, but it is currently under appeal . in 2013 , we followed through on our announced intention to implement additional shareholder value-enhancing strategies . namely , we : completed a tender offer for our common stock in march 2013. as a result of the tender offer , we repurchased approximately 9.1 million shares at a price of $ 25.50 per share for a total cost of $ 234.1 million , including fees and expenses relating to the tender offer ; initiated a quarterly cash dividend of $ 0.18 per share on our common stock . the first quarterly dividend was declared in july 2013 and paid in october 2013 ; and received authorization from our board of directors in october 2013 for the repurchase of up to an additional $ 200 million of our common stock . while implementing those shareholder value-enhancing strategies , we took additional steps to increase the strength and flexibility of our balance sheet : entered into closing agreements with the irs that settled federal income tax matters related to the previous restatement of our 2000 and 2001 financial statements , as well as certain other tax matters , through december 31 , 2008. as a result of these closing agreements , we increased our deferred tax assets , primarily our federal net operating loss carryforward ( “ nol ” ) , and recorded a net income tax benefit of approximately $ 115 million in the second quarter of 2013. this income tax benefit primarily resulted from an approximate $ 283 million increase to our federal nol on a gross basis ; amended our credit agreement during the second quarter of 2013 to , among other things , permit unlimited restricted payments so long as the senior secured leverage ratio remains less than or equal to 1.5x and extend the revolver maturity from august 2017 to june 2018 ; purchased the real estate previously subject to leases associated with four of our hospitals for approximately $ 70 million during the third quarter of 2013 ; redeemed $ 30.2 million and $ 27.9 million of the outstanding principal amount of our existing 7.25 % senior notes due 2018 and 7.75 % senior notes due 2022 , respectively , in november 2013 ; and exchanged $ 320 million in aggregate principal amount of newly issued 2.00 % convertible senior subordinated notes due 2043 for 257,110 shares of our outstanding 6.50 % series a convertible perpetual preferred stock , leaving 96,245 shares of the preferred stock outstanding , in november 2013. see the “ liquidity and capital resources ” section of this item and note 8 , long-term debt , and note 16 , income taxes , to the accompanying consolidated financial statements . business outlook we believe our business outlook remains reasonably positive for two primary reasons . first , demographic trends , specifically the aging of the population , will increase long-term demand for inpatient rehabilitative services . while we treat patients of all ages , most of our patients are persons 65 and older ( the average age of a healthsouth patient is 72 years ) and have conditions such as strokes , hip fractures , and a variety of debilitating neurological conditions that are generally nondiscretionary in nature . we believe the demand for inpatient rehabilitative healthcare services will continue to increase as 32 the u.s. population ages and life expectancies increase . the number of medicare-eligible patients is expected to grow approximately 3 % per year for the foreseeable future , creating an attractive market . second , we are the industry leader in this growing sector . as the nation 's largest owner and operator of inpatient rehabilitation hospitals , we believe we differentiate ourselves from our competitors based on our broad platform of clinical expertise , the quality of our clinical outcomes , the sustainability of best practices , our financial strength , and the application of rehabilitative technology . we have invested considerable resources into clinical and management systems and protocols that have allowed us to consistently contain cost growth . our commitment to technology also includes the on-going implementation of our rehabilitation-specific electronic clinical information system . we believe this system will improve patient care and safety , enhance staff recruitment and retention , and set the stage for connectivity with referral sources and health information exchanges . our hospitals also participate in the joint commission 's disease-specific care certification program . under this program , joint commission accredited organizations , like our hospitals , may seek certification for chronic diseases or conditions such as brain injury or stroke rehabilitation by complying with joint commission standards , effectively using evidence-based , clinical practice guidelines to manage and optimize patient care , and using an organized approach to performance measurement and evaluation of clinical outcomes . obtaining such certifications demonstrates our commitment to excellence in providing disease-specific care . currently , 96 of our hospitals hold one or more disease-specific certifications . we also account for approximately 80 % of all joint commission disease-specific certifications in stroke nationwide . we believe these factors align with our strengths in , and focus on , inpatient rehabilitative care . unlike many of our competitors that may offer inpatient rehabilitation as one of many secondary services , inpatient rehabilitation is our core business . in addition , we believe we can address the demand for inpatient rehabilitative services in markets where we currently