reorganization of gross sales by categories and brand in 2019 although there were no changes to mattel 's commercial operations that impacted its operating segments , in the first quarter of 2019 , mattel modified its reporting structure for revenues , as outlined below , and reorganized its regional sales reporting structure within the international segment . prior period amounts have been reclassified to conform to the current period presentation . gross sales by categories are presented as follows : dolls —including brands such as barbie , american girl , enchantimals , and polly pocket . infant , toddler , and preschool —including brands such as fisher-price and thomas & friends , power wheels , fireman sam , and shimmer and shine ( nickelodeon ) . vehicles —including brands such as hot wheels , matchbox , and cars ( disney pixar ) . action figures , building sets , and games —including brands such as mega , uno , toy story ( disney pixar ) , jurassic world ( nbcuniversal ) , and wwe . 28 the following table provides a summary of mattel 's consolidated gross sales by categories , along with supplemental information by brand for the years ended december 31 , 2018 and 2017 , based on mattel 's current reporting structure for revenues : replace_table_token_3_th the following table provides a summary of mattel 's consolidated gross sales by brand results for the years ended december 31 , 2018 and 2017 , as presented in mattel 's annual report on form 10-k/a for the year ended december 31 , 2018 : replace_table_token_4_th 29 results of operations 2019 compared to 2018 consolidated results net sales for 2019 were $ 4.50 billion , as compared to $ 4.51 billion in 2018 . net loss for 2019 was $ 213.5 million , or $ 0.62 loss per share , as compared to a net loss of $ 533.3 million , or $ 1.55 loss per share , in 2018 , primarily due to higher gross profit and lower selling and administrative expenses . net loss for 2019 included the impact of approximately $ 38 million related to the inclined sleeper product recalls , of which approximately $ 6 million was a reduction to net sales , approximately $ 22 million was included in cost of sales , and approximately $ 10 million was included in other selling and administrative expenses . net loss for 2018 includes a sales reversal of approximately $ 30 million and bad debt expense , net of approximately $ 32 million as a result of the toys `` r `` us liquidation . the following table provides a summary of mattel 's consolidated results for 2019 and 2018 : replace_table_token_5_th n/m - not meaningful 30 sales net sales for 2019 were $ 4.50 billion as compared to $ 4.51 billion in 2018 . the following table provides a summary of mattel 's consolidated gross sales by categories , along with supplemental information by brand for 2019 and 2018 : replace_table_token_6_th ( a ) mattel modified its reporting structure for revenues in the first quarter of 2019 to disclose revenues by categories . gross sales were $ 5.06 billion in 2019 , as compared to $ 5.08 billion in 2018 , with an unfavorable impact from changes in currency exchange rates of 2 percentage point s. gross sales in 2018 included the toys `` r `` us sales reversal of approximately $ 30 million . the decrease in gross sales was primarily due to lower sales of infant , toddler , and preschool , substantially offset by higher sales of action figures , building sets , and games . gross sales of dolls remained flat year-over-year , with declines of american girl products , primarily driven by lower sales in proprietary retail and direct channels , substantially offset by higher sales of barbie products , primarily driven by strong brand pos momentum in concert with barbie 's 60th anniversary . of the 11 % decrease in infant , toddler , and preschool gross sales , 5 % was due to lower sales of fisher-price friends products , primarily driven by the rationalization of licensing partnerships , and 4 % was due to lower sales of fisher-price and thomas & friends products . of the 3 % increase in vehicles gross sales , 8 % was due to higher sales of hot wheels products , primarily due to higher sales of diecast cars , and tracks and playsets products , partially offset by lower sales of cars products of 3 % and lower sales of jurassic world products of 1 % following their movie launches in prior years . of the 14 % increase in action figures , building sets , and games gross sales , 22 % was due to initial sales of toy story 4 products coinciding with its 2019 theatrical release , partially offset by lower sales of jurassic world products of 8 % following the movie launch in the prior year . 