in december 2015 , checkpoint licensed the exclusive worldwide rights to develop and commercialize ck-102 ( formerly cep-9722 ) , a poly ( adp-ribose ) polymerase ( “ parp ” ) inhibitor , from teva pharmaceutical industries ltd. , through its subsidiary , cephalon , inc. ck-102 is an oral , small molecule selective inhibitor of parp-1 and parp-2 enzymes in early clinical development for solid tumors . checkpoint plans to develop ck-102 as both a monotherapy and in combination with other anti-cancer agents , including checkpoint 's novel immuno-oncology and checkpoint inhibitor antibodies currently in development . checkpoint expects clinical trials to start in the first half of 2016 for their egfr inhibitor and the second half of 2016 for their parp inhibitor and one or more of the dana-farber antibodies . also in december 2015 , checkpoint closed on gross proceeds of $ 57.8 million , before commissions and expenses , in a series of private placement equity financings . net proceeds from this offering was approximately $ 51.5 million . mustang bio , inc. in march 2015 , we formed mustang to develop immunotherapies based on chimeric antigen receptor t-cells ( “ car-t ” ) , which it licensed from city of hope ( “ coh ” ) . in connection with the license agreement , mustang also entered into a sponsored research agreement with coh in which mustang will fund continued research at coh related to car-t ( see note 6 of notes to consolidated financial statements ) . journey medical corporation in march 2015 , jmc , our dermatology focused subsidiary , entered into a license and supply agreement to acquire rights to distribute a dermatological product for the treatment of acne ( see note 7 of notes to consolidated financial statements ) . in october 2015 , jmc entered into a co-promote agreement to sell a 2 % topical lotion , dermasorb hc , for the treatment of corticosteroid-responsive dermatoses . in january 2016 , jmc entered into a product license and supply agreement with a third party . to distribute a topical cream to promote wound healing for surgical treatments such as cryosurgery , mohs surgery and biopsies . also in january 2016 , jmc entered into a distribution agreement with a third party to distribute an emollient for the treatment of eczema . 29 helocyte , inc. helocyte , formerly diavax , was formed to develop novel immunotherapies for the prevention and treatment of cytomegalovirus ( “ cmv ” ) , a common virus that affects people of all ages . on april 2 , 2015 , helocyte entered into an agreement with coh to secure exclusive worldwide rights for two t-cell immunotherapeutic vaccines for controlling cmv , known as triplex and pepvax in allogeneic hematopoietic stem cell transplant ( “ hsct ” ) and solid organ transplant ( “ sot ” ) recipients . triplex and pepvax have now both entered into phase 2 clinical studies , with pepvax expected to enroll patients later this year . both programs are supported by grants paid and payable to coh from the national cancer institute . in connection with the licensing of triplex and pepvax , helocyte further entered into an option agreement with coh for exclusive worldwide rights to pentamer , a universal immunotherapeutic vaccine being developed for the prevention of cmv transmission in utero , and exercised this option on april 28 , 2015 ( see note 6 of notes to consolidated financial statements ) . coronado so co. in january 2015 , coronado so , entered into an exclusive license agreement with a third party for a license for a phase 2 , uracil topical cream used in the treatment and prevention of hand-foot syndrome , a common painful side effect of chemotherapeutics . in june 2015 , the fda accepted specific components of a planned phase 2 study ( see note 6 of notes to consolidated financial statements ) . escala therapeutics , inc. on july 16 , 2015 , escala , formerly altamira , acquired from new zealand pharmaceuticals limited ( “ nzp ” ) a license from the national institutes of health ( “ nih ” ) and cooperative research and development agreements ( “ cradas ” ) for the development of oral n-acetyl-d-mannosamine ( “ mannac ” ) , a key compound in the sialic biosynthetic pathway for the treatment of hyposialylation disorders , including gne myopathy and various forms of nephropathy ( see note 6 of notes to consolidated financial statements ) . critical accounting policies and use of estimates our discussion and analysis of our financial condition and results of operations is based on our consolidated financial statements , which have been prepared in accordance with accounting principles generally accepted in the united states , or gaap . the preparation of these financial statements requires us to make estimates and judgments that affect the reported amounts of assets , liabilities , revenues and expenses and the disclosure of contingent assets and liabilities in our financial