do not have a presence by constructing or acquiring new hospitals . longer-term , the nature and timing of the transformation of the current healthcare system to coordinated care delivery and payment models is uncertain and will likely remain so for some time . the development of new delivery and payment systems will almost certainly take significant time and expense . many of the alternative approaches being explored may not work . story_separator_special_tag managed medicare revenues , included in the “ managed care and other discount plans ” category in the above table , represented approximately 8 % , 8 % , and 7 % of our total revenues during the years ended december 31 , 2013 , 2012 , and 2011 , respectively . during 2009 , we experienced an increase in managed medicare and private fee-for-service plans . as part of the balanced budget act of 1997 , congress created a program of private , managed healthcare coverage for medicare beneficiaries . this program has been referred to as medicare part c , or “ medicare advantage . ” the program offers beneficiaries a range of medicare coverage options by providing a choice between the traditional fee-for-service program ( under medicare parts a and b ) or enrollment in a health maintenance organization ( “ hmo ” ) , preferred provider organization ( “ ppo ” ) , point-of-service plan , provider sponsor organization , or an insurance plan operated in conjunction with a medical savings account . prior to 2010 , private fee-for-service plans were not required to build provider networks , did not have the same quality reporting requirements to cms as other plans , and were reimbursed by medicare at a higher rate . in 2010 , these requirements and reimbursement rates were revised to be similar to other existing payor plans . as these requirements changed , payors began actively marketing and converting their members from private-fee-for-service plans to one of their existing hmo or ppo plans , where provider networks and reporting requirements were already established , or back to traditional medicare coverage . this shift of payors from private fee-for-service plans back to traditional medicare can be seen in the above table . our consolidated net operating revenues consist primarily of revenues derived from patient care services . net operating revenues also include other revenues generated from management and administrative fees and other nonpatient care services . these other revenues are included in “ other income ” in the above table . under irf-pps , hospitals are reimbursed on a “ per discharge ” basis . thus , the number of patient discharges is a key metric utilized by management to monitor and evaluate our performance . the number of outpatient visits is also tracked in order to measure the volume of outpatient activity each period . 37 our results from 2011 through 2013 , our consolidated results of operations were as follows : replace_table_token_12_th 38 provision for doubtful accounts and operating expenses as a % of net operating revenues replace_table_token_13_th additional information regarding our operating results for the years ended december 31 , 2013 , 2012 , and 2011 is as follows : replace_table_token_14_th * excludes approximately 400 full-time equivalents in each year who are considered part of corporate overhead with their salaries and benefits included in general and administrative expenses in our consolidated statements of operations . full-time equivalents included in the above table represent healthsouth employees who participate in or support the operations of our hospitals and exclude an estimate of full-time equivalents related to contract labor . we actively manage the productive portion of our salaries and benefits utilizing certain metrics , including employees per occupied bed , or “ epob . ” this metric is determined by dividing the number of full-time equivalents , including an estimate of full-time equivalents from the utilization of contract labor , by the number of occupied beds during each period . the number of occupied beds is determined by multiplying the number of licensed beds by our occupancy percentage . in the discussion that follows , we use “ same-store ” comparisons to explain the changes in certain performance metrics and line items within our financial statements . we calculate same-store comparisons based on hospitals open throughout both the full current period and prior periods presented . these comparisons include the financial results of market consolidation transactions in existing markets , as it is difficult to determine , with precision , the incremental impact of these transactions on our results of operations . 39 2013 compared to 2012 net operating revenues net patient revenue from our hospitals was 5.9 % higher for the year ended december 31 , 2013 than the year ended december 31 , 2012. this increase was attributable to a 5.0 % increase in patient discharges and a 0.9 % increase in net patient revenue per discharge . discharge growth included a 2.5 % increase in same-store discharges . same-store discharges were negatively impacted by the divestiture of 41 skilled nursing facility beds in the first quarter of 2013. approximately 60 basis points of discharge growth from new stores resulted from the consolidation of st. vincent rehabilitation hospital beginning in the third quarter of 2012 , as discussed in note 7 , investments in and advances to nonconsolidated affiliates , to the accompanying consolidated financial statements . the increase in net patient revenue per discharge