accordingly , revenue and the related cost of revenue from sales to these distributors is not recognized until the distributor resells the product . these distributor customers provide us with periodic data regarding product , price , quantity and customers when products are shipped to their customers , as well as quantities of our products that they still have in stock . from time to time , we may enter into arrangements with customers that provide for multiple deliverables that generally include the sale of products , professional engineering services and other product qualification or certification services ( collectively , the “ deliverables ” ) . pursuant to the applicable accounting guidance , when multiple deliverables in an arrangement are separated into different units of accounting , the arrangement consideration is allocated to the identified separate units that have stand-alone value at the inception of the contract based on a relative selling price hierarchy . we determine the relative selling price for a deliverable based on its vendor-specific objective evidence of selling price ( “ vsoe ” ) , if available , third-party evidence ( “ tpe ” ) , if vsoe is not available , and our best estimate of selling price ( “ besp ” ) , if neither vsoe nor tpe is available . determining the besp for a deliverable requires significant judgment and consideration of various factors including market conditions , items contemplated during negotiation of customer arrangements as well as internally developed pricing models . significant judgment is also required in determining whether an arrangement includes multiple elements , and if so , whether vsoe or tpe of fair value exists for those elements . we recognize the relative fair value of the deliverables as they are delivered assuming all other revenue recognition criteria are met . in any period , a portion of revenue may be recorded as unearned due to elements of an arrangement that are undelivered . changes to the elements in an arrangement , the ability to identify vsoe , tpe or besp for those elements , and the fair value of the respective elements could materially impact the amounts of earned and unearned revenue we record . 20 warranty reserve the standard warranty periods for our products typically range from one to five years . we establish reserves for estimated product warranty costs at the time revenue is recognized based upon our historical warranty experience , and additionally for any known product warranty issues . although we engage in extensive product quality programs and processes , our warranty obligation is affected by product failure rates , use of materials or service delivery costs that differ from our estimates . as a result , increases or decreases to warranty reserves could be required , which could impact our gross margins . allowance for doubtful accounts we maintain an allowance for doubtful accounts for estimated losses resulting from the inability of our customers to make required payments . our evaluation of the collectability of customer accounts receivable is based on various factors . in cases where we are aware of circumstances that may impair a specific customer 's ability to meet its financial obligations subsequent to the original sale , we will record an allowance against amounts due . for all other customers , we estimate an allowance for doubtful accounts based on the length of time the receivables are past due , our history of bad debts and general industry conditions . if a major customer 's credit worthiness deteriorates , or our customers ' actual defaults exceed our estimates , our financial results could be impacted . inventory valuation we value inventories at the lower of cost ( on a first-in , first-out basis ) or market , whereby we make estimates regarding the market value of our inventories , including an assessment of excess and obsolete inventories . we determine excess and obsolete inventories based on an estimate of the future sales demand for our products within a specified time horizon , generally twelve months . the estimates we use for demand are also used for near-term capacity planning and inventory purchasing . in addition , specific reserves are recorded to cover risks in the area of end of life products , inventory located at our contract manufacturers , deferred inventory in our sales channel and warranty replacement stock . if actual product demand or market conditions are less favorable than our estimates , additional inventory write-downs could be required , which would increase our cost of revenue and reduce our gross margins . valuation of deferred income taxes we have recorded a valuation allowance to reduce our net deferred tax assets to zero , primarily due to historical net operating losses and uncertainty of generating future taxable income . we consider estimated future taxable income and ongoing prudent and feasible tax planning strategies in assessing the need for a valuation allowance . if we determine that it is more likely than not that we will realize a deferred tax asset that currently has a valuation allowance , we would be required to reverse the valuation allowance , which would be reflected as an income tax benefit