the net loss in 2011 was primarily attributable to the decrease in comparable store sales and the recording of a valuation allowance on the company 's us deferred tax assets . net income increased in 2010 due to stable store sales trends , continued cost reductions , improvements in margin and leverage of fixed costs . additionally , certain non-cash charges included in 2009 did not recur , or were significantly lower in 2010. net income declined in 2009 due primarily to the decrease in comparable store sales and the impact of certain non-cash charges . in 2009 , merchandise margin improvement was more than offset by fixed occupancy cost deleverage due primarily to the decrease in comparable store sales . in 2011 , our results reflect stablizing economic trends and modest mall traffic increases but continuing low levels of consumer confidence . in 2011 , our store contribution percentage was essentially flat with 2010 , as declining sales were offset by lower store expenses , specifically payroll and supplies . in 2009 and 2010 , our results reflect the challenging retail environment – economic recession , declining mall traffic , and slowing consumer spending – factors impacting many retailers and particularly our company given the discretionary nature of our products and our experience . in 2010 , our store contribution increased , primarily due to a significant decrease in store asset impairment charges as compared to 2009 as well as improvements in margin and leverage of fixed store costs . in 2009 , our total store contribution declined , primarily due to a 13.4 % decrease in comparable store sales . this decrease in total store contribution was partially offset by approximately $ 25 million in cost reductions in north america in 2009 . 24 our 2012 plan balances our long term business goals while recognizing the continuing challenges of the retail environment . we plan to improve store productivity and profitability by strategically closing fifteen to twenty stores during the year and reducing the square footage of select stores by relocating them within the same malls . while we believe our market potential in north america is approximately 300 to 325 , stores , this right-sizing will allow us to focus on our business and align all operations around our goals of improving our comparable stores sales performance and store productivity , while also building our long term brand value . at the same time , we will build our first newly designed stores that feature a bold new look and enhanced experience as we continue to be a leader in the interactive experiential retail space . while build-a-bear workshop in north america will be leaner with fewer stores that have higher volumes and profitability , we will continue to grow internationally in our company-owned operations in the uk and through our franchisees . we also intend to increase shopping frequency by increasing new guest traffic to its stores , specifically focusing on families with children , by refreshing our loyalty program and intensifying digital engagement to increase visits from our existing guests and by reinforcing our store as a top destination for gifts . in 2009 , we implemented cost reduction initiatives that resulted in approximately $ 25 million in pre-tax savings . we were able to maintain these savings in 2010 and 2011 and saved an additional $ 3 million in 2011. we anticipate an additional $ 9 million in savings in 2012 , a portion of which will offset expected product cost increases . we ended fiscal 2011 with no borrowings under our bank loan agreement and with $ 46 million in cash and cash equivalents after investing $ 12 million in capital projects and $ 15 million in share repurchases . following is a description and discussion of the major components of our statement of operations : revenues net retail sales : net retail sales are revenues from retail sales ( including our webstore and other non-store locations ) , are net of discounts , exclude sales tax , include shipping and handling costs billed to customers , and are recognized at the time of sale . revenues from gift cards are recognized at the time of redemption . our guests use cash , checks , gift cards and third party credit cards to make purchases . we classify stores as new , non-comparable and comparable stores . stores enter the comparable store calculation in their thirteenth full month of operation . our webstore and temporary , seasonal and event-based locations are not included in our store count or in our comparable store calculations . non-comparable stores also result from a store relocation or remodel that results in a significant change in square footage . the net retail sales for that location are excluded from comparable store sales calculations until the thirteenth full month of operation after the date of the change . in fiscal 2008 and 2009 , we closed all friends 2b made locations . all but one of these locations were inside or adjacent to a build-a-bear