research and development expenses included in operating expense totaled $ 39.7 million for 2013. in addition , we generated approximately 45 percent of our sales from new products in fiscal year 2013. enhanced operating structure implemented as of july 1 , 2013 at the start of fiscal 2014 , the company enhanced its organizational structure to align a broader base management team with customer-facing products and technology platforms , as well as to further increase cross-selling opportunities . this operating structure supports the company 's stated growth objectives across diverse market sectors , preserves the focus on customers and increases product innovation . 16 the company will continue to report results in each of the industrial and infrastructure segments , as well as by served end markets , while also providing expanded disclosures discussing technology-based sales for each segment . consistent with previous allocation methodologies , corporate expenses related to each segment will be classified accordingly . previously disclosed industrial and infrastructure segment results will be restated for certain sales reclassifications based on products and technologies and disclosed in future filings as appropriate . results of continuing operations sales sales of $ 2,589.4 million in 2013 decreased 5 percent from $ 2,736.2 million in 2012 as a result of an organic decline of 8 percent , 2 percent unfavorable effect from currency exchange and 1 percent fewer business days in 2013 , partially offset by a 6 percent increase from stellite . organic sales decreased in both segments and across most regions . drivers of the organic sales decline were general engineering of 12 percent , energy markets of 11 percent , earthworks of 6 percent and transportation of 5 percent , offset by an organic sales increase in aerospace and defense of 6 percent . sales of $ 2,736.2 million in 2012 increased 14 percent from $ 2,403.5 million in 2011 as a result of strong organic growth of 9 percent , business acquisition contribution of 4 percent and 1 percent more business days in 2012. organic sales increased in both segments and across most regions . organic sales growth drivers were energy markets of 13 percent , aerospace and defense of 13 percent , earthworks of 10 percent , general engineering of 8 percent and transportation of 6 percent . gross profit gross profit decreased $ 149.3 million to $ 845.0 million in 2013 from $ 994.3 million in 2012 . this decrease was primarily due to an organic sales decline of $ 217.5 million and lower related absorption of manufacturing costs from both lower sales as well as the impact of our inventory reduction efforts , partially offset by the gross profit benefit of owning stellite for a full year and cost containment efforts . the gross profit margin for 2013 was 32.6 percent compared to 36.3 percent in 2012. gross profit increased $ 109.9 million to $ 994.3 million in 2012 from $ 884.4 million in 2011. this increase was primarily due to an organic sales increase of $ 218.4 million , $ 17.8 million related to the stellite acquisition and cost reduction benefits , partially offset by higher raw material costs and unfavorable business segment mix . the gross profit margin for 2012 decreased to 36.3 percent from 36.8 percent in 2011 due primarily to the stellite acquisition . operating expense operating expense in 2013 was $ 527.9 million , a decrease of $ 33.6 million , or 6.0 percent , compared to $ 561.5 million in 2012 . the decrease is primarily due to lower employment costs of $ 19.8 million , mostly performance-based compensation , favorable currency exchange rates of $ 11.9 million , a decrease in stellite acquisition-related costs of $ 8.9 million and containment of discretionary spending , partially offset by additional operating expenditures of $ 21.1 million related to a full year of stellite in our operations . operating expense in 2012 was $ 561.5 million , an increase of $ 23.0 million , or 4.3 percent , compared to $ 538.5 million in 2011. the increase is primarily due to additional operating expenditures related to the stellite acquisition of $ 11.6 million , acquisition-related costs of $ 8.9 million , and higher depreciation of $ 4.1 million due to a full year of depreciation related to the erp system upgrade in 2011 , partially offset by a decrease in restructuring related charges of $ 3.4 million and lower employment costs . restructuring charges during 2013 and 2012 , there were no restructuring charges . during 2011 , we completed our restructuring programs to reduce costs and improve