31 cost of sales cost of sales as a percentage of net sales was 56.0 % in 2019 , as compared to 60.2 % in 2018 . cost of sales in 2019 included the impact of approximately $ 22 million related to the inclined sleeper product recalls . cost of sales decreased by $ 192.3 million , or 7 % , to $ 2.52 billion in 2019 from $ 2.72 billion in 2018 , as compared to flat net sales . within cost of sales , product and other costs decreased by $ 149.8 million , or 7 % , to $ 2.00 billion in 2019 from $ 2.15 billion in 2018 ; freight and logistics expenses decreased by $ 38.8 million , or 11 % , to $ 305.4 million in 2019 from $ 344.2 million in 2018 ; and royalty expense decreased by $ 3.7 million , or 2 % , to $ 220.2 million in 2019 from $ 224.0 story_separator_special_tag seasonal financing see item 8 `` financial statements and supplementary data—note 5 to the consolidated financial statements—seasonal financing and debt . `` credit rating in 2019 , fitch maintained mattel 's long-term credit rating of b- and changed its outlook from negative to positive . in 2019 , moody 's maintained mattel 's long-term credit rating of b1 , with a stable outlook . in 2019 , standard & poor 's maintained mattel 's long-term credit rating of bb- , with a negative outlook . financial position mattel 's cash and equivalents increased $ 35.5 million to $ 630.0 million at december 31 , 2019 , as compared to $ 594.5 million at december 31 , 2018 . the increase was primarily due to cash provided by operating activities , partially offset by capital expenditures and debt issuance costs related to refinancing of senior notes . accounts receivable decreased $ 33.7 million to $ 936.4 million at december 31 , 2019 , as compared to $ 970.1 million at december 31 , 2018 . the decrease in accounts receivable was primarily due to lower fourth quarter sales . inventory decreased $ 47.4 million to $ 495.5 million at december 31 , 2019 , as compared to $ 542.9 million at december 31 , 2018 . the decrease in inventory was primarily due to tighter inventory control and better demand management , and lower product costs as a result of structural simplification cost savings . accounts payable and accrued liabilities remained flat at $ 1.23 billion at december 31 , 2019 and 2018 . the change in accounts payable and accrued liabilities was due to the establishment of short term lease liabilities in 2019 upon adoption of the new lease standard offset by lower accounts payable as a result of timing of payments . as of december 31 , 2019 and 2018 , mattel had $ 0 and $ 4.2 million , respectively , of short-term borrowings outstanding . 38 a summary of mattel 's capitalization is as follows : replace_table_token_10_th total long-term debt remained flat at $ 2.8 billion at december 31 , 2019 . mattel used the proceeds from the issuance of $ 600.0 million aggregate principal amount of 5.875 % senior unsecured notes due december 15 , 2027 ( `` 2019 senior notes `` ) to redeem and retire its $ 250.0 million of 2010 senior notes due october 2020 and $ 350.0 million of 2016 senior notes due august 2021 . stockholders ' equity decreased $ 175.2 million to $ 491.7 million at december 31 , 2019 , as compared to $ 666.9 million at december 31 , 2018 , primarily due to the net loss for the year . off-balance sheet arrangements mattel is required to provide standby letters of credit to support certain obligations that arise in the ordinary course of business and may choose to provide letters of credit in place of posting cash collateral . although the letters of credit are off-balance sheet , the majority of the obligations in which they relate are reflected as liabilities in the consolidated balance sheets . outstanding letters of credit totaled approximately $ 57 million as of december 31 , 2019 . commitments in the normal course of business , mattel enters into debt agreements , and contractual arrangements to obtain and protect mattel 's right to create and market certain products and for future purchases of goods and services to ensure availability and timely delivery . these arrangements include commitments for royalty payments pursuant to licensing agreements , which routinely contain provisions for guarantees or minimum expenditures during the terms of the contracts , and future inventory and service purchases . mattel also has defined benefit and postretirement benefit plans , which require future cash contributions and benefit payments . additionally , mattel routinely enters into noncancelable lease agreements for premises and equipment used , which contain minimum rental payments . 39 the following table summarizes mattel 's contractual commitments and obligations : replace_table_token_11_th liabilities for uncertain tax positions for which a cash tax payment is not expected to be made in the next twelve months are classified as other noncurrent liabilities . due to the uncertainty about the periods in which examinations will be completed and limited information related to current audits , mattel is not able to make reasonably reliable estimates of the periods in which cash settlements will occur with taxing authorities for the noncurrent liabilities . litigation the content of item 8 `` financial statements and supplementary data—note 12 to the consolidated financial statements—commitments and contingencies—litigation `` is hereby incorporated by reference in this item 7. effects of inflation inflation rates in the u.s. and in major foreign countries where mattel does business have not had a significant impact on