we believe this because the united states grew to be the world 's largest producer of oil during the second quarter of 2015 , and the increase in oil production was due to the growth of oil-directed drilling in shale formations . these wells produce a large amount of oil immediately following their completion , but typically experience large production declines within two years . therefore , the declining production of these wells , and the rapid decline in drilling of new wells of this type beginning in 2015 are the most likely initial catalysts for improving industry conditions . customer activities directed towards natural gas drilling and production have been weak for several years , with the u.s. domestic natural gas rig count during the first quarter of 2016 falling to the lowest level ever recorded . we believe that customer activities directed towards drilling for natural gas have been weak because of the high production of shale-directed natural gas wells , the high amount of natural gas production associated with oil-directed shale wells in the u.s. domestic market , relatively constant consumption of natural gas in the united states , and the fact that natural gas has not historically been exported from the united states to other markets in which demand and prices are higher . the price of natural gas continued its decline during 2015 and the first quarter of 2016. early in the first quarter of 2016 , the price of natural gas had fallen to approximately $ 2.00 per mcf , its lowest level since the second quarter of 1998 . 17 rpc monitors the number of horizontal and directional wells drilled in the u.s. domestic market , because this type of well is more service-intensive than a vertical oil or gas well , thus requiring more of the company 's services provided for a longer period of time . during 2015 , the average number of horizontal and directional wells drilled in the united states decreased by approximately 43 percent , and was 86 percent of total wells drilled during the year . during the first part of 2016 , the percentage of horizontal and directional wells drilled as a percentage of total wells rose to approximately 88 percent . while the increase in horizontal and directional drilling as a percentage of total drilling is favorable , the absolute declines in drilling directed towards all types of wells makes this trend significantly less meaningful . we also monitor the u.s. domestic well count , which is a measure of wells drilled by the existing drilling rig fleet . we believe that the well count is an important measure of our potential activity levels because it reflects changes in rig efficiencies . during 2015 , the total u.s. domestic well count decreased by approximately 50 percent . in the markets in which rpc has operational locations , the well count decreased by approximately 47 percent . pricing for our services declined significantly during 2015 , as drilling and completion activities declined , creating a significant oversupply of service capacity . this impact was partially offset by greater service intensity within many of the services provided by rpc 's pressure pumping and downhole motors and tools service lines , among others . during previous years , a number of our customers entered into contractual relationships with us to provide services to support their completion programs . all of these arrangements expired during 2014. we did not enter into any new contractual arrangements during 2015 , nor do we expect to enter into any such contractual arrangements in 2016. during 2015 the company decreased our purchases of revenue-producing equipment and temporarily suspended the quarterly dividend to common stockholders . cash flows from operating activities as well as borrowings under our revolving credit facility have been sufficient to fund the company 's lower capital expenditures which decreased to $ 167.4 million in 2015 compared to $ 371.5 million in 2014. the company has a syndicated revolving credit facility in order to maintain sufficient liquidity to fund its capital expenditure and other funding requirements . revenues during 2015 totaled $ 1.3 billion , a decrease of 45.9 percent compared to 2014 due primarily to lower activity levels and pricing for our services . cost of revenues decreased $ 506.9 million in 2015 compared to the prior year due to lower costs resulting from lower activity levels , reduced personnel headcount and incentive compensation , and price reductions from suppliers , partially offset by the impact of increasing service intensity . as a percentage of revenue , cost of revenues increased due to competitive pricing for our services and inefficiencies resulting from lower activity levels . selling , general and administrative expenses as a percentage of revenues increased to 12.4 percent of revenues in 2015 compared to 8.4 percent of revenues in 2014 . ( loss ) income before income taxes decreased to a loss of $ 153.0 million in 2015 compared to income of $ 399.4 million in the prior year . diluted ( loss ) earnings per share were $ ( 0.47 ) in 2015 compared to $ 1.14 in the prior year . cash flows from operating activities increased to $ 473.8 million in 2015 compared to $ 322.8 million in 2014 primarily due to