our reputation as an innovator is exemplified by recent new product introductions such as the y-knot® flex system for instability repairs featuring the smallest double-loaded ( 1.8mm ) anchors available and curved , flexible instrumentation to help 21 surgeons achieve ideal anchor placement and the y-knot® rc anchors for rotator cuffs are the world 's only self-punching all-suture anchors which helps simplify techniques while its small size is designed to improve placement options ; the new d4000 resection system featuring an intuitive touchscreen display and direct pump integration for a seamless clinical experience ; the im8000 2dhd camera system can be used in multi-specialty procedures and includes a new autoclavable camera head featuring proprietary cmos technology for clear , crisp imagery and a new ls8000 led light source providing improved light sensitivity for clearer visualization ; the new hall 50 powered instrument system can be used in total joint replacements featuring lighter , ergonomically-designed handpieces to provide a comfortable , high-performance clinical experience while the new hall ul-approved autoclavable lithium batteries deliver dependable , long-lasting power and the unique , multi-tray system also provides hospitals with new levels of sterilization convenience ; the new gs2000 50l insufflator features the market 's fastest flow rate and a dual-tank shuttle valve system to help provide clear and consistent laparoscopic visualization ; the entriport line of trocars help deliver effective sealing and clear visualization in a wide range of sizes optimal for nearly every minimally invasive abdominal surgical application ; our new d-flex probes were designed for use with the da vinci® surgical system and enable non-contact hemostasis with argon gas and our detachatip® iii multi-use endosurgery instruments offer the optimal blend of performance and cost efficiency - combining precise , reliable , and comfortable performance with dramatically reduced procedural costs . business challenges significant volatility in the financial markets and foreign currency exchange rates as well as depressed economic conditions in both domestic and international markets , have presented significant business challenges since the second half of 2008. while we returned to revenue growth in 2010 , 2011 and 2012 , we experienced a sales decline during 2013. we are cautiously optimistic that the domestic economic environment is improving , however conditions in europe and elsewhere may present significant business challenges for the company . while there can be no assurance that improvement in the overall economic environment will be sustained , we will continue to monitor and manage the impact of the overall economic environment on the company . over the past few years we successfully completed certain of our operational restructuring plans whereby we consolidated manufacturing and distribution centers as well as restructured certain of our administrative functions . we continue to restructure both operations and administrative functions as necessary throughout the organization . however , we can not be certain such activities will be completed in the estimated time period or that planned cost savings will be achieved . our facilities are subject to periodic inspection by the united states food and drug administration ( “ fda ” ) and foreign regulatory agencies or notified bodies for , among other things , conformance to quality system regulation and current good manufacturing practice ( “ cgmp ” ) requirements and foreign or international standards . we are committed to the principles and strategies of systems-based quality management for improved cgmp compliance , operational performance and efficiencies through our company-wide quality systems initiatives . however , there can be no assurance that our actions will ensure that we will not receive a warning letter or be the subject of other regulatory action , which may include consent decrees or fines , that we will not conduct product recalls or that we will not experience temporary or extended periods during which we may not be able to sell products in foreign countries . during the third quarter of 2013 , the fda inspected our centennial , co manufacturing facility and issued a form 483 with observations on september 20 , 2013. the company subsequently submitted responses to the observations , and the fda issued a warning letter on january 30 , 2014 relating to the inspection and the responses to the form 483 observations . accordingly , we are undertaking corrective actions that may involve additional costs for the company . these remediation costs are not expected to be material , however there can be no assurance that the actions undertaken by the company will ensure that the company will not undertake recalls , voluntary or otherwise , nor can there be any assurance that a future inspection by the fda will not result in an additional form 483 or warning letter , or other regulatory actions which may include consent decrees or fines . critical accounting policies preparation of our financial statements requires us to make estimates and assumptions which affect the reported amounts of assets , liabilities , revenues and expenses . note 1 to the consolidated financial statements describes the significant