generally , success fees accrue at a set rate and are contractually due upon a change of control in the business . some debt securities have deferred interest whereby some portion of the interest payment is added to the principal balance so that the interest is paid , together with the principal , at maturity . this form of deferred interest is often called paid-in-kind ( pik ) interest . 40 typically , our equity investments consist of common stock , preferred stock , limited liability company interests , or warrants to purchase the foregoing . often , these equity investments occur in connection with our original investment , recapitalizing a business , or refinancing existing debt . we are externally managed by our investment advisor , gladstone management corporation ( the adviser ) , a securities and exchange commission ( sec ) registered investment adviser and an affiliate of ours , pursuant to an investment advisory and management agreement ( the advisory agreement ) . the adviser manages our investment activities . we have also entered into an administration agreement ( the administration agreement ) with gladstone administration , llc ( the administrator ) , an affiliate of ours and the adviser , whereby we pay separately for administrative services . our shares of common stock and term preferred stock are traded on the nasdaq global select market ( nasdaq ) under the trading symbols glad and gladp ,  respectively . business environment the strength of the global economy and the u.s. economy in particular , continues to be uncertain and volatile . recently , we experienced the first u.s. government shutdown in 17 years along with a stalemate in the u.s. congress over whether to raise the debt ceiling . the u.s. government budget concerns remain until early 2014 when the u.s. congress will revisit the debt ceiling debate again . prior to this recent u.s. fiscal crisis , economic conditions generally appeared to be improving , albeit slowly , since the 2008 recession . we have continued to remain cautious about a long-term economic recovery . the impacts from the 2008 recession in general , and the resulting disruptions in the capital markets in particular , have had lingering effects on our liquidity options and increased our cost of debt and equity capital . many of our portfolio companies , as well as those small and medium-sized companies that we evaluate for investment , are still feeling the adverse impacts of these political and economic conditions , and if these conditions persist , it may affect their ability to repay our loans or engage in a liquidity event , such as a sale , recapitalization or initial public offering . these political and economic conditions could also disproportionately impact some of the industries in which we have invested , causing us to be more vulnerable to losses in our portfolio , which could cause the number of our non-performing assets to increase and the fair market value of our portfolio to decrease . in addition , there has been increased competitive pressure in the bdc and investment company marketplace for senior and senior subordinated debt , resulting in lower yields for increasingly riskier investments . we believe we are in a protracted economic recovery ; however , we do not know if market conditions will continue to improve or if adverse conditions will again intensify , and we do not know the full extent to which the inability of the u.s. government to address its fiscal condition in the near and long term will affect us . if market instability persists or intensifies , we may experience difficulty in raising capital . in summary , we believe that are in a protracted economic recovery , but that the recent u.s. fiscal crisis has temporarily suppressed that recovery . we do not know the full extent to which the impact of the lingering recessionary economic conditions will affect us or our portfolio companies . portfolio activity while conditions remain somewhat challenging in the marketplace , we are seeing a number of new investment opportunities that are consistent with our investment objectives and strategies . during the year ended september 30 , 2013 , we invested in 15 new proprietary and syndicate investments totaling $ 80.4 million ; however , we experienced a net contraction in our overall portfolio of three portfolio companies , primarily due to 14 portfolio companies paying off early during the year , for an aggregate of $ 79.6 million in unscheduled payoffs . subsequent to september 30 , 2013 , we invested $ 7.0 million in one new proprietary investment , as discussed under  investment highlights . in addition , in july 2012 , the sec granted us an exemptive order that expands our ability to co-invest with certain of our affiliates by permitting us , under certain circumstances , to co-invest with gladstone investment corporation ( gladstone investment ) and any future business development company or closed-end management investment company that is advised by the adviser ( or sub-advised by the adviser if it controls the fund ) or any combination of the foregoing subject to the conditions in the sec 's order . we believe this ability to co-invest will enhance our ability to further our investment objectives and strategies . we co-invested with gladstone investment in two new proprietary investmentsone in each of may and october 2013 , as discussed under  investment highlights . 