in the core vonage branded business , we continued to allocate marketing investments from mass-reach vehicles like television to more ethnically-targeted and cost-efficient , in-person selling channels . these initiatives combined to offset the existing weakening in our premium domestic service , which reflects broad market trends . as a result , for 2013 , we delivered positive net line additions for the first time since 2008. we grew the penetration rate of our mobile extension service , which extends our home phone product to mobile phones , and we improved our standalone mobile app with quality and feature enhancements , including video calling and video voicemail . early in 2013 we announced a joint venture to launch service in brazil and we expect to enter this market with a phased launch in the second quarter of 2014. in late 2013 we acquired vocalocity , a leading provider of hosted voip services to small and medium businesses . recent developments acquisition of vocalocity . pursuant to the agreement and plan of merger ( the “ merger agreement ” ) dated october 9 , 2013 , by and among vocalocity inc. ( `` vocalocity `` ) , vista merger corp. , a delaware corporation and newly formed wholly-owned subsidiary of vonage ( “ merger sub ” ) , vonage and shareholder representative services , llc ( acting solely in its capacity as the representative , the “ representative ” ) . pursuant to the merger agreement , on november 15 , 2013 , merger sub merged with and into vocalocity , and vocalocity became a wholly-owned subsidiary of vonage ( the “ merger ” ) . vocalocity was acquired for $ 130,000 adjusted for $ 2,869 of excess cash as of the closing date and the increase in value of the 7,983 shares of vonage common stock from the signing date to the closing date of $ 1,298 , resulting in a total acquisition cost was $ 134,167 . we financed the transaction through $ 32,981 of cash and $ 75,000 from our credit facility . the acquisition of vocalocity immediately positions vonage as a leader in the smb hosted voip market . smb and soho services will be offered under the vonage business solutions brand . joint venture in brazil . we continue to make progress building the foundation to deliver voip services through our joint venture in brazil . the joint venture has completed network testing , finalized plans to host its billing platform , built out its management team , is currently performing integrated production testing , and has established and trained customer care centers . we are also implementing a change to the ownership structure of our joint venture . in late 2013 , our partner was unable to meet its capital call obligations resulting in the delivery of a notice to our partner in early 2014 that we would be exercising our dilution rights . as a result , our ownership level in the joint venture is expected to increase to more than 90 % . our joint venture partner continues to contribute to implementation steps and progress building the foundation to deliver voip services . we do not expect these funding issues to increase risk to our planned market entry in the second quarter of 2014. trends in our industry and key operating data a number of trends in our industry have a significant effect on our results of operations and are important to an understanding of our financial statements . competitive landscape . we face intense competition from traditional telephone companies , wireless companies , cable companies , and alternative voice communication providers . most traditional wireline and wireless telephone service providers and cable companies are substantially larger and better capitalized than we are 27 vonage annual report 2013 and have the advantage of a large existing customer base . in addition , because our competitors provide other services , they often choose to offer voip services or other voice services as part of a bundle that includes other products , such as internet access , cable television , and home telephone service , with an implied price for telephone service that may be significantly below ours . in addition , such competitors may in the future require new customers or existing customers making changes to their service to purchase voice services when purchasing high speed internet access . further , as wireless providers offer more minutes at lower prices , better coverage , and companion landline alternative services , their services have become more attractive to households as a replacement for wireline service . we also compete against alternative voice communication providers , such as magicjack , skype , and google voice . some of these service providers have chosen to sacrifice telephony revenue in order to gain market share and have offered their services at low prices or for free . as we continue to introduce applications that integrate different forms of voice and messaging services over multiple devices , we are facing competition from emerging competitors focused on similar integration , as well as from alternative voice communication providers . in addition , our competitors have partnered and may in the future partner with other competitors to offer products and services , leveraging their collective competitive positions . we also