if we are not able to access credit to fund our business requirements for liquidity , or the cost of available credit increases , we may need to curtail our business operations including various business initiatives that require capital investment . we have recently commenced an effort to expand our business internationally by establishing a new retail presence in global markets including europe and the united kingdom . in addition , we are in the process of developing a number of new gallery locations in the u.s. in addition , our rh guesthouse initiative may be negatively impacted by the disease outbreak as federal , state and local governments have restricted travel , conferences , events and gatherings . reductions in our liquidity position and the need to use capital for other day to day requirements of our business may affect a number of our business initiatives and long-term investments and as a result we may be required to curtail and or postpone business investments including those related to international expansion , the pace of opening new galleries in the u.s. as well as other initiatives that require capital investment . as a result of the covid-19 outbreak , and the corresponding reduction in our sales , we have had to institute a number of measures to mitigate expenses and reduce costs . these efforts may not be enough to offset anticipated declines in revenue including the loss of sales related to store closures , and may negatively affect our ability to quickly resume operations when we are able to re-open our galleries , restaurants and outlets . substantially all of our management personnel , including those in our corporate office in corte madera , ca , are subject to shelter-in-place requirements which have resulted in most of our management team being required to work remotely . these working arrangements as well as other related restrictions including severe limitations on travel may have an impact on our operations and management effectiveness . although we have technology and other resources to support these new work requirements , there can be no assurance that we will not suffer material risks to our business , operations , production productivity and results of operations as a result of these restrictions . if a significant percentage of our workforce is unable to work , including because of illness or travel or government restrictions in connection with covid-19 , our operations may be negatively impacted , potentially materially adversely affecting our business , liquidity , financial condition or results of operations . the global scale and scope of covid-19 is unknown and the duration of the business disruption and related financial impact can not be reasonably estimated at this time . the extent to which the covid-19 pandemic impacts our results will depend on future developments that are highly uncertain and can not be predicted , including the duration of our rh galleries , restaurant and outlet closures , emerging information concerning the severity of covid-19 and the actions taken by governments and private businesses to attempt to contain covid-19 . however , the company believes covid-19 is likely to result in an adverse impact on our business , results of operations and financial condition , particularly if ongoing mitigation actions occur for a significant amount of time . for more information , refer to item 1a—risk factors— the global outbreak of the covid-19 virus is likely to have an adverse impact on our business . our net revenue for the fourth quarter of fiscal 2019 was $ 665.0 million , compared to $ 670.9 million for the fourth quarter of 2018. net revenue for the fourth quarter of fiscal 2019 was negatively impacted by several factors , including higher than expected backorders due to a year-over-year decrease in inventories as well as our decision to eliminate most seasonal holiday merchandising from our business , which decision we believe contributed a larger than anticipated impact to sales as customers who might otherwise purchase our holiday merchandise chose to shop at other retailers offering holiday merchandise selections and , as a result , our net revenues were less than the prior period not only due to elimination of the sale of the holiday merchandise but also the loss of additional sales of non-holiday merchandise that would typically been made at the same time by customers attracted to our product offerings of holiday merchandise . in addition , prior periods including the fourth quarter of fiscal 2018 included revenue from higher outlet 53 and warehouse sales stemming from our inventory optimization efforts . in fiscal 2019 , we resumed introducing product expansions in our merchandise assortment including a number of new merchandise collections in both rh interiors and rh modern , as well as the launch of rh beach house in the spring and rh ski house in the fall . while we believe that product expansion will provide us with a significant opportunity to increase our market share and revenues , in the fourth quarter of fiscal 2019 we experienced some delays in the delivery of products to our customers due to back orders and special orders , which resulted from insufficient inventory to meet customer demand and slow ramp-ups at the factories that produce such products in response to the demand level from consumers . key value driving strategies in order to drive growth across our business , we are focused on the following long-term key strategies : ● transform our real estate platform . we believe we have an opportunity to significantly increase our sales by transforming our real estate platform from our existing legacy retail footprint to a portfolio of design galleries that are sized to the potential of each market and the size of our assortment . story_separator_special_tag we believe that our operations and current initiatives are providing a significant opportunity to optimize the allocation of capital in our business , including generating free cash flow and optimizing our balance sheet , as well as deploying capital to repay debt and repurchase shares of our common stock , which we believe creates a long-term benefit to our shareholders . we continue to pursue and test numerous initiatives to improve many aspects of our business including through efforts to optimize inventory , elevate the home delivery experience , simplify our distribution network and improve our organizational design including by streamlining and realigning our home office operations , as well as to expand our product offering and transform our real estate using a range of different models for specific real estate development projects . many of these initiatives and other initiatives such as our transition to a direct sourcing model for our rug business have improved our operating margins , but other initiatives such as rh hospitality , rh guesthouse and international expansion are expected to offset some planned