41 regulatory compliance challenges in the current market are intensified for us by certain regulatory limitations under the code and the 1940 act , as well as contractual restrictions under the agreement governing our $ 137.0 million revolving line of credit ( our credit facility ,  described more fully under  revolving credit facility  below ) that further constrain our ability to access the capital markets . to qualify to be taxed as a ric , we must distribute at least 90.0 story_separator_special_tag as of september 30 , 2012 , six portfolio companies were either fully or partially on non-accrual status with an aggregate debt cost basis of approximately $ 61.1 million , or 17.3 % of the cost basis of all debt investments in our portfolio . during the year ended september 30 , 2013 , we sold our investments in two portfolio companies that had been on non-accrual status , wrote off our investment in one portfolio company that had been on non-accrual status , and sold substantially all of the assets of one portfolio company that had been on non-accrual status . see  overview  investment highlights  for more information . there were no portfolio companies that changed from accrual status to non-accrual during the year ended september 30 , 2013. other income for the years ended september 30 , 2013 and 2012 , consisted primarily of success fees , which we generally recognize when payment is received . during the year ended september 30 , 2013 , we received an aggregate of $ 1.7 million in success fees , which resulted from the early payoffs at par of westlake for $ 1.1 million in december 2012 and cmi for $ 0.6 million in september 2013. in addition , we received prepayment fees in the aggregate of $ 0.9 million during the year ended september 30 , 2013 , which resulted from the early payoffs of eight of our syndicate investments at par during the year . during the year ended september 30 , 2012 , we received an aggregate of $ 4.0 million in success fees , which resulted from the early payoffs at par of winchester electronics ( winchester ) for $ 1.2 million , global materials technologies ( gmt ) for $ 1.1 million , rcs management holding co. ( rcs ) for $ 0.9 million and northern contours , inc. ( northern contours ) for $ 0.8 million . in addition , we received prepayment fees in the aggregate of $ 0.2 million during the year ended september 30 , 2012 , which resulted from the early payoffs of five of our syndicate investments at par during the year . the following tables list the investment income for our five largest portfolio company investments at fair value during the respective years : replace_table_token_9_th ( a ) new investment added in december 2012 ( b ) investment exited in december 2012 . ( c ) new investment added in may 2012 . ( d ) investment exited in september 2013 . 46 operating expenses operating expenses , net of credits from the adviser , decreased for the year ended september 30 , 2013 , by $ 3.5 million , or 16.5 % , as compared to the year ended september 30 , 2012. this decrease was primarily due to a decrease in interest expense on our credit facility , other expenses and incentive fees , partially offset by an increase in dividend expense on our term preferred stock . interest expense decreased by $ 1.2 million for the year ended september 30 , 2013 , as compared to the prior year , due primarily to decreased borrowings under our credit facility , resulting from a net contraction in the size of our portfolio . the weighted average balance outstanding on our credit facility during the year ended september 30 , 2013 was approximately $ 53.2 million , as compared to $ 72.2 million in the prior year , a decrease of 26.3 % . additionally , the decrease in interest expense for the year ended september 30 , 2013 , as compared the prior year , was due to the january 2013 amendment of our credit facility to remove the libor minimum of 1.5 % on advances . other expenses decreased $ 1.1 million for the year ended september 30 , 2013 , as compared to the prior year , primarily due to the receipt of certain reimbursable deal expenses in the current year , as well as a decrease in legal expenses incurred in connection with troubled loans during the year ended september 30 , 2013 , as compared to the year ended september 30 , 2012. the decrease of $ 1.1 million in net incentive fees earned by the adviser during the year ended september 30 , 2013 , as compared to the prior year , was primarily due to the increase in the incentive fee waiver in