24 through its manitex , inc. subsidiary it markets a comprehensive line of boom trucks and sign cranes . manitex 's boom trucks and crane products are primarily used for industrial projects , energy exploration and infrastructure development , including , roads , bridges and commercial construction . its badger equipment company ( badger ) subsidiaryis a manufacturer of specialized rough terrain cranes and material handling products . badger primarily serves the needs of the construction , municipality , and railroad industries . the company 's manitex liftking ulc ( manitex liftking or liftking ) subsidiary sells a complete line of rough terrain forklifts , a line of stand-up electric forklifts , cushioned tired forklifts with lifting capacities from 18 thousand to 40 thousand pounds , and special mission oriented vehicles , as well as other specialized carriers , heavy material handling transporters and steel mill equipment . manitex liftking 's rough terrain forklifts are used in both commercial and military applications . specialty mission oriented vehicles and specialized carriers are designed and built to meet the company 's unique customer needs and requirements . the company 's specialized lifting equipment has met the particular needs of customers in various industries that include utility , ship building and steel mill industries . the company 's manitex load king , inc. ( load king ) subsidiary manufactures specialized custom trailers and hauling systems typically used for transporting heavy equipment . load king trailers serve niche markets in the commercial construction , railroad , military , and equipment rental industries through a dealer network . on july 1 , 2010 , the company 's newly formed italian subsidiary , cvs ferrari , srl , entered into an agreement to rent certain assets of cvs spa , on an exclusive rental basis , while cvs spa proceeds through the italian bankruptcy process ( concordato preventivo ) . cvs spa was located near milan , italy and designed and manufactured a range of reach stackers and associated lifting equipment for the global container handling market , which were sold through a broad dealer network . during the third quarter 2010 , cvs ferrari , srl commenced operations and employed the rental assets in its operations . on july 1 , 2011 , the company purchased the assets which were previously being rented . equipment distribution segment the company crane and machinery division is crane dealer that distributes terex rough terrain and truck cranes and manitex boom trucks and sky cranes . this business supplies repair parts for a wide variety of medium to heavy duty construction equipment sold both domestically and internationally . the crane products are used primarily for infrastructure development and commercial construction ; applications include road and bridge construction , general contracting , roofing , and sign construction and maintenance . in the second quarter of 2010 , we expanded our equipment distribution segment by creating a new division , north american equipment exchange ( naee ) to market previously-owned construction and heavy equipment , domestically and internationally . this division provides a wide range of used lifting and construction equipment of various ages and condition , and the company has the capability to refurbish the equipment to the customers ' specification economic conditions beginning in september of 2008 , the united states and world financial markets came under unprecedented stress . the immediate impact was a dramatic decrease in liquidity and credit availability throughout the world . an incredibly rapid and significant deterioration in economic conditions , especially in the united states and europe followed . these events had an immediate significant adverse impact on the company including order cancellations . the overall market for construction equipment has improved but has not returned to pre-2008 levels . certain market segments , particularly the north american energy sector , is currently very strong . as result , we have seen a significant increase in orders for our higher capacity boom trucks and specialized trailers . as of december 31 , 2012 , our backlog of $ 130 million represents increases of 56 % and 227 % respectively when december 31 , 2012 backlog is compared to december 31 , 2011 and december 31 , 2010 backlogs . as a result , we have taken actions to selectively increase production capacity , including hiring additional manufacturing employees at certain of our facilities . additionally , our suppliers have increased capacity to meet the increased demand . as a result , the 25 company 's production volumes and revenues have increased consistently during 2012 and our backlog has decreased from its peak of $ 150 million at june 30 , 2012 to a current backlog of $ 130 million . there , however , is still significant uncertainty , in part due to the european sovereign debt crisis and an uncertain outlook for the us economy and other global markets . nevertheless , the company expects continued revenue growth in 2013. factors affecting revenues and gross profit the company derives most of its revenue from purchase orders from dealers and distributors . the demand for the company 's products depends upon the general economic