margin improvement next year due to our investments in those platforms . there can be no assurance as to the timing and extent of the operational benefits and financial contributions of these strategic efforts . in addition , our pursuit of multiple initiatives with respect to our business in any given period may result in period-to-period changes in , and increased fluctuation in , our results of operations . we have also experienced delays in development timelines for some of our recent projects , and delays in completion of our real estate development projects or costs overruns could negatively affect our results of operations and revenues . further , macroeconomic or political events outside of our control could impact our ability to pursue our initiatives or the success of such initiatives . for example , the covid-19 outbreak and resulting global health crisis and related impact on financial markets have contributed to a period of significant market stress and anticipated illiquidity which is expected to negatively impact the economies and financial markets of many countries and could adversely affect our results of operations . in addition , while we believe that the tariffs imposed to date on most of our goods sourced from china have not had an adverse effect on our results of operations , including our revenues , margins and earnings , there can be no assurance that the existing tariffs and the additional tariffs that will become effective , as well as other future tariffs that may be imposed , will not adversely affect our results of operation in future time periods . in addition , in recent periods the stock market has experienced significant volatility as well as periods of significant decline and is currently in a period of heightened market volatility and decline , which may negatively affect the financial health and demand levels of high-end consumers , and we can provide no assurance as to whether such trends will occur in the future . the housing market is affected by a range of factors including home prices and interest rates and slowdowns in the housing market can have a negative impact on demand for our products . factors that affect the higher end housing market in particular may have an outsized influence on our levels of consumer demand since our business is geared toward the higher end of the home furnishings market . the above factors and other current and future operational initiatives may create additional uncertainty with respect to our consolidated net revenues and profit in the near term . 58 factors affecting our results of operations various factors affected our results for the periods presented in this “ management 's discussion and analysis of financial condition and results of operations , ” and such discussion generally lists the factors in order of magnitude based on their impact . due to the global outbreak of the covid-19 virus as discussed elsewhere in this annual report , our operating results in the near-term are difficult to predict . apart from the impact of the near-term actions we are undertaking in response to the covid-19 outbreak , below are certain factors that affect our results of operations . our strategic initiatives . we are in the process of implementing a number of significant business initiatives that have had and will continue to have an impact on our results of operations , including : ● the introduction and expansion of new product categories and services ; ● the timing and progress of the opening of new design galleries that are under development ; ● the launch of rh international ; ● the pursuit of our multi-tier market approach to our real estate transformation ; ● the redesign of our distribution center network ; ● the introduction of rh hospitality , an integrated hospitality experience , including the roll out of an integrated food and beverage experience in a number of our new design galleries and guesthouse ; ● changes in our source book circulation strategy including the depth , frequency and timing of mailings as well as the scope of product offerings displayed in our source books ; ● changes in our reverse logistics model resulting in transferring customer returns direct from our home delivery centers to outlets ; ● efforts to elevate the customer experience including architecting a new fully integrated back-end operating platform , inclusive of the supply chain network , the home delivery experience as well as a new metric driven quality system and company-wide decision data , vendor product initiatives and changes to the way we operate our distribution centers , home delivery centers and customer service centers ; and ● leveraging the above strategic initiatives across both our rh segment and waterworks to drive the performance of each business . as a result of the number of current business initiatives we are pursuing , we have experienced in the past and may

net cash provided by operating activities operating activities consist primarily of net income adjusted for non-cash items including depreciation and amortization , impairments , stock-based compensation , amortization of debt discount and the effect of changes in working capital and other activities . 77 for fiscal 2019 , net cash provided by operating activities was $ 339.2 million and consisted of net income of $ 220.4 million and non-cash items of $ 199.3 million , partially offset by a decrease in cash used for working capital and other activities of $ 80.5 million . working capital and other activities consisted primarily of decreases in operating lease liabilities of $ 77.0 million primarily due to payments made under the agreements , increases in landlord assets under construction of $ 64.3 million , and decreases in other current liabilities and other non-current obligations of $ 45.8 million and $ 25.1 million , respectively . these decreases to working capital were partially offset by decreases in merchandise inventories of $ 93.3 million and decreases in prepaid expenses and other current assets of $ 28.4 million . for fiscal 2018 , net cash provided by operating activities was $ 249.6 million and consisted of net income of $ 135.7 million and non-cash items of $ 296.5 million , partially offset by an increase in cash used for working capital and other activities of $ 182.6 million . working capital and other activities consisted primarily of increases in prepaid expenses and other current assets of $ 88.4 million related to ( i ) adoption of topic 606 , ( ii ) vendor deposits and ( iii ) federal and state tax receivables due to prepayments , decreases in operating lease liabilities of $ 70.9 million , increases in landlord assets under construction of $ 59.0 million and decreases in other non-current obligations of $ 18.1 million . these decreases to working capital were partially offset by increases in other current liabilities of $ 51.2 million .


 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.
