the initial base period included $ 4.7 million over two years and covered preclinical research and continued development of cytori 's celution® system to improve cell processing . the additional contract options , if fully executed , could cover our clinical development through fda approval under a device-based pma regulatory pathway . the cost-plus-fixed-fee contract is valued at up to $ 106 million , with a guaranteed two-year base period of approximately $ 4.7 million . we submitted reports to barda in late 2013 detailing the completion of the objectives in the initial contract . an in-process review meeting in the first half of 2014 confirmed completion of the proof of concept phase . in august and december , 2014 , barda awarded to us contract options of $ 14 million . the options allow for continuation of research , regulatory , clinical , and other activities required for approval and completion of a pilot clinical trial using cytori cell therapy ( dcct-10 ) for the treatment of thermal burns combined with radiation injury . the award for conducting the pilot trial , approximately $ 8 million , would follow fda approval of the trial protocol and associated documentation . once the pilot trial is analyzed , the final phase would include research , regulatory , and clinical activities necessary to achieve regulatory clearances to optimize a treatment for combined injury involving thermal burn and radiation exposure . a pivotal clinical trial of the use of the cytori cell therapy ( dcct-10 ) for thermal burn injury will be the primary basis of an fda approval . the total award is intended to support all clinical , preclinical , regulatory , and technology development activities needed to complete the fda approval process for use in thermal burn injury under a device-based pma regulatory pathway . results of operations product revenues product revenues consisted of revenues primarily from our celution® and stemsource® cell banks . the following table summarizes the components for the years ended december 31 , 2014 , 2013 and 2012 : replace_table_token_3_th a majority of our product revenue in 2014 was derived from japan . with two new regenerative medicine laws in japan going into effect in november 2014 that removed regulatory uncertainties and provided a clear path for us to offer cytori cell therapy in japan , we expect continued demand from researchers at academic hospitals seeking to perform investigator-initiated and funded studies . we experienced a decrease in product revenue during the year ended december 31 , 2014 as compared to the same period in 2013 , primarily due to decreased activities with our licensee and distributor lorem vascular , who purchased the initial stocking order of approximately $ 1.8m in late 2013 that did not recur in 2014 , decreased revenue in europe of $ 0.7 million , offset by increased revenues in japan of approximately $ 1.0 million . revenue deferred in the years ended december 31 , 2014 , and 2013 was $ 1.4 million , and $ 3.6 million , respectively . there was no comparable revenue deferral in the year ended december 31 , 2012. the future : we expect to continue to generate product revenues from a mix of celution® and stemsource® system and consumables sales . we will sell the products to a diverse group of customers in europe , asia and north america , who may apply the products towards reconstructive surgery , soft tissue repair , research , aesthetics , and cell and tissue banking as approved in each country . additionally , as a result of class i device clearance for celution® and a number of our other products in japan , we anticipate selling these products to researchers at academic hospitals seeking to perform investigator-initiated and funded studies using cytori 's cell therapy . as a result of the sale of our puregraft® product line discussed in note 5 of the consolidated condensed financial statements , we do not expect significant revenues from that product line in the foreseeable future . 30 cost of product revenues cost of product revenues relate primarily to celution® system products and stemsource® cell banks and includes material , manufacturing labor , and overhead costs . the following table summarizes the components of our cost of revenues for the years ended december 31 , 2014 , 2013 and 2012 : replace_table_token_4_th cost of product revenues as a percentage of product revenues was 59 % , 48 % and 46 % for the years ended december 31 , 2014 , 2013 and 2012 , respectively . fluctuation in this percentage is to be expected due to the product mix , distributor and direct sales mix , geographic mix and allocation of overhead . in 2014 , we also experienced the impact of the weakness of the japanese yen , which resulted in a decrease to our gross profit margin . the future : we expect to continue to see variation in our gross profit margin as the product mix comprising revenues fluctuates . development revenues the following table summarizes the components of our development revenues for the years ended december 31 , 2014 , 2013 and 2012 : replace_table_token_5_th during the year ended december 31 , 2014 , we incurred $ 2,461,000 in qualified expenditures , and