furniture and appliance purchase loans  as of december 31 , 2012 , we had approximately 27,000 furniture and appliance purchase loans outstanding , representing $ 30.0 million in finance receivables . 44 insurance products  we offer our customers optional payment protection insurance options relating to many of our loan products . our primary sources of revenue are interest and fee income from our loan products , of which interest and fees relating to installment loans and automobile purchase loans have historically been the largest component . in 2009 , we introduced furniture and appliance purchase loans and expanded our automobile purchase loans to offer loans through online credit application networks . in addition to interest and fee income from loans , we derive revenue from insurance products sold to customers of our direct loan products . initial public offering our initial public offering closed on april 2 , 2012 , at which time we sold 3,150,000 shares of our common stock and received cash proceeds of approximately $ 39.8 million , net of underwriting discounts and commissions of $ 4.2 million and other offering expenses of $ 3.3 million . we used the proceeds of the offering to pay a portion of our indebtedness . we are incurring lower amounts of interest expense from the reduction of debt resulting from our initial public offering , as described in unaudited pro forma consolidated financial information below . factors affecting our results of operations our business is driven by several factors affecting our revenues , costs , and results of operations , including the following : growth in loan portfolio . the revenue that we derive from interest and fees from our loan products is largely driven by the number of loans that we originate . average finance receivables grew 11.9 % from $ 193.0 million in 2009 to $ 216.0 million in 2010 , grew 22.2 % to $ 264.0 million in 2011 , and grew 36.2 % to $ 359.7 million in 2012. we originated or purchased 120,900 ; 67,300 ; and 55,300 new loans during 2012 , 2011 , and 2010 , respectively . we source our loans through our branches and our live check program , as well as through automobile dealerships and furniture and appliance retailers that partner with us . our loans are made almost exclusively in geographic markets served by our network of branches . increasing the number of branches we operate allows us to increase the number of loans that we are able to service . we opened or acquired 51 , 36 , and 17 new branches in 2012 , 2011 , and 2010 , respectively . our 2013 plans include opening 35 to 45 de novo branch locations , which is a 15.8 % to 20.4 % increase in our branch network . we have the opportunity to add as many as 800 additional branches over time in the states in which it is favorable for us to conduct business , and we have plans to continue to grow our branch network . product mix . we offer a number of different loan products , including small installment loans , large installment loans , automobile purchase loans , and furniture and appliance purchase loans . we charge different interest rates and fees and are exposed to different credit risks with respect to the various types of loans we offer . for example , in recent years , we have sought to increase our product diversification by growing our automobile purchase and furniture and appliance purchase loans , which have lower interest rates and fees than our small and large installment loans but also have lower charge-off rates . our product mix also varies to some extent by state . for example , small installment loans make up a smaller percentage of our loan portfolio in north carolina than in the other states in which we operate because customers find the rate structure in north carolina to be more favorable for larger loans . small installment loans make up a larger percentage of our loan portfolio in texas than our other loan products because customers find the rate structure in texas to be more favorable for small installment loans . however , we expect to continue to diversify our product mix in the future . asset quality . our results of operations are highly dependent upon the quality of our asset portfolio . we recorded a $ 27.8 million provision for credit losses during 2012 ( or 7.7 % as a percentage of average finance receivables ) , a $ 17.9 million provision for credit losses during 2011 ( or 6.8 % as a percentage of average finance receivables ) , and a $ 16.6 million provision for credit losses during 2010 ( or 7.7 % as a percentage of average 45 finance receivables ) . the quality of our asset portfolio is the result of our ability to enforce sound underwriting standards , maintain diligent portfolio oversight , and respond to changing economic conditions as we grow our loan portfolio . allowance for credit losses . we evaluate losses in each of our four categories of loans in establishing the allowance for credit losses . the following table sets forth our allowance for credit losses compared to the related finance receivables as of december 31 , 2012 