workshop store and were excluded from our store count other than one stand-alone store in ontario , california , the closures of these locations were considered remodels of existing build-a-bear workshop stores and were not included as closures . the net retail sales of these expanded build-a-bear workshop stores were excluded from comparable store sales calculations until the thirteenth full month of operation after the date of the expansion as well as after the subsequent closure . we have a loyalty program with a frequent shopper reward feature in north america , the stuff fur stuff club . through 2011 , guests enrolled in the program received one point for every dollar or partial dollar spent and , after reaching 100 points , received a $ 10 discount on a future purchase . story_separator_special_tag income tax expense was $ 14.4 million in fiscal 2011 , compared to an income tax benefit of $ 2.6 million for fiscal 2010. the effective rate was ( 543.4 ) % in 2011 and 104.2 % in 2010. the fluctuation in the effective rate in 2011 was primarily attributable to the recording of a $ 15.6 million valuation allowance in 2011 on the us deferred tax assets . fiscal year ended january 1 , 2011 ( 52 weeks ) compared to fiscal year ended january 2 , 2010 ( 52 weeks ) total revenues . net retail sales decreased to $ 387.2 million for fiscal 2010 from $ 388.6 million for fiscal 2009 , a decrease of $ 1.4 million , or 0.4 % . comparable store sales decreased $ 7.2 million in fiscal 2010 , or 2.0 % and sales from non-comparable locations decreased $ 2.1 million . partially offsetting these decreases is an increase of $ 4.3 million related to the revenue deferral under our customer loyalty program . this year-end adjustment represented a refinement in the calculation used to estimate the liability that also took into account the change in member 's redemption patterns experienced in 2010. this increase was partially offset by $ 1.9 million of revenue deferred throughout the year as estimated under the previous approach . increases in net retail sales resulted from sales in new stores and increases in sales over the internet of $ 2.4 million and $ 1.2 million , respectively . other increases totaling $ 1.9 million came from sales at non-store locations which includes temporary locations , other retail revenues and the impact of foreign currency exchange rates . commercial revenue was $ 11.2 million in fiscal 2010 compared to $ 4.0 million in fiscal 2009. this increase was primarily due to $ 6.4 million in non-recurring wholesale transactions . excluding these transactions , commercial revenues increased $ 0.8 million reflecting the introduction of build-a-bear craftshop kits . revenue from international franchise fees decreased to $ 3.0 million for fiscal 2010 from $ 3.4 million for fiscal 2009 , a decrease of $ 0.4 million . this decrease was primarily due to continuing adverse global economic conditions . gross margin . total gross margin , calculated as net retail sales and commercial revenues less cost of merchandise sold , increased to $ 158.9 million for fiscal 2010 from $ 145.0 million for fiscal 2009 , an increase of $ 13.8 million , or 9.5 % . retail gross margin increased to $ 155.1 million in fiscal 2010 from $ 142.6 million in fiscal 2009 , and increase of $ 12.6 million or 8.8 % . as a percentage of net retail sales , retail gross margin increased to 40.1 % for fiscal 2010 from 36.7 % for fiscal 2009 , an increase of 340 bps . this improvement in margin was primarily attributable to a 110 basis point improvement resulting from the significant reduction in asset impairment charges in 2010 as compared 2009. additionally , we achieved 100 basis points of improved leverage on fixed occupancy costs and a 70 basis point improvement in merchandise margin along with other improvements in distribution and purchasing . 30 selling , general and administrative . selling , general and administrative expenses were $ 163.9 million for fiscal 2010 as compared to $ 162.7 million for fiscal 2009 , an increase of $ 1.2 million , or 0.7 % . as a percentage of total revenues , selling , general and administrative expenses were 40.8 % for fiscal 2010 , compared to 41.1 % for fiscal 2009. the dollar increase was primarily attributable to $ 1.6 million in charges related to the closure of our stores in france and increases in corporate payroll costs primarily related to a bonus . these increases were partially offset by marketing savings and improved leverage on store salaries and other fixed overhead costs . store preopening . store preopening expense was $ 0.7 million for fiscal 2010 as compared to $ 0.1 million for fiscal 2009. the increase was primarily due to opening four stores in fiscal 2010 as compared to one in 2009. these amounts include preopening rent expense of $ 0.1 million for 2010 and $ 9,000 for fiscal 2009. preopening expenses include expenses for stores that have opened , including temporary locations , as well