its results of operations or financial position during 2019 or 2018 . mattel receives some protection from the impact of inflation from high turnover of inventories and its ability , under certain circumstances and at certain times , to pass on higher prices to its customers . employee savings plan mattel sponsors a 401 ( k ) savings plan , the mattel , inc. personal investment plan ( the `` plan `` ) , for its domestic employees . contributions to the plan include voluntary contributions by eligible employees and employer automatic and matching contributions by mattel . the plan allows employees to allocate both their voluntary contributions and their employer automatic and matching contributions to a variety of investment funds , including a fund that is invested in mattel common stock ( the `` mattel stock fund `` ) . employees are not required to allocate any of their plan account balance to the mattel stock fund , allowing employees to limit or eliminate their exposure to market changes in mattel 's stock price . furthermore , the plan limits the percentage of the employee 's total account balance that may be allocated to the mattel stock fund to 25

liquidity and capital resources mattel 's primary sources of liquidity are its cash and equivalents balances , including access to earnings of its foreign subsidiaries , short-term borrowing facilities , including its $ 1.60 billion senior secured revolving credit facilities ( `` the senior secured revolving credit facilities '' ) , and issuances of long-term debt securities . cash flows from operating activities could be negatively impacted by decreased demand for mattel 's products , which could result from factors such as adverse economic conditions and changes in public and consumer preferences , or by increased costs associated with manufacturing and distribution of products or shortages in raw materials or component parts . additionally , mattel 's ability to issue long-term debt and obtain seasonal financing could be adversely affected by factors such as global economic crises and tight credit environments , an inability to meet its debt covenant requirements and its senior secured revolving credit facility covenants , or a deterioration of mattel 's credit ratings . mattel 's ability to conduct its operations could be negatively impacted should these or other adverse conditions affect its primary sources of liquidity . 36 of mattel 's $ 630.0 million in cash and equivalents as of december 31 , 2019 , approximately $ 338 million was held by foreign subsidiaries . mattel has several liquidity options to fund its operations and obligations ; such obligations may include investing and financing activities such as debt service , dividends , and share repurchases . cash flows generated by its worldwide operations , the senior secured revolving credit facilities , alternative forms of financing , and access to capital markets are available to fund mattel 's operations and obligations . the u.s. tax act , enacted on december 22 , 2017 , provides mattel with a reduced cost to access the earnings of its foreign subsidiaries .


 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 mattel 's primary sources of liquidity are its cash and equivalents balances , including access to earnings of its foreign subsidiaries , short-term borrowing facilities , including its $ 1.60 billion senior secured revolving credit facilities ( `` the senior secured revolving credit facilities '' ) , and issuances of long-term debt securities . cash flows from operating activities could be negatively impacted by decreased demand for mattel 's products , which could result from factors such as adverse economic conditions and changes in public and consumer preferences , or by increased costs associated with manufacturing and distribution of products or shortages in raw materials or component parts . additionally , mattel 's ability to issue long-term debt and obtain seasonal financing could be adversely affected by factors such as global economic crises and tight credit environments , an inability to meet its debt covenant requirements and its senior secured revolving credit facility covenants , or a deterioration of mattel 's credit ratings . mattel 's ability to conduct its operations could be negatively impacted should these or other adverse conditions affect its primary sources of liquidity . 36 of mattel 's $ 630.0 million in cash and equivalents as of december 31 , 2019 , approximately $ 338 million was held by foreign subsidiaries . mattel has several liquidity options to fund its operations and obligations ; such obligations may include investing and financing activities such as debt service , dividends , and share repurchases . cash flows generated by its worldwide operations , the senior secured revolving credit facilities , alternative forms of financing , and access to capital markets are available to fund mattel 's operations and obligations . the u.s. tax act , enacted on december 22 , 2017 , provides mattel with a reduced cost to access the earnings of its foreign subsidiaries .