statements . on an ongoing basis , we evaluate our estimates and judgments , including those related to research and development , accrued expenses , stock-based compensation and fair value of investments . we base our estimates on historical experience , known trends and events and various other factors that are believed to be reasonable under the circumstances , the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources . actual results may differ from these estimates under different assumptions or conditions . research and development expenses research and development costs are expensed as incurred . advance payments for goods and services that will be used in future research and development activities are expensed when the activity has been performed or when the goods have been received rather than when the payments are made . story_separator_special_tag for the new york , ny lease that commences in 2016 , we have in place desk share agreements that reimburse us for $ 24.4 million , or 60 % , of the $ 40.7 million obligation through the term of our lease . ( 3 ) annual sublicense fees are projected through 2025 and include payments to ovamed , falk and university college of london business plc , or uclb and sponsored research agreement between coh and mustang . at december 31 , 2015 $ 4.3 million related to falk and ovamed are recorded in accrued expenses . ( 4 ) we have $ 14.9 million of open purchase orders of which $ 0.9 million are for avenue , $ 3.0 million for checkpoint , $ 0.7 million for escala , $ 0.2 million for helocyte , $ 2.3 million for fortress and $ 8.0 million for jmc . a majority of our purchase orders may be cancelled without significant penalty to us or our subsidiaries . in march 2015 , we closed the nsc note . the effective interest rate on the nsc note approximates 11.3 % . the nsc note was amended and restated on july 29 , 2015 to provide that any time a fortress company receives from us any proceeds from the nsc note , we may , in our sole discretion , cause the fortress company to issue to nsc biotech venture fund i llc a new promissory note ( the “ amended nsc note ” ) on identical terms as the nsc note , giving effect to the passage of time with respect to maturity . the amended nsc note will equal the dollar amount of the fortress company 's share of the nsc note and reduce our obligations under the nsc note by such amount . we will guarantee the amended nsc note until the fortress company either completes an initial public offering or raises sufficient equity capital so that it has cash equal to five times the amended nsc note . at december 31 , 2015 , the amount of debt outstanding under the nsc note was $ 10.0 million of which $ 2.8 million was transferred to checkpoint and $ 3.0 million was transferred to avenue . in february 2016 , checkpoint repaid its outstanding debt of $ 2.8 million ( see note 8 of notes to the consolidated financial statements ) . 36 in february 2014 , we repaid in full the hercules note and entered into the idb note , under which we can borrow up to $ 15.0 million . at december 31 , 2015 , the amount of debt outstanding under the idb note was $ 14.0 million ( see note 8 of notes to the consolidated financial statements ) . in october 2015 , we entered into a 5-year lease for approximately 6,100 square feet of office space in waltham , ma at an average annual rent of approximately $ 0.2 million . we took occupancy of this space in january 2016. in november 2014 , jmc entered into a two-year lease for 2,295 square feet of office space in scottsdale , az , at an average annual rent of approximately $ 39,000. total rent expense for the term of this lease will approximate $ 78,000. jmc took occupancy of this space in november 2014. on october 3 , 2014 , we entered into a 15-year lease for office space at 2 gansevoort street new york , ny 10014 , at an average annual rent of $ 2.7 million . we took possession of this space in december 2015 , which will constitute our principal executive office upon occupancy in the first half of 2016. also , on october 3 , 2014 , we entered into desk space agreements with each of oppm and tgtx , to occupy 20 % and 40 % , respectively , of the new york , ny office space that requires them to pay their share of the average annual rent of $ 0.5 million and $ 1.1 million , respectively . these initial rent allocations will be adjusted periodically for each party based upon actual percentage of the office space occupied . additionally , we have reserved the right to execute additional desk space agreements with other third parties and those arrangements will also affect the cost of the lease actually borne by us . the lease was executed to further our business strategy , which includes forming additional subsidiaries and or affiliate companies . mr. weiss is executive chairman , interim chief executive officer and a stockholder of tgtx . the