are subject to the risk of future disruptive technologies . in connection with our emphasis on the international long distance market , we face competition from low-cost international calling cards and voip providers in addition to traditional telephone companies , cable companies , and wireless companies . in connection with our vonage business solutions smb and soho markets , we face competition from the traditional telephone and cable companies discussed above , as well as from smb communications providers such as 8x8 , ring central , and other companies . broadband adoption . the number of united states households with broadband internet access has grown significantly . story_separator_special_tag > the cost of co-locating our regional data connection point equipment in third-party facilities owned by other telephone companies , internet service providers or collocation facility providers . > the cost of providing local number portability , which allows customers to move their existing telephone numbers from another provider to our service . only regulated telecommunications providers have access to the centralized number databases that facilitate this process . because we are not a regulated telecommunications provider , we must pay other telecommunications providers to process our local number portability requests . > the cost of complying with the fcc regulations regarding voip emergency services , which require us to provide enhanced emergency dialing capabilities to transmit 911 calls for all of our customers . > taxes that we pay on our purchase of telecommunications services from our suppliers or imposed by government agencies such as federal usf and related fees . > license fees for use of third party intellectual property . direct cost of goods sold . direct cost of goods sold primarily consists of costs that we incur when a customer first subscribes to our service . these costs include : > the cost of the equipment that we provide to customers who subscribe to our service through our direct sales channel in excess of activation fees when an activation fee is collected . the remaining cost of customer equipment is deferred up to the activation fee collected and amortized over the estimated average customer life . > the cost of the equipment that we sell directly to retailers . > the cost of shipping and handling for customer equipment , together with the installation manual , that we ship to customers . > the cost of certain products or services that we give customers as promotions . selling , general and administrative expense . selling , general and administrative expense includes : > compensation and benefit costs for all employees , which is the largest component of selling , general and administrative expense and includes customer care , research and development , network engineering and operations , sales and marketing , executive , legal , finance , and human resources personnel . > share-based expense related to share-based awards to employees , directors , and consultants . > outsourced labor related to customer care , kiosk and community based events teams , and retail in-store support activities . > product awareness advertising . > transaction fees paid to credit card , debit card , and ecp companies and other third party billers such as itunes , which may include a per transaction charge in addition to a percent of billings charge . > rent and related expenses . > professional fees for legal , accounting , tax , public relations , lobbying , and development activities . > acquisition related transaction and integration costs . > litigation settlements . marketing expense . marketing expense consists of : > advertising costs , which comprise a majority of our marketing expense and include online , television , direct mail , alternative media , promotions , sponsorships , and inbound and outbound telemarketing . > creative and production costs . > the costs to serve and track our online advertising . > certain amounts we pay to retailers for activation commissions . > the cost associated with our customer referral program . depreciation and amortization expenses . depreciation and amortization expenses include : > depreciation of our network equipment , furniture and fixtures , and employee computer equipment . > amortization of leasehold improvements and purchased and developed software . > amortization of intangible assets ( developed technology , customer relationships , non-compete agreements , patents , trademarks and trade names ) . > loss on disposal or impairment of property and equipment . loss from abandonment of software assets . loss from abandonment of software assets include : > impairment of investment in software assets . 30 vonage annual report 2013 other income ( expense ) other income ( expense ) consists of : > interest income on cash and cash equivalents . > interest expense on notes payable , patent litigation judgments and settlements , and capital leases . > amortization of debt related costs . > accretion of notes . > realized and unrealized gains ( losses ) on foreign currency . > gain ( loss ) on extinguishment of notes . > change in fair value of stock warrant . results of operation the following table sets forth , as a percentage of consolidated operating revenues , our consolidated statement of income for the periods indicated : replace_table_token_7_th 31 vonage annual report 2013 summary of results for the years ended december 31 , 2013 , 2012 , and 2011 replace_table_token_8_th ( 1 ) excludes depreciation and amortization of $ 14,892 , $ 15,115 , and $ 15,824 , respectively . 