accounting policies used in preparation of the consolidated financial statements . the most significant areas involving management judgments and estimates are described below and are considered by management to be critical to understanding the financial condition and results of operations of conmed corporation . revenue recognition revenue is recognized when title has been transferred to the customer which is at the time of shipment . the following policies apply to our major categories of revenue transactions : 22 sales to customers are evidenced by firm purchase orders . title and the risks and rewards of ownership are transferred to the customer when product is shipped under our stated shipping terms . payment by the customer is due under fixed payment terms and collectability is reasonably assured . we place certain of our capital equipment with customers on a loaned basis in return for commitments to purchase related single-use products over time periods generally ranging from one to three years . story_separator_special_tag in accordance with the patient protection and affordable care act and health care and education affordability reconciliation act , the company was required in 2013 to begin paying a 2.3 % excise tax imposed upon sales within the u.s. of certain medical device products . the medical device excise tax expense totaled $ 5.9 million in 2013 . 26 as discussed in note 11 to the consolidated financial statements , other expense in 2013 consisted of an $ 8.8 million charge related to administrative consolidation expenses , $ 3.2 million in legal costs associated with a patent infringement claim and a $ 1.4 million pension settlement expense as further described in note 10. other expense in 2012 consisted of a $ 6.5 million charge related to administrative consolidation expenses , a $ 0.7 million charge related to the purchase of the company 's former distributor for the nordic region of europe , $ 1.6 million in costs associated with a contractual dispute with a former distributor and $ 1.2 million in costs associated with the purchase of viking systems , inc .. as discussed in note 5 to the consolidated financial statements , we entered into an amended and restated senior credit agreement on january 17 , 2013. in connection with the refinancing , we recorded a $ 0.3 million loss on the early extinguishment of debt related to the write-off of unamortized deferred financing costs under the then existing senior credit agreement . interest expense was $ 5.6 million in 2013 compared to $ 5.7 million in 2012 . the decrease in interest expense is due to lower weighted average interest rates on higher weighted average borrowings outstanding in 2013 as compared to the same period a year ago . the weighted average interest rates on our borrowings decreased to 2.39 % in 2013 as compared to 3.03 % in 2012 . a provision for income taxes was recorded at an effective rate of 29.0 % in 2013 and 31.9 % in 2012 as compared to the federal statutory rate of 35.0 % . the effective tax rate is lower than that recorded in the same period a year ago as a result of a greater proportion of earnings in foreign jurisdictions where the corporate tax rate and deduction for notional interest on equity allowed against taxable profits in europe result in effective tax rates lower than the statutory rate , tax benefits recorded in the third quarter of 2013 as a result of taxing authority determinations , and tax benefits related to business tax provisions , including the research and development credit ( $ 0.8 million ) , that were enacted in the first quarter of 2013 , retroactive to january 1 , 2012. a reconciliation of the united states statutory income tax rate to our effective tax rate is included in note 6 to the consolidated financial statements . 2012 compared to 2011 sales for 2012 were $ 767.1 million , an increase of $ 42.0 million ( 5.8 % ) compared to sales of $ 725.1 million in 2011 with the increases in our orthopedic surgery and surgical visualization product lines . the distribution agreement with musculoskeletal transplant foundation ( `` mtf `` ) accounted for a 3.9 % annual sales increase . in local currency , excluding the effects of the hedging program , sales increased 5.7 % . sales of capital equipment decreased $ 6.1 million ( -3.8 % ) to $ 155.9 million in 2012 from $ 162.0 million in 2011 ; sales of single-use products increased $ 48.1 million ( 8.5 % ) to $ 611.2 million in 2012 from $ 563.1 million in 2011 . in local currency , excluding the effects of the hedging program , sales of capital equipment decreased 3.7 % while single-use products increased 8.4 % . we believe the overall decline in capital sales is driven by capital purchasing constraints in hospitals due to depressed economic conditions . orthopedic surgery sales increased $ 42.7 million ( 11.5 % ) in 2012 to $ 413.9 million from $ 371.2 million in 2011 mainly due to the distribution agreement with mtf , increased sales of our procedure specific , large bone burs and blades and small bone handpiece product offerings . in local currency , excluding the effects of the hedging program sales increased 11.4 % . general surgery sales decreased $ 0.8 million ( -0.3 % ) in 2012 to $ 286.6 million from $ 287.4 million in 2011 mainly due to lower sales in our patient monitoring products