conditions of the markets in which the company competes . the company 's sales depend in part upon its customers ' replacement or repair cycles . adverse economic conditions , including a decrease in commodity prices , may cause customers to forego or postpone new purchases in favor of repairing existing machinery . additionally , our manitex liftking subsidiary revenues are impacted by the timing of orders received for military forklifts and residential housing starts . cvs revenues are impacted in part by the timing of contract awards related to major port projects . gross profit varies from period to period . factors that affect gross profit include product mix , production levels and cost of raw materials . story_separator_special_tag as such these operations had essentially no selling , general and administrative expenses for six months ended june 30 , 2010 and cvs had only had limited expenses for the three months ended september 30 , 2010 , as cvs was still in a start-up mode during the third quarter of 2010. the majority of the remaining 35 % increase is attributed to an increase in selling expense and higher compensation expense related to additional provisions for performance based compensation , a restoration of prior salary reductions and selected increase in staffing . selling expense increased primarily as the company spent $ 0.5 million to attend the 2011 con expo trade show . the con expo show , which is held every three years , was held in las vegas in march of this year . this show is an international gathering place for the construction industries . it is estimated that 120,000 professionals from around the world attended the show . increased revenues also contributed to the increase in selling expenses . other less significant factors , including higher travel expenses , also contributed to the increase in selling , general and administrative expense . legal settlement ( at net present value ) the company has disclosed in its previous filings with the security and exchange commission that its insurance carriers had denied coverage for two product liability suits . the insurance companies subsequently filed a declaratory judgment action in a u.s. district court , seeking a determination that there was no duty on the part of the liability insurance carriers to defend the company . the legal settlement ( at net present value ) was recorded as a result of the a fifth circuit appeals court ruling reversing the earlier district courts ruling in the company 's favor . the amount recorded , represents the net present value of twenty annual payments of ninety-five thousand dollars as provided for in an earlier contingent settlement for two product liability suits related to an accident that occurred in 2006. under the settlement agreement , the company only became liable when it was ultimately determined that there was no duty on the part of the liability insurance carriers to defend the company . this settlement is related to a liability for a product that was manufactured by a predecessor company of our manitex subsidiary . the product liability of this predecessor company was assumed by various acquiring companies and ultimately became the company 's liability when we acquired the company 's manitex subsidiary in 2006 . 30 this settlement is of an unusual nature and although it had a significant impact on our 2011 results , it is not related to on-going activities of the company . furthermore , the company is not aware of any other similar potential liabilities at the present time and has secured insurance coverage to explicitly cover such future instances , mitigating future business risks . operating income the company , had operating income of $ 6.6 million and $ 5.5 million for the years ended december 31 , 2011 and 2010 , respectively . the increase in operating income is due to an increase in gross profit of $ 5.9 million offset by $ 4.8 million increase in operating expenses . an increase in revenues accounts for the increase in gross profit as the gross profit percent decreased 3.7 % between 2011 and 2010. the increase in operating expenses is primarily related to increases in selling , general and administrative expense and a charge booked to recognize a liability for a legal settlement . interest expense interest expense was $ 2.5 million and $ 2.4 million for the years ended december 31 , 2011 and 2010 , respectively . decreases in interest rates charged on borrowing under the company 's revolving credit facilities were offset by an increase in outstanding debt . the increase in debt is principally related to increased borrowings under the company 's revolving credit lines and additional debt incurred in connection with the acquisition of cvs assets in july 2011. the additional borrowing against the company 's revolving credit facilities were incurred to support substantial revenue growth that occurred between 2010 and 2011. foreign currency transaction gains and loss the company attempts to purchase forward currency exchange contracts such that the exchange gains and losses on the assets and liabilities denominated in other than the reporting units ' functional currency will be offset by the changes in the market value of the forward currency exchange contracts it holds . the company records at the balance