our license revenues consist of fees paid to us by our licensees in exchange for the use of our trademarks on core products of socks , team uniforms , baby and kids ' apparel , eyewear , inflatable footballs and basketballs , as well as the distribution of our products in japan . beginning in 2011 , net sales includes the sales and related cost of goods sold of internally developed hats and bags . prior to 2011 , hats and bags were sold by a licensee . net revenues increased by approximately $ 65 million from 2010 to 2011 as a result of developing our own hats and bags , which includes an increase in accessories revenues and a decrease in our license revenues in 2011. cost of goods sold consists primarily of product costs , inbound freight and duty costs , outbound freight costs , handling costs to make products floor-ready to customer specifications , royalty payments to endorsers based on a predetermined percentage of sales of selected products and write downs for inventory obsolescence . the fabrics in many of our products are made primarily of petroleum-based synthetic materials . therefore our product costs , as well as our inbound and outbound freight costs , could be affected by long term pricing trends of oil . in general , as a percentage of net revenues , we expect cost of goods sold associated with our apparel and accessories to be lower than that of our footwear . no cost of goods sold is associated with license revenues . we include outbound freight costs associated with shipping goods to customers as cost of goods sold ; however , we include the majority of outbound handling costs as a component of selling , general and administrative expenses . as a result , our gross profit may not be comparable to that of other companies that include outbound handling costs in their cost of goods sold . outbound handling costs include costs associated with preparing goods to ship to customers and certain costs to operate our distribution facilities . these costs were $ 34.8 million , $ 26.1 million and $ 14.7 million for the years ended december 31 , 2012 , 2011 and 2010 , respectively . our selling , general and administrative expenses consist of costs related to marketing , selling , product innovation and supply chain and corporate services . personnel costs are included in these categories based on the employees ' function . personnel costs include salaries , benefits , incentives and stock-based compensation related to the employee . our marketing costs are an important driver of our growth . marketing costs consist primarily of commercials , print ads , league , team , player and event sponsorships and depreciation expense specific to our in-store fixture program . in addition , marketing costs include costs associated with our special make-up shop ( “ smu shop ” ) located at one of our distribution facilities where we manufacture a limited number of products primarily for our league , team , player and event sponsorships . selling costs consist 22 primarily of costs relating to sales through our wholesale channel , commissions paid to third parties and the majority of our direct to consumer sales channel costs , including the cost of factory house and specialty store leases . product innovation and supply chain costs include our apparel , footwear and accessories product innovation , sourcing and development costs , distribution facility operating costs , and costs relating to our hong kong and guangzhou , china offices which help support product development , manufacturing , quality assurance and sourcing efforts . corporate services primarily consist of corporate facility operating costs and company-wide administrative expenses . other expense , net consists of unrealized and realized gains and losses on our foreign currency derivative financial instruments and unrealized and realized gains and losses on adjustments that arise from fluctuations in foreign currency exchange rates relating to transactions generated by our international subsidiaries . results of operations the following table sets forth key components of our results of operations for the periods indicated , both in dollars and as a percentage of net revenues : replace_table_token_6_th replace_table_token_7_th 23 consolidated results of operations year ended december 31 , 2012 compared to year ended december 31 , 2011 net revenues increase d $ 362.2 million , or 24.6 % , to $ 1,834.9 million in 2012 from $ 1,472.7 million in 2011 . net revenues by product category are summarized below : replace_table_token_8_th net sales increase d $ 354.0 million , or 24.7 % , to $ 1,790.1 million in 2012 from $ 1,436.1 million in 2011 as noted in the table above . the increase in net sales primarily reflects : $ 134.7 million , or 33.8 % , increase in direct to consumer sales , which includes 22 additional factory house stores , or a 27.5 % increase , since december 31 , 2011 ; and unit growth driven by increased distribution and new offerings in multiple product categories , most significantly in our training , hunting , running , baselayer and studio apparel product categories and running footwear category , including the launch of coldblack apparel , armour bra and under armour scent control products and our ua spine footwear ; and increased average