on february 28 , 2018 , we acquired falcon flowback services , llc ( `` falcon `` ) , a full service provider of flowback and well testing services for the separation and recovery of fluids , solid debris and proppant used during hydraulic fracturing operations . falcon provides additional scale and diversity to our completion services business in key shale plays in the united states . the acquisition price was $ 84.2 million ( net of cash acquired ) , subject to customary post-closing purchase price adjustments . the falcon acquisition was funded with borrowings under our amended revolving credit facility . see note 5 , `` business acquisitions `` and note 7 , `` long-term debt `` to the consolidated financial statements included in this annual report on form 10-k for further discussion of these recent developments . - 33 - macroeconomic environment the macroeconomic environment for the energy sector has been volatile in recent years . significant downward crude oil price volatility began early in the fourth quarter of 2014 and continued on a downward trend into 2016. in response to weak crude oil prices , the organization of petroleum exporting countries ( `` opec `` ) , along with russia , agreed to reduce crude oil production in late 2016 in an effort to re-balance crude oil supply and demand in the market . crude oil prices began to improve in the second half of 2017 , which carried into 2018. during 2018 , crude oil prices rose to their highest levels since the downturn began in late 2014 , improving our customers ' cash flow and potentially driving them to invest additional capital to increase their production . additionally , advancements in technologies and improved operating efficiencies have allowed the u.s. exploration and production industry to lower the breakeven price of oil and gas production . the u.s. energy information administration ( `` eia `` ) estimates that u.s. crude oil production averaged 10.9 million barrels per day in 2018 , up approximately 17 % from the 2017 average , reaching its highest level and experiencing the largest volume growth on record . however , during the fourth quarter of 2018 , crude oil prices declined approximately 40 % , due in part to higher than expected supply growth from the united states , russia and saudi arabia , as well as concerns over the possible slowing of global demand growth . in response to the precipitous decline in crude oil prices , opec and russia agreed to reduce production and the canadian government mandated a production shut-in in december of 2018. while these and other events should provide support for a more balanced supply and demand environment later in 2019 , the eia currently forecasts that the average price per barrel of crude oil in 2019 will be approximately 15 % below the 2018 average . as shown in the table that follows , west texas intermediate ( `` wti `` ) and brent crude oil prices averaged $ 65 per barrel and $ 71 per barrel , respectively , in 2018 , up 28 % and 32 % , respectively , compared to 2017 average prices . rising crude oil prices rapidly translated into increased u.s. land oriented drilling and completion activity during 2017 and 2018 in areas of concentrated activity such as the permian basin , which led to record high domestic production . spending in the u.s. shale play regions positively influenced overall drilling and completion activity , with the average u.s. rig count for 2018 improving 18 % compared to 2017. this drove improvements in activity for our well site services segment as well as demand for our downhole technologies ' products and short-cycle products offered by our offshore/manufactured products segment . production in the permian basin grew at such a rapid rate that it tested the limits of pipeline take away capacity out of the basin in 2018 , leading to a significant differential between crude oil prices realized locally ( e.g . wti-midland ) compared to brent crude oil prices , which limited the revenue and cash flow growth for many of our customers . as discussed above , crude oil prices declined materially in the fourth quarter of 2018 – with wti closing at $ 45 per barrel on december 28 , 2018. this decline in crude oil prices had a moderating impact on our fourth quarter 2018 consolidated results of operations , particularly in u.s. shale play regions , and will likely negatively impact customers ' 2019 budgets . as a result , we expect certain customer-driven activity declines in early 2019 , as operators reassess their budgets and plans in light of lower commodity prices . current and expected future pricing for wti crude will continue to influence our customers ' spending in u.s. shale play developments as they look to spend within their generated cash flow ranges . expectations for the longer-term price for brent crude oil will continue to influence our customers ' spending related to global offshore drilling and development and , thus , a significant portion of the activity of our offshore/manufactured products segment . given the historical volatility of crude oil prices , there remains a degree of risk that prices could remain at current levels or deteriorate further due to increases in global inventory