reductions in working capital requirements coupled with lower earnings . as of december 31 , 2015 , there were no outstanding borrowings under our credit facility , a decrease from $ 224.5 million at december 31 , 2014. outlook drilling activity in the u.s. domestic oilfields , as measured by the rotary drilling rig count , reached a recent cyclical peak of 1,931 during the third quarter of 2014. between the third quarter of 2014 and early in the first quarter of 2016 , the drilling rig count has fallen by approximately 73 percent . story_separator_special_tag income tax provision . the income tax provision was $ 154.2 million in 2014 compared to $ 109.4 million in 2013. this increase was due to higher income before taxes partially offset by a decrease in the effective tax rate to 38.6 percent in 2014 compared to 39.6 percent in 2013. net income and diluted earnings per share . net income was $ 245.2 million in 2014 , or $ 1.14 per diluted share , compared to net income of $ 166.9 million , or $ 0.77 per diluted share in 2013. this increase was due to higher profitability as average shares outstanding was essentially unchanged . story_separator_special_tag 0 `` > cash requirements capital expenditures were $ 167.4 million in 2015 , and we currently expect capital expenditures to be approximately $ 60 million in 2016. we expect that a majority of these expenditures in 2016 will be directed towards capitalized equipment maintenance . the remaining capital expenditures will be directed towards the purchase of revenue-producing equipment . the actual amount of expenditures will depend primarily on equipment maintenance requirements , expansion opportunities , and equipment delivery schedules . the company 's retirement income plan , a multiple employer trusteed defined benefit pension plan , provides monthly benefits upon retirement at age 65 to eligible employees . during 2015 , the company contributed $ 0.9 million to the pension plan . the company expects that additional contributions to the defined benefit pension plan of approximately $ 0.9 million will be required in 2016 to achieve the company 's funding objective . the company has a stock buyback program initially adopted in 1998 that authorizes the repurchase of up to 26,578,125 shares . on june 5 , 2013 , the board of directors authorized an additional 5,000,000 shares for repurchase under this program . there were no shares purchased on the open market by the company during 2015 , and 2,050,154 shares remain available to be repurchased under the current authorization as of december 31 , 2015. the company may repurchase outstanding common shares periodically based on market conditions and our capital allocation strategies considering restrictions under our credit facility . the stock buyback program does not have a predetermined expiration date . on july 28 , 2015 , the board of directors voted to temporarily suspend rpc 's quarterly dividend to common stockholders . the company expects to resume cash dividends to common stockholders in the future , subject to the earnings and financial condition of the company and other relevant factors . 23 contractual obligations the company 's obligations and commitments that require future payments include our credit facility , certain non-cancelable operating leases , purchase obligations and other long-term liabilities . the following table summarizes the company 's significant contractual obligations as of december 31 , 2015 : replace_table_token_5_th ( 1 ) operating leases include agreements for various office locations , office equipment , and certain operating equipment . ( 2 ) includes agreements to purchase raw materials , goods or services that have been approved and that specify all significant terms ( pricing , quantity , and timing ) . as part of the normal course of business the company occasionally enters into purchase commitments to manage its various operating needs . ( 3 ) includes expected cash payments for long-term liabilities reflected on the balance sheet where the timing of the payments are known . these amounts include incentive compensation . these amounts exclude pension obligations with uncertain funding requirements and deferred compensation liabilities . fair value measurements the company 's assets and liabilities measured at fair value are classified in the fair value hierarchy ( level 1 , 2 or 3 ) based on the inputs used for valuation . assets and liabilities that are traded on an exchange with a quoted price are classified as level 1. assets and liabilities that are valued using significant observable inputs in addition to quoted market prices are classified as level 2. the company currently has no assets or liabilities measured on a recurring basis that are valued using unobservable inputs and therefore no assets or liabilities measured on a recurring basis are classified as level 3. for defined benefit plan assets classified as level 3 , the values are computed using inputs such as cost , discounted future cash flows , independent appraisals and market based comparable data or on net asset values calculated by the fund or when not publicly available . inflation the company purchases its equipment and materials from suppliers who provide competitive