in our consolidated statements of operations at that time . goodwill impairment testing we evaluate goodwill for impairment on an annual basis in our fiscal fourth quarter or more frequently if we believe indicators of impairment exist that would more likely than not reduce the fair value of our single reporting unit below its carrying amount . in performing our goodwill impairment testing , we first assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount . if we conclude that it is more likely than not that the fair value of a reporting unit is less than its carrying amount , we conduct a two-step goodwill impairment test . story_separator_special_tag the decrease in legacy product sales were driven primarily by decreased unit sales of three of our product families : ( i ) micro in the americas and asia pacific regions , ( ii ) wiport in the asia pacific region and japan , ( iii ) xport in the emea region and japan . the overall decrease in net revenue in this product line was partially offset by increased unit sales of the xpico ( new ) and xport pro product families in the americas region and the xpico wifi ( new ) product family in the emea region . enterprise solutions fiscal 2015 net revenue from our enterprise solutions product line decreased primarily due to a decrease in our legacy products , such as the slc , eds , xpress and uds , as well as a decrease in sales of the xprintserver ( new ) product family . we also saw weakness in capital spending at a few large customers . the overall decrease in this product line 's net revenues was partially offset by growth in unit sales for many of our new products , including the new slb , eds-md , slc8000 and xdirect . gross profit gross profit represents net revenue less cost of revenue . cost of revenue consists of the cost of raw material components , subcontract labor assembly from contract manufacturers , manufacturing overhead , establishing or relieving inventory reserves for excess and obsolete products or raw materials , warranty costs , royalties and share-based compensation . the following table presents gross profit : replace_table_token_4_th gross margin for fiscal 2015 decreased compared to fiscal 2014 due to ( i ) charges for excess and obsolete inventories of approximately $ 600,000 and ( ii ) changes in our product mix , as our higher-margin enterprise solutions product line comprised a smaller percentage of our total net revenue in fiscal 2015 as compared to fiscal 2014. selling , general and administrative selling , general and administrative expenses consisted of personnel-related expenses including salaries and commissions , share-based compensation , facility expenses , information technology , trade show expenses , advertising and professional legal and accounting fees . the following table presents selling , general and administrative expenses : replace_table_token_5_th the decrease in selling , general and administrative expenses for fiscal 2015 was primarily due to ( i ) lower levels of spending on trade shows and outside marketing programs , ( ii ) lower variable compensation expenses and ( iii ) a decrease in legal fees . fiscal 2015 includes severance charges of $ 230,000 that were recorded in the fourth quarter of fiscal 2015 as part of a cost-cutting effort to reduce our ongoing operating expenses . 23 research and development research and development expenses consisted of personnel-related expenses including share-based compensation , as well as expenditures to third-party vendors for research and development activities , and product certification costs . the following table presents research and development expenses : replace_table_token_6_th fiscal 2015 research and development expenses increased due to ( i ) higher personnel-related expense from headcount and merit increases , which were partially offset by lower variable compensation expenses and ( ii ) increased product certification costs related to new product development . other expense , net other expense , net , is comprised primarily of foreign currency remeasurement and transaction adjustments related to our foreign subsidiaries whose functional currency is the u.s. dollar . provision for income taxes the following table presents the income tax provision : replace_table_token_7_th the following table presents our effective tax rate based upon our income tax provision : replace_table_token_8_th we utilize the liability method of accounting for income taxes . the difference between our effective tax rate and the federal statutory rate resulted primarily from the effect of our domestic losses recorded without a tax benefit , as well as the effect of foreign earnings taxed at rates differing from the federal statutory rate . we record net deferred tax assets to the extent we believe these assets will more likely than not be realized . as a result of our cumulative losses and uncertainty of generating future taxable income , we provided a full valuation allowance against our net deferred tax assets for fiscal 2015 and 2014 . 