operating efficiencies . these programs related to the rationalization of certain manufacturing and service facilities , as well as other employment and cost reduction programs . we recognized $ 21.5 million , which included $ 13.7 million of restructuring charges of which $ 1.1 million were related to inventory disposals and recorded as cost of goods sold . restructuring related charges of $ 4.4 million were recorded in cost of goods sold and $ 3.4 million in operating expense during 2011. we realized pre-tax benefits from these restructuring programs of approximately $ 165 million during 2011. amortization of intangibles amortization expense was $ 20.8 million , $ 16.4 million and $ 11.6 million in 2013 , 2012 and 2011 , respectively . the increase of amortization expense in 2013 of $ 4.4 million or 27.0 percent was due to a full year of amortization of intangibles related to the stellite acquisition . the increase of amortization expense in 2012 of $ 4.8 million or 40.9 percent was primarily due to the stellite acquisition . story_separator_special_tag we have not , nor do we anticipate the need to , repatriate funds to the u.s. to satisfy domestic liquidity needs arising in the ordinary course of business , including liquidity needs associated with our domestic debt service requirements . at june 30 , 2013 , we had cash and cash equivalents of $ 377.3 million . total kennametal shareowners ' equity was $ 1,781.8 million and total debt was $ 747.9 million . our current senior credit ratings are at investment grade levels . we believe that our current financial position , liquidity and credit ratings provide us access to the capital markets . we continue to closely monitor our liquidity position and the condition of the capital markets , as well as the counterparty risk of our credit providers . 21 the following is a summary of our contractual obligations and other commercial commitments as of june 30 , 2013 ( in thousands ) : replace_table_token_8_th ( 1 ) long-term debt includes interest obligations of $ 133.4 million . interest obligations were determined assuming interest rates as of june 30 , 2013 remain constant . ( 2 ) notes payable includes interest obligations of $ 0.9 million . interest obligations were determined assuming interest rates as of june 30 , 2013 remain constant . ( 3 ) annual payments are expected to continue into the foreseeable future at the amounts noted in the table . ( 4 ) capital leases include interest obligations of $ 0.5 million . ( 5 ) purchase obligations consist of purchase commitments for materials , supplies and machinery and equipment as part of the ordinary conduct of business . purchase obligations with variable price provisions were determined assuming market prices as of june 30 , 2013 remain constant . purchase obligations also include $ 15.5 million related to a definitive agreement to purchase the assets of a business . ( 6 ) unrecognized tax benefits are positions taken or expected to be taken on an income tax return that may result in additional payments to tax authorities . these amounts include interest of $ 0.7 million and penalty of $ 0.4 million accrued related to such positions as of june 30 , 2013 . the amount included for 2014 is expected to be settled within the next twelve months . the remaining amount of unrecognized tax benefits is included in the ‘ thereafter ' column as we are not able to reasonably estimate the timing of potential future payments of the total amount included in the 'thereafter ' column , $ 22.5 million of income tax credits would be available in the u.s. to offset the payment if made to the relevant tax authority . if a tax authority agrees with the tax position taken or expected to be taken or the applicable statute of limitations expires , then additional payments will not be necessary . replace_table_token_9_th the standby letters of credit relate to insurance and other activities . the guarantees are non-debt guarantees in foreign locations with financial institutions , which are required primarily for security deposits , product performance guarantees and advances . cash flow provided by operating activities during 2013 , cash flow provided by operating activities was $ 284.2 million , compared to $ 289.6 million in 2012 . cash flow provided by operating activities for the current year consisted of net income and non-cash items amounting to $ 344.7 million , offset by changes in certain assets and liabilities netting to $ 60.6 million . these changes were primarily driven by , a decrease in accounts payable and accrued liabilities of $ 90.4 