and advanced energy products offset by increases in our gastrointestinal and pulmonary products . in local currency , excluding the effects of the hedging program , sales decreased -0.4 % . surgical visualization sales remained relatively flat , with a $ 0.1 million ( 0.2 % ) increase in 2012 to $ 66.6 million from $ 66.5 million in 2011 due to higher video systems sales . in local currency , excluding the effects of the hedging program , sales increased 0.7 % . cost of sales increased to $ 361.3 million in 2012 as compared to $ 350.1 million in 2011 . gross profit margins increased 1.2 percentage points to 52.9 % in 2012 as compared to 51.7 % in 2011 . the increase in gross profit margins of 1.2 percentage points is primarily a result of the distribution agreement we entered into during 2012 with mtf as further described in note 4 to the consolidated financial statements ( 1.5 percentage points ) and product mix offset by the impact of unfavorable foreign exchange rates on sales and higher restructuring charges than the same period a year ago . selling and administrative expense increased to $ 302.5 million in 2012 compared to $ 276.6 million in 2011 . selling and administrative expense as a percentage of net sales increased to 39.4 % in 2012 from 38.1 % in 2011 . this increase of 1.3 percentage points is

liquidity and capital resources our liquidity needs arise primarily from capital investments , working capital requirements and payments on indebtedness under the amended and restated senior credit agreement , described below . we have historically met these liquidity requirements with funds generated from operations and borrowings under our revolving credit facility . in addition , we have historically used term borrowings , including borrowings under the amended and restated senior credit agreement and borrowings under separate loan facilities , in the case of real property purchases , to finance our acquisitions . we also have the ability to raise funds through the sale of stock or we may issue debt through a private placement or public offering . we believe that our cash on hand , cash from operating activities and proceeds from our amended and restated senior credit agreement provide us with sufficient financial resources to meet our anticipated capital requirements and obligations as they come due . we had total cash on hand at december 31 , 2013 of $ 54.4 million , of which approximately $ 45.2 million was held by our foreign subsidiaries outside the united states with unremitted earnings . during the fourth quarter of 2011 , we repatriated $ 16.2 million of foreign earnings to the united states . we do not currently intend to repatriate additional funds held outside of the united states in the foreseeable future . if we were to repatriate these funds , we would be required to accrue and pay taxes on such amounts . operating cash flows our net working capital position was $ 260.9 million at december 31 , 2013 . net cash provided by operating activities was $ 103.0 million in 2011 , $ 95.2 million in 2012 and $ 80.9 million in 2013 generated on net income of $ 0.8 million in 2011 , $ 40.5 million in 2012 and $ 35.9 million in 2013 .


 Write a concise suspicious activity report of the following text delimited by triple backquotes. Return your response as a formal report which covers the key points highlighting the location,dates,entity names and account holder information in chronological order of the text.
     ```liquidity and capital resources our liquidity needs arise primarily from capital investments , working capital requirements and payments on indebtedness under the amended and restated senior credit agreement , described below . we have historically met these liquidity requirements with funds generated from operations and borrowings under our revolving credit facility . in addition , we have historically used term borrowings , including borrowings under the amended and restated senior credit agreement and borrowings under separate loan facilities , in the case of real property purchases , to finance our acquisitions . we also have the ability to raise funds through the sale of stock or we may issue debt through a private placement or public offering . we believe that our cash on hand , cash from operating activities and proceeds from our amended and restated senior credit agreement provide us with sufficient financial resources to meet our anticipated capital requirements and obligations as they come due . we had total cash on hand at december 31 , 2013 of $ 54.4 million , of which approximately $ 45.2 million was held by our foreign subsidiaries outside the united states with unremitted earnings . during the fourth quarter of 2011 , we repatriated $ 16.2 million of foreign earnings to the united states . we do not currently intend to repatriate additional funds held outside of the united states in the foreseeable future . if we were to repatriate these funds , we would be required to accrue and pay taxes on such amounts . operating cash flows our net working capital position was $ 260.9 million at december 31 , 2013 . net cash provided by operating activities was $ 103.0 million in 2011 , $ 95.2 million in 2012 and $ 80.9 million in 2013 generated on net income of $ 0.8 million in 2011 , $ 40.5 million in 2012 and $ 35.9 million in 2013 .
