiously optimistic that the recent vaccine progress may generate increased commercial air travel and result in a gradual recovery in demand for our commercial aerospace parts and services commencing in fiscal 2021. additionally , our results of operations in fiscal 2020 have been affected by recent acquisitions as further detailed in note 2 , acquisitions , of the notes to consolidated financial statements . presentation of results of operations and liquidity and capital resources the following discussion and analysis of our results of operations and liquidity and capital resources includes a comparison of fiscal 2020 to fiscal 2019. a similar discussion and analysis that compares fiscal 2019 to fiscal 2018 may be found in item 7 , `` management 's discussion and analysis of financial condition and results of operations , ” of our form 10-k for the fiscal year ended october 31 , 2019 . 35 index results of operations the following table sets forth the results of our operations , net sales and operating income by segment and the percentage of net sales represented by the respective items in our consolidated statements of operations ( in thousands ) : replace_table_token_9_th 36 index comparison of fiscal 2020 to fiscal 2019 net sales our consolidated net sales in fiscal 2020 decreased by 13 % to $ 1,787.0 million , as compared to net sales of $ 2,055.6 million in fiscal 2019. the decrease in consolidated net sales principally reflects a decrease of $ 315.4 million ( a 25 % decrease ) to $ 924.8 million in net sales within the fsg partially offset by an increase of $ 40.5 million ( a 5 % increase ) to a record $ 875.0 million in net sales within the etg . the net sales decrease in the fsg is principally organic and reflects lower demand for the majority of our products and services resulting from the significant decline in global commercial air travel beginning in march 2020 due to the pandemic . as a result , organic net sales of our aftermarket replacement parts , repair and overhaul parts and services , and specialty products product lines decreased by $ 154.0 million , $ 106.2 million , and $ 58.8 million , respectively . the net sales increase in the etg principally reflects $ 52.8 million contributed by our fiscal 2020 and 2019 acquisitions and higher demand for our defense products resulting in an organic net sales increase of $ 13.6 million partially offset by lower demand for our commercial aerospace and medical products resulting in organic net sales decreases of $ 12.9 million and $ 5.6 million , respectively , largely attributable to the pandemic . story_separator_special_tag our performance obligations are satisfied and control is transferred either at a point-in-time or over-time . the majority of our revenue is recognized at a point-in-time when control is transferred , which is generally evidenced by the shipment or delivery of the product to the customer , a transfer of title , a transfer of the significant risks and rewards of ownership , and customer acceptance . for certain contracts under which we produce products with no alternative use and for which we have an enforceable right to recover costs incurred plus a reasonable profit margin for work completed to date and for certain other contracts under which we create or enhance a customer-owned asset while performing repair and overhaul services , control is transferred to the customer over-time . heico recognizes revenue using an over-time recognition model for these types of contracts . we utilize the cost-to-cost method as a measure of progress for performance obligations that are satisfied over-time as we believe this input method best represents the transfer of control to the customer . under this method , revenue for the current period is recorded at an amount equal to the ratio of costs incurred to date divided by total estimated contract costs multiplied by ( i ) the transaction price , less ( ii ) cumulative revenue recognized in prior periods . contract costs include all direct material and labor costs and those indirect costs related to contract performance , such as indirect labor , supplies , tools , repairs and depreciation . under the cost-to-cost method , the extent of progress toward completion is measured based on the proportion of costs incurred to date to the total estimated costs at completion of the performance obligation . these projections require management to make numerous assumptions and estimates relating to items such as the complexity of design and related development costs , performance of subcontractors , availability and cost of materials , labor productivity and cost , overhead , capital costs , and manufacturing efficiency . we review our cost estimates on a periodic basis , or when circumstances change and warrant a modification to a previous estimate . cost estimates are largely based on negotiated or estimated purchase contract terms , historical performance trends and other economic projections . for certain contracts with similar characteristics and for which revenue is recognized using an over-time model , we use a portfolio approach to estimate the amount of revenue to recognize . for each portfolio of contracts , the respective work in process and or finished goods inventory balances are identified and the portfolio-specific margin is applied to estimate the pro rata portion of the transaction price to recognize in relation to the costs incurred . this approach is utilized only when the resulting revenue recognition is not expected to be materially different than if the accounting was applied to the individual contracts . certain of our contracts give rise to variable consideration when they contain items such as customer rebates , credits , volume purchase discounts , penalties and other provisions that may impact the total consideration we will receive . we include variable consideration in the transaction price generally by applying the most likely amount method of the consideration that we expect to be entitled to receive based on an assessment of all available information ( i.e . , historical experience , current and forecasted performance ) and only to the extent it is probable 45 index that a significant reversal of revenue recognized will not occur when the uncertainty is resolved . we estimate variable consideration by applying the most likely amount method when there are a limited number of outcomes related to the resolution of the variable consideration . changes in estimates that result in adjustments to net sales and cost of sales are recognized as necessary in the period they become known on a cumulative catch-up basis . changes in estimates did not have a material effect on net income from consolidated operations in fiscal 2020 , 2019 and 2018. valuation of inventory inventory is stated at the lower of cost or net realizable value , with cost being determined on the first-in , first-out or the average cost basis . losses , if any , are recognized fully in the period when identified . we periodically evaluate the carrying value of inventory , giving consideration to factors such as its physical condition , sales patterns and expected future demand in order to estimate the amount necessary to write down any slow moving , obsolete or damaged inventory . these estimates could vary significantly from actual amounts based upon future economic conditions , customer inventory levels , or competitive factors that were not foreseen or did not exist when the estimated write-downs were made . in accordance with industry practice , all inventories are classified as a current asset including portions with long production cycles , some of which may not be realized within one year . business combinations we allocate the purchase price of acquired entities to the underlying tangible and identifiable intangible assets acquired and liabilities and any noncontrolling interests assumed based on their estimated fair values , with any excess recorded as goodwill . determining the fair value of assets acquired and liabilities and noncontrolling interests assumed requires management 's judgment and often involves the use of significant estimates and assumptions , including assumptions with respect to future cash inflows and outflows , discount rates , asset lives and market multiples , among other items . we determine the fair values of intangible assets acquired generally in consultation with third-party valuation advisors . as part of the agreement to acquire certain subsidiaries , we may be obligated to pay contingent consideration should the acquired entity meet certain earnings objectives subsequent to the date of acquisition . as of the acquisition date , contingent consideration is recorded at fair value as determined through the use of a probability-based scenario analysis approach