million , primarily driven by lower accounts payable and a decrease in accrued bonus , a decrease in accounts receivable of $ 33.8 million due to lower sales volumes and a decrease in other of $ 10.7 million . during 2012 , cash flow provided by operating activities was $ 289.6 million , compared to $ 230.8 million in 2011. cash flow provided by operating activities for the current year consisted of net income and non-cash items amounting to $ 452.3 million , offset by changes in certain assets and liabilities netting to $ 162.7 million . these changes were primarily driven by an increase in inventory of $ 63.8 million , due to increased demand and higher raw material costs , a decrease in accounts payable and accrued liabilities of $ 57.0 million , primarily driven by lower accounts payable and a decrease in accrued bonus , an increase in other of $ 16.8 million , a decrease in accrued income taxes of $ 14.2 million and an increase in accounts receivable of $ 10.9 million , driven by higher sales volumes . during 2011 , cash flow provided by operating activities was $ 230.8 million and consisted of net income and non-cash items amounting to $ 329.8 million , offset by changes in certain assets and liabilities netting to $ 99.0 million . these changes were primarily driven by an increase in inventory of $ 124.1 million , due to increased demand and higher raw material costs , and an increase in accounts receivable of $ 89.2 million , driven by higher sales volumes , partially offset by an increase in accounts payable and accrued liabilities of $ 100.3 million , driven by higher accounts payable balances related to increased production and an increase in accrued income taxes of $ 22.2 million . 22 story_separator_special_tag decrease in inventory of $ 7.1 million . currency exchange rate effects accounted for $ 0.6 million of the working capital change . property , plant and equipment , net decreased $ 0.7 million from $ 742.2 million at june 30 , 2012 to $ 741.5 million at june 30 , 2013 , primarily due to depreciation expense of $ 92.3 million and capital disposals of $ 3.0 million , offset by capital additions of $ 91.4 million , of which $ 8.6 million remained in accounts

cash flow used for investing activities cash flow used for investing activities was $ 80.7 million for 2013 , a decrease of $ 406.6 million , compared to $ 487.3 million in 2012 . during 2013 , cash flow used for investing activities included capital expenditures , net of $ 79.8 million , which consisted primarily of equipment upgrades . cash flow used for investing activities was $ 487.3 million for 2012 , an increase of $ 415.5 million , compared to $ 71.8 million in 2011. during 2012 , cash flow used for investing activities included the stellite acquisition for $ 382.6 million and capital expenditures , net of $ 96.2 million , which consisted primarily of equipment upgrades , and $ 10.0 million for the purchase of a technology license in our infrastructure segment . cash flow used for investing activities was $ 71.8 million for 2011 and included $ 83.4 million used for purchases of property , plant and equipment , which consisted primarily of upgrades of equipment and our erp system . cash flow provided by ( used for ) financing activities cash flow provided by financing activities was $ 52.1 million for 2013 , compared to $ 131.3 million in 2012 .


 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 flow used for investing activities cash flow used for investing activities was $ 80.7 million for 2013 , a decrease of $ 406.6 million , compared to $ 487.3 million in 2012 . during 2013 , cash flow used for investing activities included capital expenditures , net of $ 79.8 million , which consisted primarily of equipment upgrades . cash flow used for investing activities was $ 487.3 million for 2012 , an increase of $ 415.5 million , compared to $ 71.8 million in 2011. during 2012 , cash flow used for investing activities included the stellite acquisition for $ 382.6 million and capital expenditures , net of $ 96.2 million , which consisted primarily of equipment upgrades , and $ 10.0 million for the purchase of a technology license in our infrastructure segment . cash flow used for investing activities was $ 71.8 million for 2011 and included $ 83.4 million used for purchases of property , plant and equipment , which consisted primarily of upgrades of equipment and our erp system . cash flow provided by ( used for ) financing activities cash flow provided by financing activities was $ 52.1 million for 2013 , compared to $ 131.3 million in 2012 .
