our fiscal year end is september 30. our goal is to use our company 's assets  our brands , financial strength and the talent and strong commitment of our management and associates  to become more competitive and to accelerate growth in a manner that creates value for our shareholders . critical accounting policies management 's discussion and analysis of financial condition and results of operations are based upon our financial statements , which have been prepared in accordance with united states generally accepted accounting principles ( “ gaap ” ) . gaap consists of a set of standards issued by the fasb and other authoritative bodies in the form of fasb statements , interpretations , fasb staff positions , emerging issues task force consensuses and american institute of certified public accountants statements of position , among others . the fasb recognized the complexity of its standard-setting process and embarked on a revised process in 2004 that culminated in the release on july 1 , 2009 of the accounting standards codification ( “ asc ” ) . the asc does not change how company accounts for its transactions or the nature of related disclosures made . rather , the asc results in changes to how the company references accounting standards within its reports . this change was made effective by the fasb for periods ending on or after september 15 , 2009. the company has updated references to gaap in this annual report on form 10-k to reflect the guidance in the asc . the preparation of these consolidated financial statements requires our management to make estimates and assumptions that affect the reported amounts of assets , liabilities , revenues and expenses , and related disclosure of contingent assets and liabilities . on a regular basis , we evaluate these estimates , including investment impairment . these estimates are based on management 's historical industry experience and on various other assumptions that are believed to be reasonable under the circumstances . actual results may differ from these estimates . property and equipment property and equipment are stated at cost . provisions for depreciation and amortization are made using straight-line rates over the estimated useful lives of the related assets and the shorter of useful lives or terms of the applicable leases for leasehold improvements . buildings have estimated useful lives ranging from 29 to 40 years . furniture , equipment and leasehold improvements have estimated useful lives between five and 40 years . expenditures for major renewals and betterments that extend the useful lives are capitalized . expenditures for normal maintenance and repairs are expensed as incurred . the cost of assets sold or abandoned and the related accumulated depreciation are eliminated from the accounts and any gains or losses are charged or credited in the accompanying consolidated statement of income of the respective period . goodwill and intangible assets fasb asc 350 , intangibles - goodwill and other addresses the accounting for goodwill and other intangible assets . under fasb asc 350 , goodwill and intangible assets with indefinite lives are no longer amortized , but reviewed on an annual basis for impairment . definite lived intangible assets are amortized on a straight-line basis over their estimated lives . fully amortized assets are written-off against accumulated amortization . impairment of long-lived assets in accordance with asc 205 , long-lived assets , such as property , plant , and equipment , and purchased intangible assets subject to amortization , are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable . recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to estimated undiscounted future cash flows expected to be generated by the asset . if the carrying amount of an asset exceeds its estimated future cash flows , an impairment charge is recognized by the amount by which the carrying amount of the asset exceeds the fair value of the asset . assets to be disposed of would be separately presented in the balance sheet and reported at the lower of the carrying amount or fair value less costs to sell , and are no longer depreciated . the assets and liabilities of a disposal group classified as held for sale would be presented separately in the appropriate asset and liability sections of the balance sheet . goodwill and intangible assets that have indefinite useful lives are tested annually for impairment , and are tested for impairment more frequently if events and circumstances indicate that the asset might be impaired in accordance with asc 350. an impairment loss is recognized to the extent that the carrying amount exceeds the asset 's fair value . for goodwill , the impairment determination is made at the reporting unit level . the implied fair value of goodwill is determined by allocating the fair value of the reporting unit in a manner similar to a purchase price allocation . the residual fair value after this allocation is the implied fair value of the reporting unit goodwill . none of our reporting units were at risk of failing step one of the impairment test ( i.e . that fair value was not substantially in excess of carrying value ) in either year . fair value of financial instruments the company calculates the fair value of its assets and liabilities which qualify as financial instruments and includes this additional information in the notes to consolidated financial statements