2013 compared to 2012 revenues . the decrease in revenues of $ 20,047 , or 2 % , was primarily driven by a decrease of $ 17,573 in monthly subscription fees resulting from rate plan mix , lower customer acquisitions on premium plans , prior year line losses , and retention activities partially offset by revenue from vocalocity since the acquisition that closed on november 15 , 2013. there was also a decrease in activation fees of $ 1,077 and a decrease in other revenue of $ 996 due to lower rates from our revenue sharing partners . there was an increase in credits issued to subscribers of $ 2,449 , a decrease in additional features revenue of $ 1,090 , and a decrease in international minutes of use revenue of $ 1,234. these decreases were offset by an increase in fees that we charged for disconnecting our service of $ 1,024 due to reinstatement of contracts for new customers beginning in february 2012 , and an increase in our regulatory fee revenue of $ 3,784 , which includes a decrease of $ 7,771 in

cash used in investing activities for 2013 of $ 120,985 was attributable to the acquisition of vocalocity of $ 100,057 , capital expenditures of $ 9,889 , and software acquisition and development of $ 12,291 , offset by a decrease in restricted cash of $ 1,252 due primarily to the return of part of the security deposit on our leased office property in holmdel , new jersey . cash used in investing activities for 2012 of $ 25,472 was attributable to capital expenditures of $ 13,763 and software acquisition and development of $ 12,987 , offset by a decrease in restricted cash of $ 1,278 due primarily to the return of part of the security deposit on our leased office property in holmdel , new jersey . cash used in investing activities for 2011 of $ 37,604 was attributable to capital expenditures of $ 12,636 , software acquisition and development of $ 22,292 , and purchase of intangible assets of $ 3,725 , offset by a decrease in restricted cash of $ 1,049 due primarily to the return of part of the security deposit on our leased office property in holmdel , new jersey . financing activities cash provided by financing activities for 2013 of $ 21,891 was primarily attributable to $ 75,000 borrowed under the 2013 revolving credit facility and $ 27,500 in proceeds from our 2013 credit facility , and $ 4,091 in net proceeds received from the exercise and cancellation of stock options partially offset by $ 23,334 in 2013 credit facility principal payments , $ 3,471 in capital lease and other liability payments , $ 56,294 in common stock repurchases , and $ 2,056 in 2013 credit facility debt related costs . cash used in financing activities for 2012 of $ 56,257 was primarily attributable to $ 28,333 in 2011 credit facility principal payments , $ 2,104 in capital lease payments , and $ 27,545 in common stock repurchases , offset by $ 1,725 in proceeds received from the exercise of stock options .


 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 used in investing activities for 2013 of $ 120,985 was attributable to the acquisition of vocalocity of $ 100,057 , capital expenditures of $ 9,889 , and software acquisition and development of $ 12,291 , offset by a decrease in restricted cash of $ 1,252 due primarily to the return of part of the security deposit on our leased office property in holmdel , new jersey . cash used in investing activities for 2012 of $ 25,472 was attributable to capital expenditures of $ 13,763 and software acquisition and development of $ 12,987 , offset by a decrease in restricted cash of $ 1,278 due primarily to the return of part of the security deposit on our leased office property in holmdel , new jersey . cash used in investing activities for 2011 of $ 37,604 was attributable to capital expenditures of $ 12,636 , software acquisition and development of $ 22,292 , and purchase of intangible assets of $ 3,725 , offset by a decrease in restricted cash of $ 1,049 due primarily to the return of part of the security deposit on our leased office property in holmdel , new jersey . financing activities cash provided by financing activities for 2013 of $ 21,891 was primarily attributable to $ 75,000 borrowed under the 2013 revolving credit facility and $ 27,500 in proceeds from our 2013 credit facility , and $ 4,091 in net proceeds received from the exercise and cancellation of stock options partially offset by $ 23,334 in 2013 credit facility principal payments , $ 3,471 in capital lease and other liability payments , $ 56,294 in common stock repurchases , and $ 2,056 in 2013 credit facility debt related costs . cash used in financing activities for 2012 of $ 56,257 was primarily attributable to $ 28,333 in 2011 credit facility principal payments , $ 2,104 in capital lease payments , and $ 27,545 in common stock repurchases , offset by $ 1,725 in proceeds received from the exercise of stock options .