lease is subject to early termination by us , or in circumstances including events of default , the landlord , and includes a five-year extension option in our favor . in april 2013 , we entered into a three-year lease for approximately 1,500 square feet of office space in new york , ny at an average annual rent of approximately $ 0.1 million . total rent expense for the term of this lease was approximately $ 0.4 million . we commenced occupancy of this space in may 2013. in march 2014 , we closed the new york , ny office and entered into a sub-lease with a third party to occupy the space conterminously with our lease agreement . in november 2014 , our sub-tenant vacated the space . as a result , we commenced activities to sub-lease this facility . in december 2012 , we assumed a lease from tso laboratories , inc. , a wholly owned subsidiary of ovamed gmbh , for approximately 8,700 square feet of space in woburn , ma for the purpose of establishing a manufacturing facility for tso . total rent expense for the lease term is approximate $ 0.6 million . annual rental payment is approximately $ 0.1 million . we intend to sublet this space . in july 2012 , we entered into a five-year lease for approximately 3,200

liquidity and capital resources to date , we have funded our operations through cash on hand , the sale of debt , option exercises and a third party financing by checkpoint , aggregating $ 247.9 million of net proceeds . at december 31 , 2015 , we had cash and cash equivalents of $ 98.2 million of which $ 50.4 million relates to checkpoint , plus restricted cash of $ 14.6 million , of which $ 14.0 million is collateralizing the idb note and $ 0.6 million of which is securing a letter of credit used as a security deposit for the new york , ny lease that became effective on october 3 , 2014. in february 2014 , we paid off the hercules note and entered into the idb note . early payment of the hercules note approximated $ 14.0 million consisting of principal of $ 13.2 million , end of term charge of $ 0.4 million , a prepayment fee of $ 0.3 million and interest of $ 0.1 million . prior to repayment , in january 2014 , the company made a scheduled principal payment of $ 0.5 million on the hercules note . in march 2015 , we closed on the nsc note for $ 10.0 million , net of fees of $ 0.9 million . we used the proceeds from the nsc note to acquire medical technologies and products and create subsidiaries in which we can advance these technologies and products . we may require additional financing to fully develop and prepare regulatory filings and obtain regulatory approvals for our existing and new product candidates , fund operating losses , and , if deemed appropriate , establish or secure through third parties manufacturing for our potential products , sales and marketing capabilities . we have funded our operations to date primarily through the sale of equity and debt securities . we believe that our current cash and cash equivalents is sufficient to fund operations for at least the next twelve months .


 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 to date , we have funded our operations through cash on hand , the sale of debt , option exercises and a third party financing by checkpoint , aggregating $ 247.9 million of net proceeds . at december 31 , 2015 , we had cash and cash equivalents of $ 98.2 million of which $ 50.4 million relates to checkpoint , plus restricted cash of $ 14.6 million , of which $ 14.0 million is collateralizing the idb note and $ 0.6 million of which is securing a letter of credit used as a security deposit for the new york , ny lease that became effective on october 3 , 2014. in february 2014 , we paid off the hercules note and entered into the idb note . early payment of the hercules note approximated $ 14.0 million consisting of principal of $ 13.2 million , end of term charge of $ 0.4 million , a prepayment fee of $ 0.3 million and interest of $ 0.1 million . prior to repayment , in january 2014 , the company made a scheduled principal payment of $ 0.5 million on the hercules note . in march 2015 , we closed on the nsc note for $ 10.0 million , net of fees of $ 0.9 million . we used the proceeds from the nsc note to acquire medical technologies and products and create subsidiaries in which we can advance these technologies and products . we may require additional financing to fully develop and prepare regulatory filings and obtain regulatory approvals for our existing and new product candidates , fund operating losses , and , if deemed appropriate , establish or secure through third parties manufacturing for our potential products , sales and marketing capabilities . we have funded our operations to date primarily through the sale of equity and debt securities . we believe that our current cash and cash equivalents is sufficient to fund operations for at least the next twelve months .