and december 31 , 2011 : replace_table_token_14_th the allowance for credit losses as a percentage of related finance receivables decreased in 2012 due to good performance in the loan categories . we believe the reduction is appropriate based on all the factors considered in establishing the allowance for credit losses . the allowance for small installment loans uses the most recent eight months of net charge-offs as a percentage of the average of the most recent month-end balance of loans as a key data point in estimating the allowance . story_separator_special_tag interest expense on the senior revolving credit facility and other debt increased $ 2.3 million , or 27.4 % , to $ 10.6 million in 2012 from $ 8.3 million in 2011. the average cost of our senior revolving credit facility decreased by 22 basis points from 4.76 % for the year ended december 31 , 2011 to 4.54 % for the year ended december 31 , 2012. the primary difference was the mix between our libor-based portion of the loan and the prime interest rate portion of the loan and the reduction in the unused line fee as the amount outstanding increased . the increase in interest in 2012 was due primarily to higher average outstanding debt balances . consulting and advisory fees . the consulting and advisory fees paid to related parties increased $ 476,000 to $ 1.5 million in 2012 from $ 975,000 in 2011. the increase in advisory and consulting fees is attributable to the termination fees payable to the sponsors and former majority stockholders at closing of the initial public offering in april 2012. these fee agreements terminated with the closing of the initial public offering . income taxes . income taxes increased $ 2.4 million , or 19.7 % , to $ 14.6 million in 2012 from $ 12.2 million compared to 2011. the increase in income taxes was due to an increase in our net income before taxes . comparison of the year ended december 31 , 2011 , versus the year ended december 31 , 2010 income and revenue . net income increased to $ 21.2 million for 2011 , or 29.2 % , from 2010. operating income ( revenue less provision for credit losses and general and administrative expenses ) increased approximately $ 9.8 million , or 26.6 % , in 2011. total revenues increased to $ 18.4 million during 2011 , a 21.2 % increase over the $ 86.8 million of total revenues for 2010. the increase is attributable to the opening of 33 additional branches and the acquisition of 3 net new branches in 2011. interest and fee income . interest and fee income increased $ 17.1 million , or 23.0 % , to $ 91.3 million in 2011 from $ 74.2 million in 2010. the increase in interest and fee income was due primarily to a 22.2 % increase in average finance receivables in 2011 as compared to 2010 and an increase in the average yield on loans from 34.4 % to 34.6 % . the following table sets forth the portions of the increase in interest and fee income attributable to changes in the finance receivables balance and average yield for each of our products for 2011 , compared to 2010 ( dollars in thousands ) : replace_table_token_23_th insurance income . insurance income increased $ 995,000 , or 12.1 % , to $ 9.2 million in 2011 from $ 8.3 million in 2010. insurance income as a percentage of average finance receivables declined from 3.8 % to 3.5 % in 2011. in 2010 , our insurance partner refunded $ 570,000 to us . without this refund , insurance income in 2010 would have been 3.6 % of average finance receivables . we expect that insurance income as a percentage of average finance receivables will decline with the growth of our indirect automobile purchase loan and furniture and appliance purchase loan businesses as they do not provide us the opportunity to offer insurance products to customers . 53 other income . other income increased $ 307,000 , or 7.0 % , to $ 4.7 million in 2011 from $ 4.4 million in 2010. the largest component of other income is late charges , which increased $ 353,000 , or 12.6 % , to $ 3.2 million in 2011 from $ 2.8 million in 2010 as a result of our higher average finance receivables in 2011. however , late charges as a percentage of average finance receivables declined slightly in 2011 as compared to 2010 as a result of lower loan delinquencies in 2011. in 2010 and 2011 , we recognized $ 500,000 and $ 453,000 , respectively , of revenue from the preparation of income tax returns . provision for credit losses . our provision for credit losses increased $ 1.3 million , or 7.8 % , to $ 17.9 million in 2011 from $ 16.6 million in 2010. the increase in the provision for credit losses in 2011 resulted from the growth in average finance receivables , particularly the automobile purchase loan portfolio . in 2011 , automobile purchase loans grew by $ 35.4 million , compared to a growth of $ 10.0 million in 2010. net charge-offs for 2011 were $ 16.6 million , or 6.3 % of average finance receivables , down from $ 17.0 million , or 7.9 % of average finance receivables , in 2010. general and administrative expenses . our general and administrative expenses , comprising expenses