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 Suspicious Activity Report : in the core vonage branded business , we continued to allocate marketing investments from mass-reach vehicles like television to more ethnically-targeted and cost-efficient , in-person selling channels . these initiatives combined to offset the existing weakening in our premium domestic service , which reflects broad market trends . as a result , for 2013 , we delivered positive net line additions for the first time since 2008. we grew the penetration rate of our mobile extension service , which extends our home phone product to mobile phones , and we improved our standalone mobile app with quality and feature enhancements , including video calling and video voicemail . early in 2013 we announced a joint venture to launch service in brazil and we expect to enter this market with a phased launch in the second quarter of 2014. in late 2013 we acquired vocalocity , a leading provider of hosted voip services to small and medium businesses . recent developments acquisition of vocalocity . pursuant to the agreement and plan of merger ( the “ merger agreement ” ) dated october 9 , 2013 , by and among vocalocity inc. ( `` vocalocity `` ) , vista merger corp. , a delaware corporation and newly formed wholly-owned subsidiary of vonage ( “ merger sub ” ) , vonage and shareholder representative services , llc ( acting solely in its capacity as the representative , the “ representative ” ) . pursuant to the merger agreement , on november 15 , 2013 , merger sub merged with and into vocalocity , and vocalocity became a wholly-owned subsidiary of vonage ( the “ merger ” ) . vocalocity was acquired for $ 130,000 adjusted for $ 2,869 of excess cash as of the closing date and the increase in value of the 7,983 shares of vonage common stock from the signing date to the closing date of $ 1,298 , resulting in a total acquisition cost was $ 134,167 . we financed the transaction through $ 32,981 of cash and $ 75,000 from our credit facility . the acquisition of vocalocity immediately positions vonage as a leader in the smb hosted voip market . smb and soho services will be offered under the vonage business solutions brand . joint venture in brazil . we continue to make progress building the foundation to deliver voip services through our joint venture in brazil . the joint venture has completed network testing , finalized plans to host its billing platform , built out its management team , is currently performing integrated production testing , and has established and trained customer care centers . we are also implementing a change to the ownership structure of our joint venture . in late 2013 , our partner was unable to meet its capital call obligations resulting in the delivery of a notice to our partner in early 2014 that we would be exercising our dilution rights . as a result , our ownership level in the joint venture is expected to increase to more than 90 % . our joint venture partner continues to contribute to implementation steps and progress building the foundation to deliver voip services . we do not expect these funding issues to increase risk to our planned market entry in the second quarter of 2014. trends in our industry and key operating data a number of trends in our industry have a significant effect on our results of operations and are important to an understanding of our financial statements . competitive landscape . we face intense competition from traditional telephone companies , wireless companies , cable companies , and alternative voice communication providers . most traditional wireline and wireless telephone service providers and cable companies are substantially larger and better capitalized than we are 27 vonage annual report 2013 and have the advantage of a large existing customer base . in addition , because our competitors provide other services , they often choose to offer voip services or other voice services as part of a bundle that includes other products , such as internet access , cable television , and home telephone service , with an implied price for telephone service that may be significantly below ours . in addition , such competitors may in the future require new customers or existing customers making changes to their service to purchase voice services when purchasing high speed internet access . further , as wireless providers offer more minutes at lower prices , better coverage , and companion landline alternative services , their services have become more attractive to households as a replacement for wireline service . we also compete against alternative voice communication providers , such as magicjack , skype , and google voice . some of these service providers have chosen to sacrifice telephony revenue in order to gain market share and have offered their services at low prices or for free . as we continue to introduce applications that integrate different forms of voice and messaging services over multiple devices , we are facing competition from emerging competitors focused on similar integration , as well as from alternative voice communication providers . in addition , our competitors have partnered and may in the future partner with other competitors to offer products and services , leveraging their collective competitive positions . we also are subject to the risk of future disruptive technologies . in connection with our emphasis on the international long distance market , we face competition from low-cost international calling cards and voip providers in addition to traditional telephone companies , cable companies , and wireless companies . in connection with our vonage business solutions smb and soho markets , we face competition from the traditional telephone and cable companies discussed above , as well as from smb communications providers such as 8x8 , ring central , and other companies . broadband adoption . the number of united states households with broadband internet