a second phase 1 clinical trial evaluating jzp-386 was initiated in the first quarter of 2015 with data expected in the second quarter of 2015 which will inform the next steps in the development of the program . 73 deuterated ivacaftor is a potential treatment for cystic fibrosis . cystic fibrosis is a life-threatening , hereditary genetic disease that primarily affects the lungs and digestive system . the cause is a defect in the gene that encodes for cystic fibrosis transmembrane conductance regulator , a protein which regulates components of sweat , mucus and digestion . according to the cystic fibrosis foundation , an estimated 70,000 people worldwide have cystic fibrosis . many people with the disease can now live into their 30s and beyond . we intend to advance the program into clinical evaluation in 2015. we plan to continue to seek to identify compounds that can be improved through selective deuterium substitution and believe we are capable of identifying one to two novel deuterated compounds per year that we can advance into preclinical development while concurrently progressing our existing pipeline . since our inception in 2006 , we have devoted substantially all of our resources to our research and development efforts , including activities to develop our dce platform , or deuterated chemical entity platform , and our core capabilities in deuterium chemistry , identify potential product candidates , undertake non-clinical studies and clinical trials , manufacture product in compliance with current good manufacturing practices , provide general and administrative support for these operations and establish our intellectual property . we have generated an accumulated deficit of $ 145.3 million since inception through december 31 , 2014 and will require substantial additional capital to fund our research and development . we do not have any products approved for sale and have not generated any revenue from product sales . we have funded our operations primarily through the public offering and private placement of our equity , debt financing and funding from collaborations . in the first quarter of 2014 , we completed the sale of 6,649,690 shares of common stock in our initial public offering , or ipo , at a price to the public of $ 14.00 per share , resulting in net proceeds to us of $ 83.1 million after deducting underwriting discounts and commissions of $ 6.5 million and offering costs of $ 3.5 million . we have incurred net losses in each year from our inception in 2006 through 2014. our net losses were $ 31.7 million , $ 6.1 million and $ 20.4 million for the years ended december 31 , 2014 , 2013 and 2012 , respectively . we do not expect to be profitable for the year ending december 31 , 2015. substantially all of our net losses have resulted from costs incurred in connection with our research and development programs and from general and administrative costs associated with our operations . we expect to continue to incur significant expenses and increasing operating losses for at least the next several years . we expect our expenses will increase substantially in connection with our ongoing activities as we : continue to develop and conduct additional non-clinical studies and clinical trials with respect to ctp-354 ; initiate and continue research , non-clinical and clinical development efforts for our other product candidates and potential product candidates ; seek to identify additional product candidates ; seek marketing approvals for our product candidates that successfully complete clinical trials ; establish sales , marketing , distribution and other commercial infrastructure in the future to commercialize various products for which we may obtain marketing approval ; require the manufacture of larger quantities of product candidates for clinical development and potentially commercialization ; maintain , expand and protect our intellectual property portfolio ; hire additional personnel ; add equipment and physical infrastructure to support our research and development ; and continue to implement the infrastructure necessary to support our product development and help us comply with our obligations as a public company . 74 we do not expect to generate revenue from product sales unless and until we , or our collaborators , successfully complete development and obtain marketing approval for one or more of our product candidates , which we expect will take a number of years and is subject to significant uncertainty . we have developed the internal capability to manufacture up to low kilogram quantities of deuterated active pharmaceutical ingredients for use in phase 1 clinical trials . however , to date , almost all of our manufacturing activities have been performed by third parties . additionally , we currently utilize third-party contract research organizations to carry out our clinical development activities and we do not yet have a sales organization . if we obtain , or believe that we are likely to obtain , marketing approval for any of our product candidates for which we retain commercialization rights , we expect to incur significant commercialization expenses related to product sales , marketing , manufacturing and distribution . we expect to seek to fund our operations through a combination of equity offerings , debt financings and additional collaborations and licensing arrangements for at least the next several