for personnel , occupancy , advertising , and other expenses , increased $ 7.3 million , or 21.9 % , to $ 40.6 million during 2011 from $ 33.3 million in 2010. our efficiency ratio ( general and administrative expenses as a percentage of revenue ) increased to 38.6 % in 2011 from 38.4 % in 2010. personnel . the largest component of general and administrative expenses is personnel expense , which increased $ 4.7 million , or 22.7 % , to $ 25.5 million in 2011 from $ 20.7 million for 2010. this increase is primarily attributable to the addition of 36 branches in 2011. personnel costs as a percentage of average finance receivables remained constant at 9.6 % in 2011 and 2010. personnel costs increase with the opening of new branches as we frequently hire branch managers one to three months in advance of opening the branch . this time is spent training managers in another branch prior to opening the branch for which they were hired . occupancy . occupancy expenses increased

liquidity and capital resources our primary cash needs relate to the funding of our lending activities and , to a lesser extent , capital expenditures relating to expanding and maintaining our branch locations . in connection with our plans to open 35 to 45 new branches in 2013 , we will incur $ 2.1 million to $ 2.7 million of capital expenditures . we have historically financed , and plan to continue to finance , our short-term and long-term operating liquidity and capital needs through a combination of cash flows from operations and borrowings under our senior revolving credit facility . as a holding company , almost all of the funds generated from our operations are earned by our operating subsidiaries . in addition , our wholly-owned subsidiary , rmc reinsurance , is required to maintain cash reserves against life insurance policies ceded to it , as determined by the ceding company , and has also purchased a cash-collateralized letter of credit in favor of the ceding company . as of december 31 , 2012 , these reserve requirements totaled $ 1.3 million . additionally , we had a reserve for life insurance claims on our balance sheet of $ 207,000 , as determined by the third party , unrelated ceding company . cash flow . operating activities . net cash provided by operating activities increased by $ 16.5 million , or 40.2 % , to $ 57.6 million in 2012 from $ 41.0 million in 2011. the increase was primarily due to higher profitability due to growth in the business . net cash provided by operating activities decreased slightly from 2010 to 2011 , despite an increase in net income of $ 4.8 million . offsetting the increase in net income was cash spent on other assets , primarily $ 2.6 million of expenses related to the preparation for our initial public offering . investing activities . investing activities consist of finance receivables originated and purchased , net change in restricted cash , purchase of furniture and equipment for new and existing branches , and the purchase of interest rate caps .


 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 our primary cash needs relate to the funding of our lending activities and , to a lesser extent , capital expenditures relating to expanding and maintaining our branch locations . in connection with our plans to open 35 to 45 new branches in 2013 , we will incur $ 2.1 million to $ 2.7 million of capital expenditures . we have historically financed , and plan to continue to finance , our short-term and long-term operating liquidity and capital needs through a combination of cash flows from operations and borrowings under our senior revolving credit facility . as a holding company , almost all of the funds generated from our operations are earned by our operating subsidiaries . in addition , our wholly-owned subsidiary , rmc reinsurance , is required to maintain cash reserves against life insurance policies ceded to it , as determined by the ceding company , and has also purchased a cash-collateralized letter of credit in favor of the ceding company . as of december 31 , 2012 , these reserve requirements totaled $ 1.3 million . additionally , we had a reserve for life insurance claims on our balance sheet of $ 207,000 , as determined by the third party , unrelated ceding company . cash flow . operating activities . net cash provided by operating activities increased by $ 16.5 million , or 40.2 % , to $ 57.6 million in 2012 from $ 41.0 million in 2011. the increase was primarily due to higher profitability due to growth in the business . net cash provided by operating activities decreased slightly from 2010 to 2011 , despite an increase in net income of $ 4.8 million . offsetting the increase in net income was cash spent on other assets , primarily $ 2.6 million of expenses related to the preparation for our initial public offering . investing activities . investing activities consist of finance receivables originated and purchased , net change in restricted cash , purchase of furniture and equipment for new and existing branches , and the purchase of interest rate caps .