levels , increasing domestic crude oil production , u.s. and china trade tensions , sanctions or waivers on iranian production , civil unrest in libya , increasing price differentials between markets , slowing growth rates in china and other global regions , use of alternative fuels , improved vehicle fuel efficiency , a more sustained movement to electric vehicles and or the potential for ongoing supply/demand imbalances . story_separator_special_tag our consolidated cost of revenues ( exclusive of depreciation and amortization expense ) increased $ 313.8 million , or 60 % , in 2018 compared to 2017 , due to costs associated with the acquisitions completed in the first quarter of 2018 as well as activity-driven costs associated with revenue growth within the well site services and offshore/manufactured products segments . - 39 - consolidated product costs in 2018 increased $ 147.0 million , or 67 % , from 2017 due primarily to the geodynamics acquisition completed in first quarter 2018. consolidated service costs for 2018 increased $ 166.8 million , or 55 % , from 2017 driven by the significant increase in service activity coupled with the acquired falcon operations . selling , general and administrative expense . selling , general and administrative expense increased $ 23.3 million , or 20 % , in 2018 from the prior-year period primarily due to incremental expenses associated with the acquired geodynamics operations ( including $ 8.4 million of patent defense costs ) , higher activity levels and $ 1.0 million of transaction-related costs . depreciation and amortization expense . depreciation and amortization expense increased $ 15.9 million , or 15 % , in 2018 compared to 2017 reflecting the impact of the acquired geodynamics and falcon operations , which was partially offset by certain assets becoming fully depreciated . note 14 , `` segments and related information , `` presents depreciation and amortization expense by segment . other operating ( income ) expense , net . other operating ( income ) expense moved from an expense of $ 1.3 million in 2017 to income of $ 2.1 million in 2018. during 2018 , our offshore/manufactured products segment recognized a gain of $ 3.9 million in settlement of a hurricane harvey flood insurance claim , which was partially offset by $ 2.3 million in transaction-related expenses . other operating expense in the prior-year was primarily related to foreign currency exchange losses . operating loss . our consolidated operating loss was $ 5.9 million in 2018 , which included $ 11.4 million of costs associated with patent defense and settlement of flsa claims , $ 3.3 million of transaction-related expense and $ 1.6 million of severance and other downsizing charges partially offset by a $ 3.9 million gain related to the insurance settlement discussed previously . this compares to a consolidated operating loss of $ 73.9 million in 2017 , which included $ 3.4 million of transaction-related , severance and facility closure charges . the majority of the year-over-year improvement in operating results reflects contributions from the geodynamics and falcon acquisitions completed in the first quarter of 2018 as well as the impact of growth in customer spending activities which was primarily focused in the u.s. shale play regions . interest expense and interest income . net interest expense was $ 19.0 million in 2018 , an increase of $ 14.7 million from 2017. this increase reflects our funding during the first quarter of 2018 of $ 379.7 million in net acquisition consideration through borrowings under our revolving credit facility and issuance of the notes . interest expense as a percentage of total average debt outstanding decreased from 17.3 % in 2017 to 5.6 % in 2018. interest expense as a percentage of total average debt outstanding in 2017 reflects lower average borrowings outstanding under our revolving credit facility and an increased proportion of interest expense associated with unused commitment fees and non-cash amortization of debt issuance costs . income tax . our income tax benefit for 2018 was $ 2.6 million on a pre-tax loss of $ 21.7 million , which includes a $ 5.8 million discrete tax benefit related to recent u.s. tax reform guidance allowing the carry back of u.s. net operating losses incurred in 2017 as well as other discrete tax attributes . this compares to an income tax benefit for 2017 of $ 7.4 million on a pre-tax loss of $ 77.4 million ( an income tax benefit of $ 21.8 million after excluding the discrete charges discussed below ) . on december 22 , 2017 , the united states enacted tax reform legislation which resulted in significant changes to u.s. tax and related law , including certain key federal income tax provisions applicable to multinational companies such as ours . as a result of the tax law changes , we recorded $ 28.2 million of incremental non-cash income tax expense related to the u.s. transition tax on our unremitted foreign subsidiary earnings and to provide valuation allowances against our foreign tax credit carryforwards ( which were recorded as assets prior to u.s. tax reform ) . additionally , we re-measured our other u.s. deferred tax assets and liabilities to