years . however , we may be unable to raise additional funds or enter into such other arrangements when needed on favorable terms or at all . our failure to raise capital or enter into such other arrangements as and when needed would force us to delay , limit , reduce or terminate our research and development programs and could have a material adverse effect on our financial condition and our ability to develop our products . we will need to generate significant revenues to achieve sustained profitability and we may never do so . collaborations we have entered into a number of collaborations for the research , development and commercialization of deuterated compounds . story_separator_special_tag the duration , costs , and timing of clinical trials and development of our product candidates will depend on a variety of factors , including : the scope and rate of progress of our ongoing as well as any additional clinical trials and other research and development activities ; results from ongoing as well as any additional clinical trials and research and development activities ; significant and changing government regulation ; the terms and timing and receipt of any regulatory approvals ; the performance of our collaborators ; our ability to manufacture , market , commercialize and achieve market acceptance for any of our product candidates that we are developing or may develop in the future ; and the expense and success of filing , prosecuting , defending and enforcing any patent claims and other intellectual property rights . a change in the outcome of any of these variables with respect to the development of a product candidate could mean a significant change in the costs and timing associated with the development of that product candidate . for example , if the fda or another regulatory authority were to require us to conduct clinical trials or other research and development activities beyond those that we currently anticipate will be required for the completion of clinical development of a product candidate , or if we experience significant delays in enrollment in any of our clinical trials , we could be required to expend significant additional financial resources and time on the completion of clinical development . research and development activities are central to our business model . product candidates in later stages of clinical development generally have higher development costs than those in earlier stages of clinical development , primarily due to the increased size and duration of later-stage clinical trials . we expect research and development costs to increase significantly for the foreseeable future as our product candidate development programs progress but we do not believe that it is possible at this time to accurately project total program-specific expenses through commercialization . there are numerous factors associated with the successful commercialization of any of our product candidates , including future trial design and various regulatory requirements , many of which can not be determined with accuracy at this time based on our stage of development . additionally , future commercial and regulatory factors beyond our control will impact our clinical development programs and plans . general and administrative expenses general and administrative expenses consist primarily of salaries and related costs for personnel , including stock-based compensation and travel expenses for our employees in executive , operational , finance , legal , business development and human resource functions . other general and administrative expenses include facility-related costs , depreciation and other expenses not allocated to research and development expense and professional fees for directors , accounting and legal services and expenses associated with obtaining and maintaining patents . 79 we anticipate that our general and administrative expenses will increase in the future as our pipeline grows and matures . additionally , if and when we believe a regulatory approval of the first product candidate that we intend to commercialize on our own appears likely , we anticipate an increase in payroll and related expenses as a result of our preparation for commercial operations , especially as it relates to the sales , marketing and distribution of our product candidates . investment income investment income consists of interest income earned on cash equivalents and investments . interest and other expense interest and other expense consists primarily of interest expense on amounts outstanding under our debt facility with hercules , amortization of debt discount and the re-measurement gain or loss associated with the change in the fair value of the preferred stock warrant liability . critical accounting policies and significant judgments and estimates our management 's discussion and analysis of our financial condition and results of operations are based on our consolidated financial statements , which have been prepared in accordance with u.s. generally accepted accounting principles . the preparation of these financial statements requires us to make judgments and estimates that affect the reported amounts of assets , liabilities , revenues , and expenses and the disclosure of contingent assets and liabilities in our financial statements . we base our estimates on historical experience , known trends and events , and various other