recognized a total of $ 2,645,000 in revenues , which included allowable fees as well as cost reimbursements . during the year ended december 31 , 2013 , we incurred $ 3,053,000 in qualified expenditures , and recognized a total of $ 3,257,000 in revenues , which included allowable fees as well as cost reimbursements . during the year ended december 31 , 2012 , we incurred $ 331,000 in qualified expenditures , and recognized a total of $ 355,000 in revenues , which included allowable fees as well as cost reimbursements . story_separator_special_tag · in may 2014 , we entered into subscription agreements with certain institutional investors pursuant to which we sold a total of 4,048,584 units , with each unit consisting of one share of common stock and one warrant to purchase one share of common stock at a purchase price of $ 2.47 per unit , in a registered direct offering . each warrant had an exercise price of $ 3.00 per share , was exercisable immediately after issuance and expires five years from the date of issuance . the transaction was completed on june 4 , 2014 raising approximately $ 10,000,000 in gross proceeds before deducting any offering expenses or fees payable by us . under the terms of our placement agent agreement , we granted wbb securities , llc warrants to purchase 202,429 shares of common stock . the placement agent warrants have the same terms as the warrants issued to the purchasers in the offering , except that such warrants have an exercise price of $ 3.09 . 37 · in september 2014 , we and 13 holders of warrants dated june 4 , 2014 to purchase a total of 4,032,389 shares of our common stock agreed to amend the warrants in order to reduce the exercise price from $ 3.00 per share to $ 1.00 per share and change the expiration date from june 4 , 2019 to september 10 , 2014. we received proceeds of approximately $ 4,066,000 from the exercise of the warrants . in addition , pursuant to the terms of the amendment , upon each holder 's exercise of all warrants for cash prior to the amended expiration date , we issued additional warrants for the same number of common shares to the holders . the additional warrants have an exercise price of $ 2.00 per share , and are exercisable on the date that is six months and one day from the date of issuance and expire five years from the date of issuance . for those investors participating in the october 2014 issuance of series a 3.6 % convertible preferred stock , we agreed to reduce the exercise price of 3,384,601 warrants from $ 2.00 per share to $ 0.5771 per share , conditioned upon shareholder approval which was obtained in january 2015 . · in september 2014 , we entered into a 2 nd amendment to the loan agreement with the lenders pursuant to the amended loan agreement , under which we were provided a conditional waiver of principal payments subject to meeting certain capital raise requirements , which we achieved in october . the waiver of principal payments continues from november 1 , 2014 through april 1 , 2015 and thereafter we are required to make payments of principal and accrued interest in equal monthly installments of $ 1.0 million , sufficient to amortize the term loans through the maturity date . · in october , 2014 , we entered into a securities purchase agreement with certain institutional investors pursuant to which we sold a total of 13,500 units for a purchase price of $ 1,000 per unit , with each unit consisting of one share of our series a 3.6 % convertible preferred stock , which is convertible into shares of our common stock with a conversion price of $ 0.52 , and warrants to purchase up to a number of shares of common stock equal to 100 % of the conversion shares under the shares of preferred stock , in a registered direct offering . each warrant has an exercise price of $ 0.5771 per share , is exercisable six months after the date of issuance and expires five years from the date on which it is initially exercisable . the preferred stock and the warrants were immediately separable and were issued separately . as of december 31 , 2014 , 8,189 units had been converted into 15,747,000 shares of common stock . the following summarizes our contractual obligations and other commitments at december 31 , 2014 , and the effect such obligations could have on our liquidity and cash flow in future periods : replace_table_token_14_th * we have various payment options which could result in the acceleration or deferral of the joint venture purchase obligation . see note 4 to the consolidated condensed financial statements for discussion of our acquisition of olympus ' interest in the joint venture . net cash used in or provided by operating , investing and financing activities for the years ended december 31 , 2014 , 2013 and 2012 is summarized as follows : replace_table_token_15_th 38 operating activities operating activities , inclusive of research and development , sales and marketing , and general and administrative efforts , offset in part by product sales , generated a $ 37,368,000 net loss for the year ended december 31 , 2014. the operating cash impact of this loss was $ 30,330,000 , after adjusting for non-cash share-based compensation , other adjustments