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 Suspicious Activity Report : research and development expenses included in operating expense totaled $ 39.7 million for 2013. in addition , we generated approximately 45 percent of our sales from new products in fiscal year 2013. enhanced operating structure implemented as of july 1 , 2013 at the start of fiscal 2014 , the company enhanced its organizational structure to align a broader base management team with customer-facing products and technology platforms , as well as to further increase cross-selling opportunities . this operating structure supports the company 's stated growth objectives across diverse market sectors , preserves the focus on customers and increases product innovation . 16 the company will continue to report results in each of the industrial and infrastructure segments , as well as by served end markets , while also providing expanded disclosures discussing technology-based sales for each segment . consistent with previous allocation methodologies , corporate expenses related to each segment will be classified accordingly . previously disclosed industrial and infrastructure segment results will be restated for certain sales reclassifications based on products and technologies and disclosed in future filings as appropriate . results of continuing operations sales sales of $ 2,589.4 million in 2013 decreased 5 percent from $ 2,736.2 million in 2012 as a result of an organic decline of 8 percent , 2 percent unfavorable effect from currency exchange and 1 percent fewer business days in 2013 , partially offset by a 6 percent increase from stellite . organic sales decreased in both segments and across most regions . drivers of the organic sales decline were general engineering of 12 percent , energy markets of 11 percent , earthworks of 6 percent and transportation of 5 percent , offset by an organic sales increase in aerospace and defense of 6 percent . sales of $ 2,736.2 million in 2012 increased 14 percent from $ 2,403.5 million in 2011 as a result of strong organic growth of 9 percent , business acquisition contribution of 4 percent and 1 percent more business days in 2012. organic sales increased in both segments and across most regions . organic sales growth drivers were energy markets of 13 percent , aerospace and defense of 13 percent , earthworks of 10 percent , general engineering of 8 percent and transportation of 6 percent . gross profit gross profit decreased $ 149.3 million to $ 845.0 million in 2013 from $ 994.3 million in 2012 . this decrease was primarily due to an organic sales decline of $ 217.5 million and lower related absorption of manufacturing costs from both lower sales as well as the impact of our inventory reduction efforts , partially offset by the gross profit benefit of owning stellite for a full year and cost containment efforts . the gross profit margin for 2013 was 32.6 percent compared to 36.3 percent in 2012. gross profit increased $ 109.9 million to $ 994.3 million in 2012 from $ 884.4 million in 2011. this increase was primarily due to an organic sales increase of $ 218.4 million , $ 17.8 million related to the stellite acquisition and cost reduction benefits , partially offset by higher raw material costs and unfavorable business segment mix . the gross profit margin for 2012 decreased to 36.3 percent from 36.8 percent in 2011 due primarily to the stellite acquisition . operating expense operating expense in 2013 was $ 527.9 million , a decrease of $ 33.6 million , or 6.0 percent , compared to $ 561.5 million in 2012 . the decrease is primarily due to lower employment costs of $ 19.8 million , mostly performance-based compensation , favorable currency exchange rates of $ 11.9 million , a decrease in stellite acquisition-related costs of $ 8.9 million and containment of discretionary spending , partially offset by additional operating expenditures of $ 21.1 million related to a full year of stellite in our operations . operating expense in 2012 was $ 561.5 million , an increase of $ 23.0 million , or 4.3 percent , compared to $ 538.5 million in 2011. the increase is primarily due to additional operating expenditures related to the stellite acquisition of $ 11.6 million , acquisition-related costs of $ 8.9 million , and higher depreciation of $ 4.1 million due to a full year of depreciation related to the erp system upgrade in 2011 , partially offset by a decrease in restructuring related charges of $ 3.4 million and lower employment costs . restructuring charges during 2013 and 2012 , there were no restructuring charges . during 2011 , we completed our restructuring programs to reduce costs and improve operating efficiencies . these programs related to the rationalization of certain manufacturing and service facilities , as well as other employment and cost reduction programs . we recognized $ 21.5 million , which included $ 13.7 million of restructuring charges of which $ 1.1 million were related to inventory disposals and recorded as cost of goods sold . restructuring related charges of $ 4.4 million were recorded in cost of goods sold and $ 3.4 million in operating expense during 2011. we realized pre-tax benefits from these restructuring programs of approximately $ 165 million during 2011. amortization of intangibles amortization expense was $ 20.8 million , $ 16.4 million and $ 11.6 million in 2013 , 2012 and 2011 , respectively . the increase of amortization expense in 2013 of $ 4.4 million or 27.0 percent was due to a full year of amortization of intangibles related to the stellite acquisition . the increase of amortization expense in 2012 of $ 4.8 million or 40.9 percent was primarily due to the stellite acquisition . story_separator_special_tag we have not , nor do we anticipate the need to , repatriate funds to the u.s. to satisfy domestic liquidity needs arising in the ordinary course of business , including liquidity needs associated with our domestic debt service requirements . at june 30 , 2013 , we had cash and cash equivalents of $ 377.3 million . total kennametal shareowners ' equity was $ 1,781.8 million and total debt was $ 747.9 million . our current senior credit ratings are at investment grade levels . we believe that our current financial position , liquidity and credit ratings provide us access to the capital markets . we continue to closely monitor our liquidity position and the condition of the capital markets , as well as the counterparty risk of our credit providers . 