as some expenses incurred for stores that will be opened at a later date . losses from investment in affiliate . losses from investment in affiliate of $ 9.6 million in fiscal 2009 are losses related to our investment in ridemakerz . the losses incurred in 2009 are comprised of a $ 7.5 million non-cash charge of ridemakerz net loss allocations , a $ 1.0 million non-cash impairment charge and a $ 1.1 million write-off of ridemakerz outstanding receivable . as the investment was written down to zero in 2009 , no loss allocations charges were recorded in 2010. interest expense ( income ) , net . interest income , net of interest expense , was $ 0.3 million for fiscal 2010 as compared to $ 0.1 million for fiscal 2009. provision for income taxes . the income tax benefit was $ 2.6 million for fiscal 2010 , compared to $ 11.4 million for fiscal 2009. the effective rate was 104.2 % in 2010 and 47.7 % for fiscal 2009. the increase in the effective tax rate was primarily attributable to a release of valuation allowances on net operating loss carryforwards associated with our france operations as well as the impact of lower taxes in foreign jurisdictions and the release of tax reserves . non-gaap financial measures we use the term “ store contribution ” throughout this annual report on form 10-k. store contribution consists of income before income tax expense , interest , store depreciation and amortization , store preopening expense , store closing expense and general and administrative expense , excluding franchise fees , income from

capital resources . as of december 31 , 2011 , we had a cash balance of $ 46.4 million , nearly half of which was domiciled outside of the united states . we also have a line of credit , which we can use to finance capital expenditures and working capital needs throughout the year . the credit agreement is with u.s. bank , national association and was amended effective december 30 , 2011. the bank line continues to provide availability of $ 40 million for the first half of the fiscal year and a seasonal overline of $ 50 million . the seasonal overline is in effect from july 1 to december 31 each year . borrowings under the credit agreement are secured by our assets and a pledge of 65 % of our ownership interest in our foreign subsidiaries . the credit agreement expires on december 31 , 2013 and contains various restrictions on indebtedness , liens , guarantees , redemptions , mergers , acquisitions or sale of assets , loans , transactions with affiliates , and investments . it prohibits us from declaring dividends without the bank 's prior consent , unless such payment of dividends would not violate any terms of the credit agreement . we are also prohibited from repurchasing shares of our common stock unless such repurchase of shares would not violate any terms of the credit agreement ; we may not use proceeds of the line of credit to repurchase shares . borrowings bear interest at libor plus 1.8 % . financial covenants include maintaining a minimum tangible net worth , maintaining a minimum fixed charge coverage ratio ( as defined in the credit agreement ) and not exceeding a maximum funded debt to earnings before interest , depreciation and amortization ratio .


 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.
     ```capital resources . as of december 31 , 2011 , we had a cash balance of $ 46.4 million , nearly half of which was domiciled outside of the united states . we also have a line of credit , which we can use to finance capital expenditures and working capital needs throughout the year . the credit agreement is with u.s. bank , national association and was amended effective december 30 , 2011. the bank line continues to provide availability of $ 40 million for the first half of the fiscal year and a seasonal overline of $ 50 million . the seasonal overline is in effect from july 1 to december 31 each year . borrowings under the credit agreement are secured by our assets and a pledge of 65 % of our ownership interest in our foreign subsidiaries . the credit agreement expires on december 31 , 2013 and contains various restrictions on indebtedness , liens , guarantees , redemptions , mergers , acquisitions or sale of assets , loans , transactions with affiliates , and investments . it prohibits us from declaring dividends without the bank 's prior consent , unless such payment of dividends would not violate any terms of the credit agreement . we are also prohibited from repurchasing shares of our common stock unless such repurchase of shares would not violate any terms of the credit agreement ; we may not use proceeds of the line of credit to repurchase shares . borrowings bear interest at libor plus 1.8 % . financial covenants include maintaining a minimum tangible net worth , maintaining a minimum fixed charge coverage ratio ( as defined in the credit agreement ) and not exceeding a maximum funded debt to earnings before interest , depreciation and amortization ratio .