selling prices due to a higher mix in the current year period of direct to consumer sales , along with increasing sales of our higher priced products such as fleece , our women 's ua studio line and ua spine footwear . license revenues increase d $ 8.2 million , or 22.5 % , to $ 44.8 million in 2012 from $ 36.6 million in 2011 . this increase in license revenues was a result of increased distribution and continued unit volume growth by our licensees . story_separator_special_tag our inventory strategy is focused on continuing to meet consumer demand while improving our inventory efficiency over the long term by putting systems and processes in place to improve our inventory management . these systems and processes 28 are designed to improve our forecasting and supply planning capabilities . in addition to systems and processes , key areas of focus that we believe will enhance inventory performance are sku rationalization , added discipline around the purchasing of product , production lead time reduction , and better planning and execution in selling of excess inventory through our factory house stores and other liquidation channels . we believe our cash and cash equivalents on hand , cash from operations and borrowings available to us under our credit and long term debt facilities will be adequate to meet our liquidity needs and capital expenditure requirements for at least the next twelve months . we may require additional capital to meet our longer term liquidity and future growth needs . although we believe we have adequate sources of liquidity over the long term , a prolonged economic recession or a slow recovery could adversely affect our business and liquidity ( refer to the “ risk factors ” section included in item 1a ) . in addition , instability in or tightening of the capital markets could adversely affect our ability to obtain additional capital to grow our business and will affect the cost and terms of such capital . cash flows the following table presents the major components of net cash flows used in and provided by operating , investing and financing activities for the periods presented : replace_table_token_15_th operating activities operating activities consist primarily of net income adjusted for certain non-cash items . adjustments to net income for non-cash items include depreciation and amortization , unrealized foreign currency exchange rate gains and losses , losses on disposals of property and equipment , stock-based compensation , deferred income taxes and changes in reserves and allowances . in addition , operating cash flows include the effect of changes in operating assets and liabilities , principally inventories , accounts receivable , income taxes payable and receivable , prepaid expenses and other assets , accounts payable and accrued expenses . cash provided by opera ting activities increased $ 184.6 million to $ 199.8 million in 2012 from $ 15.2 million in 2011 . the increase in cash provided by operating activities was due to increased net cash flows from operating assets and liabilities of $ 155.0 million and an increase in net income of $ 32.0 million , partially offset by adjustments to net income for non-cash items which decreased $ 2.4 million ye ar over year . the increase in net cash flows related to changes in operating assets and liabilities period over period was primarily driven by the following : a decrease in inventory investments of $ 119.3 million primarily driven by success around our inventory management initiatives , along with delays in product receipts due to certain supplier challenges ; and a larger decrease in prepaid expenses and other assets of $ 38.6 million in 2012 as compared to 2011 , primarily due to income taxes paid during 2011 related to our tax planning strategies currently being recognized in income tax expense and timing of payments for our marketing investments . adjustments to net income for non-cash items decreased in 2012 as compared to 2011 primarily due to an increase in deferred taxes in 2012 as compared to a decrease in deferred taxes in 2011 . story_separator_special_tag style= `` font-family : inherit ; font-size:10pt ; color : # 000000 ; text-decoration : none ; `` > 30.0 million under the revolving credit facility to fund seasonal working capital requirements and repaid it during the three months ended december 31 , 2011. the interest rate under the revolving credit facility was 1.5 % during the year ended december 31 , 2011 , and no balance was outstanding as of december 31 , 2012 and december 31 , 2011. in may 2011 , we borrowed $ 25.0 million under the term loan facility to finance a portion of the acquisition of our corporate headquarters and repaid it during the three months ended december 31 , 2012. the interest rate on the term loan was 1.6 % and 1.5 % during the years ended december 31 , 2012 and 2011 , respectively , and no balance was outstanding as of december 31 , 2012. long term debt we have long term debt agreements with various lenders to finance the acquisition or lease of qualifying capital investments . loans under these agreements are collateralized by a first lien on the related assets acquired . as these agreements are not committed facilities , each advance is subject to approval by the lenders . additionally , these agreements include a cross default provision whereby an event of default under other debt obligations , including our credit facility , will be considered an event of default under these agreements . these agreements require a prepayment fee if we pay outstanding amounts ahead of the scheduled terms . the terms of the credit facility limit the total amount of additional financing under these agreements to $ 40.0 million , of which $ 18.0 million was available for additional financing as of december 31 , 2012 . at december 31 , 2012 and 2011 , the outstanding principal balance under these agreements was $ 11.9 million and $ 14.5 million , respectively . currently , advances under these agreements bear interest rates which are fixed at the time of each advance . the weighted average interest rates on outstanding borrowings were 3.2 % , 3.5 % and 5.3 % for the years ended december 31 , 2012 , 2011 and 2010 , respectively . we monitor the financial health and stability of its lenders under the revolving credit and long term debt facilities , however during any period of significant instability in the

cash provided by operating activities decreased $ 34.9 million to $ 15.2 million in 2011 from $ 50.1 million in 2010 . the decrease in cash provided by operating activities was due to decreased net cash flows from operating assets and liabilities of $ 86.8 million million , partially offset by an increase in net income of $ 28.4 million and adjustments to net income for non-cash items which increased $ 23.5 million year over year . the decrease in net cash flows related to changes in operating assets and liabilities period over period was primarily driven by the following : an increase in inventory investments of $ 49.4 million due to higher input costs and increased safety stock in core product offerings and seasonal products ; and 29 a larger increase in prepaid expenses and other assets of $ 38.5 million in 2011 as compared to 2010 , primarily due to income taxes paid during 2011 related to our tax planning strategies currently being recognized in income tax expense . adjustments to net income for non-cash items increased in 2011 as compared to 2010 primarily due to a decrease in deferred taxes in 2011 as compared to an increase in deferred taxes in 2010 . investing activities cash used in investing activities decreased $ 42.5 million to $ 46.9 million in 2012 from $ 89.4 million in 2011 . this decrease in cash used in investing activities was primarily due to the acquisition of our corporate headquarters in 2011. in addition , in connection with the assumed loan for the acquisition of our corporate headquarters , we were required to set aside $ 5.0 million in restricted cash . this cash became unrestricted upon repayment of the assumed loan in december 2012. cash used in investing activities increased $ 47.6 million to $ 89.4 million in 2011 from $ 41.8 million in 2010 . this increase in cash used in investing activities was primarily due to the acquisition of our corporate headquarters and increased investments in our direct to consumer sales channel , in-store fixture program and corporate and distribution facilities .


 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 provided by operating activities decreased $ 34.9 million to $ 15.2 million in 2011 from $ 50.1 million in 2010 . the decrease in cash provided by operating activities was due to decreased net cash flows from operating assets and liabilities of $ 86.8 million million , partially offset by an increase in net income of $ 28.4 million and adjustments to net income for non-cash items which increased $ 23.5 million year over year . the decrease in net cash flows related to changes in operating assets and liabilities period over period was primarily driven by the following : an increase in inventory investments of $ 49.4 million due to higher input costs and increased safety stock in core product offerings and seasonal products ; and 29 a larger increase in prepaid expenses and other assets of $ 38.5 million in 2011 as compared to 2010 , primarily due to income taxes paid during 2011 related to our tax planning strategies currently being recognized in income tax expense . adjustments to net income for non-cash items increased in 2011 as compared to 2010 primarily due to a decrease in deferred taxes in 2011 as compared to an increase in deferred taxes in 2010 . investing activities cash used in investing activities decreased $ 42.5 million to $ 46.9 million in 2012 from $ 89.4 million in 2011 . this decrease in cash used in investing activities was primarily due to the acquisition of our corporate headquarters in 2011. in addition , in connection with the assumed loan for the acquisition of our corporate headquarters , we were required to set aside $ 5.0 million in restricted cash . this cash became unrestricted upon repayment of the assumed loan in december 2012. cash used in investing activities increased $ 47.6 million to $ 89.4 million in 2011 from $ 41.8 million in 2010 . this increase in cash used in investing activities was primarily due to the acquisition of our corporate headquarters and increased investments in our direct to consumer sales channel , in-store fixture program and corporate and distribution facilities .