for material non-cash activities , such as depreciation , amortization , change in fair value of warrants , and changes in working capital due to timing of product shipments ( accounts receivable ) and payment of liabilities . overall , our operational cash use decreased as compared to same period in 2013 , due primarily to an increase in cash collections from accounts receivable , offset by increased in payments of accounts payable and accrued liabilities . operating activities , inclusive of research and development , sales and marketing , and general and administrative efforts , offset in part by product sales , generated a $ 26,177,000 net loss for the year ended december 31 , 2013. the operating cash impact of this loss was $ 34,563,000 , after adjusting for non-cash share-based compensation , other adjustments for material non-cash activities , such as depreciation , amortization , change in fair value of option liabilities and warrants , gain on sale of assets and acquisition of joint venture , and changes in working

liquidity and capital resources short-term and long-term liquidity the following is a summary of our key liquidity measures at december 31 , 2014 and 2013 : replace_table_token_13_th we incurred net losses of $ 37,368,000 , $ 26,177,000 and $ 32,279,000 for the years ended december 31 , 2014 , 2013 and 2012 , respectively . we have an accumulated deficit of $ 338,273,000 as of december 31 , 2014. additionally , we have used net cash of $ 30,330,000 , $ 34,563,000 and $ 32,193,000 to fund our operating activities for years ended december 31 , 2014 , 2013 and 2012 , respectively . at december 31 , 2014 , the current portion of long-term debt obligations is $ 7.4 million and the joint venture purchase obligation is $ 3.0 million . the combination of these facts and the balance of cash and cash equivalents at december 31 , 2014 raises substantial doubt as to the company 's ability to continue as a going concern . to date , these operating losses have been funded primarily from outside sources of invested capital and gross profits . we have had , and we will likely continue to have , an ongoing need to raise additional cash from outside sources to fund our future operations . however , our ability to raise capital was adversely affected once fda put a hold on our athena trials in mid-2014 , which had an adverse impact to stock price performance and our corresponding ability to restructure our debt . if we are unsuccessful in our efforts to raise outside capital in the near term , we will be required to significantly reduce our research , development , and administrative operations , including reduction of our employee base , in order to offset the lack of available funding . we are pursuing financing opportunities in both the private and public debt and equity markets as well as through strategic corporate partnerships . we have an established history of raising capital through these platforms , and we are currently involved in negotiations with multiple parties . our efforts in 2014 to raise capital took longer than we initially anticipated .


 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 short-term and long-term liquidity the following is a summary of our key liquidity measures at december 31 , 2014 and 2013 : replace_table_token_13_th we incurred net losses of $ 37,368,000 , $ 26,177,000 and $ 32,279,000 for the years ended december 31 , 2014 , 2013 and 2012 , respectively . we have an accumulated deficit of $ 338,273,000 as of december 31 , 2014. additionally , we have used net cash of $ 30,330,000 , $ 34,563,000 and $ 32,193,000 to fund our operating activities for years ended december 31 , 2014 , 2013 and 2012 , respectively . at december 31 , 2014 , the current portion of long-term debt obligations is $ 7.4 million and the joint venture purchase obligation is $ 3.0 million . the combination of these facts and the balance of cash and cash equivalents at december 31 , 2014 raises substantial doubt as to the company 's ability to continue as a going concern . to date , these operating losses have been funded primarily from outside sources of invested capital and gross profits . we have had , and we will likely continue to have , an ongoing need to raise additional cash from outside sources to fund our future operations . however , our ability to raise capital was adversely affected once fda put a hold on our athena trials in mid-2014 , which had an adverse impact to stock price performance and our corresponding ability to restructure our debt . if we are unsuccessful in our efforts to raise outside capital in the near term , we will be required to significantly reduce our research , development , and administrative operations , including reduction of our employee base , in order to offset the lack of available funding . we are pursuing financing opportunities in both the private and public debt and equity markets as well as through strategic corporate partnerships . we have an established history of raising capital through these platforms , and we are currently involved in negotiations with multiple parties . our efforts in 2014 to raise capital took longer than we initially anticipated .