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 Suspicious Activity Report : the net loss in 2011 was primarily attributable to the decrease in comparable store sales and the recording of a valuation allowance on the company 's us deferred tax assets . net income increased in 2010 due to stable store sales trends , continued cost reductions , improvements in margin and leverage of fixed costs . additionally , certain non-cash charges included in 2009 did not recur , or were significantly lower in 2010. net income declined in 2009 due primarily to the decrease in comparable store sales and the impact of certain non-cash charges . in 2009 , merchandise margin improvement was more than offset by fixed occupancy cost deleverage due primarily to the decrease in comparable store sales . in 2011 , our results reflect stablizing economic trends and modest mall traffic increases but continuing low levels of consumer confidence . in 2011 , our store contribution percentage was essentially flat with 2010 , as declining sales were offset by lower store expenses , specifically payroll and supplies . in 2009 and 2010 , our results reflect the challenging retail environment – economic recession , declining mall traffic , and slowing consumer spending – factors impacting many retailers and particularly our company given the discretionary nature of our products and our experience . in 2010 , our store contribution increased , primarily due to a significant decrease in store asset impairment charges as compared to 2009 as well as improvements in margin and leverage of fixed store costs . in 2009 , our total store contribution declined , primarily due to a 13.4 % decrease in comparable store sales . this decrease in total store contribution was partially offset by approximately $ 25 million in cost reductions in north america in 2009 . 24 our 2012 plan balances our long term business goals while recognizing the continuing challenges of the retail environment . we plan to improve store productivity and profitability by strategically closing fifteen to twenty stores during the year and reducing the square footage of select stores by relocating them within the same malls . while we believe our market potential in north america is approximately 300 to 325 , stores , this right-sizing will allow us to focus on our business and align all operations around our goals of improving our comparable stores sales performance and store productivity , while also building our long term brand value . at the same time , we will build our first newly designed stores that feature a bold new look and enhanced experience as we continue to be a leader in the interactive experiential retail space . while build-a-bear workshop in north america will be leaner with fewer stores that have higher volumes and profitability , we will continue to grow internationally in our company-owned operations in the uk and through our franchisees . we also intend to increase shopping frequency by increasing new guest traffic to its stores , specifically focusing on families with children , by refreshing our loyalty program and intensifying digital engagement to increase visits from our existing guests and by reinforcing our store as a top destination for gifts . in 2009 , we implemented cost reduction initiatives that resulted in approximately $ 25 million in pre-tax savings . we were able to maintain these savings in 2010 and 2011 and saved an additional $ 3 million in 2011. we anticipate an additional $ 9 million in savings in 2012 , a portion of which will offset expected product cost increases . we ended fiscal 2011 with no borrowings under our bank loan agreement and with $ 46 million in cash and cash equivalents after investing $ 12 million in capital projects and $ 15 million in share repurchases . following is a description and discussion of the major components of our statement of operations : revenues net retail sales : net retail sales are revenues from retail sales ( including our webstore and other non-store locations ) , are net of discounts , exclude sales tax , include shipping and handling costs billed to customers , and are recognized at the time of sale . revenues from gift cards are recognized at the time of redemption . our guests use cash , checks , gift cards and third party credit cards to make purchases . we classify stores as new , non-comparable and comparable stores . stores enter the comparable store calculation in their thirteenth full month of operation . our webstore and temporary , seasonal and event-based locations are not included in our store count or in our comparable store calculations . non-comparable stores also result from a store relocation or remodel that results in a significant change in square footage . the net retail sales for that location are excluded from comparable store sales calculations until the thirteenth full month of operation after the date of the change . in fiscal 2008 and 2009 , we closed all friends 2b made locations . all but one of these locations were inside or adjacent to a build-a-bear workshop store and were excluded from our store count other than one stand-alone store in ontario , california , the closures of these locations were considered remodels of existing build-a-bear workshop stores and were not included as closures . the net retail sales of these expanded build-a-bear workshop stores were excluded from comparable store sales calculations until the thirteenth full month of operation after the date of the expansion as well as after the subsequent closure . we have a loyalty program with a frequent shopper reward feature in north america , the stuff fur stuff club . through 2011 , guests enrolled in the program received one point for every dollar or partial dollar spent and , after reaching 100 