asia pacific consists of our operations in australia , china , hong kong , japan , taiwan , and southeast asia . europe consists of our operations in france , germany , spain , and the u.k. north america consists of our operations in canada and the u.s. for the year ended december 31 , 2017 , asia pacific operations were 7 % of revenues , european operations were 32 % of revenues and north american op erations were 61 % of our total revenues . financial information with respect to our business segments and certain financial information about geographic areas appears in note 10 to the accompanying consolidated financial statements . when evaluating the financial condition and operating performance of the company , management focuses on financial and non-financial indicators such as growth in the number of members to the company 's newsletters , operating margin , growth in revenues in the absolute and relative to the growth in reach of the company 's publications measured as revenue per member and revenue per employee as a measure of productivity . how we generate revenues our revenues are advertising revenues , consisting primarily of listing fees paid by travel , entertainment and local businesses to advertise their offers on travelzoo 's media properties . listing fees are based on audience reach , placement , number of listings , number of impressions , number of clicks , number of referrals , or percentage of the face value of vouchers sold . insertion orders are typically for periods between one month and twelve months and are not automatically renewed . merchant agreements for local deals and getaway advertisers are typically for twelve months and are not automatically renewed . we have two separate groups of our advertising products : travel and local . our travel category of revenue includes the publishing revenue for negotiated high-quality deals from travel companies , such as hotels , airlines , cruises or car rentals and includes products such as top 20 , travelzoo website , newsflash , travelzoo network as well as getaway vouchers . the revenues generated from these products are based upon a fee for number of e-mails delivered to our audience , a fee for clicks delivered to the advertisers , a fee for placement of the advertising on our website or a fee based on a percentage of the face value of vouchers sold , hotel booking stays or other items sold . we recognize revenue upon delivery of the e-mails , delivery of the clicks , over the period of placement of the advertising , upon hotel booking stays and upon the sale of the vouchers or other items sold . our local category of revenue includes the publishing revenue for negotiated high-quality deals from local businesses , such as restaurants , spas , shows , and other activities and includes local deals vouchers and entertainment offers ( vouchers and direct bookings ) . the revenues generated from these products are based upon a percentage of the face value of vouchers or items sold or a fee for clicks delivered to the advertisers . we recognize revenue upon the sale of the vouchers , when we receive notification of the direct bookings or upon delivery of the clicks . the company earns a fee for acting as an agent in these transactions , which is recorded on a net basis and is included in revenue upon completion of the voucher sale . certain merchant contracts in foreign locations allow us to retain fees related to vouchers sold that are not redeemed by purchasers upon 33 expiration , which we recognize as revenue after the expiration of the redemption period and after there are no further obligations to provide funds to merchants , members or others . trends in our business our ability to generate revenues in the future depends on numerous factors such as our ability to sell more advertising to existing and new advertisers , our ability to increase our audience reach and advertising rates , our ability to have sufficient supply of hotels offered at competitive rates , and our ability to develop and launch new products . our current revenue model primarily depends on advertising fees paid primarily by travel , entertainment and local businesses . a number of factors can influence whether current and new advertisers decide to advertise their offers with us . we have been impacted and expect to continue to be impacted by external factors such as the shift from offline to online advertising , the relative condition of the economy , competition and the introduction of new methods of advertising , and the decline in consumer demand for vouchers . a number of factors will have impact on our revenue , such as the reduction in spending by travel intermediaries due to their focus on improving profitability , the trend towards mobile usage by consumers , the willingness of consumers to purchase the deals we advertise , and the willingness of certain competitors to grow their business unprofitably . in addition , we have been impacted and expect to continue to be impacted by internal factors such as introduction of new advertising products , hiring and relying on key employees for the continued maintenance and growth of our business and ensuring our advertising products continue to attract the audience that advertisers desire . existing advertisers may shift from one advertising service ( e.g . top 20 ) to another ( e.g . local deals and getaway ) . these shifts between advertising services by advertisers could result in no incremental revenue or less revenue than in previous periods depending on the amount purchased by the advertisers , and in particular with local deals and getaway , depending on how many vouchers are purchased by members . story_separator_special_tag advertising expenses accounted for 15 % , 18 % and 21 % , respectively , of total sales and marketing expenses and consisted primarily of online advertising , which we refer to as traffic acquisition cost and member acquisition costs . the goal of our advertising was to acquire new members for our e-mail products , increase the traffic to our websites and increase brand awareness . sales and marketing expenses decreased $ 1.1 million in 2017 compared to 2016 . the decrease was primarily due to a $ 1.2 million decrease in member acquisition costs and a $ 0.4 million decrease in salary and employee related expenses , offset partially by a $ 0.3 million increase in facility costs and $ 0.3 million increase in marketing costs . sales and marketing expenses decreased $ 7.2 million in 2016 compared to 2015 . the decrease was primarily due to a $ 4.0 million decrease in salary and employee related expenses due in part to a decrease in headcount , a $ 1.9 million decrease in trade and brand marketing expenses , $ 0.7 million decrease in member acquisition costs and a $ 0.4 million decrease in professional service expenses . product development product development expenses consist primarily of compensation for software development staff , fees for professional services , software maintenance and amortization and facilities costs . product development expenses were $ 9.2 million , $ 9.1 million and $ 12.2 million for 2017 , 2016 and 2015 , respectively . product development expenses increased $ 128,000 in 2017 compared to 2016 . the increase was primarily due to an increase in professional services related in part to our continuous enhancement to our website . product development expenses decreased $ 3.1 million in 2016 compared to 2015 . the decrease was primarily due to a $ 1.5 million decrease in salary and employee related expenses , a $ 1.0 million decrease in professional service expenses and a $ 0.3 million decrease in contractor expenses . 39 general and administrative general and administrative expenses consist primarily of compensation for administrative , executive , fees for professional services , rent , bad debt expense , amortization of intangible assets , and general office expense . general and administrative expenses were $ 22.6 million , $ 22.7 million and $ 24.2 million for 2017 , 2016 and 2015 , respectively . general and administrative expenses decreased $ 139,000 in 2017 compared to 2016 . the decrease was primarily due to a $ 548,000 decrease in professional services expenses related to various outside services , offset partially by a $ 435,000 increase in salary and employee related expenses . general and administrative expenses decreased $ 1.5 million in 2016 compared to 2015 . the decrease was primarily due to a $ 2.2 million decrease in salary and employee related expenses due in part to a decrease in headcount , offset partially by a $ 0.5 million increase in professional services expenses . other income ( loss ) other income ( loss ) consisted primarily of foreign exchange transactions gains and losses , interest income earned on cash , cash equivalents and restricted cash as well as interest expense . other income ( loss ) was $ 173,000 , $ ( 187,000 ) and $ ( 1.2 ) million for 2017 , 2016 and 2015 , respectively . other income ( loss ) increased $ 360,000 from 2016 to 2017 primarily due to foreign exchange transaction gains in 2017. other income ( loss ) decreased $ 1.1 million from 2015 to 2016 primarily due to foreign exchange transaction losses in 2015. income taxes on december 22 , 2017 , the u.s. government enacted the tax cuts and jobs act ( the “ tax act ” ) . the tax act includes significant changes to the u.s. corporate income tax system including : a federal corporate rate reduction from 35 % to 21 % ; limitations on the deductibility of interest expense and executive compensation ; creation of new minimum taxes such as the base erosion anti-abuse tax ( “ beat ” ) and global intangible low taxed income ( “ gilti ” ) tax ; and the transition of u.s. international taxation from a worldwide tax system to a modified territorial tax system , which will result in a one time