resulted from pricing adjustments , higher patient acuity , and a higher percentage of medicare patients , as shown in the above payor mix table . net patient revenue per discharge was negatively impacted in 2013 by sequestration ( became effective for all discharges after april 1 , 2013 ) , the impact of post-payment claim reviews ( as discussed below ) , and the ramping up of three new hospitals . new hospitals are required to treat a minimum of 30 patients for zero revenue as part of the medicare certification process . as discussed in item 1 , business , and the “ critical accounting estimates—revenue recognition ” section of this item , cms has developed and instituted various medicare audit programs under which cms contracts with private companies to conduct claims and medical record audits . in connection with cms approved and announced rac audits related to irfs , we received requests in 2013 to review certain patient files for discharges occurring from

cash flows used in financing activities during 2012 included the repurchase of 46,645 shares of our convertible perpetual preferred stock , distributions to noncontrolling interests of consolidated affiliates , dividends paid on our preferred stock , and net principal payments on debt offset by capital contributions from consolidated affiliates primarily associated with the purchase of the real estate associated with our joint venture hospital in fayetteville , arkansas . cash flows used in financing activities during 2011 included net principal payments on debt , including the redemption of our 10.75 % senior notes due 2016 , distributions to noncontrolling interests of consolidated affiliates , and dividends paid on our preferred stock . net debt payments , including debt issue costs , were approximately $ 21 million and $ 271 million for the years ended december 31 , 2012 and 2011 , respectively . contractual obligations our consolidated contractual obligations as of december 31 , 2013 are as follows ( in millions ) : replace_table_token_17_th ( a ) included in long-term debt are amounts owed on our bonds payable and other notes payable . these borrowings are further explained in note 8 , long-term debt , to the accompanying consolidated financial statements . ( b ) interest on our fixed rate debt is presented using the stated interest rate . interest expense on our variable rate debt is estimated using the rate in effect as of december 31 , 2013 . interest related to capital lease obligations is excluded from this line . future minimum payments , which are accounted for as interest , related to sale/leaseback transactions involving real estate accounted for as financings are included in this line ( see note 5 , property and equipment , and note 8 , long-term debt , to the accompanying consolidated financial statements ) . amounts exclude amortization of debt discounts , amortization of loan fees , or fees for lines of credit that would be included in interest expense in our consolidated statements of operations . ( c ) amounts include interest portion of future minimum capital lease payments . ( d ) we lease approximately 27 % of our hospitals as well as other property and equipment under operating leases in the normal course of business .


 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 used in financing activities during 2012 included the repurchase of 46,645 shares of our convertible perpetual preferred stock , distributions to noncontrolling interests of consolidated affiliates , dividends paid on our preferred stock , and net principal payments on debt offset by capital contributions from consolidated affiliates primarily associated with the purchase of the real estate associated with our joint venture hospital in fayetteville , arkansas . cash flows used in financing activities during 2011 included net principal payments on debt , including the redemption of our 10.75 % senior notes due 2016 , distributions to noncontrolling interests of consolidated affiliates , and dividends paid on our preferred stock . net debt payments , including debt issue costs , were approximately $ 21 million and $ 271 million for the years ended december 31 , 2012 and 2011 , respectively . contractual obligations our consolidated contractual obligations as of december 31 , 2013 are as follows ( in millions ) : replace_table_token_17_th ( a ) included in long-term debt are amounts owed on our bonds payable and other notes payable . these borrowings are further explained in note 8 , long-term debt , to the accompanying consolidated financial statements . ( b ) interest on our fixed rate debt is presented using the stated interest rate . interest expense on our variable rate debt is estimated using the rate in effect as of december 31 , 2013 . interest related to capital lease obligations is excluded from this line . future minimum payments , which are accounted for as interest , related to sale/leaseback transactions involving real estate accounted for as financings are included in this line ( see note 5 , property and equipment , and note 8 , long-term debt , to the accompanying consolidated financial statements ) . amounts exclude amortization of debt discounts , amortization of loan fees , or fees for lines of credit that would be included in interest expense in our consolidated statements of operations . ( c ) amounts include interest portion of future minimum capital lease payments . ( d ) we lease approximately 27 % of our hospitals as well as other property and equipment under operating leases in the normal course of business .