when the fair value is different than the carrying value of these financial instruments . the estimated fair value of accounts receivable , accounts payable and accrued liabilities approximate their carrying amounts due to the relatively short maturity of these instruments . the carrying value of short and long-term debt also approximates fair value since these instruments bear market rates of interest . story_separator_special_tag revenues from nightclub operations for same-location same-period increased by 4.2 % . our operating margin income from operations plus impairment of assets , divided by total revenues ) was 17.7 % for the year ended september 30 , 2012 compared to 22.5 % for the prior year . our income from operations for our nightclub operations for the same-location-same-period decreased by 1.4 % our net income ( loss ) was $ 7.6 million for the fiscal year ended september 30 , 2012 compared to $ 7.8 million for the previous year . the decrease in our net income was primarily a result of certain one-time litigation and other legal settlements in 2012 , offset by a growth in the operations . following is a comparison of the company 's income statement for the years ended september 30 , 2012 and 2011 with percentages compared to total revenue : replace_table_token_6_th following is an explanation of significant variances in the above amounts . other revenues include atm commissions earned , video games and other vending and certain promotion fees charged to our entertainers . the company recognizes revenue from other revenues and services at the point-of-sale upon receipt of cash , check , or credit card charge . cost of goods sold includes cost of alcoholic and non-alcoholic beverages , food , cigars and cigarettes , merchandise , media printing/binding and media . our cost of goods sold for the nightclub operations for the year ended september 30 , 2012 was 13.3 % of our total revenues from club operations compared to 12.4 % for the year ended september 30 , 2011. cost of goods sold for same-location-same-period increased to 13.2 % for the year ended september 30 , 2012 compared to 12.5 % for the year ended september 30 , 2011. we continued our efforts to achieve reductions in cost of goods sold of the club operations through improved inventory management . we are continuing a program to improve margins from liquor and food sales and food service efficiency . the increase in payroll and related costs , stated as “ salaries & wages ” above , was primarily due to the addition of the new clubs in 2012 and 2011. payroll for same-location-same-period of club continuing operations increased to $ 15.2 million for the year ended september 30 , 2012 from $ 14.6 million for the previous year . management currently believes that its labor and management staff levels are appropriate . the increase in stock-based compensation in 2012 results from the issuance of options in june and july 2012 to employees and board of directors . taxes and permits consists principally of payroll taxes , property taxes , sales and alcohol taxes , licenses and permits and the patron tax in our nightclubs in texas . the increase in 2012 results principally from the new clubs acquired . patron taxes amounted to $ 3.0 million and $ 2.9 million for the years ended september 30 , 2012 and 2011 , respectively . legal and professional expenses increased principally due to certain one-time lawsuit and other legal settlements amounting to $ 2.5 million and $ 462,000 in legal fees related to new acquisitions in 2012. depreciation and amortization increased approximately $ 1.0 million from the year ended september 30 , 2011 , due to the new clubs purchased during 2012 and 2011. utilities increased due to new clubs , but only slightly due to the heat and drought in texas in 2011. other expenses increased due to the new clubs acquired . interest expense was approximately the same as 2011 as we added more debt from acquisitions while we paid off debt as we amortize the loans . as of september 30 , 2012 , the balance of long-term debt was $ 63.5 million compared to $ 35.6 million a year earlier . the increase is principally attributable to adding $ 30 million in debt in the 2012 acquisitions . gain on settlement of debt in 2011 represents the gain from settlement of certain cross-litigation with the former sellers of the las vegas club . see “ derivative financial instrument ” above for information on the company 's derivative financial instrument at september 30 , 2012. liquidity and capital resources we believe our ability to generate cash from operating activities is one of our fundamental financial strengths . refer to the heading `` cash flows from operating activities `` below . the near-term outlook for our business remains strong , and we expect to generate substantial cash flows from operations in 2014. as a result of our expected cash flows from operations , we have significant flexibility to meet our financial commitments . the company has not recently raised capital through the issuance of equity securities . instead , we use debt financing to lower our overall cost of capital and increase our return on shareowners ' equity . refer to the heading `` cash flows from financing activities `` below . we have a history of borrowing funds in private transactions and from sellers in acquisition transactions and continue to have the ability to borrow funds at reasonable interest rates in that manner . we have historically utilized these cash flows to invest in property and equipment and adult nightclubs . refer to the heading “ cash flows from investing activities ” below . as of september 30 , 2013 , excluding the patron tax liability , we had working capital of $ 4.8 million compared to working capital of $ 1.7 million as of september 30 , 2012. the increase is principally due to $ 18.4 million in cash from operating activities , net of cash utilized for investing activities . because of the large volume of cash we handle , stringent cash controls have been implemented . at september 30 , 2013 , our cash and cash equivalents were $ 10.7 million compared to $ 5.5 million at september 30 , 2012. our depreciation for the year