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 Suspicious Activity Report : reorganization of gross sales by categories and brand in 2019 although there were no changes to mattel 's commercial operations that impacted its operating segments , in the first quarter of 2019 , mattel modified its reporting structure for revenues , as outlined below , and reorganized its regional sales reporting structure within the international segment . prior period amounts have been reclassified to conform to the current period presentation . gross sales by categories are presented as follows : dolls —including brands such as barbie , american girl , enchantimals , and polly pocket . infant , toddler , and preschool —including brands such as fisher-price and thomas & friends , power wheels , fireman sam , and shimmer and shine ( nickelodeon ) . vehicles —including brands such as hot wheels , matchbox , and cars ( disney pixar ) . action figures , building sets , and games —including brands such as mega , uno , toy story ( disney pixar ) , jurassic world ( nbcuniversal ) , and wwe . 28 the following table provides a summary of mattel 's consolidated gross sales by categories , along with supplemental information by brand for the years ended december 31 , 2018 and 2017 , based on mattel 's current reporting structure for revenues : replace_table_token_3_th the following table provides a summary of mattel 's consolidated gross sales by brand results for the years ended december 31 , 2018 and 2017 , as presented in mattel 's annual report on form 10-k/a for the year ended december 31 , 2018 : replace_table_token_4_th 29 results of operations 2019 compared to 2018 consolidated results net sales for 2019 were $ 4.50 billion , as compared to $ 4.51 billion in 2018 . net loss for 2019 was $ 213.5 million , or $ 0.62 loss per share , as compared to a net loss of $ 533.3 million , or $ 1.55 loss per share , in 2018 , primarily due to higher gross profit and lower selling and administrative expenses . net loss for 2019 included the impact of approximately $ 38 million related to the inclined sleeper product recalls , of which approximately $ 6 million was a reduction to net sales , approximately $ 22 million was included in cost of sales , and approximately $ 10 million was included in other selling and administrative expenses . net loss for 2018 includes a sales reversal of approximately $ 30 million and bad debt expense , net of approximately $ 32 million as a result of the toys `` r `` us liquidation . the following table provides a summary of mattel 's consolidated results for 2019 and 2018 : replace_table_token_5_th n/m - not meaningful 30 sales net sales for 2019 were $ 4.50 billion as compared to $ 4.51 billion in 2018 . the following table provides a summary of mattel 's consolidated gross sales by categories , along with supplemental information by brand for 2019 and 2018 : replace_table_token_6_th ( a ) mattel modified its reporting structure for revenues in the first quarter of 2019 to disclose revenues by categories . gross sales were $ 5.06 billion in 2019 , as compared to $ 5.08 billion in 2018 , with an unfavorable impact from changes in currency exchange rates of 2 percentage point s. gross sales in 2018 included the toys `` r `` us sales reversal of approximately $ 30 million . the decrease in gross sales was primarily due to lower sales of infant , toddler , and preschool , substantially offset by higher sales of action figures , building sets , and games . gross sales of dolls remained flat year-over-year , with declines of american girl products , primarily driven by lower sales in proprietary retail and direct channels , substantially offset by higher sales of barbie products , primarily driven by strong brand pos momentum in concert with barbie 's 60th anniversary . of the 11 % decrease in infant , toddler , and preschool gross sales , 5 % was due to lower sales of fisher-price friends products , primarily driven by the rationalization of licensing partnerships , and 4 % was due to lower sales of fisher-price and thomas & friends products . of the 3 % increase in vehicles gross sales , 8 % was due to higher sales of hot wheels products , primarily due to higher sales of diecast cars , and tracks and playsets products , partially offset by lower sales of cars products of 3 % and lower sales of jurassic world products of 1 % following their movie launches in prior years . of the 14 % increase in action figures , building sets , and games gross sales , 22 % was due to initial sales of toy story 4 products coinciding with its 2019 theatrical release , partially offset by lower sales of jurassic world products of 8 % following the movie launch in the prior year . 31 cost of sales cost of sales as a percentage of net sales was 56.0 % in 2019 , as compared to 60.2 % in 2018 . cost of sales in 2019 included the impact of approximately $ 22 million related to the inclined sleeper product recalls . cost of sales decreased by $ 192.3 million , or 7 % , to $ 2.52 billion in 2019 from $ 2.72 billion in 2018 , as compared to flat net sales . within cost of sales , product and other costs decreased by $ 149.8 million , or 7 % , to $ 2.00 billion in 2019 from $ 2.15 billion in 2018 ; freight and logistics expenses decreased by $ 38.8 million , or 11 % , to $ 305.4 million in 2019 from $ 344.2 million in 2018 ; and royalty expense decreased by $ 3.7 million , or 2 % , to $ 220.2 million in 2019 from $ 224.0 story_separator_special_tag seasonal financing see item 8 `` financial statements and supplementary data—note 5 to the consolidated financial statements—seasonal financing and debt . `` credit rating in 2019 , fitch maintained mattel 's long-term credit