as a result of the positive mercury 3 results and the roclanda ® approval in europe , th ird parties expressed interest in a potential commercialization partnership in 81 and potentially beyond europe . we are currently engaged in discussions with potential partners , while we are simultaneously preparing on our own for pricing discussions in germany . in japan , we entered into the santen agreement in october 2020 to advance our clinical development and ultimately commercialize rhopressa ® and rocklatan ® in japan and eight other countries in asia . we initiated a rhopressa ® phase 3 clinical trial in december 2020 , the first of three expected phase 3 clinical trials in japan . clinical trials for rocklatan ® have not yet begun . glaucoma product manufacturing we have a sterile fill production facility in athlone , ireland , for the production of our fda approved products and clinical supplies with the goal of having the athlone manufacturing plant supply our ophthalmic products in all markets for which we received regulatory approval and are commercialized . the athlone manufacturing plant began manufacturing commercial supplies of rocklatan ® in the first quarter of 2020 and rhopressa ® in the third quarter of 2020 for distribution to the united states . shipments of commercial supply of rocklatan ® and rhopressa ® from the athlone manufacturing plant to the united states commenced in the third quarter of 2020 and in the fourth quarter of 2020 , respectively . the athlone manufacturing plant has also manufactured clinical supplies of rhopressa ® for the phase 3 clinical trials in japan . as the athlone manufacturing plant commenced operations in 2020 , it has not yet reached full capacity . we expect that the athlone manufacturing plant will have adequate capacity to produce rhopressa ® and rocklatan ® in the united states as well as for both the european and japanese commercial markets , if approved for commercial distribution in those markets . we may continue to use contract manufacturers to produce commercial supplies of rhopressa ® and rocklatan ® for distribution in the united states , but at reduced levels compared to before the athlone manufacturing plant was operational . product candidates and pipeline our strategy also includes enhancing our longer-term commercial potential by identifying and advancing additional product candidates through our internal discovery efforts , our entry into potential research collaborations or in-licensing arrangements or our acquisition of additional ophthalmic products or technologies or product candidates that complement our current product portfolio . ar-15512 is our product candidate for the treatment of dry eye disease , acquired in late 2019 , for which we initiated a phase 2b clinical trial named comet-1 in october 2020. furthermore , we are developing three sustained-release implants focused on retinal diseases , ar-1105 , ar-13503 sr and ar-14034 sr. for ar-1105 , we successfully completed a large phase 2 clinical trial for patients with macular edema due to rvo in july 2020 , which indicates sustained efficacy of up to six months , an important achievement in validating the potential capabilities of aerie 's sustained release platform . with respect to future plans for ar-1105 , we are currently evaluating next steps regarding clinical advancement into phase 3 along with commercialization prospects in both europe and the united states . for ar-13503 sr , we initiated a first in-human clinical safety study in the third quarter of 2019 for the treatment of wet amd and dme , which is currently ongoing . in addition , we are also working to advance our preclinical sustained-release retinal implant , ar-14034 sr , for which we anticipate filing an ind with the fda in the second half of 2022. we discovered and developed the active ingredient in rhopressa ® and rocklatan ® , netarsudil , and ar-13503 through a rational drug design approach that coupled medicinal chemistry with high content screening of compounds in proprietary cell- based assays . we selected and formulated netarsudil for preclinical in vivo testing following a detailed characterization of over 3,000 synthesized rock inhibitors , a number that has since grown to approximately 4,000. impact of the covid-19 pandemic in december 2019 , there was an outbreak of a new strain of coronavirus ( “ covid-19 ” ) and on march 11 , 2020 , the world health organization declared covid-19 a pandemic . the covid-19 pandemic has negatively impacted the global economy , disrupted global supply chains and workforce participation due to “ shelter-in-place ” restrictions by various governments worldwide and created significant volatility and disruption of financial markets . the health and safety of our employees , patients , prescribers and community are of utmost importance during this time and we are complying with all requirements and mandates from various agencies and governments . we are taking precautionary measures to protect our employees and our stakeholders and adapting company policy to maintain the continuity of our business . we continue to operate