net revenues for the year ended december 31 , 2014 were $ 56.0 million compared to $ 30.1 million for the same period in 2013 , an increase of $ 25.9 million , or 86.1 % , primarily as a result of the following factors : · net revenues for generic pharmaceutical products were $ 35.9 million during the year ended december 31 , 2014 , an increase of 85.9 % compared to $ 19.3 million for the same period in 2013. the primary reason for the increase was a $ 13.8 million increase in sales of eemt , which was the result of increases in both market share and prices . in addition , we experienced increased sales for our opium tincture , hc enema , and fluvoxamine products . in the third quarter of 2013 , a significant competitor stopped producing eemt , which led to an increase in our market share and enabled us to significantly increase the price we charge for the product . however , in the first half of 2014 , the same competitor re-entered the market , which negatively impacted our eemt unit sales beginning in the second quarter of 2014 , which impact may continue in 2015. eemt revenues for the year ended december 31 , 2014 also were reduced by $ 3.9 million in charges related to price protection contract obligations . as described in item 1. business – government regulations – unapproved products , we market eemt and opium tincture without fda-approved ndas . the fda 's policy with respect to the continued marketing of unapproved products appears in the fda 's september 2011 compliance policy guide sec . 440.100 titled `` marketed new drugs without approved ndas or andas . `` under this policy , the fda has stated that it will follow a risk-based approach with regard to enforcement against marketing of unapproved products . the fda evaluates whether to initiate enforcement action on a case-by-case basis , but gives higher priority to enforcement action against products in certain categories , such as those with potential safety risks or that lack evidence of effectiveness . while we believe that , so long as we comply with applicable manufacturing standards , the fda will not take action against us under the current enforcement policy , we can offer no assurances that the fda will continue this policy or not take a contrary position with any individual product or group of products . our combined net revenues for these products for the years ended december 31 , 2014 and 2013 were $ 29.8 million and $ 14.6 million , respectively . 37 · net revenues for branded pharmaceutical products were $ 11.0 million during the year ended december 31 , 2014 , an increase of 226.7 % compared to $ 3.4 million for the same period in 2013. the primary reasons for the increase were $ 3.3 million of sales from our lithobid product , representing six months of sales and $ 4.4 million of sales from our vancocin product , representing five months of sales . the product rights to lithobid and vancocin were acquired during the third quarter of 2014. these increase were partially offset by a decrease in sales of reglan . · contract manufacturing revenues were $ 5.9 million during the year ended december 31 , 2014 , a decrease of 1.4 % compared to $ 6.0 million for the same period in 2013 , due to decreased orders from contract manufacturing customers during 2014. as described in item 1. business – government regulations – unapproved products , we contract manufacture a group of products on behalf of a customer that are marketed by that customer without an fda-approved nda . if the fda took enforcement action against such customer , the customer may be required to seek fda approval for the group of products or withdraw them from the market . our contract manufacturing revenues for the group of unapproved products for the years ended december 31 , 2014 and 2013 were $ 1.2 million and $ 2.0 million , respectively . · contract services and other income were $ 3.2 million during the year ended december 31 , 2014 , an increase of 124.8 % from $ 1.4 million for the same period in 2013 , due primarily to royalties received on sales of the authorized generic of vancocin , the product rights to which were acquired in the third quarter of 2014. this increase was partially offset by a $ 0.5 million non-recurring payment in december 2013 from teva in relation to the teva license agreement acquired in the merger , as well as decreased contract services . as described in item 1. business – government regulations – unapproved products , we receive royalties on the net sales of a group of contract-manufactured products , which are marketed by the customer without an fda-approved nda . if the fda took enforcement action against such customer , the customer may be required to seek fda approval for the group of products or withdraw them from the market . our royalties on the net sales of these unapproved products were $ 0.3 million for each of the years ended december 31 , 2014 and 2013. cost of sales ( exclusive of depreciation and amortization ) ( in thousands ) years ended december 31 , 2014 2013 