otherwise , we compute fee income earned in a given period by using a proportional performance method based on costs incurred during the period as compared to total estimated project costs and application of the resulting fraction to the total project fee specified in the grant or contract . revenues on fixed-price grants and contracts are recognized using a percentage-of-completion method , which uses assumptions and estimates , as appropriate . these assumptions and estimates are developed in coordination with the principal investigator performing the work under the fixed-price grant or contract to determine levels of accomplishments throughout the life of the grant or contract . stock-based compensation we expense all share-based awards to employees and consultants , including grants of stock options and shares , based on their estimated fair value at the date of grant . costs of all share-based payments are recognized over the requisite service period that an employee or consultant must provide to earn the award ( i.e . , the vesting period ) and allocated to the functional operating expense associated with that employee or consultant . fair value of financial instruments 41 the carrying value of cash and cash equivalents , accounts receivable , short-term investments , accounts payable and accrued expenses approximates fair value due to the relatively short maturity of these instruments . common stock warrants , which are classified as liabilities , are recorded at their fair market value as of each reporting period . the measurement of fair value requires the use of techniques based on observable and unobservable inputs . observable inputs reflect market data obtained from independent sources , while unobservable inputs reflect our market assumptions . the inputs create the following fair value hierarchy : level 1 – quoted prices for identical instruments in active markets . level 2 – quoted prices for similar instruments in active markets ; quoted prices for identical or similar instruments in markets that are not active ; and model-derived valuations where inputs are observable or where significant value drivers are observable . level 3 – instruments where significant value drivers are unobservable to third parties . we use the black-scholes model to determine the fair value of certain common stock warrants on a recurring basis and classify such warrants in level 3. the black-scholes model utilizes inputs consisting of : ( i ) the closing price of our common stock ; ( ii ) the expected remaining life of the warrants ; ( iii ) the expected volatility using a weighted-average of historical volatilities of cbli and a group of comparable companies ; and ( iv ) the risk-free market rate . as of december 31 , 2017 , we held approximately $ 1.0 million in accrued expenses classified as level 3 securities for warrants to purchase common stock . income taxes determining the consolidated provision for income tax expense , deferred tax assets and liabilities and related valuation allowance , if any , involves judgment . on an on-going basis , we evaluate whether a valuation allowance is needed to reduce our deferred income tax assets to an amount that is more likely than not to be realized . the evaluation process includes assessing historical and current results in addition to future expected results . upon determining that we would be able to realize our deferred tax assets , an adjustment to the deferred tax valuation allowance would increase income in the period we make such determination . research and development expenses r & d costs are expensed as incurred . advance payments are deferred and expensed as performance occurs . r & d costs include the cost of our personnel consisting of salaries , incentive and stock-based compensation , out-of-pocket preclinical and clinical trial costs usually associated with cros , drug product manufacturing and formulation , and a pro-rata share of facilities expense and other overhead items . general and administrative expenses g & a functions include executive management , finance and administration , government affairs and regulations , corporate development , human resources , legal , and compliance . the specific costs include the cost of our personnel consisting of salaries , incentive and stock-based compensation , out-of-pocket costs usually associated with attorneys ( both corporate and intellectual property ) , bankers , accountants and other advisors , and a pro-rata share of facilities expense and other overhead items . other income and expenses other recurring income and expenses primarily consists of interest income on our investments , changes in the market value of our derivative financial instruments , gains and losses on disposal of fixed assets , and foreign currency transaction gains or losses . year ended december 31 , 2017 compared to year ended december 31 , 2016 revenue revenue decreased from $ 3.5 million for the year