21 the following is a summary of our contractual obligations and other commercial commitments as of june 30 , 2013 ( in thousands ) : replace_table_token_8_th ( 1 ) long-term debt includes interest obligations of $ 133.4 million . interest obligations were determined assuming interest rates as of june 30 , 2013 remain constant . ( 2 ) notes payable includes interest obligations of $ 0.9 million . interest obligations were determined assuming interest rates as of june 30 , 2013 remain constant . ( 3 ) annual payments are expected to continue into the foreseeable future at the amounts noted in the table . ( 4 ) capital leases include interest obligations of $ 0.5 million . ( 5 ) purchase obligations consist of purchase commitments for materials , supplies and machinery and equipment as part of the ordinary conduct of business . purchase obligations with variable price provisions were determined assuming market prices as of june 30 , 2013 remain constant . purchase obligations also include $ 15.5 million related to a definitive agreement to purchase the assets of a business . ( 6 ) unrecognized tax benefits are positions taken or expected to be taken on an income tax return that may result in additional payments to tax authorities . these amounts include interest of $ 0.7 million and penalty of $ 0.4 million accrued related to such positions as of june 30 , 2013 . the amount included for 2014 is expected to be settled within the next twelve months . the remaining amount of unrecognized tax benefits is included in the ‘ thereafter ' column as we are not able to reasonably estimate the timing of potential future payments of the total amount included in the 'thereafter ' column , $ 22.5 million of income tax credits would be available in the u.s. to offset the payment if made to the relevant tax authority . if a tax authority agrees with the tax position taken or expected to be taken or the applicable statute of limitations expires , then additional payments will not be necessary . replace_table_token_9_th the standby letters of credit relate to insurance and other activities . the guarantees are non-debt guarantees in foreign locations with financial institutions , which are required primarily for security deposits , product performance guarantees and advances . cash flow provided by operating activities during 2013 , cash flow provided by operating activities was $ 284.2 million , compared to $ 289.6 million in 2012 . cash flow provided by operating activities for the current year consisted of net income and non-cash items amounting to $ 344.7 million , offset by changes in certain assets and liabilities netting to $ 60.6 million . these changes were primarily driven by , a decrease in accounts payable and accrued liabilities of $ 90.4 million , primarily driven by lower accounts payable and a decrease in accrued bonus , a decrease in accounts receivable of $ 33.8 million due to lower sales volumes and a decrease in other of $ 10.7 million . during 2012 , cash flow provided by operating activities was $ 289.6 million , compared to $ 230.8 million in 2011. cash flow provided by operating activities for the current year consisted of net income and non-cash items amounting to $ 452.3 million , offset by changes in certain assets and liabilities netting to $ 162.7 million . these changes were primarily driven by an increase in inventory of $ 63.8 million , due to increased demand and higher raw material costs , a decrease in accounts payable and accrued liabilities of $ 57.0 million , primarily driven by lower accounts payable and a decrease in accrued bonus , an increase in other of $ 16.8 million , a decrease in accrued income taxes of $ 14.2 million and an increase in accounts receivable of $ 10.9 million , driven by higher sales volumes . during 2011 , cash flow provided by operating activities was $ 230.8 million and consisted of net income and non-cash items amounting to $ 329.8 million , offset by changes in certain assets and liabilities netting to $ 99.0 million . these changes were primarily driven by an increase in inventory of $ 124.1 million , due to increased demand and higher raw material costs , and an increase in accounts receivable of $ 89.2 million , driven by higher sales volumes , partially offset by an increase in accounts payable and accrued liabilities of $ 100.3 million , driven by higher accounts payable balances related to increased production and an increase in accrued income taxes of $ 22.2 million . 22 story_separator_special_tag decrease in inventory of $ 7.1 million . currency exchange rate effects accounted for $ 0.6 million of the working capital change . property , plant and equipment , net decreased $ 0.7 million from $ 742.2 million at june 30 , 2012 to $ 741.5 million at june 30 , 2013 , primarily due to depreciation expense of $ 92.3 million and capital disposals of $ 3.0 million , offset by capital additions of $ 91.4 million , of which $ 8.6 million remained in accounts