reflect the lower u.s. corporate income tax rate which was reduced from 35 % to 21 % . we also recorded a discrete tax charge of $ 1.0 million during 2017 related to the decision to carryback 2016 u.s. net operating losses against 2014 taxable income . other comprehensive income ( loss ) . reported comprehensive loss is the sum of the reported net income ( loss ) and other comprehensive income ( loss ) . other comprehensive loss was $ 12.9 million in 2018 compared to other comprehensive income of $ 11.8 million in 2017 due to fluctuations in foreign currency exchange rates compared to the u.s. dollar for certain of the international operations of our reportable segments . for 2018 and 2017 , currency translation adjustments recognized as a component of other comprehensive income ( loss ) were primarily attributable to the united kingdom and brazil . during 2018 , the exchange rates for the british pound and the brazilian real weakened compared to the u.s. dollar . this compares to 2017 , when the exchange rates for the british pound strengthened and the brazilian real weakened compared to the u.s. dollar . - 40 - segment operating results well site services revenues . our well

cash flows totaling $ 103.2 million were provided by operations during the year ended december 31 , 2018 compared to $ 95.4 million provided by operations during the year ended december 31 , 2017 . during 2018 , $ 22.9 million was used to fund working capital increases primarily associated with activity-driven growth in accounts receivable and inventories . during 2017 , $ 32.4 million was provided from net working capital reductions , with decreases in accounts receivable and inventories partially offset by an increase in income taxes receivable . investing activities a total of $ 461.4 million in cash was used in investing activities during the year ended december 31 , 2018 , compared to $ 47.6 million used during 2017 . on january 12 , 2018 , we acquired geodynamics for a purchase price consisting of ( i ) $ 295.4 million in cash ( net of cash acquired ) , which we funded through borrowings under our revolving credit facility , ( ii ) approximately 8.66 million shares of our common stock ( having a market value of approximately $ 294.9 million as of the closing date ) and ( iii ) an unsecured $ 25.0 million promissory note . on february 28 , 2018 , we acquired falcon for cash consideration of $ 84.2 million ( net of cash acquired ) , which we funded from borrowings under our amended revolving credit facility . during 2017 , we invested $ 12.9 million within our offshore/manufactured products segment to acquire complementary intellectual property and assets to expand our global crane manufacturing and service operations as well as expand our riser testing , inspection and repair service offerings . capital expenditures totaled $ 88.0 million and $ 35.2 million during the years ended december 31 , 2018 and 2017 , respectively . capital expenditures in both years consisted principally of purchases of completion services equipment , expansion and upgrading of our offshore/manufactured products segment facilities and various other capital spending initiatives .


 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 totaling $ 103.2 million were provided by operations during the year ended december 31 , 2018 compared to $ 95.4 million provided by operations during the year ended december 31 , 2017 . during 2018 , $ 22.9 million was used to fund working capital increases primarily associated with activity-driven growth in accounts receivable and inventories . during 2017 , $ 32.4 million was provided from net working capital reductions , with decreases in accounts receivable and inventories partially offset by an increase in income taxes receivable . investing activities a total of $ 461.4 million in cash was used in investing activities during the year ended december 31 , 2018 , compared to $ 47.6 million used during 2017 . on january 12 , 2018 , we acquired geodynamics for a purchase price consisting of ( i ) $ 295.4 million in cash ( net of cash acquired ) , which we funded through borrowings under our revolving credit facility , ( ii ) approximately 8.66 million shares of our common stock ( having a market value of approximately $ 294.9 million as of the closing date ) and ( iii ) an unsecured $ 25.0 million promissory note . on february 28 , 2018 , we acquired falcon for cash consideration of $ 84.2 million ( net of cash acquired ) , which we funded from borrowings under our amended revolving credit facility . during 2017 , we invested $ 12.9 million within our offshore/manufactured products segment to acquire complementary intellectual property and assets to expand our global crane manufacturing and service operations as well as expand our riser testing , inspection and repair service offerings . capital expenditures totaled $ 88.0 million and $ 35.2 million during the years ended december 31 , 2018 and 2017 , respectively . capital expenditures in both years consisted principally of purchases of completion services equipment , expansion and upgrading of our offshore/manufactured products segment facilities and various other capital spending initiatives .