points , received a $ 10 discount on a future purchase . story_separator_special_tag income tax expense was $ 14.4 million in fiscal 2011 , compared to an income tax benefit of $ 2.6 million for fiscal 2010. the effective rate was ( 543.4 ) % in 2011 and 104.2 % in 2010. the fluctuation in the effective rate in 2011 was primarily attributable to the recording of a $ 15.6 million valuation allowance in 2011 on the us deferred tax assets . fiscal year ended january 1 , 2011 ( 52 weeks ) compared to fiscal year ended january 2 , 2010 ( 52 weeks ) total revenues . net retail sales decreased to $ 387.2 million for fiscal 2010 from $ 388.6 million for fiscal 2009 , a decrease of $ 1.4 million , or 0.4 % . comparable store sales decreased $ 7.2 million in fiscal 2010 , or 2.0 % and sales from non-comparable locations decreased $ 2.1 million . partially offsetting these decreases is an increase of $ 4.3 million related to the revenue deferral under our customer loyalty program . this year-end adjustment represented a refinement in the calculation used to estimate the liability that also took into account the change in member 's redemption patterns experienced in 2010. this increase was partially offset by $ 1.9 million of revenue deferred throughout the year as estimated under the previous approach . increases in net retail sales resulted from sales in new stores and increases in sales over the internet of $ 2.4 million and $ 1.2 million , respectively . other increases totaling $ 1.9 million came from sales at non-store locations which includes temporary locations , other retail revenues and the impact of foreign currency exchange rates . commercial revenue was $ 11.2 million in fiscal 2010 compared to $ 4.0 million in fiscal 2009. this increase was primarily due to $ 6.4 million in non-recurring wholesale transactions . excluding these transactions , commercial revenues increased $ 0.8 million reflecting the introduction of build-a-bear craftshop kits . revenue from international franchise fees decreased to $ 3.0 million for fiscal 2010 from $ 3.4 million for fiscal 2009 , a decrease of $ 0.4 million . this decrease was primarily due to continuing adverse global economic conditions . gross margin . total gross margin , calculated as net retail sales and commercial revenues less cost of merchandise sold , increased to $ 158.9 million for fiscal 2010 from $ 145.0 million for fiscal 2009 , an increase of $ 13.8 million , or 9.5 % . retail gross margin increased to $ 155.1 million in fiscal 2010 from $ 142.6 million in fiscal 2009 , and increase of $ 12.6 million or 8.8 % . as a percentage of net retail sales , retail gross margin increased to 40.1 % for fiscal 2010 from 36.7 % for fiscal 2009 , an increase of 340 bps . this improvement in margin was primarily attributable to a 110 basis point improvement resulting from the significant reduction in asset impairment charges in 2010 as compared 2009. additionally , we achieved 100 basis points of improved leverage on fixed occupancy costs and a 70 basis point improvement in merchandise margin along with other improvements in distribution and purchasing . 30 selling , general and administrative . selling , general and administrative expenses were $ 163.9 million for fiscal 2010 as compared to $ 162.7 million for fiscal 2009 , an increase of $ 1.2 million , or 0.7 % . as a percentage of total revenues , selling , general and administrative expenses were 40.8 % for fiscal 2010 , compared to 41.1 % for fiscal 2009. the dollar increase was primarily attributable to $ 1.6 million in charges related to the closure of our stores in france and increases in corporate payroll costs primarily related to a bonus . these increases were partially offset by marketing savings and improved leverage on store salaries and other fixed overhead costs . store preopening . store preopening expense was $ 0.7 million for fiscal 2010 as compared to $ 0.1 million for fiscal 2009. the increase was primarily due to opening four stores in fiscal 2010 as compared to one in 2009. these amounts include preopening rent expense of $ 0.1 million for 2010 and $ 9,000 for fiscal 2009. preopening expenses include expenses for stores that have opened , including temporary locations , as well as some expenses incurred for stores that will be opened at a later date . losses from investment in affiliate . losses from investment in affiliate of $ 9.6 million in fiscal 2009 are losses related to our investment in ridemakerz . the losses incurred in 2009 are comprised of a $ 7.5 million non-cash charge of ridemakerz net loss allocations , a $ 1.0 million non-cash impairment charge and a $ 1.1 million write-off of ridemakerz outstanding receivable . as the investment was written down to zero in 2009 , no loss allocations charges were recorded in 2010. interest expense ( income ) , net . interest income , net of interest expense , was $ 0.3 million for fiscal 2010 as compared to $ 0.1 million for fiscal 2009. provision for income taxes . the income tax benefit was $ 2.6 million for fiscal 2010 , compared to $ 11.4 million for fiscal 2009. the effective rate was 104.2 % in 2010 and 47.7 % for fiscal 2009. the increase in the effective tax rate was primarily attributable to a release of valuation allowances on net operating loss carryforwards associated with our france operations as well as the impact of lower taxes in foreign jurisdictions and the release of tax reserves . non-gaap financial measures we use the term “ store contribution ” throughout this annual report on form 10-k. store contribution consists of income before income tax expense , interest , store depreciation and amortization , store preopening expense , store closing expense and general and administrative expense , excluding franchise fees , income from