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 Suspicious Activity Report : in december 2015 , checkpoint licensed the exclusive worldwide rights to develop and commercialize ck-102 ( formerly cep-9722 ) , a poly ( adp-ribose ) polymerase ( “ parp ” ) inhibitor , from teva pharmaceutical industries ltd. , through its subsidiary , cephalon , inc. ck-102 is an oral , small molecule selective inhibitor of parp-1 and parp-2 enzymes in early clinical development for solid tumors . checkpoint plans to develop ck-102 as both a monotherapy and in combination with other anti-cancer agents , including checkpoint 's novel immuno-oncology and checkpoint inhibitor antibodies currently in development . checkpoint expects clinical trials to start in the first half of 2016 for their egfr inhibitor and the second half of 2016 for their parp inhibitor and one or more of the dana-farber antibodies . also in december 2015 , checkpoint closed on gross proceeds of $ 57.8 million , before commissions and expenses , in a series of private placement equity financings . net proceeds from this offering was approximately $ 51.5 million . mustang bio , inc. in march 2015 , we formed mustang to develop immunotherapies based on chimeric antigen receptor t-cells ( “ car-t ” ) , which it licensed from city of hope ( “ coh ” ) . in connection with the license agreement , mustang also entered into a sponsored research agreement with coh in which mustang will fund continued research at coh related to car-t ( see note 6 of notes to consolidated financial statements ) . journey medical corporation in march 2015 , jmc , our dermatology focused subsidiary , entered into a license and supply agreement to acquire rights to distribute a dermatological product for the treatment of acne ( see note 7 of notes to consolidated financial statements ) . in october 2015 , jmc entered into a co-promote agreement to sell a 2 % topical lotion , dermasorb hc , for the treatment of corticosteroid-responsive dermatoses . in january 2016 , jmc entered into a product license and supply agreement with a third party . to distribute a topical cream to promote wound healing for surgical treatments such as cryosurgery , mohs surgery and biopsies . also in january 2016 , jmc entered into a distribution agreement with a third party to distribute an emollient for the treatment of eczema . 29 helocyte , inc. helocyte , formerly diavax , was formed to develop novel immunotherapies for the prevention and treatment of cytomegalovirus ( “ cmv ” ) , a common virus that affects people of all ages . on april 2 , 2015 , helocyte entered into an agreement with coh to secure exclusive worldwide rights for two t-cell immunotherapeutic vaccines for controlling cmv , known as triplex and pepvax in allogeneic hematopoietic stem cell transplant ( “ hsct ” ) and solid organ transplant ( “ sot ” ) recipients . triplex and pepvax have now both entered into phase 2 clinical studies , with pepvax expected to enroll patients later this year . both programs are supported by grants paid and payable to coh from the national cancer institute . in connection with the licensing of triplex and pepvax , helocyte further entered into an option agreement with coh for exclusive worldwide rights to pentamer , a universal immunotherapeutic vaccine being developed for the prevention of cmv transmission in utero , and exercised this option on april 28 , 2015 ( see note 6 of notes to consolidated financial statements ) . coronado so co. in january 2015 , coronado so , entered into an exclusive license agreement with a third party for a license for a phase 2 , uracil topical cream used in the treatment and prevention of hand-foot syndrome , a common painful side effect of chemotherapeutics . in june 2015 , the fda accepted specific components of a planned phase 2 study ( see note 6 of notes to consolidated financial statements ) . escala therapeutics , inc. on july 16 , 2015 , escala , formerly altamira , acquired from new zealand pharmaceuticals limited ( “ nzp ” ) a license from the national institutes of health ( “ nih ” ) and cooperative research and development agreements ( “ cradas ” ) for the development of oral n-acetyl-d-mannosamine ( “ mannac ” ) , a key compound in the sialic biosynthetic pathway for the treatment of hyposialylation disorders , including gne myopathy and various forms of nephropathy ( see note 6 of notes to consolidated financial statements ) . critical accounting policies and use of estimates our discussion and analysis of our financial condition and results of operations is based on our consolidated financial statements , which have been prepared in accordance with accounting principles generally accepted in the united states , or gaap . the preparation of these financial statements requires us to make estimates and judgments that affect the reported amounts of assets , liabilities , revenues and expenses and the disclosure of contingent assets and liabilities in our financial statements . on an ongoing basis , we evaluate our estimates and judgments , including those related to research and development , accrued expenses , stock-based compensation and fair value of investments . we base our estimates on historical experience , known trends and events and various other factors that are believed to be reasonable under the circumstances , the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources . actual results may differ from these estimates under different assumptions or conditions . research and development expenses research and