ended december 31 , 2016 to $ 1.9 million for the year ended december 31 , 2017 , representing a decrease of $ 1.6 million , or 45 % , primarily due to the completion of our grants from the mpt at december 31 , 2016 , which resulted in a revenue reduction of $ 1.7 million . revenue from the dod under the jwmrp contract for continued preclinical development along with other drug manufacturing activities increased $ 0.1 million during 2017 and should continue to increase in 2018 as the in-progress contracted research activities to compare the historical drug formulation used in prior 42 preclinical and clinical studies versus the to-be-marketed drug product lots of entolimod submitted for approval under cbli 's application for pre-eua are expected to be completed . revenue from both the jwmrp contract and the prmrp grant is expected to increase as a result of the commencement of contracted tasks critical for the preparation of a bla of entolimod as a mrc . story_separator_special_tag service revenue from incuron is expected to continue into 2018 in an amount similar to 2017. since these revenue sources are cost reimbursable in nature , variances in these activities , period to period , are directly aligned with variances in the underlying costs of service . differences in our revenue sources , by program , between the years are set forth in the following table : replace_table_token_1_th ( 1 ) the contracts received from russian government entities are denominated in russian rubles . the revenue above was calculated using average exchange rates for the periods presented . we anticipate our revenue over the next year will continue to be derived primarily from government grants and contracts and service contracts from incuron . the following table sets forth information regarding our currently active grant contracts as of december 31 , 2017 : replace_table_token_2_th ( 1 ) the contract values above are calculated based on the cumulative revenue recognized to date plus our backlog valued at the december 31 , 2017 exchange rate for russian ruble denominated values . research and development expenses r & d expenses decreased from $ 6.50 million for the year ended december 31 , 2016 to $ 5.05 million for the year ended december 31 , 2017 , representing a decrease of $ 1.45 million , or 22 % . variances in individual development programs are noted in the table below . significant reductions include the $ 1.4 million reduction of funds spent on entolimod for oncology indication due to the completion of a clinical study of the safety and tolerability of entolimod as a neo-adjuvant therapy in treatment-naive patients with primary colorectal cancer , the $ 0.46 million reduction in spending related to cblb612 due to the completion of a clinical study in patients with breast cancer receiving doxorubicin-cyclophosphamide chemotherapy , and the $ 0.25 million reduction in panacela product candidate spending due to the completion of the active recruitment stage of the ongoing clinical studies with mobilan . these reductions were partially offset by increased expenses on entolimod 's biodefense indication for continued preclinical development along with other drug manufacturing activities associated with our jwmrp contract and expenses associated with our regulatory efforts with the ema to prepare a pediatric investigational plan and other activities in support of filing a maa with ema . we expect that costs associated with entolimod 's biodefense indication to significantly increase in 2018 as activity associated with our dod contract and regulatory efforts with the ema and fda will continue to ramp up . curaxins expenditures are expected to increase as ongoing clinical trials will continue to enroll in 2018. panacela product candidates 43 are expected to decrease as we complete ongoing clinical trials in 2018. cblb612 and entolimod for oncology indication expenditures are expected to decrease while we evaluate clinical and preclinical study data to determine further development plans which optimize shareholder value . replace_table_token_3_th general and administrative expenses g & a expenses decreased from $ 3.4 million for the year ended december 31 , 2016 to $ 2.5 million for the year ended december 31 , 2017 , representing a decrease of $ 0.9 million , or 26.0 % . these reductions consisted primarily of a reduction of $ 0.4 million in compensation expense due to fewer personnel , a reduction of $ 0.2 million in fees incurred in relation to the treasury stock repurchase in 2016 , and a reduction of $ 0.2 million in other operating expenses primarily related to the reduction in the idle facility reserve as a result of the passage of time and ability to sublet additional space at higher rates . other income and expenses other income and expense decreased from $ 3.8 million of other income for the year ended december 31 , 2016 to other expense of $ 4.2 million for the year ended december 31 , 2017 , representing an expense increase of $ 8.0 million or 213 % . this expense increase was primarily related to a $ 7.5 million variance related to our warrant liability , and a $ 0.4 million variance in our foreign currency exchange gains and losses . liquidity and capital resources we incurred net losses of $ 160.4 million from our inception through december 31 , 2017 . historically , we have not generated , and do not expect to generate revenue from sales of product candidates in the immediate future . since our founding in 2003 , we have funded our operations through a variety of means : from inception through december 31 , 2017 , we have raised $ 144.7 million of net equity capital , including amounts received from the exercise of options and warrants . we have also received $ 7.3 million in net proceeds from the issuance of long-term debt instruments ; dod and the biomedical advanced research and development authority ( within the office of the assistant secretary for preparedness and response in the u.s. department of health and human services ) have funded grants and contracts totaling $ 60.4 million for the development of entolimod for its biodefense indication ; the russian federation has funded a series of contracts totaling $ 17.3 million , based on the exchange rates in effect on the date of funding . these contracts include requirements for us to contribute matching funds , which we have satisfied or expect to satisfy with both the value of developed intellectual property at the time of award , incurred development expenses and future expenses ; we have been awarded $ 4.0 million in grants and contracts not described above , all of which has been recognized at december 31 , 2017 ; incuron was formed to develop and commercialize the curaxins product line , including its lead oncology drug candidate cbl0137 . we sold our remaining ownership interest in incuron during 2015 for approximately $ 4.0 million and retain a 2 % royalty interest in the cbl0137 technology ; and panacela was

net cash used in operations increased by $ 1.6 million to $ 6.6 million for the year ended december 31 , 2017 from $ 5.0 million for the year ended december 31 , 2016 . net cash used in operating activities for the period ending december 31 , 2017 consisted of a reported net loss of $ 9.8 million , which was partially offset by $ 4.4 million of net non-cash operating activities , and further decreased by $ 1.2 million due to changes in operating assets and liabilities . the $ 4.4 million of net non-cash operating activities consisted principally of changes in the valuation of our warrant liability . of the net $ 1.2 million change in operating assets and liabilities , $ 0.2 million was due to a net increase in accounts receivable , and $ 1.0 million was due to a net decrease in accrued expenses and accounts payable due to a reduction in clinical studies supported by completed mpt contracts and cmc activities associated with the dod contract . net cash used in operating activities for the period ending december 31 , 2016 consisted of reported net loss of $ 2.6 million , which was further decreased by $ 3.2 million of net non-cash operating activities , and partially offset by a $ 0.8 million net increase due to changes in operating assets and liabilities . the net non-cash operating activities of $ 3.2 million consisted principally of changes in the valuation of our warrant liability and gains from equipment sales .


 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.
     ```net cash used in operations increased by $ 1.6 million to $ 6.6 million for the year ended december 31 , 2017 from $ 5.0 million for the year ended december 31 , 2016 . net cash used in operating activities for the period ending december 31 , 2017 consisted of a reported net loss of $ 9.8 million , which was partially offset by $ 4.4 million of net non-cash operating activities , and further decreased by $ 1.2 million due to changes in operating assets and liabilities . the $ 4.4 million of net non-cash operating activities consisted principally of changes in the valuation of our warrant liability . of the net $ 1.2 million change in operating assets and liabilities , $ 0.2 million was due to a net increase in accounts receivable , and $ 1.0 million was due to a net decrease in accrued expenses and accounts payable due to a reduction in clinical studies supported by completed mpt contracts and cmc activities associated with the dod contract . net cash used in operating activities for the period ending december 31 , 2016 consisted of reported net loss of $ 2.6 million , which was further decreased by $ 3.2 million of net non-cash operating activities , and partially offset by a $ 0.8 million net increase due to changes in operating assets and liabilities . the net non-cash operating activities of $ 3.2 million consisted principally of changes in the valuation of our warrant liability and gains from equipment sales .