u.s. tax liability on those earnings which have not previously been repatriated to the u.s. ( the “ transition tax ” ) . in connection with the company 's initial analysis of the impact of the tax act , the company has recorded a provisional estimate of discrete net tax expense of $ 508,000 for the period ended december 31 , 2017. this discrete expense consists of provisional estimates of zero net expense for the transition tax , $ 173,000 net benefit for the decrease in the company 's deferred tax liability on unremitted foreign earnings , and $ 681,000 net expense for remeasurement of the company 's deferred tax assets/liabilities for the corporate rate reduction . we have not completed our accounting for the income tax effects of certain elements of the tax act , including the new gilti and beat taxes . due to the complexity of these new tax rules , we are continuing to evaluate these provisions of the tax act and whether such taxes are recorded as a current-period expense when incurred or whether such amounts should be factored into a company 's measurement of its deferred taxes . as a result , we have not included an estimate of the tax expense/benefit related to these items for the period ended december 31 , 2017. our income is generally taxed in the u.s. , canada and u.k. our income tax provision reflects federal , state and country statutory rates applicable to our worldwide income , adjusted to take into account expenses that are treated as having no recognizable tax benefit . income tax expense ( benefit ) was $

liquidity and capital resources as of december 31 , 2017 , we had $ 22.6 million in cash and cash equivalents , of which $ 16.4 million was held outside the u.s. in certain of our foreign operations . if these assets are distributed to the u.s. , we may be subject to additional u.s. taxes in certain circumstances . cash and cash equivalents decreased from $ 26.8 million as of december 31 , 2016 primarily as a result of cash used for repurchases of our common stock . we expect that cash on hand will be sufficient to provide for working capital needs for at least the next twelve months . replace_table_token_11_th net cash provided by operating activities is net income adjusted for certain non-cash items and changes in assets and liabilities . net cash provided by operating activities was $ 2.1 million for 2017 , which consisted of a net income of $ 3.5 million , adjustments for non-cash items of $ 265,000 , offset partially a $ 1.7 million decrease in cash from changes in operating assets and liabilities . a dj ustments for non-cash items primarily consisted of the $ 2.9 million discontinued operations gain on the sale of the fly.com domain name , offset by $ 2.1 million of depreciation and amortization expense on property and equipment and $ 1.0 million of stock-based compensation expense . the decrease in cash from changes in operating assets and liabilities primarily consisted of $ 2.5 million decrease in other non-current liabilities primarily associated with the resolution of 2009 irs audit related to the sale of our asia pacific business segment and $ 1.6 million decrease in accounts payable , offset partially by $ 3.1 million decrease in accounts receivable .


 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 as of december 31 , 2017 , we had $ 22.6 million in cash and cash equivalents , of which $ 16.4 million was held outside the u.s. in certain of our foreign operations . if these assets are distributed to the u.s. , we may be subject to additional u.s. taxes in certain circumstances . cash and cash equivalents decreased from $ 26.8 million as of december 31 , 2016 primarily as a result of cash used for repurchases of our common stock . we expect that cash on hand will be sufficient to provide for working capital needs for at least the next twelve months . replace_table_token_11_th net cash provided by operating activities is net income adjusted for certain non-cash items and changes in assets and liabilities . net cash provided by operating activities was $ 2.1 million for 2017 , which consisted of a net income of $ 3.5 million , adjustments for non-cash items of $ 265,000 , offset partially a $ 1.7 million decrease in cash from changes in operating assets and liabilities . a dj ustments for non-cash items primarily consisted of the $ 2.9 million discontinued operations gain on the sale of the fly.com domain name , offset by $ 2.1 million of depreciation and amortization expense on property and equipment and $ 1.0 million of stock-based compensation expense . the decrease in cash from changes in operating assets and liabilities primarily consisted of $ 2.5 million decrease in other non-current liabilities primarily associated with the resolution of 2009 irs audit related to the sale of our asia pacific business segment and $ 1.6 million decrease in accounts payable , offset partially by $ 3.1 million decrease in accounts receivable .