change % change cost of sales ( excl . depreciation and amortization ) $ 11,473 $ 9,974 $ 1,499 15.0 % cost of sales consists of direct labor , including manufacturing and packaging , active and inactive pharmaceutical ingredients , freight costs , and packaging components . cost of sales does not include depreciation and amortization expense , which is reported as a separate component of operating expenses on our consolidated statements of operations . story_separator_special_tag for these services , revenue is recognized according to the terms of the agreement with the customer , which sometimes include substantive , measurable risk-based milestones , and when we have a contractual right to receive such payment , the contract price is fixed or determinable , the collection of the resulting receivable is reasonably assured , and we have no further performance obligations under the agreement . we recognized $ 3.2 million and $ 1.4 million of revenue related to contract services in 2014 and 2013 , respectively . our revenue recognition accounting methodologies contain uncertainties because they require management to make assumptions and to apply judgment to estimate the amount of discounts , rebates , promotional adjustments , price adjustments , returns , chargebacks , and other potential adjustments , which are accounted for as reductions to revenue . we make these estimates based on historical experience . we have not made any material changes to our revenue recognition policies during the years ended december 31 , 2014 and 2013. we believe it is unlikely that there will be a material change in the future estimates or assumptions used to measure estimates for discounts , rebates , promotional adjustments , price adjustments , returns , chargebacks , and other potential adjustments . however , if actual results were not consistent with our estimates , we could be exposed to losses or gains that could be material , as any changes to these estimates could cause an increase or decrease in revenue recognized during the year . for example , if there were a 10 % change to these adjustments throughout the year , net revenues and net income from continuing operations before benefit/ ( provision ) for income taxes for the year ended december 31 , 2014 would be affected by $ 4.7 million . accruals for chargebacks , rebates , returns and other allowances our generic and branded product revenues are typically subject to agreements with customers allowing chargebacks , medicaid rebates , product returns , dministrative fees , and other rebates and prompt payment discounts . we accrue for these items at the time of sale based on the estimates and methodologies described below . in the aggregate , these accruals , reflected as a decrease to gross sales , exceed 50 % of generic and branded gross product sales , reduce gross revenues to net revenues in the consolidated statements of operations , and are presented as current liabilities or reductions in accounts receivable in the consolidated balance sheets . we continually monitor and re-evaluate the accruals as additional information becomes available , which includes , among other things , updates to trade inventory levels , customer product mix , and trends in medicaid rebates experience . we make adjustments to the accruals at the end of each reporting period , to reflect any such updates to the relevant facts and circumstances . accruals are relieved upon receipt of payment from or issuance of credit to the customer , or payment of rebates and fees to customer and state medicaid programs . chargebacks as discussed in note 1 of item 8. consolidated financial statements , we estimate the amount of chargebacks based our actual historical experience . a number of factors influence current period chargebacks by impacting the average selling price ( “ asp ” ) of products , including customer mix , negotiated terms , product sales mix , volume of off-contract purchases , and wholesale acquisition cost ( “ wac ” ) . 45 we have not made any material changes to our policy for estimating chargeback accruals during the years ended december 31 , 2014 and 2013. we believe it is unlikely that there will be a material change in the future estimates or assumptions used to measure chargeback estimates . however , if actual results were not consistent with our estimates , we could be exposed to losses or gains that could be material , as changes to chargeback estimates could cause an increase or decrease in revenue recognized during the year and increase or decrease accounts receivable . if there were a 10 % change in the chargeback estimates throughout the year , our net revenues and net income from continuing operations before benefit/ ( provision ) for income taxes would be affected by $ 3.6 million for the year ended december 31 , 2014. medicaid rebates as discussed in note 1 of item 8. consolidated financial statements , our estimate for medicaid rebates is based upon our average manufacturer price , best price , product mix , levels of inventory in the distribution channel that we expect to be subject to medicaid rebates , and historical experience , which are invoiced in arrears by state medicaid programs . while such experience has allowed for reasonable estimation in the past , history may not always be an accurate indicator of future rebate experience , and trends in medicaid enrollment and which products are covered by medicaid could change . we have not made any material changes to our policy for estimating medicaid rebates during the years ended december 31 , 2014 and 2013. while we anticipate that we will have further increases in our quarterly medicaid rebate amounts related to sales of our lithobid and vancocin products , we do not believe that our assumptions used to measure estimates for medicaid rebates will change materially . however , if actual results were not consistent with our estimates , we could be exposed to losses or gains that could be material , as changes to medicaid rebate estimates could cause an increase or decrease in revenue recognized during the year and decrease or increase the medicaid rebate reserve . if there were a 10 % change in the medicaid rebate estimates throughout the year , our net revenues and net income from continuing operations before benefit/ ( provision ) for income taxes would be affected by $ 0.3 million for the

sources and uses of cash debt financing in december 2014 , we issued $ 143.8 million of 3.0 % convertible senior notes in a registered public offering ( the “ december 2014 offering ” ) , which includes the $ 18.8 million of notes issued pursuant to the full exercise of the over-allotment option granted to the underwriters in the december 2014 offering . after deducting the underwriting discounts and commissions and other expenses ( including the net cost of the bond hedge and warrant , discussed below ) , the net proceeds from the offering were approximately $ 122.6 million . the notes were issued in order to raise funds to research , develop and commercialize our drug products ; to acquire complementary businesses , products , and technologies that we may identify from time to time ; and for other working capital and general corporate purposes . the notes pay 3.0 % interest semi-annually in arrears on june 1 and december 1 of each year , starting on june 1 , 2015. the notes are convertible into 2,068,792 shares of common stock , based on an initial conversion price of $ 69.48 per share . 42 a portion of the offering proceeds was used to simultaneously enter into “ bond hedge ” ( or purchased call ) and “ warrant ” ( or written call ) transactions with an affiliate of one of the offering underwriters ( collectively , the “ call option overlay ” ) . we entered into the call option overlay to synthetically raise the initial conversion price of the notes to $ 96.21 per share and reduce the potential common stock dilution that may arise from the conversion of the notes . the exercise price of the bond hedge is $ 69.48 per share , with an underlying 2,068,792 common shares ; the exercise price of the warrant is $ 96.21 per share , also with an underlying 2,068,792 common shares .


 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.
     ```sources and uses of cash debt financing in december 2014 , we issued $ 143.8 million of 3.0 % convertible senior notes in a registered public offering ( the “ december 2014 offering ” ) , which includes the $ 18.8 million of notes issued pursuant to the full exercise of the over-allotment option granted to the underwriters in the december 2014 offering . after deducting the underwriting discounts and commissions and other expenses ( including the net cost of the bond hedge and warrant , discussed below ) , the net proceeds from the offering were approximately $ 122.6 million . the notes were issued in order to raise funds to research , develop and commercialize our drug products ; to acquire complementary businesses , products , and technologies that we may identify from time to time ; and for other working capital and general corporate purposes . the notes pay 3.0 % interest semi-annually in arrears on june 1 and december 1 of each year , starting on june 1 , 2015. the notes are convertible into 2,068,792 shares of common stock , based on an initial conversion price of $ 69.48 per share . 42 a portion of the offering proceeds was used to simultaneously enter into “ bond hedge ” ( or purchased call ) and “ warrant ” ( or written call ) transactions with an affiliate of one of the offering underwriters ( collectively , the “ call option overlay ” ) . we entered into the call option overlay to synthetically raise the initial conversion price of the notes to $ 96.21 per share and reduce the potential common stock dilution that may arise from the conversion of the notes . the exercise price of the bond hedge is $ 69.48 per share , with an underlying 2,068,792 common shares ; the exercise price of the warrant is $ 96.21 per share , also with an underlying 2,068,792 common shares .