24 due to the “ change of ownership ” provision of the tax reform act of 1986 , utilization of our net operating loss ( “ nol ” ) carryforwards and tax credit carryforwards may be subject to an annual limitation against taxable income in future periods . as a result of the annual limitation , a portion of these carryforwards may expire before ultimately becoming available to reduce future income tax liabilities . the following table summarizes our nols : june 30 , 2015 ( in thousands ) federal $ 87,726 state $ 29,517 our nol carryovers for federal income tax purposes begin to expire in the fiscal year ending june 30 , 2021. our nol carryovers for state income tax purposes began to expire in fiscal 2013. at june 30 , 2015 , our fiscal 2012 through 2015 tax years remain open to examination by the federal taxing jurisdiction and our fiscal 2011 through 2015 tax years remain open to examination by the state taxing jurisdictions . however , we have nols beginning in the fiscal year ended june 30 , 2001 which would cause the statute of limitations to remain open for the year in which the nol was incurred . liquidity and capital resources story_separator_special_tag roman , times , serif ; margin : 0 ; text-indent : 0.5in `` > the following table presents the major components of the consolidated statements of cash flows : replace_table_token_11_th operating activities net cash used by operating activities in fiscal 2015 increased as compared to the prior year due primarily to ( i ) a larger net loss and ( ii ) an increase in inventories from the end of fiscal 2014 of approximately $

liquidity the following table presents details of our working capital and cash and cash equivalents : replace_table_token_9_th our principal sources of cash and liquidity include our existing cash and cash equivalents , borrowings and amounts available under our credit facilities , and cash generated from operations . we believe that these sources will be sufficient to fund our current requirements for working capital , capital expenditures and other financial commitments for at least the next 12 months . we anticipate that the primary factors affecting our cash and liquidity are net revenue , working capital requirements and capital expenditures . management defines cash and cash equivalents as highly liquid deposits with original maturities of 90 days or less when purchased . we maintain cash and cash equivalents balances at certain financial institutions in excess of amounts insured by federal agencies . management does not believe this concentration subjects us to any unusual financial risk beyond the normal risk associated with commercial banking relationships . we frequently monitor the third-party depository institutions that hold our cash and cash equivalents . our emphasis is primarily on safety of principal and secondarily on maximizing yield on those funds . our future working capital requirements will depend on many factors , including the timing and amount of our net revenue , research and development expenses , and expenses associated with any strategic partnerships or acquisitions and infrastructure investments . we incurred a net loss of $ 2.8 million and $ 0.9 million for fiscal 2015 and 2014 , respectively . we expect our existing cash and cash equivalents , amounts available under our credit facilities and cash generated from operations will be sufficient to fund our capital expenditures , our working capital and other cash requirements .


 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 the following table presents details of our working capital and cash and cash equivalents : replace_table_token_9_th our principal sources of cash and liquidity include our existing cash and cash equivalents , borrowings and amounts available under our credit facilities , and cash generated from operations . we believe that these sources will be sufficient to fund our current requirements for working capital , capital expenditures and other financial commitments for at least the next 12 months . we anticipate that the primary factors affecting our cash and liquidity are net revenue , working capital requirements and capital expenditures . management defines cash and cash equivalents as highly liquid deposits with original maturities of 90 days or less when purchased . we maintain cash and cash equivalents balances at certain financial institutions in excess of amounts insured by federal agencies . management does not believe this concentration subjects us to any unusual financial risk beyond the normal risk associated with commercial banking relationships . we frequently monitor the third-party depository institutions that hold our cash and cash equivalents . our emphasis is primarily on safety of principal and secondarily on maximizing yield on those funds . our future working capital requirements will depend on many factors , including the timing and amount of our net revenue , research and development expenses , and expenses associated with any strategic partnerships or acquisitions and infrastructure investments . we incurred a net loss of $ 2.8 million and $ 0.9 million for fiscal 2015 and 2014 , respectively . we expect our existing cash and cash equivalents , amounts available under our credit facilities and cash generated from operations will be sufficient to fund our capital expenditures , our working capital and other cash requirements .