development costs are expensed as incurred . advance payments for goods and services that will be used in future research and development activities are expensed when the activity has been performed or when the goods have been received rather than when the payments are made . story_separator_special_tag for the new york , ny lease that commences in 2016 , we have in place desk share agreements that reimburse us for $ 24.4 million , or 60 % , of the $ 40.7 million obligation through the term of our lease . ( 3 ) annual sublicense fees are projected through 2025 and include payments to ovamed , falk and university college of london business plc , or uclb and sponsored research agreement between coh and mustang . at december 31 , 2015 $ 4.3 million related to falk and ovamed are recorded in accrued expenses . ( 4 ) we have $ 14.9 million of open purchase orders of which $ 0.9 million are for avenue , $ 3.0 million for checkpoint , $ 0.7 million for escala , $ 0.2 million for helocyte , $ 2.3 million for fortress and $ 8.0 million for jmc . a majority of our purchase orders may be cancelled without significant penalty to us or our subsidiaries . in march 2015 , we closed the nsc note . the effective interest rate on the nsc note approximates 11.3 % . the nsc note was amended and restated on july 29 , 2015 to provide that any time a fortress company receives from us any proceeds from the nsc note , we may , in our sole discretion , cause the fortress company to issue to nsc biotech venture fund i llc a new promissory note ( the “ amended nsc note ” ) on identical terms as the nsc note , giving effect to the passage of time with respect to maturity . the amended nsc note will equal the dollar amount of the fortress company 's share of the nsc note and reduce our obligations under the nsc note by such amount . we will guarantee the amended nsc note until the fortress company either completes an initial public offering or raises sufficient equity capital so that it has cash equal to five times the amended nsc note . at december 31 , 2015 , the amount of debt outstanding under the nsc note was $ 10.0 million of which $ 2.8 million was transferred to checkpoint and $ 3.0 million was transferred to avenue . in february 2016 , checkpoint repaid its outstanding debt of $ 2.8 million ( see note 8 of notes to the consolidated financial statements ) . 36 in february 2014 , we repaid in full the hercules note and entered into the idb note , under which we can borrow up to $ 15.0 million . at december 31 , 2015 , the amount of debt outstanding under the idb note was $ 14.0 million ( see note 8 of notes to the consolidated financial statements ) . in october 2015 , we entered into a 5-year lease for approximately 6,100 square feet of office space in waltham , ma at an average annual rent of approximately $ 0.2 million . we took occupancy of this space in january 2016. in november 2014 , jmc entered into a two-year lease for 2,295 square feet of office space in scottsdale , az , at an average annual rent of approximately $ 39,000. total rent expense for the term of this lease will approximate $ 78,000. jmc took occupancy of this space in november 2014. on october 3 , 2014 , we entered into a 15-year lease for office space at 2 gansevoort street new york , ny 10014 , at an average annual rent of $ 2.7 million . we took possession of this space in december 2015 , which will constitute our principal executive office upon occupancy in the first half of 2016. also , on october 3 , 2014 , we entered into desk space agreements with each of oppm and tgtx , to occupy 20 % and 40 % , respectively , of the new york , ny office space that requires them to pay their share of the average annual rent of $ 0.5 million and $ 1.1 million , respectively . these initial rent allocations will be adjusted periodically for each party based upon actual percentage of the office space occupied . additionally , we have reserved the right to execute additional desk space agreements with other third parties and those arrangements will also affect the cost of the lease actually borne by us . the lease was executed to further our business strategy , which includes forming additional subsidiaries and or affiliate companies . mr. weiss is executive chairman , interim chief executive officer and a stockholder of tgtx . the lease is subject to early termination by us , or in circumstances including events of default , the landlord , and includes a five-year extension option in our favor . in april 2013 , we entered into a three-year lease for approximately 1,500 square feet of office space in new york , ny at an average annual rent of approximately $ 0.1 million . total rent expense for the term of this lease was approximately $ 0.4 million . we commenced occupancy of this space in may 2013. in march 2014 , we closed the new york , ny office and entered into a sub-lease with a third party to occupy the space conterminously with our lease agreement . in november 2014 , our sub-tenant vacated the space . as a result , we commenced activities to sub-lease this facility . in december 2012 , we assumed a lease from tso laboratories , inc. , a wholly owned subsidiary of ovamed gmbh , for approximately 8,700 square feet of space in woburn , ma for the purpose of establishing a manufacturing facility for tso . total rent expense for the lease term is approximate $ 0.6 million . annual rental payment is approximately $ 0.1 million . we intend to sublet this space . in july 2012 , we entered into a five-year lease for approximately 3,200