cash flows from operating activities following are our summarized cash flows from operating activities : replace_table_token_7_th cash flows from investing activities following are our summarized cash flows from investing activities : replace_table_token_8_th following is a reconciliation of our additions to property and equipment for the years ended september 30 , 2013 and 2012 : replace_table_token_9_th cash flows from financing activities following are our summarized cash flows from financing activities : replace_table_token_10_th the following table presents a summary of our cash flows from operating , investing , and financing activities : replace_table_token_11_th we require capital principally for the acquisition of new clubs , renovation of older clubs and investments in technology . we may also utilize capital to repurchase our common stock as part of our share repurchase program . debt financing : see note f of notes to consolidated financial statements for detail regarding our long-term debt activity . contractual obligations and commitments : we have long term contractual obligations primarily in the form of operating leases and debt obligations . the following table summarizes our contractual obligations and their aggregate maturities as well as future minimum rent payments . future interest payments related to variable interest rate debt were estimated using the interest rate in effect at september 30 , 2013. replace_table_token_12_th put options in certain situations , the company issues restricted common shares as partial consideration for acquisitions of certain businesses or assets . pursuant to the terms and conditions of the governing acquisition agreements , the holder of such shares has the right , but not the obligation , to put a fixed number of the shares on a monthly basis back to the company at a fixed price per share . the company may elect during any given month to either buy the monthly shares or , if management elects not to do so , the holder can sell the monthly shares in the open market , and any deficiency between the amount which the holder receives from the sale of the monthly shares and the value of shares will be paid by the company .


 Write a concise suspicious activity report of the following text delimited by triple backquotes. Return your response as a formal report which covers the key points highlighting the location,dates,entity names and account holder information in chronological order of the text.
     ```cash flows from operating activities following are our summarized cash flows from operating activities : replace_table_token_7_th cash flows from investing activities following are our summarized cash flows from investing activities : replace_table_token_8_th following is a reconciliation of our additions to property and equipment for the years ended september 30 , 2013 and 2012 : replace_table_token_9_th cash flows from financing activities following are our summarized cash flows from financing activities : replace_table_token_10_th the following table presents a summary of our cash flows from operating , investing , and financing activities : replace_table_token_11_th we require capital principally for the acquisition of new clubs , renovation of older clubs and investments in technology . we may also utilize capital to repurchase our common stock as part of our share repurchase program . debt financing : see note f of notes to consolidated financial statements for detail regarding our long-term debt activity . contractual obligations and commitments : we have long term contractual obligations primarily in the form of operating leases and debt obligations . the following table summarizes our contractual obligations and their aggregate maturities as well as future minimum rent payments . future interest payments related to variable interest rate debt were estimated using the interest rate in effect at september 30 , 2013. replace_table_token_12_th put options in certain situations , the company issues restricted common shares as partial consideration for acquisitions of certain businesses or assets . pursuant to the terms and conditions of the governing acquisition agreements , the holder of such shares has the right , but not the obligation , to put a fixed number of the shares on a monthly basis back to the company at a fixed price per share . the company may elect during any given month to either buy the monthly shares or , if management elects not to do so , the holder can sell the monthly shares in the open market , and any deficiency between the amount which the holder receives from the sale of the monthly shares and the value of shares will be paid by the company .