```    
 Suspicious Activity Report : furniture and appliance purchase loans  as of december 31 , 2012 , we had approximately 27,000 furniture and appliance purchase loans outstanding , representing $ 30.0 million in finance receivables . 44 insurance products  we offer our customers optional payment protection insurance options relating to many of our loan products . our primary sources of revenue are interest and fee income from our loan products , of which interest and fees relating to installment loans and automobile purchase loans have historically been the largest component . in 2009 , we introduced furniture and appliance purchase loans and expanded our automobile purchase loans to offer loans through online credit application networks . in addition to interest and fee income from loans , we derive revenue from insurance products sold to customers of our direct loan products . initial public offering our initial public offering closed on april 2 , 2012 , at which time we sold 3,150,000 shares of our common stock and received cash proceeds of approximately $ 39.8 million , net of underwriting discounts and commissions of $ 4.2 million and other offering expenses of $ 3.3 million . we used the proceeds of the offering to pay a portion of our indebtedness . we are incurring lower amounts of interest expense from the reduction of debt resulting from our initial public offering , as described in unaudited pro forma consolidated financial information below . factors affecting our results of operations our business is driven by several factors affecting our revenues , costs , and results of operations , including the following : growth in loan portfolio . the revenue that we derive from interest and fees from our loan products is largely driven by the number of loans that we originate . average finance receivables grew 11.9 % from $ 193.0 million in 2009 to $ 216.0 million in 2010 , grew 22.2 % to $ 264.0 million in 2011 , and grew 36.2 % to $ 359.7 million in 2012. we originated or purchased 120,900 ; 67,300 ; and 55,300 new loans during 2012 , 2011 , and 2010 , respectively . we source our loans through our branches and our live check program , as well as through automobile dealerships and furniture and appliance retailers that partner with us . our loans are made almost exclusively in geographic markets served by our network of branches . increasing the number of branches we operate allows us to increase the number of loans that we are able to service . we opened or acquired 51 , 36 , and 17 new branches in 2012 , 2011 , and 2010 , respectively . our 2013 plans include opening 35 to 45 de novo branch locations , which is a 15.8 % to 20.4 % increase in our branch network . we have the opportunity to add as many as 800 additional branches over time in the states in which it is favorable for us to conduct business , and we have plans to continue to grow our branch network . product mix . we offer a number of different loan products , including small installment loans , large installment loans , automobile purchase loans , and furniture and appliance purchase loans . we charge different interest rates and fees and are exposed to different credit risks with respect to the various types of loans we offer . for example , in recent years , we have sought to increase our product diversification by growing our automobile purchase and furniture and appliance purchase loans , which have lower interest rates and fees than our small and large installment loans but also have lower charge-off rates . our product mix also varies to some extent by state . for example , small installment loans make up a smaller percentage of our loan portfolio in north carolina than in the other states in which we operate because customers find the rate structure in north carolina to be more favorable for larger loans . small installment loans make up a larger percentage of our loan portfolio in texas than our other loan products because customers find the rate structure in texas to be more favorable for small installment loans . however , we expect to continue to diversify our product mix in the future . asset quality . our results of operations are highly dependent upon the quality of our asset portfolio . we recorded a $ 27.8 million provision for credit losses during 2012 ( or 7.7 % as a percentage of average finance receivables ) , a $ 17.9 million provision for credit losses during 2011 ( or 6.8 % as a percentage of average finance receivables ) , and a $ 16.6 million provision for credit losses during 2010 ( or 7.7 % as a percentage of average 45 finance receivables ) . the quality of our asset portfolio is the result of our ability to enforce sound underwriting standards , maintain diligent portfolio oversight , and respond to changing economic conditions as we grow our loan portfolio . allowance for credit losses . we evaluate losses in each of our four categories of loans in establishing the allowance for credit losses . the following table sets forth our allowance for credit losses compared to the related finance receivables as of december 31 , 2012 and december 31 , 2011 : replace_table_token_14_th the allowance for credit losses as a percentage of related finance receivables decreased in 2012 due to good performance in the loan categories . we believe the reduction is appropriate based on all the factors considered in establishing the allowance for credit losses . the allowance for small installment loans uses the most recent eight months of net charge-offs as a percentage of the average of the most recent month-end