effectively as most of our manufacturing plant personnel are working at the manufacturing plant with precautionary measures in place , while the balance of our workforce is primarily working from home . while many eye-care professionals ' offices are operating at reduced capacity , we are using a combination of in-person and virtual tools and resources to remain in contact with eye-care professionals . aerie territory managers are experiencing 82 successful engagement with eye-care professionals through either traditional face-to-face office meetings or virtual resources . our sales force is interactively communicating with physicians via different technological platforms and local peer-to-peer educational meetings are primarily being implemented via webinars . certain geographic communities have resumed in-person speaker programs , while adhering to strict national guidelines with appropriate social distancing . as part of the support of the eye-care community , our territory managers are either delivering or arranging for delivery of product samples to the eye-care professionals ' offices when needed . story_separator_special_tag we do not assess whether a contract has a significant financing component if the expectation is such that the period between the transfer of the promised goods to the customer and the receipt of payment will be less than one year . standard credit terms do not exceed 75 days . we calculate our net product revenue based on the wholesale acquisition cost that we charge our distributors for rhopressa ® and rocklatan ® less provisions for ( i ) trade discounts and allowances , such as discounts for prompt payment and distributor fees , ( ii ) estimated rebates to third-party payers , estimated payments for medicare part d donut hole , patient co-pay program coupon utilization , chargebacks and other discount programs and ( iii ) reserves for expected product returns . the estimates of reserves established for variable consideration reflect current contractual and statutory requirements , known market events and trends , industry data , forecasted customer mix and lagged claims . provisions for revenue reserves reduced product revenues by $ 202.2 million and $ 105.9 million in aggregate for the years ended december 31 , 2020 and 2019 , respectively , a significant portion of which related to commercial and medicare part d rebates . the transaction price , which includes variable consideration reflecting the impact of discounts and allowances , may be subject to constraint and is included in the net product revenues only to the extent that it is probable that a significant reversal of the amount of the cumulative revenues recognized will not occur in a future period . actual amounts may ultimately differ from these estimates . if actual results vary , estimates may be adjusted in the period such change in estimate becomes known , which could have an impact on earnings in the period of adjustment . trade discounts and allowances : we generally provide discounts on sales of rhopressa ® and rocklatan ® to our distributors for prompt payment and pay fees for distribution services and for certain data that distributors provide to us . we expect our distributors to earn these discounts and fees , and accordingly deduct the full amount of these discounts and fees from our gross product revenues at the time such revenues are recognized . rebates , chargebacks and other discounts : we contract with third-party payers for coverage and reimbursement of rhopressa ® and rocklatan ® . we estimate the rebates and chargebacks we expect to be obligated to provide to third-party payers and deduct these estimated amounts from our gross product revenue at the time the revenue is recognized . we estimate the rebates and chargebacks that we expect to be obligated to provide to third-party payers based upon ( i ) our contracts and negotiations with these third-party payers , ( ii ) estimates regarding the payer mix for rhopressa ® and rocklatan ® based on third-party data and utilization , ( iii ) inventory held by distributors and ( iv ) estimates of inventory held at the retail channel . other discounts include our co-pay assistance programs for commercially-insured patients meeting certain eligibility requirements . the calculation of the accrual for co-pay assistance is based on an estimate of claims and the cost per claim that we expect to pay associated with product that has been recognized as revenue . 