```    
 Suspicious Activity Report : , but it is currently under appeal . in 2013 , we followed through on our announced intention to implement additional shareholder value-enhancing strategies . namely , we : completed a tender offer for our common stock in march 2013. as a result of the tender offer , we repurchased approximately 9.1 million shares at a price of $ 25.50 per share for a total cost of $ 234.1 million , including fees and expenses relating to the tender offer ; initiated a quarterly cash dividend of $ 0.18 per share on our common stock . the first quarterly dividend was declared in july 2013 and paid in october 2013 ; and received authorization from our board of directors in october 2013 for the repurchase of up to an additional $ 200 million of our common stock . while implementing those shareholder value-enhancing strategies , we took additional steps to increase the strength and flexibility of our balance sheet : entered into closing agreements with the irs that settled federal income tax matters related to the previous restatement of our 2000 and 2001 financial statements , as well as certain other tax matters , through december 31 , 2008. as a result of these closing agreements , we increased our deferred tax assets , primarily our federal net operating loss carryforward ( “ nol ” ) , and recorded a net income tax benefit of approximately $ 115 million in the second quarter of 2013. this income tax benefit primarily resulted from an approximate $ 283 million increase to our federal nol on a gross basis ; amended our credit agreement during the second quarter of 2013 to , among other things , permit unlimited restricted payments so long as the senior secured leverage ratio remains less than or equal to 1.5x and extend the revolver maturity from august 2017 to june 2018 ; purchased the real estate previously subject to leases associated with four of our hospitals for approximately $ 70 million during the third quarter of 2013 ; redeemed $ 30.2 million and $ 27.9 million of the outstanding principal amount of our existing 7.25 % senior notes due 2018 and 7.75 % senior notes due 2022 , respectively , in november 2013 ; and exchanged $ 320 million in aggregate principal amount of newly issued 2.00 % convertible senior subordinated notes due 2043 for 257,110 shares of our outstanding 6.50 % series a convertible perpetual preferred stock , leaving 96,245 shares of the preferred stock outstanding , in november 2013. see the “ liquidity and capital resources ” section of this item and note 8 , long-term debt , and note 16 , income taxes , to the accompanying consolidated financial statements . business outlook we believe our business outlook remains reasonably positive for two primary reasons . first , demographic trends , specifically the aging of the population , will increase long-term demand for inpatient rehabilitative services . while we treat patients of all ages , most of our patients are persons 65 and older ( the average age of a healthsouth patient is 72 years ) and have conditions such as strokes , hip fractures , and a variety of debilitating neurological conditions that are generally nondiscretionary in nature . we believe the demand for inpatient rehabilitative healthcare services will continue to increase as 32 the u.s. population ages and life expectancies increase . the number of medicare-eligible patients is expected to grow approximately 3 % per year for the foreseeable future , creating an attractive market . second , we are the industry leader in this growing sector . as the nation 's largest owner and operator of inpatient rehabilitation hospitals , we believe we differentiate ourselves from our competitors based on our broad platform of clinical expertise , the quality of our clinical outcomes , the sustainability of best practices , our financial strength , and the application of rehabilitative technology . we have invested considerable resources into clinical and management systems and protocols that have allowed us to consistently contain cost growth . our commitment to technology also includes the on-going implementation of our rehabilitation-specific electronic clinical information system . we believe this system will improve patient care and safety , enhance staff recruitment and retention , and set the stage for connectivity with referral sources and health information exchanges . our hospitals also participate in the joint commission 's disease-specific care certification program . under this program , joint commission accredited organizations , like our hospitals , may seek certification for chronic diseases or conditions such as brain injury or stroke rehabilitation by complying with joint commission standards , effectively using evidence-based , clinical practice guidelines to manage and optimize patient care , and using an organized approach to performance measurement and evaluation of clinical outcomes . obtaining such certifications demonstrates our commitment to excellence in providing disease-specific care . currently , 96 of our hospitals hold one or more disease-specific certifications . we also account for approximately 80 % of all joint commission disease-specific certifications in stroke nationwide . we believe these factors align with our strengths in , and focus on , inpatient rehabilitative care . unlike many of our competitors that may offer inpatient rehabilitation as one of many secondary services , inpatient rehabilitation is our core business . in addition , we believe we can address the demand for inpatient rehabilitative services in markets where we currently do not have a presence by constructing or acquiring new hospitals . longer-term , the nature and timing of the transformation of the current healthcare system to coordinated care delivery and payment models is uncertain and will likely remain so for some time . the development of new delivery and payment systems will almost certainly take significant time and expense . many of the alternative approaches being explored may not work . story_separator_special_tag managed