86 by inhibiting srebp , a master regulator of lipid metabolism in the body , cat-2054 has the potential to significantly reduce low-density lipoprotein cholesterol , or ldl-c ; it may also have beneficial effects on other metabolic parameters such as triglycerides , glucose and liver fat . this profile may differentiate cat-2054 from currently approved therapies for hypercholesterolemia and others in development . we are developing cat-2054 to be used in addition to statins in patients who can not achieve their ldl-c goals with statins alone . we initiated a phase 2a trial in patients with hypercholesterolemia in december 2015 , which is ongoing . we anticipate that we will report top-line data from the phase 2a trial in the third quarter of 2016. additionally , we are currently conducting studies and have generated positive data in preclinical models that support the therapeutic potential of the cat-2000 series in nonalcoholic steatohepatitis , or nash . cat-4001 is a smart linker conjugate of monomethyl fumarate and dha . cat-4001 is a small molecule that activates nrf2 and inhibits nf- k b , or nuclear factor kappa-light chain enhancer of activated b cells , that we are developing as a potential treatment for neurodegenerative diseases such as friedreich 's ataxia and amyotrophic lateral sclerosis , or als . nrf2 , or nuclear factor ( erythroid-derived 2 ) -like 2 , is a gene transcription factor , a protein that works inside of cells to control the expression of genes , that controls the body 's response to cellular stress and oxidative damage . the nrf2 and nf- k b pathways have been implicated in friedreich 's ataxia and als . we plan to conduct investigational new drug application , or ind , enabling studies in 2016 for cat-4001 . we hold rights to cat-4001 throughout the world . since our inception in june 2008 , we have devoted substantially all of our resources to developing our proprietary platform technology , identifying potential product candidates , undertaking preclinical studies and conducting clinical trials for our three clinical-stage compounds , building our intellectual property portfolio , organizing and staffing our company , business planning , raising capital , and providing general and administrative support for these operations . to date , we have primarily financed our operations through private placements of our preferred stock , a secured debt financing , and our ipo . from our inception through december 31 , 2015 , we had raised an aggregate of $ 172.2 million , of which $ 92.9 million was from private placements of preferred stock , $ 69.0 million represented in gross proceeds from our ipo , $ 10.0 million was from a secured debt financing and $ 0.3 million was from common stock option exercises . in june 2015 , we completed our ipo , in which we sold an aggregate of 5,750,000 shares of our common stock , including 750,000 shares of common stock sold pursuant to the underwriters ' exercise of their option to purchase additional shares of common stock , at a price to the public of $ 12.00 per share . net proceeds from the ipo were $ 61.7 million , after deducting underwriting discounts , commissions and offering-related expenses of approximately $ 7.3 million . in connection with our ipo , all shares of our preferred stock were automatically converted into an aggregate of 9,029,549 shares of our common stock and our outstanding warrants to purchase 315,688 shares of preferred stock were automatically converted into warrants to purchase 24,566 shares of common stock . in connection with the ipo , we also effected a one-for-12.85 reverse split of our common stock . all share , share equivalent and per share amounts presented herein have been adjusted to reflect the reverse stock split . the ratios by which shares of preferred stock are convertible into shares of common stock have been adjusted to reflect the effects of the reverse stock split . we have not generated any revenue to date . we have incurred significant annual net operating losses in every year since our inception and expect to incur a net operating loss in 2015 and continue to incur net operating losses for the foreseeable future . as of december 31 , 2015 , we had an accumulated deficit of $ 108.0 million . we expect to continue to incur significant expenses and increasing operating losses for the next several years . our net losses may fluctuate significantly from quarter to quarter and year to year . we anticipate that our expenses will increase significantly if and as we continue to develop 87 and conduct clinical trials with respect to our cat-1004 and cat-2054 product candidates ; initiate and continue research , preclinical and clinical development efforts for our other product candidates and potential product candidates ; maintain , expand and protect our intellectual property portfolio ; establish a commercial infrastructure to support the marketing and sale of certain of our product candidates ; hire additional personnel , such as clinical , regulatory , quality control and scientific personnel ; and operate as a public company . financial