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 Suspicious Activity Report : asia pacific consists of our operations in australia , china , hong kong , japan , taiwan , and southeast asia . europe consists of our operations in france , germany , spain , and the u.k. north america consists of our operations in canada and the u.s. for the year ended december 31 , 2017 , asia pacific operations were 7 % of revenues , european operations were 32 % of revenues and north american op erations were 61 % of our total revenues . financial information with respect to our business segments and certain financial information about geographic areas appears in note 10 to the accompanying consolidated financial statements . when evaluating the financial condition and operating performance of the company , management focuses on financial and non-financial indicators such as growth in the number of members to the company 's newsletters , operating margin , growth in revenues in the absolute and relative to the growth in reach of the company 's publications measured as revenue per member and revenue per employee as a measure of productivity . how we generate revenues our revenues are advertising revenues , consisting primarily of listing fees paid by travel , entertainment and local businesses to advertise their offers on travelzoo 's media properties . listing fees are based on audience reach , placement , number of listings , number of impressions , number of clicks , number of referrals , or percentage of the face value of vouchers sold . insertion orders are typically for periods between one month and twelve months and are not automatically renewed . merchant agreements for local deals and getaway advertisers are typically for twelve months and are not automatically renewed . we have two separate groups of our advertising products : travel and local . our travel category of revenue includes the publishing revenue for negotiated high-quality deals from travel companies , such as hotels , airlines , cruises or car rentals and includes products such as top 20 , travelzoo website , newsflash , travelzoo network as well as getaway vouchers . the revenues generated from these products are based upon a fee for number of e-mails delivered to our audience , a fee for clicks delivered to the advertisers , a fee for placement of the advertising on our website or a fee based on a percentage of the face value of vouchers sold , hotel booking stays or other items sold . we recognize revenue upon delivery of the e-mails , delivery of the clicks , over the period of placement of the advertising , upon hotel booking stays and upon the sale of the vouchers or other items sold . our local category of revenue includes the publishing revenue for negotiated high-quality deals from local businesses , such as restaurants , spas , shows , and other activities and includes local deals vouchers and entertainment offers ( vouchers and direct bookings ) . the revenues generated from these products are based upon a percentage of the face value of vouchers or items sold or a fee for clicks delivered to the advertisers . we recognize revenue upon the sale of the vouchers , when we receive notification of the direct bookings or upon delivery of the clicks . the company earns a fee for acting as an agent in these transactions , which is recorded on a net basis and is included in revenue upon completion of the voucher sale . certain merchant contracts in foreign locations allow us to retain fees related to vouchers sold that are not redeemed by purchasers upon 33 expiration , which we recognize as revenue after the expiration of the redemption period and after there are no further obligations to provide funds to merchants , members or others . trends in our business our ability to generate revenues in the future depends on numerous factors such as our ability to sell more advertising to existing and new advertisers , our ability to increase our audience reach and advertising rates , our ability to have sufficient supply of hotels offered at competitive rates , and our ability to develop and launch new products . our current revenue model primarily depends on advertising fees paid primarily by travel , entertainment and local businesses . a number of factors can influence whether current and new advertisers decide to advertise their offers with us . we have been impacted and expect to continue to be impacted by external factors such as the shift from offline to online advertising , the relative condition of the economy , competition and the introduction of new methods of advertising , and the decline in consumer demand for vouchers . a number of factors will have impact on our revenue , such as the reduction in spending by travel intermediaries due to their focus on improving profitability , the trend towards mobile usage by consumers , the willingness of consumers to purchase the deals we advertise , and the willingness of certain competitors to grow their business unprofitably . in addition , we have been impacted and expect to continue to be impacted by internal factors such as introduction of new advertising products , hiring and relying on key employees for the continued maintenance and growth of our business and ensuring our advertising products continue to attract the audience that advertisers desire . existing advertisers may shift from one advertising service ( e.g . top 20 ) to another ( e.g . local deals and getaway ) . these shifts between advertising services by advertisers could result in no incremental revenue or less revenue than in previous periods depending on the amount purchased by the advertisers , and in particular with local deals and getaway , depending on how many vouchers are purchased