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 Suspicious Activity Report : our fiscal year end is september 30. our goal is to use our company 's assets  our brands , financial strength and the talent and strong commitment of our management and associates  to become more competitive and to accelerate growth in a manner that creates value for our shareholders . critical accounting policies management 's discussion and analysis of financial condition and results of operations are based upon our financial statements , which have been prepared in accordance with united states generally accepted accounting principles ( “ gaap ” ) . gaap consists of a set of standards issued by the fasb and other authoritative bodies in the form of fasb statements , interpretations , fasb staff positions , emerging issues task force consensuses and american institute of certified public accountants statements of position , among others . the fasb recognized the complexity of its standard-setting process and embarked on a revised process in 2004 that culminated in the release on july 1 , 2009 of the accounting standards codification ( “ asc ” ) . the asc does not change how company accounts for its transactions or the nature of related disclosures made . rather , the asc results in changes to how the company references accounting standards within its reports . this change was made effective by the fasb for periods ending on or after september 15 , 2009. the company has updated references to gaap in this annual report on form 10-k to reflect the guidance in the asc . the preparation of these consolidated financial statements requires our management to make estimates and assumptions that affect the reported amounts of assets , liabilities , revenues and expenses , and related disclosure of contingent assets and liabilities . on a regular basis , we evaluate these estimates , including investment impairment . these estimates are based on management 's historical industry experience and on various other assumptions that are believed to be reasonable under the circumstances . actual results may differ from these estimates . property and equipment property and equipment are stated at cost . provisions for depreciation and amortization are made using straight-line rates over the estimated useful lives of the related assets and the shorter of useful lives or terms of the applicable leases for leasehold improvements . buildings have estimated useful lives ranging from 29 to 40 years . furniture , equipment and leasehold improvements have estimated useful lives between five and 40 years . expenditures for major renewals and betterments that extend the useful lives are capitalized . expenditures for normal maintenance and repairs are expensed as incurred . the cost of assets sold or abandoned and the related accumulated depreciation are eliminated from the accounts and any gains or losses are charged or credited in the accompanying consolidated statement of income of the respective period . goodwill and intangible assets fasb asc 350 , intangibles - goodwill and other addresses the accounting for goodwill and other intangible assets . under fasb asc 350 , goodwill and intangible assets with indefinite lives are no longer amortized , but reviewed on an annual basis for impairment . definite lived intangible assets are amortized on a straight-line basis over their estimated lives . fully amortized assets are written-off against accumulated amortization . impairment of long-lived assets in accordance with asc 205 , long-lived assets , such as property , plant , and equipment , and purchased intangible assets subject to amortization , are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable . recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to estimated undiscounted future cash flows expected to be generated by the asset . if the carrying amount of an asset exceeds its estimated future cash flows , an impairment charge is recognized by the amount by which the carrying amount of the asset exceeds the fair value of the asset . assets to be disposed of would be separately presented in the balance sheet and reported at the lower of the carrying amount or fair value less costs to sell , and are no longer depreciated . the assets and liabilities of a disposal group classified as held for sale would be presented separately in the appropriate asset and liability sections of the balance sheet . goodwill and intangible assets that have indefinite useful lives are tested annually for impairment , and are tested for impairment more frequently if events and circumstances indicate that the asset might be impaired in accordance with asc 350. an impairment loss is recognized to the extent that the carrying amount exceeds the asset 's fair value . for goodwill , the impairment determination is made at the reporting unit level . the implied fair value of goodwill is determined by allocating the fair value of the reporting unit in a manner similar to a purchase price allocation . the residual fair value after this allocation is the implied fair value of the reporting unit goodwill . none of our reporting units were at risk of failing step one of the impairment test ( i.e . that fair value was not substantially in excess of carrying value ) in either year . fair value of financial instruments the company calculates the fair value of its assets and liabilities which qualify as financial instruments and includes this additional information in the notes to consolidated financial statements when the fair value is different than the carrying value of these financial instruments . the estimated fair value of accounts receivable , accounts payable and accrued liabilities approximate their carrying amounts due to the relatively short maturity of these instruments . the carrying value of short and long-term debt also