overview revenue to date , we have not generated any revenue from product sales or any other source and do not expect to generate any revenue from the sale of products in the near future . in the future , we will seek to generate revenue primarily from a combination of product sales and collaborations with strategic partners . story_separator_special_tag the risk-free interest rates for periods within the expected life of the option were based on the u.s. treasury yield curve in effect during the period the options were granted . we are also required to estimate forfeitures at the time of grant , and revise those estimates in subsequent periods if actual forfeitures differ from our estimates . we use historical data to estimate pre-vesting option forfeitures and record stock-based compensation expense only for those awards that are expected to vest . to the extent that actual forfeitures differ from our estimates , the difference is recorded as a cumulative adjustment in the period the estimates were revised . stock-based compensation expense recognized in the financial statements is based on awards that are ultimately expected to vest . we have computed the fair value of employee , director , consultant and advisor stock options at date of grant using the following weighted-average assumptions : replace_table_token_7_th prior to our ipo , the estimated fair value of our common stock was determined contemporaneously by our board of directors based on valuation estimates provided by management and prepared in accordance with the framework of the american institute of certified public accountants ' technical practice aid , valuation of privately-held-company equity securities issued as compensation . certain of these valuation estimates were prepared with the assistance of a third-party specialist . our contemporaneous valuations of our common stock were based on a number of objective and subjective factors , including external market conditions affecting the biotechnology industry sector and the prices at which we sold shares of preferred stock , the superior rights and preferences of securities senior to our common stock at the time of each grant and the likelihood of achieving a liquidity event such as an ipo . 93 the following table summarizes the classification of our stock-based compensation expense recognized in our statements of operations ( in thousands ) : replace_table_token_8_th results of operations comparison of the years ended december 31 , 2015 and 2014 the following table summarizes our results of operations for the years ended december 31 , 2015 and 2014 , together with the dollar change in those items ( in thousands ) : replace_table_token_9_th research and development expenses research and development expenses increased by $ 7.3 million to $ 23.0 million for the year ended december 31 , 2015 from $ 15.7 million for the year ended december 31 , 2014 , an increase of 46 % . the increase in research and development expenses was primarily attributable to a net increase of $ 5.7 million in direct program costs , reflecting an increase of $ 5.2 million in costs related to cat-1004 primarily related to the movedmd phase 1/2 clinical trial , and a net increase of $ 0.5 million in costs related to our other programs . in addition , the costs related to internal research and development increased by $ 1.6 million , $ 0.8 million of which was attributable to compensation increases for new hires , $ 0.4 million of which was attributable to obligations under a letter agreement with a former employee , pursuant to which we agreed to make severance payments , $ 0.3 million of which was attributable to increases in consulting and professional services , and $ 0.1 million of which was attributable to increased facilities expense . general and administrative expenses general and administrative expenses increased by $ 2.6 million to $ 8.6 million for the year ended december 31 , 2015 from $ 6.0 million for the year ended december 31 , 2014 , an increase of 43 % . the increase in general and administrative expenses was primarily attributable to increased employee costs of $ 1.4 million associated with salaries , benefits , and stock-based compensation expenses for new hires ; increased consulting and professional fees and franchise taxes of $ 0.8 million , driven by the costs of becoming and operating as a public company ; increased insurance expense of $ 0.3 million due to our public company directors and officers insurance policy ; and increased facilities expense of $ 0.1 million . 