rating of b- and changed its outlook from negative to positive . in 2019 , moody 's maintained mattel 's long-term credit rating of b1 , with a stable outlook . in 2019 , standard & poor 's maintained mattel 's long-term credit rating of bb- , with a negative outlook . financial position mattel 's cash and equivalents increased $ 35.5 million to $ 630.0 million at december 31 , 2019 , as compared to $ 594.5 million at december 31 , 2018 . the increase was primarily due to cash provided by operating activities , partially offset by capital expenditures and debt issuance costs related to refinancing of senior notes . accounts receivable decreased $ 33.7 million to $ 936.4 million at december 31 , 2019 , as compared to $ 970.1 million at december 31 , 2018 . the decrease in accounts receivable was primarily due to lower fourth quarter sales . inventory decreased $ 47.4 million to $ 495.5 million at december 31 , 2019 , as compared to $ 542.9 million at december 31 , 2018 . the decrease in inventory was primarily due to tighter inventory control and better demand management , and lower product costs as a result of structural simplification cost savings . accounts payable and accrued liabilities remained flat at $ 1.23 billion at december 31 , 2019 and 2018 . the change in accounts payable and accrued liabilities was due to the establishment of short term lease liabilities in 2019 upon adoption of the new lease standard offset by lower accounts payable as a result of timing of payments . as of december 31 , 2019 and 2018 , mattel had $ 0 and $ 4.2 million , respectively , of short-term borrowings outstanding . 38 a summary of mattel 's capitalization is as follows : replace_table_token_10_th total long-term debt remained flat at $ 2.8 billion at december 31 , 2019 . mattel used the proceeds from the issuance of $ 600.0 million aggregate principal amount of 5.875 % senior unsecured notes due december 15 , 2027 ( `` 2019 senior notes `` ) to redeem and retire its $ 250.0 million of 2010 senior notes due october 2020 and $ 350.0 million of 2016 senior notes due august 2021 . stockholders ' equity decreased $ 175.2 million to $ 491.7 million at december 31 , 2019 , as compared to $ 666.9 million at december 31 , 2018 , primarily due to the net loss for the year . off-balance sheet arrangements mattel is required to provide standby letters of credit to support certain obligations that arise in the ordinary course of business and may choose to provide letters of credit in place of posting cash collateral . although the letters of credit are off-balance sheet , the majority of the obligations in which they relate are reflected as liabilities in the consolidated balance sheets . outstanding letters of credit totaled approximately $ 57 million as of december 31 , 2019 . commitments in the normal course of business , mattel enters into debt agreements , and contractual arrangements to obtain and protect mattel 's right to create and market certain products and for future purchases of goods and services to ensure availability and timely delivery . these arrangements include commitments for royalty payments pursuant to licensing agreements , which routinely contain provisions for guarantees or minimum expenditures during the terms of the contracts , and future inventory and service purchases . mattel also has defined benefit and postretirement benefit plans , which require future cash contributions and benefit payments . additionally , mattel routinely enters into noncancelable lease agreements for premises and equipment used , which contain minimum rental payments . 39 the following table summarizes mattel 's contractual commitments and obligations : replace_table_token_11_th liabilities for uncertain tax positions for which a cash tax payment is not expected to be made in the next twelve months are classified as other noncurrent liabilities . due to the uncertainty about the periods in which examinations will be completed and limited information related to current audits , mattel is not able to make reasonably reliable estimates of the periods in which cash settlements will occur with taxing authorities for the noncurrent liabilities . litigation the content of item 8 `` financial statements and supplementary data—note 12 to the consolidated financial statements—commitments and contingencies—litigation `` is hereby incorporated by reference in this item 7. effects of inflation inflation rates in the u.s. and in major foreign countries where mattel does business have not had a significant impact on its results of operations or financial position during 2019 or 2018 . mattel receives some protection from the impact of inflation from high turnover of inventories and its ability , under certain circumstances and at certain times , to pass on higher prices to its customers . employee savings plan mattel sponsors a 401 ( k ) savings plan , the mattel , inc. personal investment plan ( the `` plan `` ) , for its domestic employees . contributions to the plan include voluntary contributions by eligible employees and employer automatic and matching contributions by mattel . the plan allows employees to allocate both their voluntary contributions and their employer automatic and matching contributions to a variety of investment funds , including a fund that is invested in mattel common stock ( the `` mattel stock fund `` ) . employees are not required to allocate any of their plan account balance to the mattel stock fund , allowing employees to limit or eliminate their exposure to market changes in mattel 's stock price . furthermore , the plan limits the percentage of the employee 's total account balance that may be allocated to the mattel stock fund to 25