approximates fair value since these instruments bear market rates of interest . story_separator_special_tag revenues from nightclub operations for same-location same-period increased by 4.2 % . our operating margin income from operations plus impairment of assets , divided by total revenues ) was 17.7 % for the year ended september 30 , 2012 compared to 22.5 % for the prior year . our income from operations for our nightclub operations for the same-location-same-period decreased by 1.4 % our net income ( loss ) was $ 7.6 million for the fiscal year ended september 30 , 2012 compared to $ 7.8 million for the previous year . the decrease in our net income was primarily a result of certain one-time litigation and other legal settlements in 2012 , offset by a growth in the operations . following is a comparison of the company 's income statement for the years ended september 30 , 2012 and 2011 with percentages compared to total revenue : replace_table_token_6_th following is an explanation of significant variances in the above amounts . other revenues include atm commissions earned , video games and other vending and certain promotion fees charged to our entertainers . the company recognizes revenue from other revenues and services at the point-of-sale upon receipt of cash , check , or credit card charge . cost of goods sold includes cost of alcoholic and non-alcoholic beverages , food , cigars and cigarettes , merchandise , media printing/binding and media . our cost of goods sold for the nightclub operations for the year ended september 30 , 2012 was 13.3 % of our total revenues from club operations compared to 12.4 % for the year ended september 30 , 2011. cost of goods sold for same-location-same-period increased to 13.2 % for the year ended september 30 , 2012 compared to 12.5 % for the year ended september 30 , 2011. we continued our efforts to achieve reductions in cost of goods sold of the club operations through improved inventory management . we are continuing a program to improve margins from liquor and food sales and food service efficiency . the increase in payroll and related costs , stated as “ salaries & wages ” above , was primarily due to the addition of the new clubs in 2012 and 2011. payroll for same-location-same-period of club continuing operations increased to $ 15.2 million for the year ended september 30 , 2012 from $ 14.6 million for the previous year . management currently believes that its labor and management staff levels are appropriate . the increase in stock-based compensation in 2012 results from the issuance of options in june and july 2012 to employees and board of directors . taxes and permits consists principally of payroll taxes , property taxes , sales and alcohol taxes , licenses and permits and the patron tax in our nightclubs in texas . the increase in 2012 results principally from the new clubs acquired . patron taxes amounted to $ 3.0 million and $ 2.9 million for the years ended september 30 , 2012 and 2011 , respectively . legal and professional expenses increased principally due to certain one-time lawsuit and other legal settlements amounting to $ 2.5 million and $ 462,000 in legal fees related to new acquisitions in 2012. depreciation and amortization increased approximately $ 1.0 million from the year ended september 30 , 2011 , due to the new clubs purchased during 2012 and 2011. utilities increased due to new clubs , but only slightly due to the heat and drought in texas in 2011. other expenses increased due to the new clubs acquired . interest expense was approximately the same as 2011 as we added more debt from acquisitions while we paid off debt as we amortize the loans . as of september 30 , 2012 , the balance of long-term debt was $ 63.5 million compared to $ 35.6 million a year earlier . the increase is principally attributable to adding $ 30 million in debt in the 2012 acquisitions . gain on settlement of debt in 2011 represents the gain from settlement of certain cross-litigation with the former sellers of the las vegas club . see “ derivative financial instrument ” above for information on the company 's derivative financial instrument at september 30 , 2012. liquidity and capital resources we believe our ability to generate cash from operating activities is one of our fundamental financial strengths . refer to the heading `` cash flows from operating activities `` below . the near-term outlook for our business remains strong , and we expect to generate substantial cash flows from operations in 2014. as a result of our expected cash flows from operations , we have significant flexibility to meet our financial commitments . the company has not recently raised capital through the issuance of equity securities . instead , we use debt financing to lower our overall cost of capital and increase our return on shareowners ' equity . refer to the heading `` cash flows from financing activities `` below . we have a history of borrowing funds in private transactions and from sellers in acquisition transactions and continue to have the ability to borrow funds at reasonable interest rates in that manner . we have historically utilized these cash flows to invest in property and equipment and adult nightclubs . refer to the heading “ cash flows from investing activities ” below . as of september 30 , 2013 , excluding the patron tax liability , we had working capital of $ 4.8 million compared to working capital of $ 1.7 million as of september 30 , 2012. the increase is principally due to $ 18.4 million in cash from operating activities , net of cash utilized for investing activities . because of the large volume of cash we handle , stringent cash controls have been implemented . at september 30 , 2013 , our cash and cash equivalents were $ 10.7 million compared to $ 5.5 million at september 30 , 2012. our depreciation for the year