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 Suspicious Activity Report : net revenues for the year ended december 31 , 2014 were $ 56.0 million compared to $ 30.1 million for the same period in 2013 , an increase of $ 25.9 million , or 86.1 % , primarily as a result of the following factors : · net revenues for generic pharmaceutical products were $ 35.9 million during the year ended december 31 , 2014 , an increase of 85.9 % compared to $ 19.3 million for the same period in 2013. the primary reason for the increase was a $ 13.8 million increase in sales of eemt , which was the result of increases in both market share and prices . in addition , we experienced increased sales for our opium tincture , hc enema , and fluvoxamine products . in the third quarter of 2013 , a significant competitor stopped producing eemt , which led to an increase in our market share and enabled us to significantly increase the price we charge for the product . however , in the first half of 2014 , the same competitor re-entered the market , which negatively impacted our eemt unit sales beginning in the second quarter of 2014 , which impact may continue in 2015. eemt revenues for the year ended december 31 , 2014 also were reduced by $ 3.9 million in charges related to price protection contract obligations . as described in item 1. business – government regulations – unapproved products , we market eemt and opium tincture without fda-approved ndas . the fda 's policy with respect to the continued marketing of unapproved products appears in the fda 's september 2011 compliance policy guide sec . 440.100 titled `` marketed new drugs without approved ndas or andas . `` under this policy , the fda has stated that it will follow a risk-based approach with regard to enforcement against marketing of unapproved products . the fda evaluates whether to initiate enforcement action on a case-by-case basis , but gives higher priority to enforcement action against products in certain categories , such as those with potential safety risks or that lack evidence of effectiveness . while we believe that , so long as we comply with applicable manufacturing standards , the fda will not take action against us under the current enforcement policy , we can offer no assurances that the fda will continue this policy or not take a contrary position with any individual product or group of products . our combined net revenues for these products for the years ended december 31 , 2014 and 2013 were $ 29.8 million and $ 14.6 million , respectively . 37 · net revenues for branded pharmaceutical products were $ 11.0 million during the year ended december 31 , 2014 , an increase of 226.7 % compared to $ 3.4 million for the same period in 2013. the primary reasons for the increase were $ 3.3 million of sales from our lithobid product , representing six months of sales and $ 4.4 million of sales from our vancocin product , representing five months of sales . the product rights to lithobid and vancocin were acquired during the third quarter of 2014. these increase were partially offset by a decrease in sales of reglan . · contract manufacturing revenues were $ 5.9 million during the year ended december 31 , 2014 , a decrease of 1.4 % compared to $ 6.0 million for the same period in 2013 , due to decreased orders from contract manufacturing customers during 2014. as described in item 1. business – government regulations – unapproved products , we contract manufacture a group of products on behalf of a customer that are marketed by that customer without an fda-approved nda . if the fda took enforcement action against such customer , the customer may be required to seek fda approval for the group of products or withdraw them from the market . our contract manufacturing revenues for the group of unapproved products for the years ended december 31 , 2014 and 2013 were $ 1.2 million and $ 2.0 million , respectively . · contract services and other income were $ 3.2 million during the year ended december 31 , 2014 , an increase of 124.8 % from $ 1.4 million for the same period in 2013 , due primarily to royalties received on sales of the authorized generic of vancocin , the product rights to which were acquired in the third quarter of 2014. this increase was partially offset by a $ 0.5 million non-recurring payment in december 2013 from teva in relation to the teva license agreement acquired in the merger , as well as decreased contract services . as described in item 1. business – government regulations – unapproved products , we receive royalties on the net sales of a group of contract-manufactured products , which are marketed by the customer without an fda-approved nda . if the fda took enforcement action against such customer , the customer may be required to seek fda approval for the group of products or withdraw them from the market . our royalties on the net sales of these unapproved products were $ 0.3 million for each of the years ended december 31 , 2014 and 2013. cost of sales ( exclusive of depreciation and amortization ) ( in thousands ) years ended december 31 , 2014 2013 change % change cost of sales ( excl . depreciation and amortization ) $ 11,473 $ 9,974 $ 1,499 15.0 % cost of sales consists of direct labor , including manufacturing and packaging , active and inactive pharmaceutical ingredients , freight costs , and packaging components . cost of sales does not include depreciation and amortization expense , which is reported as a separate component of operating expenses on our consolidated statements of operations . story_separator_special_tag for these services , revenue is recognized according to the terms of the agreement with the customer , which sometimes include substantive , measurable risk-based