```    
 Suspicious Activity Report : our license revenues consist of fees paid to us by our licensees in exchange for the use of our trademarks on core products of socks , team uniforms , baby and kids ' apparel , eyewear , inflatable footballs and basketballs , as well as the distribution of our products in japan . beginning in 2011 , net sales includes the sales and related cost of goods sold of internally developed hats and bags . prior to 2011 , hats and bags were sold by a licensee . net revenues increased by approximately $ 65 million from 2010 to 2011 as a result of developing our own hats and bags , which includes an increase in accessories revenues and a decrease in our license revenues in 2011. cost of goods sold consists primarily of product costs , inbound freight and duty costs , outbound freight costs , handling costs to make products floor-ready to customer specifications , royalty payments to endorsers based on a predetermined percentage of sales of selected products and write downs for inventory obsolescence . the fabrics in many of our products are made primarily of petroleum-based synthetic materials . therefore our product costs , as well as our inbound and outbound freight costs , could be affected by long term pricing trends of oil . in general , as a percentage of net revenues , we expect cost of goods sold associated with our apparel and accessories to be lower than that of our footwear . no cost of goods sold is associated with license revenues . we include outbound freight costs associated with shipping goods to customers as cost of goods sold ; however , we include the majority of outbound handling costs as a component of selling , general and administrative expenses . as a result , our gross profit may not be comparable to that of other companies that include outbound handling costs in their cost of goods sold . outbound handling costs include costs associated with preparing goods to ship to customers and certain costs to operate our distribution facilities . these costs were $ 34.8 million , $ 26.1 million and $ 14.7 million for the years ended december 31 , 2012 , 2011 and 2010 , respectively . our selling , general and administrative expenses consist of costs related to marketing , selling , product innovation and supply chain and corporate services . personnel costs are included in these categories based on the employees ' function . personnel costs include salaries , benefits , incentives and stock-based compensation related to the employee . our marketing costs are an important driver of our growth . marketing costs consist primarily of commercials , print ads , league , team , player and event sponsorships and depreciation expense specific to our in-store fixture program . in addition , marketing costs include costs associated with our special make-up shop ( “ smu shop ” ) located at one of our distribution facilities where we manufacture a limited number of products primarily for our league , team , player and event sponsorships . selling costs consist 22 primarily of costs relating to sales through our wholesale channel , commissions paid to third parties and the majority of our direct to consumer sales channel costs , including the cost of factory house and specialty store leases . product innovation and supply chain costs include our apparel , footwear and accessories product innovation , sourcing and development costs , distribution facility operating costs , and costs relating to our hong kong and guangzhou , china offices which help support product development , manufacturing , quality assurance and sourcing efforts . corporate services primarily consist of corporate facility operating costs and company-wide administrative expenses . other expense , net consists of unrealized and realized gains and losses on our foreign currency derivative financial instruments and unrealized and realized gains and losses on adjustments that arise from fluctuations in foreign currency exchange rates relating to transactions generated by our international subsidiaries . results of operations the following table sets forth key components of our results of operations for the periods indicated , both in dollars and as a percentage of net revenues : replace_table_token_6_th replace_table_token_7_th 23 consolidated results of operations year ended december 31 , 2012 compared to year ended december 31 , 2011 net revenues increase d $ 362.2 million , or 24.6 % , to $ 1,834.9 million in 2012 from $ 1,472.7 million in 2011 . net revenues by product category are summarized below : replace_table_token_8_th net sales increase d $ 354.0 million , or 24.7 % , to $ 1,790.1 million in 2012 from $ 1,436.1 million in 2011 as noted in the table above . the increase in net sales primarily reflects : $ 134.7 million , or 33.8 % , increase in direct to consumer sales , which includes 22 additional factory house stores , or a 27.5 % increase , since december 31 , 2011 ; and unit growth driven by increased distribution and new offerings in multiple product categories , most significantly in our training , hunting , running , baselayer and studio apparel product categories and running footwear category , including the launch of coldblack apparel , armour bra and under armour scent control products and our ua spine footwear ; and increased average selling prices due to a higher mix in the current year period of direct to consumer sales , along with increasing sales of our higher priced products such as fleece , our women 's ua studio line and ua spine footwear . license revenues increase d $ 8.2 million , or 22.5 % , to $ 44.8 million in 2012 from $ 36.6 million in 2011 . this increase in license revenues was a result of increased distribution and continued unit volume growth by our licensees . story_separator_special_tag our inventory strategy is focused on continuing to meet