86 product returns : we estimate the amount of rhopressa ® and rocklatan ® that will be returned and deduct these estimated amounts from our gross revenue at the time the revenue is recognized . we currently estimate product returns based on historical information regarding returns of rhopressa ® and rocklatan ® as well as historical industry information regarding rates for comparable pharmaceutical products and product portfolios , the estimated remaining shelf life of rhopressa ® and rocklatan ® shipped to distributors , and contractual agreements with our distributors intended to limit the amount of inventory they maintain . reporting from the distributors includes distributor sales and inventory held by distributors , which provide us with visibility into the distribution channel to determine when product would be eligible to be returned . contract revenues from license agreements in the normal course of business , we conduct research and development activities pursuant to which we may license certain rights of our intellectual property to third parties . the terms of these arrangements typically include payment for a combination of one or more of the following : upfront license fees ; development , regulatory and sales-based milestone payments ; clinical or commercial supply services and royalties on net sales of licensed products . in determining the appropriate amount of revenue to be recognized as we fulfill our obligations under such agreements , the five steps outlined in “ — revenue recognition ” above are performed . as part of the accounting for these arrangements , judgment is used to determine : ( a ) the performance obligations based on the determination under step ( ii ) above ; ( b ) the transaction price under step ( iii ) above ; ( c ) the stand-alone selling price for each performance obligation identified in the contract for the allocation of transaction price under step ( iv ) above ; and ( d ) in some circumstances when control transfers and the appropriate measure of progress in order to recognize revenue under step ( v ) above . judgment is used to determine whether milestones or other variable consideration , should be included in the transaction price as described further below . the transaction price is allocated to each performance obligation on a relative stand-alone selling price basis , for which we recognize revenue as or when the performance obligations under the contract are satisfied . amounts received prior to revenue recognition are recorded as deferred revenue . amounts expected to be recognized as revenue within the 12 months following the balance sheet date are classified as current portion of deferred revenue in

cash flows the following table summarizes our sources and uses of cash : replace_table_token_7_th operating activities during the year ended december 31 , 2020 , net cash used in operating activities of $ 64.7 million related to a net loss of $ 183.1 million , adjusted for non-cash items of $ 73.5 million primarily related to stock-based compensation expense , amortization and accretion and depreciation and net cash outflows of $ 44.9 million related to changes in operating assets and liabilities . other changes in operating assets and liabilities included the $ 50.0 million upfront payment paid by santen . during the year ended december 31 , 2019 , net cash used in operating activities of $ 150.4 million related to a net loss of $ 199.6 million , adjusted for non-cash items of $ 73.1 million primarily related to stock-based compensation expense , acquisition of avizorex and amortization and accretion and depreciation , partially offset by a net cash inflow of $ 24.0 million related to changes in operating assets and liabilities . during the year ended december 31 , 2018 , net cash used in operating activities of $ 152.6 million related to a net loss of $ 232.6 million , adjusted for non-cash items of $ 66.6 million primarily related to stock-based compensation expense , induced conversion of the 2014 convertible notes in july 2018 , amortization and accretion and depreciation , partially offset by a net cash outflow of $ 13.4 million related to changes in operating assets and liabilities .


 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.
     ```cash flows the following table summarizes our sources and uses of cash : replace_table_token_7_th operating activities during the year ended december 31 , 2020 , net cash used in operating activities of $ 64.7 million related to a net loss of $ 183.1 million , adjusted for non-cash items of $ 73.5 million primarily related to stock-based compensation expense , amortization and accretion and depreciation and net cash outflows of $ 44.9 million related to changes in operating assets and liabilities . other changes in operating assets and liabilities included the $ 50.0 million upfront payment paid by santen . during the year ended december 31 , 2019 , net cash used in operating activities of $ 150.4 million related to a net loss of $ 199.6 million , adjusted for non-cash items of $ 73.1 million primarily related to stock-based compensation expense , acquisition of avizorex and amortization and accretion and depreciation , partially offset by a net cash inflow of $ 24.0 million related to changes in operating assets and liabilities . during the year ended december 31 , 2018 , net cash used in operating activities of $ 152.6 million related to a net loss of $ 232.6 million , adjusted for non-cash items of $ 66.6 million primarily related to stock-based compensation expense , induced conversion of the 2014 convertible notes in july 2018 , amortization and accretion and depreciation , partially offset by a net cash outflow of $ 13.4 million related to changes in operating assets and liabilities .