milestones , and when we have a contractual right to receive such payment , the contract price is fixed or determinable , the collection of the resulting receivable is reasonably assured , and we have no further performance obligations under the agreement . we recognized $ 3.2 million and $ 1.4 million of revenue related to contract services in 2014 and 2013 , respectively . our revenue recognition accounting methodologies contain uncertainties because they require management to make assumptions and to apply judgment to estimate the amount of discounts , rebates , promotional adjustments , price adjustments , returns , chargebacks , and other potential adjustments , which are accounted for as reductions to revenue . we make these estimates based on historical experience . we have not made any material changes to our revenue recognition policies during the years ended december 31 , 2014 and 2013. we believe it is unlikely that there will be a material change in the future estimates or assumptions used to measure estimates for discounts , rebates , promotional adjustments , price adjustments , returns , chargebacks , and other potential adjustments . however , if actual results were not consistent with our estimates , we could be exposed to losses or gains that could be material , as any changes to these estimates could cause an increase or decrease in revenue recognized during the year . for example , if there were a 10 % change to these adjustments throughout the year , net revenues and net income from continuing operations before benefit/ ( provision ) for income taxes for the year ended december 31 , 2014 would be affected by $ 4.7 million . accruals for chargebacks , rebates , returns and other allowances our generic and branded product revenues are typically subject to agreements with customers allowing chargebacks , medicaid rebates , product returns , dministrative fees , and other rebates and prompt payment discounts . we accrue for these items at the time of sale based on the estimates and methodologies described below . in the aggregate , these accruals , reflected as a decrease to gross sales , exceed 50 % of generic and branded gross product sales , reduce gross revenues to net revenues in the consolidated statements of operations , and are presented as current liabilities or reductions in accounts receivable in the consolidated balance sheets . we continually monitor and re-evaluate the accruals as additional information becomes available , which includes , among other things , updates to trade inventory levels , customer product mix , and trends in medicaid rebates experience . we make adjustments to the accruals at the end of each reporting period , to reflect any such updates to the relevant facts and circumstances . accruals are relieved upon receipt of payment from or issuance of credit to the customer , or payment of rebates and fees to customer and state medicaid programs . chargebacks as discussed in note 1 of item 8. consolidated financial statements , we estimate the amount of chargebacks based our actual historical experience . a number of factors influence current period chargebacks by impacting the average selling price ( “ asp ” ) of products , including customer mix , negotiated terms , product sales mix , volume of off-contract purchases , and wholesale acquisition cost ( “ wac ” ) . 45 we have not made any material changes to our policy for estimating chargeback accruals during the years ended december 31 , 2014 and 2013. we believe it is unlikely that there will be a material change in the future estimates or assumptions used to measure chargeback estimates . however , if actual results were not consistent with our estimates , we could be exposed to losses or gains that could be material , as changes to chargeback estimates could cause an increase or decrease in revenue recognized during the year and increase or decrease accounts receivable . if there were a 10 % change in the chargeback estimates throughout the year , our net revenues and net income from continuing operations before benefit/ ( provision ) for income taxes would be affected by $ 3.6 million for the year ended december 31 , 2014. medicaid rebates as discussed in note 1 of item 8. consolidated financial statements , our estimate for medicaid rebates is based upon our average manufacturer price , best price , product mix , levels of inventory in the distribution channel that we expect to be subject to medicaid rebates , and historical experience , which are invoiced in arrears by state medicaid programs . while such experience has allowed for reasonable estimation in the past , history may not always be an accurate indicator of future rebate experience , and trends in medicaid enrollment and which products are covered by medicaid could change . we have not made any material changes to our policy for estimating medicaid rebates during the years ended december 31 , 2014 and 2013. while we anticipate that we will have further increases in our quarterly medicaid rebate amounts related to sales of our lithobid and vancocin products , we do not believe that our assumptions used to measure estimates for medicaid rebates will change materially . however , if actual results were not consistent with our estimates , we could be exposed to losses or gains that could be material , as changes to medicaid rebate estimates could cause an increase or decrease in revenue recognized during the year and decrease or increase the medicaid rebate reserve . if there were a 10 % change in the medicaid rebate estimates throughout the year , our net revenues and net income from continuing operations before benefit/ ( provision ) for income taxes would be affected by $ 0.3 million for the