sheet date the forward currency exchange contracts at their market value with any associated gain or loss being recorded in current earnings as a currency gain or loss . for the year ended december 31 , 2011 , the company had a foreign currency gain of $ 0.05 million as compared to a $ 0.06 million foreign currency loss for the year ended december 31 , 2010. the aforementioned foreign currency gains and losses are net of forward currency contracts gains and losses . income tax income tax expense was $ 1.4 million and $ 1.0 million for the year ended december 31 , 2011 and 2010 , respectively . the increase in income tax is principally attributed to an increase in pre-tax income . net income net income for the year ended december 31 , 2011 was $ 2.8 million . this compares with a net income for the year ended december 31 , 2010 of $ 2.1 million . segment information lifting equipment segment replace_table_token_7_th ( 1 ) cvs operating results are included since commencement of operations which occurred in the third quarter of 2010. year ended december 31 , 2012 compared to year ended december 31 , 2011 net revenues net revenues increased $ 58.5 million to $ 188.8 million for the year ended december 31 , 2012 from $ 130.3 million for the comparable period in 2011. approximately seventy-five percent of the

liquidity and capital resources cash and cash equivalents were $ 1.9 million and $ 0.1 million at december 31 , 2012 and december 31 , 2011 , respectively . as of december 31 , 2012 , the company had approximately $ 7.8 million available to borrow under its credit facilities . the company needs cash to meet its working capital needs as the business grows , to acquire capital equipment , and to fund acquisitions and debt repayment . during 2012 , the company utilized all net operating carryforwards that were available . as consequence , going forward the company will be required to tax payments based on current earnings , which may be substantial . we intend to use cash flows from operations and existing availability under the current revolving credit facilities to fund anticipated levels of operations for approximately the next 12 months . as our availability under our credit lines is limited , it is important that we manage our working capital . we may need to raise additional capital through debt or equity financings to support our growth strategy , which may include additional acquisitions . there is no assurance that such financing will be available or , if available , on acceptable terms . stock offering on july 17 , 2012 , the company issued 500,000 shares of the company 's common stock , which was issued pursuant to a prospectus supplement and a prospectus , which is part of a registration statement on form s-3 that was declared effective by the securities and exchange commission on august 23 , 2011. the net proceeds for the stock offering of $ 3.8 million were to retire outstanding term debt . see note 21 in the consolidated financial statements for additional details . 34 outstanding borrowings and required payments the following is a summary of our outstanding borrowings at december 31 , 2012 replace_table_token_9_th the debt matures at various points in time . see note 13 to the financial statements for additional details .


 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.
     ```liquidity and capital resources cash and cash equivalents were $ 1.9 million and $ 0.1 million at december 31 , 2012 and december 31 , 2011 , respectively . as of december 31 , 2012 , the company had approximately $ 7.8 million available to borrow under its credit facilities . the company needs cash to meet its working capital needs as the business grows , to acquire capital equipment , and to fund acquisitions and debt repayment . during 2012 , the company utilized all net operating carryforwards that were available . as consequence , going forward the company will be required to tax payments based on current earnings , which may be substantial . we intend to use cash flows from operations and existing availability under the current revolving credit facilities to fund anticipated levels of operations for approximately the next 12 months . as our availability under our credit lines is limited , it is important that we manage our working capital . we may need to raise additional capital through debt or equity financings to support our growth strategy , which may include additional acquisitions . there is no assurance that such financing will be available or , if available , on acceptable terms . stock offering on july 17 , 2012 , the company issued 500,000 shares of the company 's common stock , which was issued pursuant to a prospectus supplement and a prospectus , which is part of a registration statement on form s-3 that was declared effective by the securities and exchange commission on august 23 , 2011. the net proceeds for the stock offering of $ 3.8 million were to retire outstanding term debt . see note 21 in the consolidated financial statements for additional details . 34 outstanding borrowings and required payments the following is a summary of our outstanding borrowings at december 31 , 2012 replace_table_token_9_th the debt matures at various points in time . see note 13 to the financial statements for additional details .