94 other expense , net other expense , net increased by $ 0.8 million to $ 1.0 million for the year ended december 31 , 2015 from $ 0.2 million for the year ended december 31 , 2014. other expense primarily consists of interest expense , which increased by $ 0.8 million for the year ended december 31 , 2015 due to the interest expense on our credit facility , which we entered into in august 2014. comparison of the years ended december 31 , 2014 and 2013 the following table summarizes our results of operations for the years ended december 31 , 2014 and 2013 , together with the dollar change in those items ( in thousands ) : replace_table_token_10_th research and development expense research and development expenses increased by $ 1.7 million to $ 15.7 million for the year ended december 31 , 2014 from $ 14.0 million for the year ended december 31 , 2013 , an increase of 12 % . the increase in research and development expenses was partially attributable to a net increase of $ 1.0 million in direct program costs , reflecting an increase of $ 2.6 million for cat-2054 manufacturing and preclinical development costs associated with ind-enabling studies , an increase of $ 0.8 million for cat-1004 manufacturing and preclinical development costs , and an increase of $ 0.6 million in our general research and platform programs , which were partially offset by a decrease of $ 3.0 million in cat-2003 clinical trial , manufacturing and preclinical development costs due to the completion of two phase 2 clinical trials in late 2013 and early 2014. in addition , the costs related to internal research and development increased by $ 0.7 million , primarily attributable to stock-based compensation expense . general and administrative expense general and administrative expenses increased by $ 1.9 million

cash flows comparison of the year ended december 31 , 2015 and 2014 the following table provides information regarding our cash flows for the year ended december 31 , 2015 and 2014 ( in thousands ) : replace_table_token_11_th net cash used in operating activities net cash used in operating activities was $ 29.8 million for the year ended december 31 , 2015 and consisted primarily of a net loss of $ 32.6 million adjusted for non-cash items , including stock-based compensation expense of $ 1.7 million , non-cash interest expense of $ 0.3 million and depreciation and amortization expense of $ 0.2 million , and a net decrease in operating assets of $ 0.6 million , which resulted primarily from an increase in accrued expenses of $ 0.9 million and an increase in accounts payable of $ 0.2 million , partially offset by an increase in prepaid expenses and other current assets of $ 0.5 million . 98 net cash used in operating activities was $ 20.4 million for the year ended december 31 , 2014 and consisted primarily of a net loss of $ 21.9 million adjusted for non-cash items , including stock-based compensation expense of $ 0.9 million and depreciation and amortization expense of $ 0.3 million , and a net decrease in operating assets of $ 0.3 million , which resulted primarily from a net increase in accounts payable and accrued expenses of $ 0.5 million , partially offset by an increase in prepaid expenses and other current assets of $ 0.2 million . net cash used in investing activities net cash used in investing activities was $ 0.4 million during the year ended december 31 , 2015 compared to $ 0.2 million during the year ended december 31 , 2014 , an increase of $ 0.2 million , which primarily resulted from leasehold improvements pursuant to expanding our leased office space .


 Write a concise suspicious activity report of the following text delimited by triple backquotes. Return your response as a formal report which covers the key points highlighting the location,dates,entity names and account holder information in chronological order of the text.
     ```cash flows comparison of the year ended december 31 , 2015 and 2014 the following table provides information regarding our cash flows for the year ended december 31 , 2015 and 2014 ( in thousands ) : replace_table_token_11_th net cash used in operating activities net cash used in operating activities was $ 29.8 million for the year ended december 31 , 2015 and consisted primarily of a net loss of $ 32.6 million adjusted for non-cash items , including stock-based compensation expense of $ 1.7 million , non-cash interest expense of $ 0.3 million and depreciation and amortization expense of $ 0.2 million , and a net decrease in operating assets of $ 0.6 million , which resulted primarily from an increase in accrued expenses of $ 0.9 million and an increase in accounts payable of $ 0.2 million , partially offset by an increase in prepaid expenses and other current assets of $ 0.5 million . 98 net cash used in operating activities was $ 20.4 million for the year ended december 31 , 2014 and consisted primarily of a net loss of $ 21.9 million adjusted for non-cash items , including stock-based compensation expense of $ 0.9 million and depreciation and amortization expense of $ 0.3 million , and a net decrease in operating assets of $ 0.3 million , which resulted primarily from a net increase in accounts payable and accrued expenses of $ 0.5 million , partially offset by an increase in prepaid expenses and other current assets of $ 0.2 million . net cash used in investing activities net cash used in investing activities was $ 0.4 million during the year ended december 31 , 2015 compared to $ 0.2 million during the year ended december 31 , 2014 , an increase of $ 0.2 million , which primarily resulted from leasehold improvements pursuant to expanding our leased office space .