```    
 Suspicious Activity Report : as a result of the positive mercury 3 results and the roclanda ® approval in europe , th ird parties expressed interest in a potential commercialization partnership in 81 and potentially beyond europe . we are currently engaged in discussions with potential partners , while we are simultaneously preparing on our own for pricing discussions in germany . in japan , we entered into the santen agreement in october 2020 to advance our clinical development and ultimately commercialize rhopressa ® and rocklatan ® in japan and eight other countries in asia . we initiated a rhopressa ® phase 3 clinical trial in december 2020 , the first of three expected phase 3 clinical trials in japan . clinical trials for rocklatan ® have not yet begun . glaucoma product manufacturing we have a sterile fill production facility in athlone , ireland , for the production of our fda approved products and clinical supplies with the goal of having the athlone manufacturing plant supply our ophthalmic products in all markets for which we received regulatory approval and are commercialized . the athlone manufacturing plant began manufacturing commercial supplies of rocklatan ® in the first quarter of 2020 and rhopressa ® in the third quarter of 2020 for distribution to the united states . shipments of commercial supply of rocklatan ® and rhopressa ® from the athlone manufacturing plant to the united states commenced in the third quarter of 2020 and in the fourth quarter of 2020 , respectively . the athlone manufacturing plant has also manufactured clinical supplies of rhopressa ® for the phase 3 clinical trials in japan . as the athlone manufacturing plant commenced operations in 2020 , it has not yet reached full capacity . we expect that the athlone manufacturing plant will have adequate capacity to produce rhopressa ® and rocklatan ® in the united states as well as for both the european and japanese commercial markets , if approved for commercial distribution in those markets . we may continue to use contract manufacturers to produce commercial supplies of rhopressa ® and rocklatan ® for distribution in the united states , but at reduced levels compared to before the athlone manufacturing plant was operational . product candidates and pipeline our strategy also includes enhancing our longer-term commercial potential by identifying and advancing additional product candidates through our internal discovery efforts , our entry into potential research collaborations or in-licensing arrangements or our acquisition of additional ophthalmic products or technologies or product candidates that complement our current product portfolio . ar-15512 is our product candidate for the treatment of dry eye disease , acquired in late 2019 , for which we initiated a phase 2b clinical trial named comet-1 in october 2020. furthermore , we are developing three sustained-release implants focused on retinal diseases , ar-1105 , ar-13503 sr and ar-14034 sr. for ar-1105 , we successfully completed a large phase 2 clinical trial for patients with macular edema due to rvo in july 2020 , which indicates sustained efficacy of up to six months , an important achievement in validating the potential capabilities of aerie 's sustained release platform . with respect to future plans for ar-1105 , we are currently evaluating next steps regarding clinical advancement into phase 3 along with commercialization prospects in both europe and the united states . for ar-13503 sr , we initiated a first in-human clinical safety study in the third quarter of 2019 for the treatment of wet amd and dme , which is currently ongoing . in addition , we are also working to advance our preclinical sustained-release retinal implant , ar-14034 sr , for which we anticipate filing an ind with the fda in the second half of 2022. we discovered and developed the active ingredient in rhopressa ® and rocklatan ® , netarsudil , and ar-13503 through a rational drug design approach that coupled medicinal chemistry with high content screening of compounds in proprietary cell- based assays . we selected and formulated netarsudil for preclinical in vivo testing following a detailed characterization of over 3,000 synthesized rock inhibitors , a number that has since grown to approximately 4,000. impact of the covid-19 pandemic in december 2019 , there was an outbreak of a new strain of coronavirus ( “ covid-19 ” ) and on march 11 , 2020 , the world health organization declared covid-19 a pandemic . the covid-19 pandemic has negatively impacted the global economy , disrupted global supply chains and workforce participation due to “ shelter-in-place ” restrictions by various governments worldwide and created significant volatility and disruption of financial markets . the health and safety of our employees , patients , prescribers and community are of utmost importance during this time and we are complying with all requirements and mandates from various agencies and governments . we are taking precautionary measures to protect our employees and our stakeholders and adapting company policy to maintain the continuity of our business . we continue to operate effectively as most of our manufacturing plant personnel are working at the manufacturing plant with precautionary measures in place , while the balance of our workforce is primarily working from home . while many eye-care professionals ' offices are operating at reduced capacity , we are using a combination of in-person and virtual tools and resources to remain in contact with eye-care professionals . aerie territory managers are experiencing 82 successful engagement with eye-care professionals through either traditional face-to-face office meetings or virtual resources . our sales force is interactively communicating with physicians via different technological platforms and local peer-to-peer educational meetings are primarily being implemented via webinars . certain geographic communities have resumed in-person speaker programs , while adhering to strict national guidelines with appropriate social distancing . as part of the support of the eye-care community , our territory managers