balance of loans as a key data point in estimating the allowance . story_separator_special_tag interest expense on the senior revolving credit facility and other debt increased $ 2.3 million , or 27.4 % , to $ 10.6 million in 2012 from $ 8.3 million in 2011. the average cost of our senior revolving credit facility decreased by 22 basis points from 4.76 % for the year ended december 31 , 2011 to 4.54 % for the year ended december 31 , 2012. the primary difference was the mix between our libor-based portion of the loan and the prime interest rate portion of the loan and the reduction in the unused line fee as the amount outstanding increased . the increase in interest in 2012 was due primarily to higher average outstanding debt balances . consulting and advisory fees . the consulting and advisory fees paid to related parties increased $ 476,000 to $ 1.5 million in 2012 from $ 975,000 in 2011. the increase in advisory and consulting fees is attributable to the termination fees payable to the sponsors and former majority stockholders at closing of the initial public offering in april 2012. these fee agreements terminated with the closing of the initial public offering . income taxes . income taxes increased $ 2.4 million , or 19.7 % , to $ 14.6 million in 2012 from $ 12.2 million compared to 2011. the increase in income taxes was due to an increase in our net income before taxes . comparison of the year ended december 31 , 2011 , versus the year ended december 31 , 2010 income and revenue . net income increased to $ 21.2 million for 2011 , or 29.2 % , from 2010. operating income ( revenue less provision for credit losses and general and administrative expenses ) increased approximately $ 9.8 million , or 26.6 % , in 2011. total revenues increased to $ 18.4 million during 2011 , a 21.2 % increase over the $ 86.8 million of total revenues for 2010. the increase is attributable to the opening of 33 additional branches and the acquisition of 3 net new branches in 2011. interest and fee income . interest and fee income increased $ 17.1 million , or 23.0 % , to $ 91.3 million in 2011 from $ 74.2 million in 2010. the increase in interest and fee income was due primarily to a 22.2 % increase in average finance receivables in 2011 as compared to 2010 and an increase in the average yield on loans from 34.4 % to 34.6 % . the following table sets forth the portions of the increase in interest and fee income attributable to changes in the finance receivables balance and average yield for each of our products for 2011 , compared to 2010 ( dollars in thousands ) : replace_table_token_23_th insurance income . insurance income increased $ 995,000 , or 12.1 % , to $ 9.2 million in 2011 from $ 8.3 million in 2010. insurance income as a percentage of average finance receivables declined from 3.8 % to 3.5 % in 2011. in 2010 , our insurance partner refunded $ 570,000 to us . without this refund , insurance income in 2010 would have been 3.6 % of average finance receivables . we expect that insurance income as a percentage of average finance receivables will decline with the growth of our indirect automobile purchase loan and furniture and appliance purchase loan businesses as they do not provide us the opportunity to offer insurance products to customers . 53 other income . other income increased $ 307,000 , or 7.0 % , to $ 4.7 million in 2011 from $ 4.4 million in 2010. the largest component of other income is late charges , which increased $ 353,000 , or 12.6 % , to $ 3.2 million in 2011 from $ 2.8 million in 2010 as a result of our higher average finance receivables in 2011. however , late charges as a percentage of average finance receivables declined slightly in 2011 as compared to 2010 as a result of lower loan delinquencies in 2011. in 2010 and 2011 , we recognized $ 500,000 and $ 453,000 , respectively , of revenue from the preparation of income tax returns . provision for credit losses . our provision for credit losses increased $ 1.3 million , or 7.8 % , to $ 17.9 million in 2011 from $ 16.6 million in 2010. the increase in the provision for credit losses in 2011 resulted from the growth in average finance receivables , particularly the automobile purchase loan portfolio . in 2011 , automobile purchase loans grew by $ 35.4 million , compared to a growth of $ 10.0 million in 2010. net charge-offs for 2011 were $ 16.6 million , or 6.3 % of average finance receivables , down from $ 17.0 million , or 7.9 % of average finance receivables , in 2010. general and administrative expenses . our general and administrative expenses , comprising expenses for personnel , occupancy , advertising , and other expenses , increased $ 7.3 million , or 21.9 % , to $ 40.6 million during 2011 from $ 33.3 million in 2010. our efficiency ratio ( general and administrative expenses as a percentage of revenue ) increased to 38.6 % in 2011 from 38.4 % in 2010. personnel . the largest component of general and administrative expenses is personnel expense , which increased $ 4.7 million , or 22.7 % , to $ 25.5 million in 2011 from $ 20.7 million for 2010. this increase is primarily attributable to the addition of 36 branches in 2011. personnel costs as a percentage of average finance receivables remained constant at 9.6 % in 2011 and 2010. personnel costs increase with the opening of new branches as we frequently hire branch managers one to three months in advance of opening the branch . this time is spent training managers in another branch prior to opening the branch for which they were hired . occupancy . occupancy expenses increased