the current year . incentive fees were earned by the adviser during the year ended september 30 , 2013 and 2012 ; however , the incentive fees were partially waived by the adviser to ensure distributions to stockholders were covered entirely by net investment income during both years . the base management fee , incentive fee and associated credits are computed quarterly , as described under  investment advisory and management agreement  in note 4 of the notes to our accompanying consolidated financial statements and are summarized in the table below : replace_table_token_10_th ( a ) average total assets subject to the base management fee is defined as total assets , including investments made with proceeds of borrowings , less any uninvested cash or cash equivalents resulting from borrowings , valued at the end of the four most recently completed quarters within the respective years and appropriately adjusted for any share issuances or repurchases during the applicable year . ( b ) reflected , in total , as a line item on our accompanying consolidated statement of operations located elsewhere in this report . 47 realized loss and unrealized appreciation ( depreciation ) on investments realized losses for the year ended september 30 , 2013 , we recorded a net realized loss on investments of $ 5.2 million , which primarily consisted of realized losses of $ 2.9 million related to the sale of kch , $ 2.4 million related to the sale of viapack and $ 0.9 million related to the write off

liquidity and capital resources operating activities our cash flows from operations generally come from the interest payments on debt securities that we receive from our portfolio companies , as well as cash proceeds received through repayments or sales of our investments . we utilize this cash primarily to pay interest payments on our credit facility , distributions to our stockholders , management fees to the adviser , and other operating expenses . net cash provided by operating activities for the year ended september 30 , 2013 , was $ 32.1 million as compared to $ 26.2 million for the year ended september 30 , 2012. the increase in cash from operating activities was primarily due to the increase in repayments on investments , partially offset by an increase in purchases of investments during the year ended september 30 , 2013. for the year ended september 30 , 2011 , net cash used in operating activities was $ 68.4 million , which was primarily driven by increased new investment activity during fiscal year 2011. as of september 30 , 2013 , we had loans to , syndicated participations in and or equity investments in 47 private companies , with an aggregate cost basis of approximately $ 332.3 million . as of september 30 , 2012 , we had loans to , syndicated participations in and or equity investments in 50 private companies , with an aggregate cost basis of approximately $ 365.0 million . the following table summarizes our total portfolio investment activity during the years ended september 30 , 2013 and 2012 : replace_table_token_21_th ( a ) pik interest is a non-cash source of income and is calculated at the contractual rate stated in a loan agreement and added to the principal balance of a loan .


 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 operating activities our cash flows from operations generally come from the interest payments on debt securities that we receive from our portfolio companies , as well as cash proceeds received through repayments or sales of our investments . we utilize this cash primarily to pay interest payments on our credit facility , distributions to our stockholders , management fees to the adviser , and other operating expenses . net cash provided by operating activities for the year ended september 30 , 2013 , was $ 32.1 million as compared to $ 26.2 million for the year ended september 30 , 2012. the increase in cash from operating activities was primarily due to the increase in repayments on investments , partially offset by an increase in purchases of investments during the year ended september 30 , 2013. for the year ended september 30 , 2011 , net cash used in operating activities was $ 68.4 million , which was primarily driven by increased new investment activity during fiscal year 2011. as of september 30 , 2013 , we had loans to , syndicated participations in and or equity investments in 47 private companies , with an aggregate cost basis of approximately $ 332.3 million . as of september 30 , 2012 , we had loans to , syndicated participations in and or equity investments in 50 private companies , with an aggregate cost basis of approximately $ 365.0 million . the following table summarizes our total portfolio investment activity during the years ended september 30 , 2013 and 2012 : replace_table_token_21_th ( a ) pik interest is a non-cash source of income and is calculated at the contractual rate stated in a loan agreement and added to the principal balance of a loan .