consumer demand while improving our inventory efficiency over the long term by putting systems and processes in place to improve our inventory management . these systems and processes 28 are designed to improve our forecasting and supply planning capabilities . in addition to systems and processes , key areas of focus that we believe will enhance inventory performance are sku rationalization , added discipline around the purchasing of product , production lead time reduction , and better planning and execution in selling of excess inventory through our factory house stores and other liquidation channels . we believe our cash and cash equivalents on hand , cash from operations and borrowings available to us under our credit and long term debt facilities will be adequate to meet our liquidity needs and capital expenditure requirements for at least the next twelve months . we may require additional capital to meet our longer term liquidity and future growth needs . although we believe we have adequate sources of liquidity over the long term , a prolonged economic recession or a slow recovery could adversely affect our business and liquidity ( refer to the “ risk factors ” section included in item 1a ) . in addition , instability in or tightening of the capital markets could adversely affect our ability to obtain additional capital to grow our business and will affect the cost and terms of such capital . cash flows the following table presents the major components of net cash flows used in and provided by operating , investing and financing activities for the periods presented : replace_table_token_15_th operating activities operating activities consist primarily of net income adjusted for certain non-cash items . adjustments to net income for non-cash items include depreciation and amortization , unrealized foreign currency exchange rate gains and losses , losses on disposals of property and equipment , stock-based compensation , deferred income taxes and changes in reserves and allowances . in addition , operating cash flows include the effect of changes in operating assets and liabilities , principally inventories , accounts receivable , income taxes payable and receivable , prepaid expenses and other assets , accounts payable and accrued expenses . cash provided by opera ting activities increased $ 184.6 million to $ 199.8 million in 2012 from $ 15.2 million in 2011 . the increase in cash provided by operating activities was due to increased net cash flows from operating assets and liabilities of $ 155.0 million and an increase in net income of $ 32.0 million , partially offset by adjustments to net income for non-cash items which decreased $ 2.4 million ye ar over year . the increase in net cash flows related to changes in operating assets and liabilities period over period was primarily driven by the following : a decrease in inventory investments of $ 119.3 million primarily driven by success around our inventory management initiatives , along with delays in product receipts due to certain supplier challenges ; and a larger decrease in prepaid expenses and other assets of $ 38.6 million in 2012 as compared to 2011 , primarily due to income taxes paid during 2011 related to our tax planning strategies currently being recognized in income tax expense and timing of payments for our marketing investments . adjustments to net income for non-cash items decreased in 2012 as compared to 2011 primarily due to an increase in deferred taxes in 2012 as compared to a decrease in deferred taxes in 2011 . story_separator_special_tag style= `` font-family : inherit ; font-size:10pt ; color : # 000000 ; text-decoration : none ; `` > 30.0 million under the revolving credit facility to fund seasonal working capital requirements and repaid it during the three months ended december 31 , 2011. the interest rate under the revolving credit facility was 1.5 % during the year ended december 31 , 2011 , and no balance was outstanding as of december 31 , 2012 and december 31 , 2011. in may 2011 , we borrowed $ 25.0 million under the term loan facility to finance a portion of the acquisition of our corporate headquarters and repaid it during the three months ended december 31 , 2012. the interest rate on the term loan was 1.6 % and 1.5 % during the years ended december 31 , 2012 and 2011 , respectively , and no balance was outstanding as of december 31 , 2012. long term debt we have long term debt agreements with various lenders to finance the acquisition or lease of qualifying capital investments . loans under these agreements are collateralized by a first lien on the related assets acquired . as these agreements are not committed facilities , each advance is subject to approval by the lenders . additionally , these agreements include a cross default provision whereby an event of default under other debt obligations , including our credit facility , will be considered an event of default under these agreements . these agreements require a prepayment fee if we pay outstanding amounts ahead of the scheduled terms . the terms of the credit facility limit the total amount of additional financing under these agreements to $ 40.0 million , of which $ 18.0 million was available for additional financing as of december 31 , 2012 . at december 31 , 2012 and 2011 , the outstanding principal balance under these agreements was $ 11.9 million and $ 14.5 million , respectively . currently , advances under these agreements bear interest rates which are fixed at the time of each advance . the weighted average interest rates on outstanding borrowings were 3.2 % , 3.5 % and 5.3 % for the years ended december 31 , 2012 , 2011 and 2010 , respectively . we monitor the financial health and stability of its lenders under the revolving credit and long term debt facilities , however during any period of significant instability in the