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 Suspicious Activity Report : 86 by inhibiting srebp , a master regulator of lipid metabolism in the body , cat-2054 has the potential to significantly reduce low-density lipoprotein cholesterol , or ldl-c ; it may also have beneficial effects on other metabolic parameters such as triglycerides , glucose and liver fat . this profile may differentiate cat-2054 from currently approved therapies for hypercholesterolemia and others in development . we are developing cat-2054 to be used in addition to statins in patients who can not achieve their ldl-c goals with statins alone . we initiated a phase 2a trial in patients with hypercholesterolemia in december 2015 , which is ongoing . we anticipate that we will report top-line data from the phase 2a trial in the third quarter of 2016. additionally , we are currently conducting studies and have generated positive data in preclinical models that support the therapeutic potential of the cat-2000 series in nonalcoholic steatohepatitis , or nash . cat-4001 is a smart linker conjugate of monomethyl fumarate and dha . cat-4001 is a small molecule that activates nrf2 and inhibits nf- k b , or nuclear factor kappa-light chain enhancer of activated b cells , that we are developing as a potential treatment for neurodegenerative diseases such as friedreich 's ataxia and amyotrophic lateral sclerosis , or als . nrf2 , or nuclear factor ( erythroid-derived 2 ) -like 2 , is a gene transcription factor , a protein that works inside of cells to control the expression of genes , that controls the body 's response to cellular stress and oxidative damage . the nrf2 and nf- k b pathways have been implicated in friedreich 's ataxia and als . we plan to conduct investigational new drug application , or ind , enabling studies in 2016 for cat-4001 . we hold rights to cat-4001 throughout the world . since our inception in june 2008 , we have devoted substantially all of our resources to developing our proprietary platform technology , identifying potential product candidates , undertaking preclinical studies and conducting clinical trials for our three clinical-stage compounds , building our intellectual property portfolio , organizing and staffing our company , business planning , raising capital , and providing general and administrative support for these operations . to date , we have primarily financed our operations through private placements of our preferred stock , a secured debt financing , and our ipo . from our inception through december 31 , 2015 , we had raised an aggregate of $ 172.2 million , of which $ 92.9 million was from private placements of preferred stock , $ 69.0 million represented in gross proceeds from our ipo , $ 10.0 million was from a secured debt financing and $ 0.3 million was from common stock option exercises . in june 2015 , we completed our ipo , in which we sold an aggregate of 5,750,000 shares of our common stock , including 750,000 shares of common stock sold pursuant to the underwriters ' exercise of their option to purchase additional shares of common stock , at a price to the public of $ 12.00 per share . net proceeds from the ipo were $ 61.7 million , after deducting underwriting discounts , commissions and offering-related expenses of approximately $ 7.3 million . in connection with our ipo , all shares of our preferred stock were automatically converted into an aggregate of 9,029,549 shares of our common stock and our outstanding warrants to purchase 315,688 shares of preferred stock were automatically converted into warrants to purchase 24,566 shares of common stock . in connection with the ipo , we also effected a one-for-12.85 reverse split of our common stock . all share , share equivalent and per share amounts presented herein have been adjusted to reflect the reverse stock split . the ratios by which shares of preferred stock are convertible into shares of common stock have been adjusted to reflect the effects of the reverse stock split . we have not generated any revenue to date . we have incurred significant annual net operating losses in every year since our inception and expect to incur a net operating loss in 2015 and continue to incur net operating losses for the foreseeable future . as of december 31 , 2015 , we had an accumulated deficit of $ 108.0 million . we expect to continue to incur significant expenses and increasing operating losses for the next several years . our net losses may fluctuate significantly from quarter to quarter and year to year . we anticipate that our expenses will increase significantly if and as we continue to develop 87 and conduct clinical trials with respect to our cat-1004 and cat-2054 product candidates ; initiate and continue research , preclinical and clinical development efforts for our other product candidates and potential product candidates ; maintain , expand and protect our intellectual property portfolio ; establish a commercial infrastructure to support the marketing and sale of certain of our product candidates ; hire additional personnel , such as clinical , regulatory , quality control and scientific personnel ; and operate as a public company . financial overview revenue to date , we have not generated any revenue from product sales or any other source and do not expect to generate any revenue from the sale of products in the near future . in the future , we will seek to generate revenue primarily from a combination of product sales and collaborations with strategic partners . story_separator_special_tag the risk-free interest rates for periods within the expected life of the option were based on the u.s. treasury yield curve in effect during the period the options were granted . we are also required to estimate forfeitures