access has grown significantly . story_separator_special_tag > the cost of co-locating our regional data connection point equipment in third-party facilities owned by other telephone companies , internet service providers or collocation facility providers . > the cost of providing local number portability , which allows customers to move their existing telephone numbers from another provider to our service . only regulated telecommunications providers have access to the centralized number databases that facilitate this process . because we are not a regulated telecommunications provider , we must pay other telecommunications providers to process our local number portability requests . > the cost of complying with the fcc regulations regarding voip emergency services , which require us to provide enhanced emergency dialing capabilities to transmit 911 calls for all of our customers . > taxes that we pay on our purchase of telecommunications services from our suppliers or imposed by government agencies such as federal usf and related fees . > license fees for use of third party intellectual property . direct cost of goods sold . direct cost of goods sold primarily consists of costs that we incur when a customer first subscribes to our service . these costs include : > the cost of the equipment that we provide to customers who subscribe to our service through our direct sales channel in excess of activation fees when an activation fee is collected . the remaining cost of customer equipment is deferred up to the activation fee collected and amortized over the estimated average customer life . > the cost of the equipment that we sell directly to retailers . > the cost of shipping and handling for customer equipment , together with the installation manual , that we ship to customers . > the cost of certain products or services that we give customers as promotions . selling , general and administrative expense . selling , general and administrative expense includes : > compensation and benefit costs for all employees , which is the largest component of selling , general and administrative expense and includes customer care , research and development , network engineering and operations , sales and marketing , executive , legal , finance , and human resources personnel . > share-based expense related to share-based awards to employees , directors , and consultants . > outsourced labor related to customer care , kiosk and community based events teams , and retail in-store support activities . > product awareness advertising . > transaction fees paid to credit card , debit card , and ecp companies and other third party billers such as itunes , which may include a per transaction charge in addition to a percent of billings charge . > rent and related expenses . > professional fees for legal , accounting , tax , public relations , lobbying , and development activities . > acquisition related transaction and integration costs . > litigation settlements . marketing expense . marketing expense consists of : > advertising costs , which comprise a majority of our marketing expense and include online , television , direct mail , alternative media , promotions , sponsorships , and inbound and outbound telemarketing . > creative and production costs . > the costs to serve and track our online advertising . > certain amounts we pay to retailers for activation commissions . > the cost associated with our customer referral program . depreciation and amortization expenses . depreciation and amortization expenses include : > depreciation of our network equipment , furniture and fixtures , and employee computer equipment . > amortization of leasehold improvements and purchased and developed software . > amortization of intangible assets ( developed technology , customer relationships , non-compete agreements , patents , trademarks and trade names ) . > loss on disposal or impairment of property and equipment . loss from abandonment of software assets . loss from abandonment of software assets include : > impairment of investment in software assets . 30 vonage annual report 2013 other income ( expense ) other income ( expense ) consists of : > interest income on cash and cash equivalents . > interest expense on notes payable , patent litigation judgments and settlements , and capital leases . > amortization of debt related costs . > accretion of notes . > realized and unrealized gains ( losses ) on foreign currency . > gain ( loss ) on extinguishment of notes . > change in fair value of stock warrant . results of operation the following table sets forth , as a percentage of consolidated operating revenues , our consolidated statement of income for the periods indicated : replace_table_token_7_th 31 vonage annual report 2013 summary of results for the years ended december 31 , 2013 , 2012 , and 2011 replace_table_token_8_th ( 1 ) excludes depreciation and amortization of $ 14,892 , $ 15,115 , and $ 15,824 , respectively . 2013 compared to 2012 revenues . the decrease in revenues of $ 20,047 , or 2 % , was primarily driven by a decrease of $ 17,573 in monthly subscription fees resulting from rate plan mix , lower customer acquisitions on premium plans , prior year line losses , and retention activities partially offset by revenue from vocalocity since the acquisition that closed on november 15 , 2013. there was also a decrease in activation fees of $ 1,077 and a decrease in other revenue of $ 996 due to lower rates from our revenue sharing partners . there was an increase in credits issued to subscribers of $ 2,449 , a decrease in additional features revenue of $ 1,090 , and a decrease in international minutes of use revenue of $ 1,234. these decreases were offset by an increase in fees that we charged for disconnecting our service of $ 1,024 due to reinstatement of contracts for new customers beginning in february 2012 , and an increase in our regulatory fee revenue of $ 3,784 , which includes a decrease of $ 7,771 in