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 Suspicious Activity Report : generally , success fees accrue at a set rate and are contractually due upon a change of control in the business . some debt securities have deferred interest whereby some portion of the interest payment is added to the principal balance so that the interest is paid , together with the principal , at maturity . this form of deferred interest is often called paid-in-kind ( pik ) interest . 40 typically , our equity investments consist of common stock , preferred stock , limited liability company interests , or warrants to purchase the foregoing . often , these equity investments occur in connection with our original investment , recapitalizing a business , or refinancing existing debt . we are externally managed by our investment advisor , gladstone management corporation ( the adviser ) , a securities and exchange commission ( sec ) registered investment adviser and an affiliate of ours , pursuant to an investment advisory and management agreement ( the advisory agreement ) . the adviser manages our investment activities . we have also entered into an administration agreement ( the administration agreement ) with gladstone administration , llc ( the administrator ) , an affiliate of ours and the adviser , whereby we pay separately for administrative services . our shares of common stock and term preferred stock are traded on the nasdaq global select market ( nasdaq ) under the trading symbols glad and gladp ,  respectively . business environment the strength of the global economy and the u.s. economy in particular , continues to be uncertain and volatile . recently , we experienced the first u.s. government shutdown in 17 years along with a stalemate in the u.s. congress over whether to raise the debt ceiling . the u.s. government budget concerns remain until early 2014 when the u.s. congress will revisit the debt ceiling debate again . prior to this recent u.s. fiscal crisis , economic conditions generally appeared to be improving , albeit slowly , since the 2008 recession . we have continued to remain cautious about a long-term economic recovery . the impacts from the 2008 recession in general , and the resulting disruptions in the capital markets in particular , have had lingering effects on our liquidity options and increased our cost of debt and equity capital . many of our portfolio companies , as well as those small and medium-sized companies that we evaluate for investment , are still feeling the adverse impacts of these political and economic conditions , and if these conditions persist , it may affect their ability to repay our loans or engage in a liquidity event , such as a sale , recapitalization or initial public offering . these political and economic conditions could also disproportionately impact some of the industries in which we have invested , causing us to be more vulnerable to losses in our portfolio , which could cause the number of our non-performing assets to increase and the fair market value of our portfolio to decrease . in addition , there has been increased competitive pressure in the bdc and investment company marketplace for senior and senior subordinated debt , resulting in lower yields for increasingly riskier investments . we believe we are in a protracted economic recovery ; however , we do not know if market conditions will continue to improve or if adverse conditions will again intensify , and we do not know the full extent to which the inability of the u.s. government to address its fiscal condition in the near and long term will affect us . if market instability persists or intensifies , we may experience difficulty in raising capital . in summary , we believe that are in a protracted economic recovery , but that the recent u.s. fiscal crisis has temporarily suppressed that recovery . we do not know the full extent to which the impact of the lingering recessionary economic conditions will affect us or our portfolio companies . portfolio activity while conditions remain somewhat challenging in the marketplace , we are seeing a number of new investment opportunities that are consistent with our investment objectives and strategies . during the year ended september 30 , 2013 , we invested in 15 new proprietary and syndicate investments totaling $ 80.4 million ; however , we experienced a net contraction in our overall portfolio of three portfolio companies , primarily due to 14 portfolio companies paying off early during the year , for an aggregate of $ 79.6 million in unscheduled payoffs . subsequent to september 30 , 2013 , we invested $ 7.0 million in one new proprietary investment , as discussed under  investment highlights . in addition , in july 2012 , the sec granted us an exemptive order that expands our ability to co-invest with certain of our affiliates by permitting us , under certain circumstances , to co-invest with gladstone investment corporation ( gladstone investment ) and any future business development company or closed-end management investment company that is advised by the adviser ( or sub-advised by the adviser if it controls the fund ) or any combination of the foregoing subject to the conditions in the sec 's order . we believe this ability to co-invest will enhance our ability to further our investment objectives and strategies . we co-invested with gladstone investment in two new proprietary investmentsone in each of may and october 2013 , as discussed under  investment highlights . 