prices , and employs skilled workers from competitive labor markets . if inflation in the general economy increases , the company 's costs for equipment , materials and labor could increase as well . also , increases in activity in the domestic oilfield can cause upward wage pressures in the labor markets from which it hires employees as well as increases in the costs of certain materials and key equipment components used to provide services to the company 's customers . during 2014 , we experienced high employment costs due to the demand for skilled labor in our markets . in addition , we experienced continued high cost for certain raw materials the company uses to provide its services , in spite of our efforts to secure raw materials from alternative sources . during 2015 , however , supplies of raw materials became more readily available as domestic oilfield activity decreased . in addition , skilled labor became more available , and the upward wage pressures that the company experienced in 2014 subsided . by way of illustration , during this time the price index of one of the most critical raw materials the company uses to provide its services declined by more than 20 percent . the company also uses a large amount of diesel fuel to operate its fleet of revenue-producing equipment , and the cost of diesel fuel has declined significantly in 2015 and early in 2016. in

liquidity and capital resources cash and cash flows the company 's cash and cash equivalents were $ 65.2 million as of december 31 , 2015 , $ 9.8 million as of december 31 , 2014 and $ 8.7 million as of december 31 , 2013. the following table sets forth the historical cash flows for the years ended december 31 : replace_table_token_4_th 2015 cash provided by operating activities increased $ 151.0 million in 2015 compared to the prior year due primarily to a favorable change in working capital of $ 506.8 million partially offset by a decrease in net income ( loss ) of $ 344.8 million , an increase in depreciation and amortization of $ 41.3 million , and an unfavorable change in deferred taxes of $ 45.4 million due to a decrease in tax benefits resulting from lower capital expenditures . the favorable change in working capital was primarily due to favorable changes of $ 599.8 million in accounts receivable and $ 56.4 million in inventory as a result of lower business activity levels in 2015 compared to the prior year . also , there was a favorable change in income taxes receivable/payable of $ 3.9 million due to the timing of payments . these favorable changes were partially offset by unfavorable changes in accounts payable of $ 98.9 million , accrued payroll of $ 46.4 million and accrued state , local and other taxes of $ 5.8 million due to lower business activity levels coupled with the timing of payments . cash used for investing activities in 2015 decreased by $ 197.8 million compared to 2014 , primarily as a result of lower capital expenditures in response to weaker industry conditions . cash provided by financing activities in 2015 increased by $ 294.4 million primarily as a result of higher net loan payments funded primarily by the favorable changes in working capital , partially offset by lower open market share repurchases and common stock dividends during 2015 compared to the prior year .


 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 cash and cash flows the company 's cash and cash equivalents were $ 65.2 million as of december 31 , 2015 , $ 9.8 million as of december 31 , 2014 and $ 8.7 million as of december 31 , 2013. the following table sets forth the historical cash flows for the years ended december 31 : replace_table_token_4_th 2015 cash provided by operating activities increased $ 151.0 million in 2015 compared to the prior year due primarily to a favorable change in working capital of $ 506.8 million partially offset by a decrease in net income ( loss ) of $ 344.8 million , an increase in depreciation and amortization of $ 41.3 million , and an unfavorable change in deferred taxes of $ 45.4 million due to a decrease in tax benefits resulting from lower capital expenditures . the favorable change in working capital was primarily due to favorable changes of $ 599.8 million in accounts receivable and $ 56.4 million in inventory as a result of lower business activity levels in 2015 compared to the prior year . also , there was a favorable change in income taxes receivable/payable of $ 3.9 million due to the timing of payments . these favorable changes were partially offset by unfavorable changes in accounts payable of $ 98.9 million , accrued payroll of $ 46.4 million and accrued state , local and other taxes of $ 5.8 million due to lower business activity levels coupled with the timing of payments . cash used for investing activities in 2015 decreased by $ 197.8 million compared to 2014 , primarily as a result of lower capital expenditures in response to weaker industry conditions . cash provided by financing activities in 2015 increased by $ 294.4 million primarily as a result of higher net loan payments funded primarily by the favorable changes in working capital , partially offset by lower open market share repurchases and common stock dividends during 2015 compared to the prior year .