are either delivering or arranging for delivery of product samples to the eye-care professionals ' offices when needed . story_separator_special_tag we do not assess whether a contract has a significant financing component if the expectation is such that the period between the transfer of the promised goods to the customer and the receipt of payment will be less than one year . standard credit terms do not exceed 75 days . we calculate our net product revenue based on the wholesale acquisition cost that we charge our distributors for rhopressa ® and rocklatan ® less provisions for ( i ) trade discounts and allowances , such as discounts for prompt payment and distributor fees , ( ii ) estimated rebates to third-party payers , estimated payments for medicare part d donut hole , patient co-pay program coupon utilization , chargebacks and other discount programs and ( iii ) reserves for expected product returns . the estimates of reserves established for variable consideration reflect current contractual and statutory requirements , known market events and trends , industry data , forecasted customer mix and lagged claims . provisions for revenue reserves reduced product revenues by $ 202.2 million and $ 105.9 million in aggregate for the years ended december 31 , 2020 and 2019 , respectively , a significant portion of which related to commercial and medicare part d rebates . the transaction price , which includes variable consideration reflecting the impact of discounts and allowances , may be subject to constraint and is included in the net product revenues only to the extent that it is probable that a significant reversal of the amount of the cumulative revenues recognized will not occur in a future period . actual amounts may ultimately differ from these estimates . if actual results vary , estimates may be adjusted in the period such change in estimate becomes known , which could have an impact on earnings in the period of adjustment . trade discounts and allowances : we generally provide discounts on sales of rhopressa ® and rocklatan ® to our distributors for prompt payment and pay fees for distribution services and for certain data that distributors provide to us . we expect our distributors to earn these discounts and fees , and accordingly deduct the full amount of these discounts and fees from our gross product revenues at the time such revenues are recognized . rebates , chargebacks and other discounts : we contract with third-party payers for coverage and reimbursement of rhopressa ® and rocklatan ® . we estimate the rebates and chargebacks we expect to be obligated to provide to third-party payers and deduct these estimated amounts from our gross product revenue at the time the revenue is recognized . we estimate the rebates and chargebacks that we expect to be obligated to provide to third-party payers based upon ( i ) our contracts and negotiations with these third-party payers , ( ii ) estimates regarding the payer mix for rhopressa ® and rocklatan ® based on third-party data and utilization , ( iii ) inventory held by distributors and ( iv ) estimates of inventory held at the retail channel . other discounts include our co-pay assistance programs for commercially-insured patients meeting certain eligibility requirements . the calculation of the accrual for co-pay assistance is based on an estimate of claims and the cost per claim that we expect to pay associated with product that has been recognized as revenue . 86 product returns : we estimate the amount of rhopressa ® and rocklatan ® that will be returned and deduct these estimated amounts from our gross revenue at the time the revenue is recognized . we currently estimate product returns based on historical information regarding returns of rhopressa ® and rocklatan ® as well as historical industry information regarding rates for comparable pharmaceutical products and product portfolios , the estimated remaining shelf life of rhopressa ® and rocklatan ® shipped to distributors , and contractual agreements with our distributors intended to limit the amount of inventory they maintain . reporting from the distributors includes distributor sales and inventory held by distributors , which provide us with visibility into the distribution channel to determine when product would be eligible to be returned . contract revenues from license agreements in the normal course of business , we conduct research and development activities pursuant to which we may license certain rights of our intellectual property to third parties . the terms of these arrangements typically include payment for a combination of one or more of the following : upfront license fees ; development , regulatory and sales-based milestone payments ; clinical or commercial supply services and royalties on net sales of licensed products . in determining the appropriate amount of revenue to be recognized as we fulfill our obligations under such agreements , the five steps outlined in “ — revenue recognition ” above are performed . as part of the accounting for these arrangements , judgment is used to determine : ( a ) the performance obligations based on the determination under step ( ii ) above ; ( b ) the transaction price under step ( iii ) above ; ( c ) the stand-alone selling price for each performance obligation identified in the contract for the allocation of transaction price under step ( iv ) above ; and ( d ) in some circumstances when control transfers and the appropriate measure of progress in order to recognize revenue under step ( v ) above . judgment is used to determine whether milestones or other variable consideration , should be included in the transaction price as described further below . the transaction price is allocated to each performance obligation on a relative stand-alone selling price basis , for which we recognize revenue as or when the performance obligations under the contract are satisfied . amounts received prior to revenue recognition are recorded as deferred revenue . amounts expected to be recognized as revenue within the 12 months following the balance sheet date are classified as current portion of deferred revenue in