```    
 Suspicious Activity Report : the initial base period included $ 4.7 million over two years and covered preclinical research and continued development of cytori 's celution® system to improve cell processing . the additional contract options , if fully executed , could cover our clinical development through fda approval under a device-based pma regulatory pathway . the cost-plus-fixed-fee contract is valued at up to $ 106 million , with a guaranteed two-year base period of approximately $ 4.7 million . we submitted reports to barda in late 2013 detailing the completion of the objectives in the initial contract . an in-process review meeting in the first half of 2014 confirmed completion of the proof of concept phase . in august and december , 2014 , barda awarded to us contract options of $ 14 million . the options allow for continuation of research , regulatory , clinical , and other activities required for approval and completion of a pilot clinical trial using cytori cell therapy ( dcct-10 ) for the treatment of thermal burns combined with radiation injury . the award for conducting the pilot trial , approximately $ 8 million , would follow fda approval of the trial protocol and associated documentation . once the pilot trial is analyzed , the final phase would include research , regulatory , and clinical activities necessary to achieve regulatory clearances to optimize a treatment for combined injury involving thermal burn and radiation exposure . a pivotal clinical trial of the use of the cytori cell therapy ( dcct-10 ) for thermal burn injury will be the primary basis of an fda approval . the total award is intended to support all clinical , preclinical , regulatory , and technology development activities needed to complete the fda approval process for use in thermal burn injury under a device-based pma regulatory pathway . results of operations product revenues product revenues consisted of revenues primarily from our celution® and stemsource® cell banks . the following table summarizes the components for the years ended december 31 , 2014 , 2013 and 2012 : replace_table_token_3_th a majority of our product revenue in 2014 was derived from japan . with two new regenerative medicine laws in japan going into effect in november 2014 that removed regulatory uncertainties and provided a clear path for us to offer cytori cell therapy in japan , we expect continued demand from researchers at academic hospitals seeking to perform investigator-initiated and funded studies . we experienced a decrease in product revenue during the year ended december 31 , 2014 as compared to the same period in 2013 , primarily due to decreased activities with our licensee and distributor lorem vascular , who purchased the initial stocking order of approximately $ 1.8m in late 2013 that did not recur in 2014 , decreased revenue in europe of $ 0.7 million , offset by increased revenues in japan of approximately $ 1.0 million . revenue deferred in the years ended december 31 , 2014 , and 2013 was $ 1.4 million , and $ 3.6 million , respectively . there was no comparable revenue deferral in the year ended december 31 , 2012. the future : we expect to continue to generate product revenues from a mix of celution® and stemsource® system and consumables sales . we will sell the products to a diverse group of customers in europe , asia and north america , who may apply the products towards reconstructive surgery , soft tissue repair , research , aesthetics , and cell and tissue banking as approved in each country . additionally , as a result of class i device clearance for celution® and a number of our other products in japan , we anticipate selling these products to researchers at academic hospitals seeking to perform investigator-initiated and funded studies using cytori 's cell therapy . as a result of the sale of our puregraft® product line discussed in note 5 of the consolidated condensed financial statements , we do not expect significant revenues from that product line in the foreseeable future . 30 cost of product revenues cost of product revenues relate primarily to celution® system products and stemsource® cell banks and includes material , manufacturing labor , and overhead costs . the following table summarizes the components of our cost of revenues for the years ended december 31 , 2014 , 2013 and 2012 : replace_table_token_4_th cost of product revenues as a percentage of product revenues was 59 % , 48 % and 46 % for the years ended december 31 , 2014 , 2013 and 2012 , respectively . fluctuation in this percentage is to be expected due to the product mix , distributor and direct sales mix , geographic mix and allocation of overhead . in 2014 , we also experienced the impact of the weakness of the japanese yen , which resulted in a decrease to our gross profit margin . the future : we expect to continue to see variation in our gross profit margin as the product mix comprising revenues fluctuates . development revenues the following table summarizes the components of our development revenues for the years ended december 31 , 2014 , 2013 and 2012 : replace_table_token_5_th during the year ended december 31 , 2014 , we incurred $ 2,461,000 in qualified expenditures , and recognized a total of $ 2,645,000 in revenues , which included allowable fees as well as cost reimbursements . during the year ended december 31 , 2013 , we incurred $ 3,053,000 in qualified expenditures , and recognized a total of $ 3,257,000 in revenues , which included allowable fees as well as cost reimbursements . during the year ended december 31 , 2012 , we incurred $ 331,000 in qualified expenditures , and recognized a total of $ 355,000 in revenues , which included allowable fees as well as