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 Suspicious Activity Report : our reputation as an innovator is exemplified by recent new product introductions such as the y-knot® flex system for instability repairs featuring the smallest double-loaded ( 1.8mm ) anchors available and curved , flexible instrumentation to help 21 surgeons achieve ideal anchor placement and the y-knot® rc anchors for rotator cuffs are the world 's only self-punching all-suture anchors which helps simplify techniques while its small size is designed to improve placement options ; the new d4000 resection system featuring an intuitive touchscreen display and direct pump integration for a seamless clinical experience ; the im8000 2dhd camera system can be used in multi-specialty procedures and includes a new autoclavable camera head featuring proprietary cmos technology for clear , crisp imagery and a new ls8000 led light source providing improved light sensitivity for clearer visualization ; the new hall 50 powered instrument system can be used in total joint replacements featuring lighter , ergonomically-designed handpieces to provide a comfortable , high-performance clinical experience while the new hall ul-approved autoclavable lithium batteries deliver dependable , long-lasting power and the unique , multi-tray system also provides hospitals with new levels of sterilization convenience ; the new gs2000 50l insufflator features the market 's fastest flow rate and a dual-tank shuttle valve system to help provide clear and consistent laparoscopic visualization ; the entriport line of trocars help deliver effective sealing and clear visualization in a wide range of sizes optimal for nearly every minimally invasive abdominal surgical application ; our new d-flex probes were designed for use with the da vinci® surgical system and enable non-contact hemostasis with argon gas and our detachatip® iii multi-use endosurgery instruments offer the optimal blend of performance and cost efficiency - combining precise , reliable , and comfortable performance with dramatically reduced procedural costs . business challenges significant volatility in the financial markets and foreign currency exchange rates as well as depressed economic conditions in both domestic and international markets , have presented significant business challenges since the second half of 2008. while we returned to revenue growth in 2010 , 2011 and 2012 , we experienced a sales decline during 2013. we are cautiously optimistic that the domestic economic environment is improving , however conditions in europe and elsewhere may present significant business challenges for the company . while there can be no assurance that improvement in the overall economic environment will be sustained , we will continue to monitor and manage the impact of the overall economic environment on the company . over the past few years we successfully completed certain of our operational restructuring plans whereby we consolidated manufacturing and distribution centers as well as restructured certain of our administrative functions . we continue to restructure both operations and administrative functions as necessary throughout the organization . however , we can not be certain such activities will be completed in the estimated time period or that planned cost savings will be achieved . our facilities are subject to periodic inspection by the united states food and drug administration ( “ fda ” ) and foreign regulatory agencies or notified bodies for , among other things , conformance to quality system regulation and current good manufacturing practice ( “ cgmp ” ) requirements and foreign or international standards . we are committed to the principles and strategies of systems-based quality management for improved cgmp compliance , operational performance and efficiencies through our company-wide quality systems initiatives . however , there can be no assurance that our actions will ensure that we will not receive a warning letter or be the subject of other regulatory action , which may include consent decrees or fines , that we will not conduct product recalls or that we will not experience temporary or extended periods during which we may not be able to sell products in foreign countries . during the third quarter of 2013 , the fda inspected our centennial , co manufacturing facility and issued a form 483 with observations on september 20 , 2013. the company subsequently submitted responses to the observations , and the fda issued a warning letter on january 30 , 2014 relating to the inspection and the responses to the form 483 observations . accordingly , we are undertaking corrective actions that may involve additional costs for the company . these remediation costs are not expected to be material , however there can be no assurance that the actions undertaken by the company will ensure that the company will not undertake recalls , voluntary or otherwise , nor can there be any assurance that a future inspection by the fda will not result in an additional form 483 or warning letter , or other regulatory actions which may include consent decrees or fines . critical accounting policies preparation of our financial statements requires us to make estimates and assumptions which affect the reported amounts of assets , liabilities , revenues and expenses . note 1 to the consolidated financial statements describes the significant accounting policies used in preparation of the consolidated financial statements . the most significant areas involving management judgments and estimates are described below and are considered by management to be critical to understanding the financial condition and results of operations of conmed corporation . revenue recognition revenue is recognized when title has been transferred to the customer which is at the time of shipment . the following policies apply to our major categories of revenue transactions : 22 sales to customers are evidenced by firm purchase orders . title and the risks and rewards of ownership are transferred to the customer when product is shipped under our stated shipping terms . payment by the customer is due under fixed payment terms and collectability is reasonably assured . we place certain of our capital equipment with customers on a loaned basis in return for commitments to purchase related single-use products over time periods generally ranging from one to three years . story_separator_special_tag in accordance with the patient protection and affordable care act and health care and education affordability reconciliation act , the company was required in 2013 to begin paying a 2.3 % excise tax imposed upon sales within the u.s. of certain medical device products . the medical device excise tax expense totaled $ 5.9 million in 2013 . 