at the time of grant , and revise those estimates in subsequent periods if actual forfeitures differ from our estimates . we use historical data to estimate pre-vesting option forfeitures and record stock-based compensation expense only for those awards that are expected to vest . to the extent that actual forfeitures differ from our estimates , the difference is recorded as a cumulative adjustment in the period the estimates were revised . stock-based compensation expense recognized in the financial statements is based on awards that are ultimately expected to vest . we have computed the fair value of employee , director , consultant and advisor stock options at date of grant using the following weighted-average assumptions : replace_table_token_7_th prior to our ipo , the estimated fair value of our common stock was determined contemporaneously by our board of directors based on valuation estimates provided by management and prepared in accordance with the framework of the american institute of certified public accountants ' technical practice aid , valuation of privately-held-company equity securities issued as compensation . certain of these valuation estimates were prepared with the assistance of a third-party specialist . our contemporaneous valuations of our common stock were based on a number of objective and subjective factors , including external market conditions affecting the biotechnology industry sector and the prices at which we sold shares of preferred stock , the superior rights and preferences of securities senior to our common stock at the time of each grant and the likelihood of achieving a liquidity event such as an ipo . 93 the following table summarizes the classification of our stock-based compensation expense recognized in our statements of operations ( in thousands ) : replace_table_token_8_th results of operations comparison of the years ended december 31 , 2015 and 2014 the following table summarizes our results of operations for the years ended december 31 , 2015 and 2014 , together with the dollar change in those items ( in thousands ) : replace_table_token_9_th research and development expenses research and development expenses increased by $ 7.3 million to $ 23.0 million for the year ended december 31 , 2015 from $ 15.7 million for the year ended december 31 , 2014 , an increase of 46 % . the increase in research and development expenses was primarily attributable to a net increase of $ 5.7 million in direct program costs , reflecting an increase of $ 5.2 million in costs related to cat-1004 primarily related to the movedmd phase 1/2 clinical trial , and a net increase of $ 0.5 million in costs related to our other programs . in addition , the costs related to internal research and development increased by $ 1.6 million , $ 0.8 million of which was attributable to compensation increases for new hires , $ 0.4 million of which was attributable to obligations under a letter agreement with a former employee , pursuant to which we agreed to make severance payments , $ 0.3 million of which was attributable to increases in consulting and professional services , and $ 0.1 million of which was attributable to increased facilities expense . general and administrative expenses general and administrative expenses increased by $ 2.6 million to $ 8.6 million for the year ended december 31 , 2015 from $ 6.0 million for the year ended december 31 , 2014 , an increase of 43 % . the increase in general and administrative expenses was primarily attributable to increased employee costs of $ 1.4 million associated with salaries , benefits , and stock-based compensation expenses for new hires ; increased consulting and professional fees and franchise taxes of $ 0.8 million , driven by the costs of becoming and operating as a public company ; increased insurance expense of $ 0.3 million due to our public company directors and officers insurance policy ; and increased facilities expense of $ 0.1 million . 94 other expense , net other expense , net increased by $ 0.8 million to $ 1.0 million for the year ended december 31 , 2015 from $ 0.2 million for the year ended december 31 , 2014. other expense primarily consists of interest expense , which increased by $ 0.8 million for the year ended december 31 , 2015 due to the interest expense on our credit facility , which we entered into in august 2014. comparison of the years ended december 31 , 2014 and 2013 the following table summarizes our results of operations for the years ended december 31 , 2014 and 2013 , together with the dollar change in those items ( in thousands ) : replace_table_token_10_th research and development expense research and development expenses increased by $ 1.7 million to $ 15.7 million for the year ended december 31 , 2014 from $ 14.0 million for the year ended december 31 , 2013 , an increase of 12 % . the increase in research and development expenses was partially attributable to a net increase of $ 1.0 million in direct program costs , reflecting an increase of $ 2.6 million for cat-2054 manufacturing and preclinical development costs associated with ind-enabling studies , an increase of $ 0.8 million for cat-1004 manufacturing and preclinical development costs , and an increase of $ 0.6 million in our general research and platform programs , which were partially offset by a decrease of $ 3.0 million in cat-2003 clinical trial , manufacturing and preclinical development costs due to the completion of two phase 2 clinical trials in late 2013 and early 2014. in addition , the costs related to internal research and development increased by $ 0.7 million , primarily attributable to stock-based compensation expense . general and administrative expense general and administrative expenses increased by $ 1.9 million