cost reimbursements . story_separator_special_tag · in may 2014 , we entered into subscription agreements with certain institutional investors pursuant to which we sold a total of 4,048,584 units , with each unit consisting of one share of common stock and one warrant to purchase one share of common stock at a purchase price of $ 2.47 per unit , in a registered direct offering . each warrant had an exercise price of $ 3.00 per share , was exercisable immediately after issuance and expires five years from the date of issuance . the transaction was completed on june 4 , 2014 raising approximately $ 10,000,000 in gross proceeds before deducting any offering expenses or fees payable by us . under the terms of our placement agent agreement , we granted wbb securities , llc warrants to purchase 202,429 shares of common stock . the placement agent warrants have the same terms as the warrants issued to the purchasers in the offering , except that such warrants have an exercise price of $ 3.09 . 37 · in september 2014 , we and 13 holders of warrants dated june 4 , 2014 to purchase a total of 4,032,389 shares of our common stock agreed to amend the warrants in order to reduce the exercise price from $ 3.00 per share to $ 1.00 per share and change the expiration date from june 4 , 2019 to september 10 , 2014. we received proceeds of approximately $ 4,066,000 from the exercise of the warrants . in addition , pursuant to the terms of the amendment , upon each holder 's exercise of all warrants for cash prior to the amended expiration date , we issued additional warrants for the same number of common shares to the holders . the additional warrants have an exercise price of $ 2.00 per share , and are exercisable on the date that is six months and one day from the date of issuance and expire five years from the date of issuance . for those investors participating in the october 2014 issuance of series a 3.6 % convertible preferred stock , we agreed to reduce the exercise price of 3,384,601 warrants from $ 2.00 per share to $ 0.5771 per share , conditioned upon shareholder approval which was obtained in january 2015 . · in september 2014 , we entered into a 2 nd amendment to the loan agreement with the lenders pursuant to the amended loan agreement , under which we were provided a conditional waiver of principal payments subject to meeting certain capital raise requirements , which we achieved in october . the waiver of principal payments continues from november 1 , 2014 through april 1 , 2015 and thereafter we are required to make payments of principal and accrued interest in equal monthly installments of $ 1.0 million , sufficient to amortize the term loans through the maturity date . · in october , 2014 , we entered into a securities purchase agreement with certain institutional investors pursuant to which we sold a total of 13,500 units for a purchase price of $ 1,000 per unit , with each unit consisting of one share of our series a 3.6 % convertible preferred stock , which is convertible into shares of our common stock with a conversion price of $ 0.52 , and warrants to purchase up to a number of shares of common stock equal to 100 % of the conversion shares under the shares of preferred stock , in a registered direct offering . each warrant has an exercise price of $ 0.5771 per share , is exercisable six months after the date of issuance and expires five years from the date on which it is initially exercisable . the preferred stock and the warrants were immediately separable and were issued separately . as of december 31 , 2014 , 8,189 units had been converted into 15,747,000 shares of common stock . the following summarizes our contractual obligations and other commitments at december 31 , 2014 , and the effect such obligations could have on our liquidity and cash flow in future periods : replace_table_token_14_th * we have various payment options which could result in the acceleration or deferral of the joint venture purchase obligation . see note 4 to the consolidated condensed financial statements for discussion of our acquisition of olympus ' interest in the joint venture . net cash used in or provided by operating , investing and financing activities for the years ended december 31 , 2014 , 2013 and 2012 is summarized as follows : replace_table_token_15_th 38 operating activities operating activities , inclusive of research and development , sales and marketing , and general and administrative efforts , offset in part by product sales , generated a $ 37,368,000 net loss for the year ended december 31 , 2014. the operating cash impact of this loss was $ 30,330,000 , after adjusting for non-cash share-based compensation , other adjustments for material non-cash activities , such as depreciation , amortization , change in fair value of warrants , and changes in working capital due to timing of product shipments ( accounts receivable ) and payment of liabilities . overall , our operational cash use decreased as compared to same period in 2013 , due primarily to an increase in cash collections from accounts receivable , offset by increased in payments of accounts payable and accrued liabilities . operating activities , inclusive of research and development , sales and marketing , and general and administrative efforts , offset in part by product sales , generated a $ 26,177,000 net loss for the year ended december 31 , 2013. the operating cash impact of this loss was $ 34,563,000 , after adjusting for non-cash share-based compensation , other adjustments for material non-cash activities , such as depreciation , amortization , change in fair value of option liabilities and warrants , gain on sale of assets and acquisition of joint venture , and changes in working