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 Suspicious Activity Report : on february 28 , 2018 , we acquired falcon flowback services , llc ( `` falcon `` ) , a full service provider of flowback and well testing services for the separation and recovery of fluids , solid debris and proppant used during hydraulic fracturing operations . falcon provides additional scale and diversity to our completion services business in key shale plays in the united states . the acquisition price was $ 84.2 million ( net of cash acquired ) , subject to customary post-closing purchase price adjustments . the falcon acquisition was funded with borrowings under our amended revolving credit facility . see note 5 , `` business acquisitions `` and note 7 , `` long-term debt `` to the consolidated financial statements included in this annual report on form 10-k for further discussion of these recent developments . - 33 - macroeconomic environment the macroeconomic environment for the energy sector has been volatile in recent years . significant downward crude oil price volatility began early in the fourth quarter of 2014 and continued on a downward trend into 2016. in response to weak crude oil prices , the organization of petroleum exporting countries ( `` opec `` ) , along with russia , agreed to reduce crude oil production in late 2016 in an effort to re-balance crude oil supply and demand in the market . crude oil prices began to improve in the second half of 2017 , which carried into 2018. during 2018 , crude oil prices rose to their highest levels since the downturn began in late 2014 , improving our customers ' cash flow and potentially driving them to invest additional capital to increase their production . additionally , advancements in technologies and improved operating efficiencies have allowed the u.s. exploration and production industry to lower the breakeven price of oil and gas production . the u.s. energy information administration ( `` eia `` ) estimates that u.s. crude oil production averaged 10.9 million barrels per day in 2018 , up approximately 17 % from the 2017 average , reaching its highest level and experiencing the largest volume growth on record . however , during the fourth quarter of 2018 , crude oil prices declined approximately 40 % , due in part to higher than expected supply growth from the united states , russia and saudi arabia , as well as concerns over the possible slowing of global demand growth . in response to the precipitous decline in crude oil prices , opec and russia agreed to reduce production and the canadian government mandated a production shut-in in december of 2018. while these and other events should provide support for a more balanced supply and demand environment later in 2019 , the eia currently forecasts that the average price per barrel of crude oil in 2019 will be approximately 15 % below the 2018 average . as shown in the table that follows , west texas intermediate ( `` wti `` ) and brent crude oil prices averaged $ 65 per barrel and $ 71 per barrel , respectively , in 2018 , up 28 % and 32 % , respectively , compared to 2017 average prices . rising crude oil prices rapidly translated into increased u.s. land oriented drilling and completion activity during 2017 and 2018 in areas of concentrated activity such as the permian basin , which led to record high domestic production . spending in the u.s. shale play regions positively influenced overall drilling and completion activity , with the average u.s. rig count for 2018 improving 18 % compared to 2017. this drove improvements in activity for our well site services segment as well as demand for our downhole technologies ' products and short-cycle products offered by our offshore/manufactured products segment . production in the permian basin grew at such a rapid rate that it tested the limits of pipeline take away capacity out of the basin in 2018 , leading to a significant differential between crude oil prices realized locally ( e.g . wti-midland ) compared to brent crude oil prices , which limited the revenue and cash flow growth for many of our customers . as discussed above , crude oil prices declined materially in the fourth quarter of 2018 – with wti closing at $ 45 per barrel on december 28 , 2018. this decline in crude oil prices had a moderating impact on our fourth quarter 2018 consolidated results of operations , particularly in u.s. shale play regions , and will likely negatively impact customers ' 2019 budgets . as a result , we expect certain customer-driven activity declines in early 2019 , as operators reassess their budgets and plans in light of lower commodity prices . current and expected future pricing for wti crude will continue to influence our customers ' spending in u.s. shale play developments as they look to spend within their generated cash flow ranges . expectations for the longer-term price for brent crude oil will continue to influence our customers ' spending related to global offshore drilling and development and , thus , a significant portion of the activity of our offshore/manufactured products segment . given the historical volatility of crude oil prices , there remains a degree of risk that prices could remain at current levels or deteriorate further due to increases in global inventory levels , increasing domestic crude oil production , u.s. and china trade tensions , sanctions or waivers on iranian production , civil unrest in libya , increasing price differentials between markets , slowing growth rates in china and other global regions , use of alternative fuels , improved vehicle fuel efficiency , a more sustained movement to electric vehicles and or the potential for ongoing supply/demand imbalances . story_separator_special_tag our consolidated cost of revenues ( exclusive of depreciation and amortization expense ) increased $ 313.8 million , or 60 % , in 2018 compared to 2017 , due to costs associated with the acquisitions completed in the first quarter of 2018 as well as activity-driven costs associated with revenue growth within the well site services and offshore/manufactured products segments . - 39 - consolidated product costs in 2018 increased $ 147.0 million , or 67 % , from 2017 due primarily to the geodynamics acquisition completed in first quarter 2018. consolidated service costs for 2018 increased $ 166.8 million , or 55 % , from 2017 driven by the significant increase in service activity coupled with the acquired falcon operations . selling , general and administrative expense . selling , general and administrative expense increased $ 23.3 million , or 20 % , in 2018 from the prior-year period primarily due to incremental expenses associated with the acquired geodynamics operations ( including $ 8.4 million of patent defense costs ) , higher activity levels and $ 1.0 million of transaction-related costs . depreciation and amortization expense . depreciation and amortization expense increased $ 15.9 million , or 15 % , in 2018 compared to 2017 reflecting the impact of the acquired geodynamics and falcon operations , which was partially offset by certain assets becoming fully depreciated . note 14 , `` segments and related information , `` presents depreciation and amortization expense by segment . other operating ( income ) expense , net . other operating ( income ) expense moved from an expense of $ 1.3 million in 2017 to income of $ 2.1 million in 2018. during 2018 , our offshore/manufactured products segment recognized a gain of $ 3.9 million in settlement of a hurricane harvey flood insurance claim , which was partially offset by $ 2.3 million in transaction-related expenses . other operating expense in the prior-year was primarily related to foreign currency exchange losses . operating loss . our consolidated operating loss was $ 5.9 million in 2018 , which included $ 11.4 million of costs associated with patent defense and settlement of flsa claims , $ 3.3 million of transaction-related expense and $ 1.6 million of severance and other downsizing charges partially offset by a $ 3.9 million gain related to the insurance settlement discussed previously . this compares to a consolidated operating loss of $ 73.9 million in 2017 , which included $ 3.4 million of transaction-related , severance and facility closure charges . the majority of the year-over-year improvement in operating results reflects contributions from the geodynamics and falcon acquisitions completed in the first quarter of 2018 as well as the impact of growth in customer spending activities which was primarily focused in the u.s. shale play regions . interest expense and interest income . net interest expense was $ 19.0 million in 2018 , an increase of $ 14.7 million from 2017. this increase reflects our funding during the first quarter of 2018 of $ 379.7 million in net acquisition consideration through borrowings under our revolving credit facility and issuance of the notes . interest expense as a percentage of total average debt outstanding decreased from 17.3 % in 2017 to 5.6 % in 2018. interest expense as a percentage of total average debt outstanding in 2017 reflects lower average borrowings outstanding under our revolving credit facility and an increased proportion of interest expense associated with unused commitment fees and non-cash amortization of debt issuance costs . income tax . our income tax benefit for 2018 was $ 2.6 million on a pre-tax loss of $ 21.7 million , which includes a $ 5.8 million discrete tax benefit related to recent u.s. tax reform guidance allowing the carry back of u.s. net operating losses incurred in 2017 as well as other discrete tax attributes . this compares to an income tax benefit for 2017 of $ 7.4 million on a pre-tax loss of $ 77.4 million ( an income tax benefit of $ 21.8 million after excluding the discrete charges discussed below ) . on december 22 , 2017 , the united states enacted tax reform legislation which resulted in significant changes to u.s. tax and related law , including certain key federal income tax provisions applicable to multinational companies such as ours . as a result of the tax law changes , we recorded $ 28.2 million of incremental non-cash income tax expense related to the u.s. transition tax on our unremitted foreign subsidiary earnings and to provide valuation allowances against our foreign tax credit carryforwards ( which were recorded as assets prior to u.s. tax reform ) . additionally , we re-measured our other u.s. deferred tax assets and liabilities to reflect the lower u.s. corporate income tax rate which was reduced from 35 % to 21 % . we also recorded a discrete tax charge of $ 1.0 million during 2017 related to the decision to carryback 2016 u.s. net operating losses against 2014 taxable income . other comprehensive income ( loss ) . reported comprehensive loss is the sum of the reported net income ( loss ) and other comprehensive income ( loss ) . other comprehensive loss was $ 12.9 million in 2018 compared to other comprehensive income of $ 11.8 million in 2017 due to fluctuations in foreign currency exchange rates compared to the u.s. dollar for certain of the international operations of our reportable segments . for 2018 and 2017 , currency translation adjustments recognized as a component of other comprehensive income ( loss ) were primarily attributable to the united kingdom and brazil . during 2018 , the exchange rates for the british pound and the brazilian real weakened compared to the u.s. dollar . this compares to 2017 , when the exchange rates for the british pound strengthened and the brazilian real weakened compared to the u.s. dollar . - 40 - segment operating results well site services revenues . our well