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 Suspicious Activity Report : 24 through its manitex , inc. subsidiary it markets a comprehensive line of boom trucks and sign cranes . manitex 's boom trucks and crane products are primarily used for industrial projects , energy exploration and infrastructure development , including , roads , bridges and commercial construction . its badger equipment company ( badger ) subsidiaryis a manufacturer of specialized rough terrain cranes and material handling products . badger primarily serves the needs of the construction , municipality , and railroad industries . the company 's manitex liftking ulc ( manitex liftking or liftking ) subsidiary sells a complete line of rough terrain forklifts , a line of stand-up electric forklifts , cushioned tired forklifts with lifting capacities from 18 thousand to 40 thousand pounds , and special mission oriented vehicles , as well as other specialized carriers , heavy material handling transporters and steel mill equipment . manitex liftking 's rough terrain forklifts are used in both commercial and military applications . specialty mission oriented vehicles and specialized carriers are designed and built to meet the company 's unique customer needs and requirements . the company 's specialized lifting equipment has met the particular needs of customers in various industries that include utility , ship building and steel mill industries . the company 's manitex load king , inc. ( load king ) subsidiary manufactures specialized custom trailers and hauling systems typically used for transporting heavy equipment . load king trailers serve niche markets in the commercial construction , railroad , military , and equipment rental industries through a dealer network . on july 1 , 2010 , the company 's newly formed italian subsidiary , cvs ferrari , srl , entered into an agreement to rent certain assets of cvs spa , on an exclusive rental basis , while cvs spa proceeds through the italian bankruptcy process ( concordato preventivo ) . cvs spa was located near milan , italy and designed and manufactured a range of reach stackers and associated lifting equipment for the global container handling market , which were sold through a broad dealer network . during the third quarter 2010 , cvs ferrari , srl commenced operations and employed the rental assets in its operations . on july 1 , 2011 , the company purchased the assets which were previously being rented . equipment distribution segment the company crane and machinery division is crane dealer that distributes terex rough terrain and truck cranes and manitex boom trucks and sky cranes . this business supplies repair parts for a wide variety of medium to heavy duty construction equipment sold both domestically and internationally . the crane products are used primarily for infrastructure development and commercial construction ; applications include road and bridge construction , general contracting , roofing , and sign construction and maintenance . in the second quarter of 2010 , we expanded our equipment distribution segment by creating a new division , north american equipment exchange ( naee ) to market previously-owned construction and heavy equipment , domestically and internationally . this division provides a wide range of used lifting and construction equipment of various ages and condition , and the company has the capability to refurbish the equipment to the customers ' specification economic conditions beginning in september of 2008 , the united states and world financial markets came under unprecedented stress . the immediate impact was a dramatic decrease in liquidity and credit availability throughout the world . an incredibly rapid and significant deterioration in economic conditions , especially in the united states and europe followed . these events had an immediate significant adverse impact on the company including order cancellations . the overall market for construction equipment has improved but has not returned to pre-2008 levels . certain market segments , particularly the north american energy sector , is currently very strong . as result , we have seen a significant increase in orders for our higher capacity boom trucks and specialized trailers . as of december 31 , 2012 , our backlog of $ 130 million represents increases of 56 % and 227 % respectively when december 31 , 2012 backlog is compared to december 31 , 2011 and december 31 , 2010 backlogs . as a result , we have taken actions to selectively increase production capacity , including hiring additional manufacturing employees at certain of our facilities . additionally , our suppliers have increased capacity to meet the increased demand . as a result , the 25 company 's production volumes and revenues have increased consistently during 2012 and our backlog has decreased from its peak of $ 150 million at june 30 , 2012 to a current backlog of $ 130 million . there , however , is still significant uncertainty , in part due to the european sovereign debt crisis and an uncertain outlook for the us economy and other global markets . nevertheless , the company expects continued revenue growth in 2013. factors affecting revenues and gross profit the company derives most of its revenue from purchase orders from dealers and distributors . the demand for the company 's products depends upon the general economic conditions of the markets in which the company competes . the company 's sales depend in part upon its customers ' replacement or repair cycles . adverse economic conditions , including a decrease in commodity prices , may cause customers to forego or postpone new purchases in favor of repairing existing machinery . additionally , our manitex liftking subsidiary revenues are impacted by the timing of orders received for military forklifts and residential housing starts . cvs revenues are impacted in part by the timing of contract awards related to major port projects . gross profit varies from period to period . factors that affect gross profit include product mix , production levels and cost of raw materials . story_separator_special_tag as such these operations had essentially no selling , general and administrative expenses for six months ended june 30 , 2010 and cvs had only had limited expenses for the three months ended september 30 , 2010 , as cvs was still in a start-up mode during the third quarter of 2010. the majority of the remaining 35 % increase is attributed to an increase in selling expense and higher compensation expense related to additional provisions for performance based compensation , a restoration of prior salary reductions and selected increase in staffing . selling expense increased primarily as the company spent $ 0.5 million to attend the 2011 con expo trade show . the con expo show , which is held every three years , was held in las vegas in march of this year . this show is an international gathering place for the construction industries . it is estimated that 120,000 professionals from around the world attended the show . increased revenues also contributed to the increase in selling expenses . other less significant factors , including higher travel expenses , also contributed to the increase in selling , general and administrative expense . legal settlement ( at net present value ) the company has disclosed in its previous filings with the security and exchange commission that its insurance carriers had denied coverage for two product liability suits . the insurance companies subsequently filed a declaratory judgment action in a u.s. district court , seeking a determination that there was no duty on the part of the liability insurance carriers to defend the company . the legal settlement ( at net present value ) was recorded as a result of the a fifth circuit appeals court ruling reversing the earlier district courts ruling in the company 's favor . the amount recorded , represents the net present value of twenty annual payments of ninety-five thousand dollars as provided for in an earlier contingent settlement for two product liability suits related to an accident that occurred in 2006. under the settlement agreement , the company only became liable when it was ultimately determined that there was no duty on the part of the liability insurance carriers to defend the company . this settlement is related to a liability for a product that was manufactured by a predecessor company of our manitex subsidiary . the product liability of this predecessor company was assumed by various acquiring companies and ultimately became the company 's liability when we acquired the company 's manitex subsidiary in 2006 . 30 this settlement is of an unusual nature and although it had a significant impact on our 2011 results , it is not related to on-going activities of the company . furthermore , the company is not aware of any other similar potential liabilities at the present time and has secured insurance coverage to explicitly cover such future instances , mitigating future business risks . operating income the company , had operating income of $ 6.6 million and $ 5.5 million for the years ended december 31 , 2011 and 2010 , respectively . the increase in operating income is due to an increase in gross profit of $ 5.9 million offset by $ 4.8 million increase in operating expenses . an increase in revenues accounts for the increase in gross profit as the gross profit percent decreased 3.7 % between 2011 and 2010. the increase in operating expenses is primarily related to increases in selling , general and administrative expense and a charge booked to recognize a liability for a legal settlement . interest expense interest expense was $ 2.5 million and $ 2.4 million for the years ended december 31 , 2011 and 2010 , respectively . decreases in interest rates charged on borrowing under the company 's revolving credit facilities were offset by an increase in outstanding debt . the increase in debt is principally related to increased borrowings under the company 's revolving credit lines and additional debt incurred in connection with the acquisition of cvs assets in july 2011. the additional borrowing against the company 's revolving credit facilities were incurred to support substantial revenue growth that occurred between 2010 and 2011. foreign currency transaction gains and loss the company attempts to purchase forward currency exchange contracts such that the exchange gains and losses on the assets and liabilities denominated in other than the reporting units ' functional currency will be offset by the changes in the market value of the forward currency exchange contracts it holds . the company records at the balance sheet date the forward currency exchange contracts at their market value with any associated gain or loss being recorded in current earnings as a currency gain or loss . for the year ended december 31 , 2011 , the company had a foreign currency gain of $ 0.05 million as compared to a $ 0.06 million foreign currency loss for the year ended december 31 , 2010. the aforementioned foreign currency gains and losses are net of forward currency contracts gains and losses . income tax income tax expense was $ 1.4 million and $ 1.0 million for the year ended december 31 , 2011 and 2010 , respectively . the increase in income tax is principally attributed to an increase in pre-tax income . net income net income for the year ended december 31 , 2011 was $ 2.8 million . this compares with a net income for the year ended december 31 , 2010 of $ 2.1 million . segment information lifting equipment segment replace_table_token_7_th ( 1 ) cvs operating results are included since commencement of operations which occurred in the third quarter of 2010. year ended december 31 , 2012 compared to year ended december 31 , 2011 net revenues net revenues increased $ 58.5 million to $ 188.8 million for the year ended december 31 , 2012 from $ 130.3 million for the comparable period in 2011. approximately seventy-five percent of the