factors that are believed to be reasonable under the circumstances . actual results may differ from these estimates under different assumptions or conditions . on an ongoing basis , we evaluate our judgments and estimates in light of changes in circumstances , facts and experience . the effects of material revisions in estimates , if any , will be reflected in the consolidated financial statements prospectively from the date of change in estimates . while our significant accounting policies are described in more detail in the notes to our consolidated financial statements appearing elsewhere in this annual report on form 10-k , we believe the following accounting policies used in the preparation of our financial statements require the most significant judgments and estimates : revenue recognition ; accrued research and development expense ; and stock-based compensation . revenue recognition we have primarily generated revenue through arrangements with collaborators for the development and commercialization of product candidates . collaboration revenue the terms of our collaboration and license agreements have typically contained multiple elements , or deliverables , which have included licenses , or options to obtain licenses , to product candidates , referred to as exclusive licenses , as well as research and development activities to be performed by us on behalf of the collaborator related to the licensed product candidates . payments that we may receive under these agreements include non-refundable upfront license fees , payment for research and development activities , payments based upon achievement of specified milestones , payment upon exercise of license rights or options to license product candidates and royalties on any resulting product sales

liquidity and capital resources we have incurred cumulative losses and negative cash flows from operations since our inception in april 2006 , and as of december 31 , 2014 , we had an accumulated deficit of $ 145.3 million . we anticipate that we will continue to incur losses for at least the next several years . we expect that our research and development and general and administrative expenses will continue to increase and , as a result , we will need additional capital to fund our operations , which we may raise through a combination of equity offerings , debt financings and additional collaborations and licensing arrangements . we have financed our operations to date primarily through the public offering and private placement of our equity , debt financing and funding from collaborations . as of december 31 , 2014 we had cash and cash equivalents and investments of $ 79.2 million . cash in excess of immediate requirements is invested in accordance with our investment policy , primarily with a view to liquidity and capital preservation . currently , our funds are held in u.s. government-backed securities and money market mutual funds consisting of u.s. government-backed securities . cash flows the following table sets forth the primary sources and uses of cash for each of the periods set forth below : replace_table_token_10_th comparison of the years ended december 31 , 2014 , 2013 and 2012 operating activities . during the years ended december 31 , 2014 , 2013 and 2012 , our operating activities used cash of $ 29.8 million , provided cash of $ 13.0 million and used cash of $ 26.4 million , respectively . the cash provided by or used for operating activities generally approximates our net ( loss ) income adjusted for non-cash items and changes in operating assets and liabilities .


 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 we have incurred cumulative losses and negative cash flows from operations since our inception in april 2006 , and as of december 31 , 2014 , we had an accumulated deficit of $ 145.3 million . we anticipate that we will continue to incur losses for at least the next several years . we expect that our research and development and general and administrative expenses will continue to increase and , as a result , we will need additional capital to fund our operations , which we may raise through a combination of equity offerings , debt financings and additional collaborations and licensing arrangements . we have financed our operations to date primarily through the public offering and private placement of our equity , debt financing and funding from collaborations . as of december 31 , 2014 we had cash and cash equivalents and investments of $ 79.2 million . cash in excess of immediate requirements is invested in accordance with our investment policy , primarily with a view to liquidity and capital preservation . currently , our funds are held in u.s. government-backed securities and money market mutual funds consisting of u.s. government-backed securities . cash flows the following table sets forth the primary sources and uses of cash for each of the periods set forth below : replace_table_token_10_th comparison of the years ended december 31 , 2014 , 2013 and 2012 operating activities . during the years ended december 31 , 2014 , 2013 and 2012 , our operating activities used cash of $ 29.8 million , provided cash of $ 13.0 million and used cash of $ 26.4 million , respectively . the cash provided by or used for operating activities generally approximates our net ( loss ) income adjusted for non-cash items and changes in operating assets and liabilities .