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 Suspicious Activity Report : otherwise , we compute fee income earned in a given period by using a proportional performance method based on costs incurred during the period as compared to total estimated project costs and application of the resulting fraction to the total project fee specified in the grant or contract . revenues on fixed-price grants and contracts are recognized using a percentage-of-completion method , which uses assumptions and estimates , as appropriate . these assumptions and estimates are developed in coordination with the principal investigator performing the work under the fixed-price grant or contract to determine levels of accomplishments throughout the life of the grant or contract . stock-based compensation we expense all share-based awards to employees and consultants , including grants of stock options and shares , based on their estimated fair value at the date of grant . costs of all share-based payments are recognized over the requisite service period that an employee or consultant must provide to earn the award ( i.e . , the vesting period ) and allocated to the functional operating expense associated with that employee or consultant . fair value of financial instruments 41 the carrying value of cash and cash equivalents , accounts receivable , short-term investments , accounts payable and accrued expenses approximates fair value due to the relatively short maturity of these instruments . common stock warrants , which are classified as liabilities , are recorded at their fair market value as of each reporting period . the measurement of fair value requires the use of techniques based on observable and unobservable inputs . observable inputs reflect market data obtained from independent sources , while unobservable inputs reflect our market assumptions . the inputs create the following fair value hierarchy : level 1 – quoted prices for identical instruments in active markets . level 2 – quoted prices for similar instruments in active markets ; quoted prices for identical or similar instruments in markets that are not active ; and model-derived valuations where inputs are observable or where significant value drivers are observable . level 3 – instruments where significant value drivers are unobservable to third parties . we use the black-scholes model to determine the fair value of certain common stock warrants on a recurring basis and classify such warrants in level 3. the black-scholes model utilizes inputs consisting of : ( i ) the closing price of our common stock ; ( ii ) the expected remaining life of the warrants ; ( iii ) the expected volatility using a weighted-average of historical volatilities of cbli and a group of comparable companies ; and ( iv ) the risk-free market rate . as of december 31 , 2017 , we held approximately $ 1.0 million in accrued expenses classified as level 3 securities for warrants to purchase common stock . income taxes determining the consolidated provision for income tax expense , deferred tax assets and liabilities and related valuation allowance , if any , involves judgment . on an on-going basis , we evaluate whether a valuation allowance is needed to reduce our deferred income tax assets to an amount that is more likely than not to be realized . the evaluation process includes assessing historical and current results in addition to future expected results . upon determining that we would be able to realize our deferred tax assets , an adjustment to the deferred tax valuation allowance would increase income in the period we make such determination . research and development expenses r & d costs are expensed as incurred . advance payments are deferred and expensed as performance occurs . r & d costs include the cost of our personnel consisting of salaries , incentive and stock-based compensation , out-of-pocket preclinical and clinical trial costs usually associated with cros , drug product manufacturing and formulation , and a pro-rata share of facilities expense and other overhead items . general and administrative expenses g & a functions include executive management , finance and administration , government affairs and regulations , corporate development , human resources , legal , and compliance . the specific costs include the cost of our personnel consisting of salaries , incentive and stock-based compensation , out-of-pocket costs usually associated with attorneys ( both corporate and intellectual property ) , bankers , accountants and other advisors , and a pro-rata share of facilities expense and other overhead items . other income and expenses other recurring income and expenses primarily consists of interest income on our investments , changes in the market value of our derivative financial instruments , gains and losses on disposal of fixed assets , and foreign currency transaction gains or losses . year ended december 31 , 2017 compared to year ended december 31 , 2016 revenue revenue decreased from $ 3.5 million for the year ended december 31 , 2016 to $ 1.9 million for the year ended december 31 , 2017 , representing a decrease of $ 1.6 million , or 45 % , primarily due to the completion of our grants from the mpt at december 31 , 2016 , which resulted in a revenue reduction of $ 1.7 million . revenue from the dod under the jwmrp contract for continued preclinical development along with other drug manufacturing activities increased $ 0.1 million during 2017 and should continue to increase in 2018 as the in-progress contracted research activities to compare the historical drug formulation used in prior 42 preclinical and clinical studies versus the to-be-marketed drug product lots of entolimod submitted for approval under cbli 's application for pre-eua are expected to be completed . revenue from both the jwmrp contract and the prmrp grant is expected to increase as a result of the commencement of contracted tasks critical for the preparation of a bla of entolimod as a mrc . story_separator_special_tag service revenue from incuron is expected to continue into 2018 in an amount similar to 2017. since these revenue sources are cost reimbursable in nature , variances in these activities , period to period , are directly aligned with variances in the underlying costs of service . differences in our revenue sources , by program , between the years are set forth in the following table : replace_table_token_1_th ( 1 ) the contracts received from russian government entities are denominated in russian rubles . the revenue above was calculated using average exchange rates for the periods presented . we anticipate our revenue over the next year will continue to be derived primarily from government grants and contracts and service contracts from incuron . the following table sets forth information regarding our currently active grant contracts as of december 31 , 2017 : replace_table_token_2_th ( 1 ) the contract values above are calculated based on the cumulative revenue recognized to date plus our backlog valued at the december 31 , 2017 exchange rate for russian ruble denominated values . research and development expenses r & d expenses decreased from $ 6.50 million for the year ended december 31 , 2016 to $ 5.05 million for the year ended december 31 , 2017 , representing a decrease of $ 1.45 million , or 22 % . variances in individual development programs are noted in the table below . significant reductions include the $ 1.4 million reduction of funds spent on entolimod for oncology indication due to the completion of a clinical study of the safety and tolerability of entolimod as a neo-adjuvant therapy in treatment-naive patients with primary colorectal cancer , the $ 0.46 million reduction in spending related to cblb612 due to the completion of a clinical study in patients with breast cancer receiving doxorubicin-cyclophosphamide chemotherapy , and the $ 0.25 million reduction in panacela product candidate spending due to the completion of the active recruitment stage of the ongoing clinical studies with mobilan . these reductions were partially offset by increased expenses on entolimod 's biodefense indication for continued preclinical development along with other drug manufacturing activities associated with our jwmrp contract and expenses associated with our regulatory efforts with the ema to prepare a pediatric investigational plan and other activities in support of filing a maa with ema . we expect that costs associated with entolimod 's biodefense indication to significantly increase in 2018 as activity associated with our dod contract and regulatory efforts with the ema and fda will continue to ramp up . curaxins expenditures are expected to increase as ongoing clinical trials will continue to enroll in 2018. panacela product candidates 43 are expected to decrease as we complete ongoing clinical trials in 2018. cblb612 and entolimod for oncology indication expenditures are expected to decrease while we evaluate clinical and preclinical study data to determine further development plans which optimize shareholder value . replace_table_token_3_th general and administrative expenses g & a expenses decreased from $ 3.4 million for the year ended december 31 , 2016 to $ 2.5 million for the year ended december 31 , 2017 , representing a decrease of $ 0.9 million , or 26.0 % . these reductions consisted primarily of a reduction of $ 0.4 million in compensation expense due to fewer personnel , a reduction of $ 0.2 million in fees incurred in relation to the treasury stock repurchase in 2016 , and a reduction of $ 0.2 million in other operating expenses primarily related to the reduction in the idle facility reserve as a result of the passage of time and ability to sublet additional space at higher rates . other income and expenses other income and expense decreased from $ 3.8 million of other income for the year ended december 31 , 2016 to other expense of $ 4.2 million for the year ended december 31 , 2017 , representing an expense increase of $ 8.0 million or 213 % . this expense increase was primarily related to a $ 7.5 million variance related to our warrant liability , and a $ 0.4 million variance in our foreign currency exchange gains and losses . liquidity and capital resources we incurred net losses of $ 160.4 million from our inception through december 31 , 2017 . historically , we have not generated , and do not expect to generate revenue from sales of product candidates in the immediate future . since our founding in 2003 , we have funded our operations through a variety of means : from inception through december 31 , 2017 , we have raised $ 144.7 million of net equity capital , including amounts received from the exercise of options and warrants . we have also received $ 7.3 million in net proceeds from the issuance of long-term debt instruments ; dod and the biomedical advanced research and development authority ( within the office of the assistant secretary for preparedness and response in the u.s. department of health and human services ) have funded grants and contracts totaling $ 60.4 million for the development of entolimod for its biodefense indication ; the russian federation has funded a series of contracts totaling $ 17.3 million , based on the exchange rates in effect on the date of funding . these contracts include requirements for us to contribute matching funds , which we have satisfied or expect to satisfy with both the value of developed intellectual property at the time of award , incurred development expenses and future expenses ; we have been awarded $ 4.0 million in grants and contracts not described above , all of which has been recognized at december 31 , 2017 ; incuron was formed to develop and commercialize the curaxins product line , including its lead oncology drug candidate cbl0137 . we sold our remaining ownership interest in incuron during 2015 for approximately $ 4.0 million and retain a 2 % royalty interest in the cbl0137 technology ; and panacela was