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 Suspicious Activity Report : accordingly , revenue and the related cost of revenue from sales to these distributors is not recognized until the distributor resells the product . these distributor customers provide us with periodic data regarding product , price , quantity and customers when products are shipped to their customers , as well as quantities of our products that they still have in stock . from time to time , we may enter into arrangements with customers that provide for multiple deliverables that generally include the sale of products , professional engineering services and other product qualification or certification services ( collectively , the “ deliverables ” ) . pursuant to the applicable accounting guidance , when multiple deliverables in an arrangement are separated into different units of accounting , the arrangement consideration is allocated to the identified separate units that have stand-alone value at the inception of the contract based on a relative selling price hierarchy . we determine the relative selling price for a deliverable based on its vendor-specific objective evidence of selling price ( “ vsoe ” ) , if available , third-party evidence ( “ tpe ” ) , if vsoe is not available , and our best estimate of selling price ( “ besp ” ) , if neither vsoe nor tpe is available . determining the besp for a deliverable requires significant judgment and consideration of various factors including market conditions , items contemplated during negotiation of customer arrangements as well as internally developed pricing models . significant judgment is also required in determining whether an arrangement includes multiple elements , and if so , whether vsoe or tpe of fair value exists for those elements . we recognize the relative fair value of the deliverables as they are delivered assuming all other revenue recognition criteria are met . in any period , a portion of revenue may be recorded as unearned due to elements of an arrangement that are undelivered . changes to the elements in an arrangement , the ability to identify vsoe , tpe or besp for those elements , and the fair value of the respective elements could materially impact the amounts of earned and unearned revenue we record . 20 warranty reserve the standard warranty periods for our products typically range from one to five years . we establish reserves for estimated product warranty costs at the time revenue is recognized based upon our historical warranty experience , and additionally for any known product warranty issues . although we engage in extensive product quality programs and processes , our warranty obligation is affected by product failure rates , use of materials or service delivery costs that differ from our estimates . as a result , increases or decreases to warranty reserves could be required , which could impact our gross margins . allowance for doubtful accounts we maintain an allowance for doubtful accounts for estimated losses resulting from the inability of our customers to make required payments . our evaluation of the collectability of customer accounts receivable is based on various factors . in cases where we are aware of circumstances that may impair a specific customer 's ability to meet its financial obligations subsequent to the original sale , we will record an allowance against amounts due . for all other customers , we estimate an allowance for doubtful accounts based on the length of time the receivables are past due , our history of bad debts and general industry conditions . if a major customer 's credit worthiness deteriorates , or our customers ' actual defaults exceed our estimates , our financial results could be impacted . inventory valuation we value inventories at the lower of cost ( on a first-in , first-out basis ) or market , whereby we make estimates regarding the market value of our inventories , including an assessment of excess and obsolete inventories . we determine excess and obsolete inventories based on an estimate of the future sales demand for our products within a specified time horizon , generally twelve months . the estimates we use for demand are also used for near-term capacity planning and inventory purchasing . in addition , specific reserves are recorded to cover risks in the area of end of life products , inventory located at our contract manufacturers , deferred inventory in our sales channel and warranty replacement stock . if actual product demand or market conditions are less favorable than our estimates , additional inventory write-downs could be required , which would increase our cost of revenue and reduce our gross margins . valuation of deferred income taxes we have recorded a valuation allowance to reduce our net deferred tax assets to zero , primarily due to historical net operating losses and uncertainty of generating future taxable income . we consider estimated future taxable income and ongoing prudent and feasible tax planning strategies in assessing the need for a valuation allowance . if we determine that it is more likely than not that we will realize a deferred tax asset that currently has a valuation allowance , we would be required to reverse the valuation allowance , which would be reflected as an income tax benefit in our consolidated statements of operations at that time . goodwill impairment testing we evaluate goodwill for impairment on an annual basis in our fiscal fourth quarter or more frequently if we believe indicators of impairment exist that would more likely than not reduce the fair value of our single reporting unit below its carrying amount . in performing our goodwill impairment testing , we first assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount . if we conclude that it is more likely than not that the fair value of a reporting unit is less than its carrying amount , we conduct a two-step goodwill impairment test . story_separator_special_tag