26 as discussed in note 11 to the consolidated financial statements , other expense in 2013 consisted of an $ 8.8 million charge related to administrative consolidation expenses , $ 3.2 million in legal costs associated with a patent infringement claim and a $ 1.4 million pension settlement expense as further described in note 10. other expense in 2012 consisted of a $ 6.5 million charge related to administrative consolidation expenses , a $ 0.7 million charge related to the purchase of the company 's former distributor for the nordic region of europe , $ 1.6 million in costs associated with a contractual dispute with a former distributor and $ 1.2 million in costs associated with the purchase of viking systems , inc .. as discussed in note 5 to the consolidated financial statements , we entered into an amended and restated senior credit agreement on january 17 , 2013. in connection with the refinancing , we recorded a $ 0.3 million loss on the early extinguishment of debt related to the write-off of unamortized deferred financing costs under the then existing senior credit agreement . interest expense was $ 5.6 million in 2013 compared to $ 5.7 million in 2012 . the decrease in interest expense is due to lower weighted average interest rates on higher weighted average borrowings outstanding in 2013 as compared to the same period a year ago . the weighted average interest rates on our borrowings decreased to 2.39 % in 2013 as compared to 3.03 % in 2012 . a provision for income taxes was recorded at an effective rate of 29.0 % in 2013 and 31.9 % in 2012 as compared to the federal statutory rate of 35.0 % . the effective tax rate is lower than that recorded in the same period a year ago as a result of a greater proportion of earnings in foreign jurisdictions where the corporate tax rate and deduction for notional interest on equity allowed against taxable profits in europe result in effective tax rates lower than the statutory rate , tax benefits recorded in the third quarter of 2013 as a result of taxing authority determinations , and tax benefits related to business tax provisions , including the research and development credit ( $ 0.8 million ) , that were enacted in the first quarter of 2013 , retroactive to january 1 , 2012. a reconciliation of the united states statutory income tax rate to our effective tax rate is included in note 6 to the consolidated financial statements . 2012 compared to 2011 sales for 2012 were $ 767.1 million , an increase of $ 42.0 million ( 5.8 % ) compared to sales of $ 725.1 million in 2011 with the increases in our orthopedic surgery and surgical visualization product lines . the distribution agreement with musculoskeletal transplant foundation ( `` mtf `` ) accounted for a 3.9 % annual sales increase . in local currency , excluding the effects of the hedging program , sales increased 5.7 % . sales of capital equipment decreased $ 6.1 million ( -3.8 % ) to $ 155.9 million in 2012 from $ 162.0 million in 2011 ; sales of single-use products increased $ 48.1 million ( 8.5 % ) to $ 611.2 million in 2012 from $ 563.1 million in 2011 . in local currency , excluding the effects of the hedging program , sales of capital equipment decreased 3.7 % while single-use products increased 8.4 % . we believe the overall decline in capital sales is driven by capital purchasing constraints in hospitals due to depressed economic conditions . orthopedic surgery sales increased $ 42.7 million ( 11.5 % ) in 2012 to $ 413.9 million from $ 371.2 million in 2011 mainly due to the distribution agreement with mtf , increased sales of our procedure specific , large bone burs and blades and small bone handpiece product offerings . in local currency , excluding the effects of the hedging program sales increased 11.4 % . general surgery sales decreased $ 0.8 million ( -0.3 % ) in 2012 to $ 286.6 million from $ 287.4 million in 2011 mainly due to lower sales in our patient monitoring products and advanced energy products offset by increases in our gastrointestinal and pulmonary products . in local currency , excluding the effects of the hedging program , sales decreased -0.4 % . surgical visualization sales remained relatively flat , with a $ 0.1 million ( 0.2 % ) increase in 2012 to $ 66.6 million from $ 66.5 million in 2011 due to higher video systems sales . in local currency , excluding the effects of the hedging program , sales increased 0.7 % . cost of sales increased to $ 361.3 million in 2012 as compared to $ 350.1 million in 2011 . gross profit margins increased 1.2 percentage points to 52.9 % in 2012 as compared to 51.7 % in 2011 . the increase in gross profit margins of 1.2 percentage points is primarily a result of the distribution agreement we entered into during 2012 with mtf as further described in note 4 to the consolidated financial statements ( 1.5 percentage points ) and product mix offset by the impact of unfavorable foreign exchange rates on sales and higher restructuring charges than the same period a year ago . selling and administrative expense increased to $ 302.5 million in 2012 compared to $ 276.6 million in 2011 . selling and administrative expense as a percentage of net sales increased to 39.4 % in 2012 from 38.1 % in 2011 . this increase of 1.3 percentage points is