41 regulatory compliance challenges in the current market are intensified for us by certain regulatory limitations under the code and the 1940 act , as well as contractual restrictions under the agreement governing our $ 137.0 million revolving line of credit ( our credit facility ,  described more fully under  revolving credit facility  below ) that further constrain our ability to access the capital markets . to qualify to be taxed as a ric , we must distribute at least 90.0 story_separator_special_tag as of september 30 , 2012 , six portfolio companies were either fully or partially on non-accrual status with an aggregate debt cost basis of approximately $ 61.1 million , or 17.3 % of the cost basis of all debt investments in our portfolio . during the year ended september 30 , 2013 , we sold our investments in two portfolio companies that had been on non-accrual status , wrote off our investment in one portfolio company that had been on non-accrual status , and sold substantially all of the assets of one portfolio company that had been on non-accrual status . see  overview  investment highlights  for more information . there were no portfolio companies that changed from accrual status to non-accrual during the year ended september 30 , 2013. other income for the years ended september 30 , 2013 and 2012 , consisted primarily of success fees , which we generally recognize when payment is received . during the year ended september 30 , 2013 , we received an aggregate of $ 1.7 million in success fees , which resulted from the early payoffs at par of westlake for $ 1.1 million in december 2012 and cmi for $ 0.6 million in september 2013. in addition , we received prepayment fees in the aggregate of $ 0.9 million during the year ended september 30 , 2013 , which resulted from the early payoffs of eight of our syndicate investments at par during the year . during the year ended september 30 , 2012 , we received an aggregate of $ 4.0 million in success fees , which resulted from the early payoffs at par of winchester electronics ( winchester ) for $ 1.2 million , global materials technologies ( gmt ) for $ 1.1 million , rcs management holding co. ( rcs ) for $ 0.9 million and northern contours , inc. ( northern contours ) for $ 0.8 million . in addition , we received prepayment fees in the aggregate of $ 0.2 million during the year ended september 30 , 2012 , which resulted from the early payoffs of five of our syndicate investments at par during the year . the following tables list the investment income for our five largest portfolio company investments at fair value during the respective years : replace_table_token_9_th ( a ) new investment added in december 2012 ( b ) investment exited in december 2012 . ( c ) new investment added in may 2012 . ( d ) investment exited in september 2013 . 46 operating expenses operating expenses , net of credits from the adviser , decreased for the year ended september 30 , 2013 , by $ 3.5 million , or 16.5 % , as compared to the year ended september 30 , 2012. this decrease was primarily due to a decrease in interest expense on our credit facility , other expenses and incentive fees , partially offset by an increase in dividend expense on our term preferred stock . interest expense decreased by $ 1.2 million for the year ended september 30 , 2013 , as compared to the prior year , due primarily to decreased borrowings under our credit facility , resulting from a net contraction in the size of our portfolio . the weighted average balance outstanding on our credit facility during the year ended september 30 , 2013 was approximately $ 53.2 million , as compared to $ 72.2 million in the prior year , a decrease of 26.3 % . additionally , the decrease in interest expense for the year ended september 30 , 2013 , as compared the prior year , was due to the january 2013 amendment of our credit facility to remove the libor minimum of 1.5 % on advances . other expenses decreased $ 1.1 million for the year ended september 30 , 2013 , as compared to the prior year , primarily due to the receipt of certain reimbursable deal expenses in the current year , as well as a decrease in legal expenses incurred in connection with troubled loans during the year ended september 30 , 2013 , as compared to the year ended september 30 , 2012. the decrease of $ 1.1 million in net incentive fees earned by the adviser during the year ended september 30 , 2013 , as compared to the prior year , was primarily due to the increase in the incentive fee waiver in the current year . incentive fees were earned by the adviser during the year ended september 30 , 2013 and 2012 ; however , the incentive fees were partially waived by the adviser to ensure distributions to stockholders were covered entirely by net investment income during both years . the base management fee , incentive fee and associated credits are computed quarterly , as described under  investment advisory and management agreement  in note 4 of the notes to our accompanying consolidated financial statements and are summarized in the table below : replace_table_token_10_th ( a ) average total assets subject to the base management fee is defined as total assets , including investments made with proceeds of borrowings , less any uninvested cash or cash equivalents resulting from borrowings , valued at the end of the four most recently completed quarters within the respective years and appropriately adjusted for any share issuances or repurchases during the applicable year . ( b ) reflected , in total , as a line item on our accompanying consolidated statement of operations located elsewhere in this report . 47 realized loss and unrealized appreciation ( depreciation ) on investments realized losses for the year ended september 30 , 2013 , we recorded a net realized loss on investments of $ 5.2 million , which primarily consisted of realized losses of $ 2.9 million related to the sale of kch , $ 2.4 million related to the sale of viapack and $ 0.9 million related to the write off