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 Suspicious Activity Report : a second phase 1 clinical trial evaluating jzp-386 was initiated in the first quarter of 2015 with data expected in the second quarter of 2015 which will inform the next steps in the development of the program . 73 deuterated ivacaftor is a potential treatment for cystic fibrosis . cystic fibrosis is a life-threatening , hereditary genetic disease that primarily affects the lungs and digestive system . the cause is a defect in the gene that encodes for cystic fibrosis transmembrane conductance regulator , a protein which regulates components of sweat , mucus and digestion . according to the cystic fibrosis foundation , an estimated 70,000 people worldwide have cystic fibrosis . many people with the disease can now live into their 30s and beyond . we intend to advance the program into clinical evaluation in 2015. we plan to continue to seek to identify compounds that can be improved through selective deuterium substitution and believe we are capable of identifying one to two novel deuterated compounds per year that we can advance into preclinical development while concurrently progressing our existing pipeline . since our inception in 2006 , we have devoted substantially all of our resources to our research and development efforts , including activities to develop our dce platform , or deuterated chemical entity platform , and our core capabilities in deuterium chemistry , identify potential product candidates , undertake non-clinical studies and clinical trials , manufacture product in compliance with current good manufacturing practices , provide general and administrative support for these operations and establish our intellectual property . we have generated an accumulated deficit of $ 145.3 million since inception through december 31 , 2014 and will require substantial additional capital to fund our research and development . we do not have any products approved for sale and have not generated any revenue from product sales . we have funded our operations primarily through the public offering and private placement of our equity , debt financing and funding from collaborations . in the first quarter of 2014 , we completed the sale of 6,649,690 shares of common stock in our initial public offering , or ipo , at a price to the public of $ 14.00 per share , resulting in net proceeds to us of $ 83.1 million after deducting underwriting discounts and commissions of $ 6.5 million and offering costs of $ 3.5 million . we have incurred net losses in each year from our inception in 2006 through 2014. our net losses were $ 31.7 million , $ 6.1 million and $ 20.4 million for the years ended december 31 , 2014 , 2013 and 2012 , respectively . we do not expect to be profitable for the year ending december 31 , 2015. substantially all of our net losses have resulted from costs incurred in connection with our research and development programs and from general and administrative costs associated with our operations . we expect to continue to incur significant expenses and increasing operating losses for at least the next several years . we expect our expenses will increase substantially in connection with our ongoing activities as we : continue to develop and conduct additional non-clinical studies and clinical trials with respect to ctp-354 ; initiate and continue research , non-clinical and clinical development efforts for our other product candidates and potential product candidates ; seek to identify additional product candidates ; seek marketing approvals for our product candidates that successfully complete clinical trials ; establish sales , marketing , distribution and other commercial infrastructure in the future to commercialize various products for which we may obtain marketing approval ; require the manufacture of larger quantities of product candidates for clinical development and potentially commercialization ; maintain , expand and protect our intellectual property portfolio ; hire additional personnel ; add equipment and physical infrastructure to support our research and development ; and continue to implement the infrastructure necessary to support our product development and help us comply with our obligations as a public company . 74 we do not expect to generate revenue from product sales unless and until we , or our collaborators , successfully complete development and obtain marketing approval for one or more of our product candidates , which we expect will take a number of years and is subject to significant uncertainty . we have developed the internal capability to manufacture up to low kilogram quantities of deuterated active pharmaceutical ingredients for use in phase 1 clinical trials . however , to date , almost all of our manufacturing activities have been performed by third parties . additionally , we currently utilize third-party contract research organizations to carry out our clinical development activities and we do not yet have a sales organization . if we obtain , or believe that we are likely to obtain , marketing approval for any of our product candidates for which we retain commercialization rights , we expect to incur significant commercialization expenses related to product sales , marketing , manufacturing and distribution . we expect to seek to fund our operations through a combination of equity offerings , debt financings and additional collaborations and licensing arrangements for at least the next several years . however , we may be unable to raise additional funds or enter into such other arrangements when needed on favorable terms or at all . our failure to raise capital or enter into such other arrangements as and when needed would force us to delay , limit , reduce or terminate our research and development programs and could have a material adverse effect on our financial condition and our ability to develop our products . we will need to generate significant revenues to achieve sustained profitability and we may never do so . collaborations we have entered into a number of collaborations for the research , development and commercialization of deuterated compounds . story_separator_special_tag the duration , costs , and timing of clinical trials and development of our product candidates will depend on a variety of factors , including : the scope and rate of progress of our ongoing as well as any additional clinical trials and other research and development activities ; results from ongoing as well as any additional clinical trials and research and development activities ; significant and changing government regulation ; the terms and timing and receipt of any regulatory approvals ; the performance of our collaborators ; our ability to manufacture , market , commercialize and achieve market acceptance for any of our product candidates that we are developing or may develop in the future ; and the expense and success of filing , prosecuting , defending and enforcing any patent claims and other intellectual property rights . a change in the outcome of any of these variables with respect to the development of a product candidate could mean a significant change in the costs and timing associated with the development of that product candidate . for example , if the fda or another regulatory authority were to require us to conduct clinical trials or other research and development activities beyond those that we currently anticipate will be required for the completion of clinical development of a product candidate , or if we experience significant delays in enrollment in any of our clinical trials , we could be required to expend significant additional financial resources and time on the completion of clinical development . research and development activities are central to our business model . product candidates in later stages of clinical development generally have higher development costs than those in earlier stages of clinical development , primarily due to the increased size and duration of later-stage clinical trials . we expect research and development costs to increase significantly for the foreseeable future as our product candidate development programs progress but we do not believe that it is possible at this time to accurately project total program-specific expenses through commercialization . there are numerous factors associated with the successful commercialization of any of our product candidates , including future trial design and various regulatory requirements , many of which can not be determined with accuracy at this time based on our stage of development . additionally , future commercial and regulatory factors beyond our control will impact our clinical development programs and plans . general and administrative expenses general and administrative expenses consist primarily of salaries and related costs for personnel , including stock-based compensation and travel expenses for our employees in executive , operational , finance , legal , business development and human resource functions . other general and administrative expenses include facility-related costs , depreciation and other expenses not allocated to research and development expense and professional fees for directors , accounting and legal services and expenses associated with obtaining and maintaining patents . 79 we anticipate that our general and administrative expenses will increase in the future as our pipeline grows and matures . additionally , if and when we believe a regulatory approval of the first product candidate that we intend to commercialize on our own appears likely , we anticipate an increase in payroll and related expenses as a result of our preparation for commercial operations , especially as it relates to the sales , marketing and distribution of our product candidates . investment income investment income consists of interest income earned on cash equivalents and investments . interest and other expense interest and other expense consists primarily of interest expense on amounts outstanding under our debt facility with hercules , amortization of debt discount and the re-measurement gain or loss associated with the change in the fair value of the preferred stock warrant liability . critical accounting policies and significant judgments and estimates our management 's discussion and analysis of our financial condition and results of operations are based on our consolidated financial statements , which have been prepared in accordance with u.s. generally accepted accounting principles . the preparation of these financial statements requires us to make judgments and estimates that affect the reported amounts of assets , liabilities , revenues , and expenses and the disclosure of contingent assets and liabilities in our financial statements . we base our estimates on historical experience , known trends and events , and various other factors that are believed to be reasonable under the circumstances . actual results may differ from these estimates under different assumptions or conditions . on an ongoing basis , we evaluate our judgments and estimates in light of changes in circumstances , facts and experience . the effects of material revisions in estimates , if any , will be reflected in the consolidated financial statements prospectively from the date of change in estimates . while our significant accounting policies are described in more detail in the notes to our consolidated financial statements appearing elsewhere in this annual report on form 10-k , we believe the following accounting policies used in the preparation of our financial statements require the most significant judgments and estimates : revenue recognition ; accrued research and development expense ; and stock-based compensation . revenue recognition we have primarily generated revenue through arrangements with collaborators for the development and commercialization of product candidates . collaboration revenue the terms of our collaboration and license agreements have typically contained multiple elements , or deliverables , which have included licenses , or options to obtain licenses , to product candidates , referred to as exclusive licenses , as well as research and development activities to be performed by us on behalf of the collaborator related to the licensed product candidates . payments that we may receive under these agreements include non-refundable upfront license fees , payment for research and development activities , payments based upon achievement of specified milestones , payment upon exercise of license rights or options to license product candidates and royalties on any resulting product sales