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 Suspicious Activity Report : we believe this because the united states grew to be the world 's largest producer of oil during the second quarter of 2015 , and the increase in oil production was due to the growth of oil-directed drilling in shale formations . these wells produce a large amount of oil immediately following their completion , but typically experience large production declines within two years . therefore , the declining production of these wells , and the rapid decline in drilling of new wells of this type beginning in 2015 are the most likely initial catalysts for improving industry conditions . customer activities directed towards natural gas drilling and production have been weak for several years , with the u.s. domestic natural gas rig count during the first quarter of 2016 falling to the lowest level ever recorded . we believe that customer activities directed towards drilling for natural gas have been weak because of the high production of shale-directed natural gas wells , the high amount of natural gas production associated with oil-directed shale wells in the u.s. domestic market , relatively constant consumption of natural gas in the united states , and the fact that natural gas has not historically been exported from the united states to other markets in which demand and prices are higher . the price of natural gas continued its decline during 2015 and the first quarter of 2016. early in the first quarter of 2016 , the price of natural gas had fallen to approximately $ 2.00 per mcf , its lowest level since the second quarter of 1998 . 17 rpc monitors the number of horizontal and directional wells drilled in the u.s. domestic market , because this type of well is more service-intensive than a vertical oil or gas well , thus requiring more of the company 's services provided for a longer period of time . during 2015 , the average number of horizontal and directional wells drilled in the united states decreased by approximately 43 percent , and was 86 percent of total wells drilled during the year . during the first part of 2016 , the percentage of horizontal and directional wells drilled as a percentage of total wells rose to approximately 88 percent . while the increase in horizontal and directional drilling as a percentage of total drilling is favorable , the absolute declines in drilling directed towards all types of wells makes this trend significantly less meaningful . we also monitor the u.s. domestic well count , which is a measure of wells drilled by the existing drilling rig fleet . we believe that the well count is an important measure of our potential activity levels because it reflects changes in rig efficiencies . during 2015 , the total u.s. domestic well count decreased by approximately 50 percent . in the markets in which rpc has operational locations , the well count decreased by approximately 47 percent . pricing for our services declined significantly during 2015 , as drilling and completion activities declined , creating a significant oversupply of service capacity . this impact was partially offset by greater service intensity within many of the services provided by rpc 's pressure pumping and downhole motors and tools service lines , among others . during previous years , a number of our customers entered into contractual relationships with us to provide services to support their completion programs . all of these arrangements expired during 2014. we did not enter into any new contractual arrangements during 2015 , nor do we expect to enter into any such contractual arrangements in 2016. during 2015 the company decreased our purchases of revenue-producing equipment and temporarily suspended the quarterly dividend to common stockholders . cash flows from operating activities as well as borrowings under our revolving credit facility have been sufficient to fund the company 's lower capital expenditures which decreased to $ 167.4 million in 2015 compared to $ 371.5 million in 2014. the company has a syndicated revolving credit facility in order to maintain sufficient liquidity to fund its capital expenditure and other funding requirements . revenues during 2015 totaled $ 1.3 billion , a decrease of 45.9 percent compared to 2014 due primarily to lower activity levels and pricing for our services . cost of revenues decreased $ 506.9 million in 2015 compared to the prior year due to lower costs resulting from lower activity levels , reduced personnel headcount and incentive compensation , and price reductions from suppliers , partially offset by the impact of increasing service intensity . as a percentage of revenue , cost of revenues increased due to competitive pricing for our services and inefficiencies resulting from lower activity levels . selling , general and administrative expenses as a percentage of revenues increased to 12.4 percent of revenues in 2015 compared to 8.4 percent of revenues in 2014 . ( loss ) income before income taxes decreased to a loss of $ 153.0 million in 2015 compared to income of $ 399.4 million in the prior year . diluted ( loss ) earnings per share were $ ( 0.47 ) in 2015 compared to $ 1.14 in the prior year . cash flows from operating activities increased to $ 473.8 million in 2015 compared to $ 322.8 million in 2014 primarily due to reductions in working capital requirements coupled with lower earnings . as of december 31 , 2015 , there were no outstanding borrowings under our credit facility , a decrease from $ 224.5 million at december 31 , 2014. outlook drilling activity in the u.s. domestic oilfields , as measured by the rotary drilling rig count , reached a recent cyclical peak of 1,931 during the third quarter of 2014. between the third quarter of 2014 and early in the first quarter of 2016 , the drilling rig count has fallen by approximately 73 percent . story_separator_special_tag income tax provision . the income tax provision was $ 154.2 million in 2014 compared to $ 109.4 million in 2013. this increase was due to higher income before taxes partially offset by a decrease in the effective tax rate to 38.6 percent in 2014 compared to 39.6 percent in 2013. net income and diluted earnings per share . net income was $ 245.2 million in 2014 , or $ 1.14 per diluted share , compared to net income of $ 166.9 million , or $ 0.77 per diluted share in 2013. this increase was due to higher profitability as average shares outstanding was essentially unchanged . story_separator_special_tag 0 `` > cash requirements capital expenditures were $ 167.4 million in 2015 , and we currently expect capital expenditures to be approximately $ 60 million in 2016. we expect that a majority of these expenditures in 2016 will be directed towards capitalized equipment maintenance . the remaining capital expenditures will be directed towards the purchase of revenue-producing equipment . the actual amount of expenditures will depend primarily on equipment maintenance requirements , expansion opportunities , and equipment delivery schedules . the company 's retirement income plan , a multiple employer trusteed defined benefit pension plan , provides monthly benefits upon retirement at age 65 to eligible employees . during 2015 , the company contributed $ 0.9 million to the pension plan . the company expects that additional contributions to the defined benefit pension plan of approximately $ 0.9 million will be required in 2016 to achieve the company 's funding objective . the company has a stock buyback program initially adopted in 1998 that authorizes the repurchase of up to 26,578,125 shares . on june 5 , 2013 , the board of directors authorized an additional 5,000,000 shares for repurchase under this program . there were no shares purchased on the open market by the company during 2015 , and 2,050,154 shares remain available to be repurchased under the current authorization as of december 31 , 2015. the company may repurchase outstanding common shares periodically based on market conditions and our capital allocation strategies considering restrictions under our credit facility . the stock buyback program does not have a predetermined expiration date . on july 28 , 2015 , the board of directors voted to temporarily suspend rpc 's quarterly dividend to common stockholders . the company expects to resume cash dividends to common stockholders in the future , subject to the earnings and financial condition of the company and other relevant factors . 23 contractual obligations the company 's obligations and commitments that require future payments include our credit facility , certain non-cancelable operating leases , purchase obligations and other long-term liabilities . the following table summarizes the company 's significant contractual obligations as of december 31 , 2015 : replace_table_token_5_th ( 1 ) operating leases include agreements for various office locations , office equipment , and certain operating equipment . ( 2 ) includes agreements to purchase raw materials , goods or services that have been approved and that specify all significant terms ( pricing , quantity , and timing ) . as part of the normal course of business the company occasionally enters into purchase commitments to manage its various operating needs . ( 3 ) includes expected cash payments for long-term liabilities reflected on the balance sheet where the timing of the payments are known . these amounts include incentive compensation . these amounts exclude pension obligations with uncertain funding requirements and deferred compensation liabilities . fair value measurements the company 's assets and liabilities measured at fair value are classified in the fair value hierarchy ( level 1 , 2 or 3 ) based on the inputs used for valuation . assets and liabilities that are traded on an exchange with a quoted price are classified as level 1. assets and liabilities that are valued using significant observable inputs in addition to quoted market prices are classified as level 2. the company currently has no assets or liabilities measured on a recurring basis that are valued using unobservable inputs and therefore no assets or liabilities measured on a recurring basis are classified as level 3. for defined benefit plan assets classified as level 3 , the values are computed using inputs such as cost , discounted future cash flows , independent appraisals and market based comparable data or on net asset values calculated by the fund or when not publicly available . inflation the company purchases its equipment and materials from suppliers who provide competitive prices , and employs skilled workers from competitive labor markets . if inflation in the general economy increases , the company 's costs for equipment , materials and labor could increase as well . also , increases in activity in the domestic oilfield can cause upward wage pressures in the labor markets from which it hires employees as well as increases in the costs of certain materials and key equipment components used to provide services to the company 's customers . during 2014 , we experienced high employment costs due to the demand for skilled labor in our markets . in addition , we experienced continued high cost for certain raw materials the company uses to provide its services , in spite of our efforts to secure raw materials from alternative sources . during 2015 , however , supplies of raw materials became more readily available as domestic oilfield activity decreased . in addition , skilled labor became more available , and the upward wage pressures that the company experienced in 2014 subsided . by way of illustration , during this time the price index of one of the most critical raw materials the company uses to provide its services declined by more than 20 percent . the company also uses a large amount of diesel fuel to operate its fleet of revenue-producing equipment , and the cost of diesel fuel has declined significantly in 2015 and early in 2016. in