medicare revenues , included in the “ managed care and other discount plans ” category in the above table , represented approximately 8 % , 8 % , and 7 % of our total revenues during the years ended december 31 , 2013 , 2012 , and 2011 , respectively . during 2009 , we experienced an increase in managed medicare and private fee-for-service plans . as part of the balanced budget act of 1997 , congress created a program of private , managed healthcare coverage for medicare beneficiaries . this program has been referred to as medicare part c , or “ medicare advantage . ” the program offers beneficiaries a range of medicare coverage options by providing a choice between the traditional fee-for-service program ( under medicare parts a and b ) or enrollment in a health maintenance organization ( “ hmo ” ) , preferred provider organization ( “ ppo ” ) , point-of-service plan , provider sponsor organization , or an insurance plan operated in conjunction with a medical savings account . prior to 2010 , private fee-for-service plans were not required to build provider networks , did not have the same quality reporting requirements to cms as other plans , and were reimbursed by medicare at a higher rate . in 2010 , these requirements and reimbursement rates were revised to be similar to other existing payor plans . as these requirements changed , payors began actively marketing and converting their members from private-fee-for-service plans to one of their existing hmo or ppo plans , where provider networks and reporting requirements were already established , or back to traditional medicare coverage . this shift of payors from private fee-for-service plans back to traditional medicare can be seen in the above table . our consolidated net operating revenues consist primarily of revenues derived from patient care services . net operating revenues also include other revenues generated from management and administrative fees and other nonpatient care services . these other revenues are included in “ other income ” in the above table . under irf-pps , hospitals are reimbursed on a “ per discharge ” basis . thus , the number of patient discharges is a key metric utilized by management to monitor and evaluate our performance . the number of outpatient visits is also tracked in order to measure the volume of outpatient activity each period . 37 our results from 2011 through 2013 , our consolidated results of operations were as follows : replace_table_token_12_th 38 provision for doubtful accounts and operating expenses as a % of net operating revenues replace_table_token_13_th additional information regarding our operating results for the years ended december 31 , 2013 , 2012 , and 2011 is as follows : replace_table_token_14_th * excludes approximately 400 full-time equivalents in each year who are considered part of corporate overhead with their salaries and benefits included in general and administrative expenses in our consolidated statements of operations . full-time equivalents included in the above table represent healthsouth employees who participate in or support the operations of our hospitals and exclude an estimate of full-time equivalents related to contract labor . we actively manage the productive portion of our salaries and benefits utilizing certain metrics , including employees per occupied bed , or “ epob . ” this metric is determined by dividing the number of full-time equivalents , including an estimate of full-time equivalents from the utilization of contract labor , by the number of occupied beds during each period . the number of occupied beds is determined by multiplying the number of licensed beds by our occupancy percentage . in the discussion that follows , we use “ same-store ” comparisons to explain the changes in certain performance metrics and line items within our financial statements . we calculate same-store comparisons based on hospitals open throughout both the full current period and prior periods presented . these comparisons include the financial results of market consolidation transactions in existing markets , as it is difficult to determine , with precision , the incremental impact of these transactions on our results of operations . 39 2013 compared to 2012 net operating revenues net patient revenue from our hospitals was 5.9 % higher for the year ended december 31 , 2013 than the year ended december 31 , 2012. this increase was attributable to a 5.0 % increase in patient discharges and a 0.9 % increase in net patient revenue per discharge . discharge growth included a 2.5 % increase in same-store discharges . same-store discharges were negatively impacted by the divestiture of 41 skilled nursing facility beds in the first quarter of 2013. approximately 60 basis points of discharge growth from new stores resulted from the consolidation of st. vincent rehabilitation hospital beginning in the third quarter of 2012 , as discussed in note 7 , investments in and advances to nonconsolidated affiliates , to the accompanying consolidated financial statements . the increase in net patient revenue per discharge resulted from pricing adjustments , higher patient acuity , and a higher percentage of medicare patients , as shown in the above payor mix table . net patient revenue per discharge was negatively impacted in 2013 by sequestration ( became effective for all discharges after april 1 , 2013 ) , the impact of post-payment claim reviews ( as discussed below ) , and the ramping up of three new hospitals . new hospitals are required to treat a minimum of 30 patients for zero revenue as part of the medicare certification process . as discussed in item 1 , business , and the “ critical accounting estimates—revenue recognition ” section of this item , cms has developed and instituted various medicare audit programs under which cms contracts with private companies to conduct claims and medical record audits . in connection with cms approved and announced rac audits related to irfs , we received requests in 2013 to review certain patient files for discharges occurring from