the decrease in legacy product sales were driven primarily by decreased unit sales of three of our product families : ( i ) micro in the americas and asia pacific regions , ( ii ) wiport in the asia pacific region and japan , ( iii ) xport in the emea region and japan . the overall decrease in net revenue in this product line was partially offset by increased unit sales of the xpico ( new ) and xport pro product families in the americas region and the xpico wifi ( new ) product family in the emea region . enterprise solutions fiscal 2015 net revenue from our enterprise solutions product line decreased primarily due to a decrease in our legacy products , such as the slc , eds , xpress and uds , as well as a decrease in sales of the xprintserver ( new ) product family . we also saw weakness in capital spending at a few large customers . the overall decrease in this product line 's net revenues was partially offset by growth in unit sales for many of our new products , including the new slb , eds-md , slc8000 and xdirect . gross profit gross profit represents net revenue less cost of revenue . cost of revenue consists of the cost of raw material components , subcontract labor assembly from contract manufacturers , manufacturing overhead , establishing or relieving inventory reserves for excess and obsolete products or raw materials , warranty costs , royalties and share-based compensation . the following table presents gross profit : replace_table_token_4_th gross margin for fiscal 2015 decreased compared to fiscal 2014 due to ( i ) charges for excess and obsolete inventories of approximately $ 600,000 and ( ii ) changes in our product mix , as our higher-margin enterprise solutions product line comprised a smaller percentage of our total net revenue in fiscal 2015 as compared to fiscal 2014. selling , general and administrative selling , general and administrative expenses consisted of personnel-related expenses including salaries and commissions , share-based compensation , facility expenses , information technology , trade show expenses , advertising and professional legal and accounting fees . the following table presents selling , general and administrative expenses : replace_table_token_5_th the decrease in selling , general and administrative expenses for fiscal 2015 was primarily due to ( i ) lower levels of spending on trade shows and outside marketing programs , ( ii ) lower variable compensation expenses and ( iii ) a decrease in legal fees . fiscal 2015 includes severance charges of $ 230,000 that were recorded in the fourth quarter of fiscal 2015 as part of a cost-cutting effort to reduce our ongoing operating expenses . 23 research and development research and development expenses consisted of personnel-related expenses including share-based compensation , as well as expenditures to third-party vendors for research and development activities , and product certification costs . the following table presents research and development expenses : replace_table_token_6_th fiscal 2015 research and development expenses increased due to ( i ) higher personnel-related expense from headcount and merit increases , which were partially offset by lower variable compensation expenses and ( ii ) increased product certification costs related to new product development . other expense , net other expense , net , is comprised primarily of foreign currency remeasurement and transaction adjustments related to our foreign subsidiaries whose functional currency is the u.s. dollar . provision for income taxes the following table presents the income tax provision : replace_table_token_7_th the following table presents our effective tax rate based upon our income tax provision : replace_table_token_8_th we utilize the liability method of accounting for income taxes . the difference between our effective tax rate and the federal statutory rate resulted primarily from the effect of our domestic losses recorded without a tax benefit , as well as the effect of foreign earnings taxed at rates differing from the federal statutory rate . we record net deferred tax assets to the extent we believe these assets will more likely than not be realized . as a result of our cumulative losses and uncertainty of generating future taxable income , we provided a full valuation allowance against our net deferred tax assets for fiscal 2015 and 2014 . 24 due to the “ change of ownership ” provision of the tax reform act of 1986 , utilization of our net operating loss ( “ nol ” ) carryforwards and tax credit carryforwards may be subject to an annual limitation against taxable income in future periods . as a result of the annual limitation , a portion of these carryforwards may expire before ultimately becoming available to reduce future income tax liabilities . the following table summarizes our nols : june 30 , 2015 ( in thousands ) federal $ 87,726 state $ 29,517 our nol carryovers for federal income tax purposes begin to expire in the fiscal year ending june 30 , 2021. our nol carryovers for state income tax purposes began to expire in fiscal 2013. at june 30 , 2015 , our fiscal 2012 through 2015 tax years remain open to examination by the federal taxing jurisdiction and our fiscal 2011 through 2015 tax years remain open to examination by the state taxing jurisdictions . however , we have nols beginning in the fiscal year ended june 30 , 2001 which would cause the statute of limitations to remain open for the year in which the nol was incurred . liquidity and capital resources story_separator_special_tag roman , times , serif ; margin : 0 ; text-indent : 0.5in `` > the following table presents the major components of the consolidated statements of cash flows : replace_table_token_11_th operating activities net cash used by operating activities in fiscal 2015 increased as compared to the prior year due primarily to ( i ) a larger net loss and ( ii ) an increase in inventories from the end of fiscal 2014 of approximately $