by members . story_separator_special_tag advertising expenses accounted for 15 % , 18 % and 21 % , respectively , of total sales and marketing expenses and consisted primarily of online advertising , which we refer to as traffic acquisition cost and member acquisition costs . the goal of our advertising was to acquire new members for our e-mail products , increase the traffic to our websites and increase brand awareness . sales and marketing expenses decreased $ 1.1 million in 2017 compared to 2016 . the decrease was primarily due to a $ 1.2 million decrease in member acquisition costs and a $ 0.4 million decrease in salary and employee related expenses , offset partially by a $ 0.3 million increase in facility costs and $ 0.3 million increase in marketing costs . sales and marketing expenses decreased $ 7.2 million in 2016 compared to 2015 . the decrease was primarily due to a $ 4.0 million decrease in salary and employee related expenses due in part to a decrease in headcount , a $ 1.9 million decrease in trade and brand marketing expenses , $ 0.7 million decrease in member acquisition costs and a $ 0.4 million decrease in professional service expenses . product development product development expenses consist primarily of compensation for software development staff , fees for professional services , software maintenance and amortization and facilities costs . product development expenses were $ 9.2 million , $ 9.1 million and $ 12.2 million for 2017 , 2016 and 2015 , respectively . product development expenses increased $ 128,000 in 2017 compared to 2016 . the increase was primarily due to an increase in professional services related in part to our continuous enhancement to our website . product development expenses decreased $ 3.1 million in 2016 compared to 2015 . the decrease was primarily due to a $ 1.5 million decrease in salary and employee related expenses , a $ 1.0 million decrease in professional service expenses and a $ 0.3 million decrease in contractor expenses . 39 general and administrative general and administrative expenses consist primarily of compensation for administrative , executive , fees for professional services , rent , bad debt expense , amortization of intangible assets , and general office expense . general and administrative expenses were $ 22.6 million , $ 22.7 million and $ 24.2 million for 2017 , 2016 and 2015 , respectively . general and administrative expenses decreased $ 139,000 in 2017 compared to 2016 . the decrease was primarily due to a $ 548,000 decrease in professional services expenses related to various outside services , offset partially by a $ 435,000 increase in salary and employee related expenses . general and administrative expenses decreased $ 1.5 million in 2016 compared to 2015 . the decrease was primarily due to a $ 2.2 million decrease in salary and employee related expenses due in part to a decrease in headcount , offset partially by a $ 0.5 million increase in professional services expenses . other income ( loss ) other income ( loss ) consisted primarily of foreign exchange transactions gains and losses , interest income earned on cash , cash equivalents and restricted cash as well as interest expense . other income ( loss ) was $ 173,000 , $ ( 187,000 ) and $ ( 1.2 ) million for 2017 , 2016 and 2015 , respectively . other income ( loss ) increased $ 360,000 from 2016 to 2017 primarily due to foreign exchange transaction gains in 2017. other income ( loss ) decreased $ 1.1 million from 2015 to 2016 primarily due to foreign exchange transaction losses in 2015. income taxes on december 22 , 2017 , the u.s. government enacted the tax cuts and jobs act ( the “ tax act ” ) . the tax act includes significant changes to the u.s. corporate income tax system including : a federal corporate rate reduction from 35 % to 21 % ; limitations on the deductibility of interest expense and executive compensation ; creation of new minimum taxes such as the base erosion anti-abuse tax ( “ beat ” ) and global intangible low taxed income ( “ gilti ” ) tax ; and the transition of u.s. international taxation from a worldwide tax system to a modified territorial tax system , which will result in a one time u.s. tax liability on those earnings which have not previously been repatriated to the u.s. ( the “ transition tax ” ) . in connection with the company 's initial analysis of the impact of the tax act , the company has recorded a provisional estimate of discrete net tax expense of $ 508,000 for the period ended december 31 , 2017. this discrete expense consists of provisional estimates of zero net expense for the transition tax , $ 173,000 net benefit for the decrease in the company 's deferred tax liability on unremitted foreign earnings , and $ 681,000 net expense for remeasurement of the company 's deferred tax assets/liabilities for the corporate rate reduction . we have not completed our accounting for the income tax effects of certain elements of the tax act , including the new gilti and beat taxes . due to the complexity of these new tax rules , we are continuing to evaluate these provisions of the tax act and whether such taxes are recorded as a current-period expense when incurred or whether such amounts should be factored into a company 's measurement of its deferred taxes . as a result , we have not included an estimate of the tax expense/benefit related to these items for the period ended december 31 , 2017. our income is generally taxed in the u.s. , canada and u.k. our income tax provision reflects federal , state and country statutory rates applicable to our worldwide income , adjusted to take into account expenses that are treated as having no recognizable tax benefit . income tax expense ( benefit ) was $