     ```net cash provided by operating activities operating activities consist primarily of net income adjusted for non-cash items including depreciation and amortization , impairments , stock-based compensation , amortization of debt discount and the effect of changes in working capital and other activities . 77 for fiscal 2019 , net cash provided by operating activities was $ 339.2 million and consisted of net income of $ 220.4 million and non-cash items of $ 199.3 million , partially offset by a decrease in cash used for working capital and other activities of $ 80.5 million . working capital and other activities consisted primarily of decreases in operating lease liabilities of $ 77.0 million primarily due to payments made under the agreements , increases in landlord assets under construction of $ 64.3 million , and decreases in other current liabilities and other non-current obligations of $ 45.8 million and $ 25.1 million , respectively . these decreases to working capital were partially offset by decreases in merchandise inventories of $ 93.3 million and decreases in prepaid expenses and other current assets of $ 28.4 million . for fiscal 2018 , net cash provided by operating activities was $ 249.6 million and consisted of net income of $ 135.7 million and non-cash items of $ 296.5 million , partially offset by an increase in cash used for working capital and other activities of $ 182.6 million . working capital and other activities consisted primarily of increases in prepaid expenses and other current assets of $ 88.4 million related to ( i ) adoption of topic 606 , ( ii ) vendor deposits and ( iii ) federal and state tax receivables due to prepayments , decreases in operating lease liabilities of $ 70.9 million , increases in landlord assets under construction of $ 59.0 million and decreases in other non-current obligations of $ 18.1 million . these decreases to working capital were partially offset by increases in other current liabilities of $ 51.2 million .
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 Suspicious Activity Report : if we are not able to access credit to fund our business requirements for liquidity , or the cost of available credit increases , we may need to curtail our business operations including various business initiatives that require capital investment . we have recently commenced an effort to expand our business internationally by establishing a new retail presence in global markets including europe and the united kingdom . in addition , we are in the process of developing a number of new gallery locations in the u.s. in addition , our rh guesthouse initiative may be negatively impacted by the disease outbreak as federal , state and local governments have restricted travel , conferences , events and gatherings . reductions in our liquidity position and the need to use capital for other day to day requirements of our business may affect a number of our business initiatives and long-term investments and as a result we may be required to curtail and or postpone business investments including those related to international expansion , the pace of opening new galleries in the u.s. as well as other initiatives that require capital investment . as a result of the covid-19 outbreak , and the corresponding reduction in our sales , we have had to institute a number of measures to mitigate expenses and reduce costs . these efforts may not be enough to offset anticipated declines in revenue including the loss of sales related to store closures , and may negatively affect our ability to quickly resume operations when we are able to re-open our galleries , restaurants and outlets . substantially all of our management personnel , including those in our corporate office in corte madera , ca , are subject to shelter-in-place requirements which have resulted in most of our management team being required to work remotely . these working arrangements as well as other related restrictions including severe limitations on travel may have an impact on our operations and management effectiveness . although we have technology and other resources to support these new work requirements , there can be no assurance that we will not suffer material risks to our business , operations , production productivity and results of operations as a result of these restrictions . if a significant percentage of our workforce is unable to work , including because of illness or travel or government restrictions in connection with covid-19 , our operations may be negatively impacted , potentially materially adversely affecting our business , liquidity , financial condition or results of operations . the global scale and scope of covid-19 is unknown and the duration of the business disruption and related financial impact can not be reasonably estimated at this time . the extent to which the covid-19 pandemic impacts our results will depend on future developments that are highly uncertain and can not be predicted , including the duration of our rh galleries , restaurant and outlet closures , emerging information concerning the severity of covid-19 and the actions taken by governments and private businesses to attempt to contain covid-19 . however , the company believes covid-19 is likely to result in an adverse impact on our business , results of operations and financial condition , particularly if ongoing mitigation actions occur for a significant amount of time . for more information , refer to item 1a—risk factors— the global outbreak of the covid-19 virus is likely to have an adverse impact on our business . our net revenue for the fourth quarter of fiscal 2019 was $ 665.0 million , compared to $ 670.9 million for the fourth quarter of 2018. net revenue for the fourth quarter of fiscal 2019 was negatively impacted by several factors , including higher than expected backorders due to a year-over-year decrease in inventories as well as our decision to eliminate most seasonal holiday merchandising from our business , which decision we believe contributed a larger than anticipated impact to sales as customers who might otherwise purchase our holiday merchandise chose to shop at other retailers offering holiday merchandise selections and , as a result , our net revenues were less than the prior period not only due to elimination of the sale of the holiday merchandise but also the loss of additional sales of non-holiday merchandise that would typically been made at the same time by customers attracted to our product offerings of holiday merchandise . in addition , prior periods including the fourth quarter of fiscal 2018 included revenue from higher outlet 53 and warehouse sales stemming from our inventory optimization efforts . in fiscal 2019 , we resumed introducing product expansions in our merchandise assortment including a number of new merchandise collections in both rh interiors and rh modern , as well as the launch of rh beach house in the spring and rh ski house in the fall . while we believe that product expansion will provide us with a significant opportunity to increase our market share and revenues , in the fourth quarter of fiscal 2019 we experienced some delays in the delivery of products to our customers due to back orders and special orders , which resulted from insufficient inventory to meet customer demand and slow ramp-ups at the factories that produce such products in response to the demand level from consumers . key value driving strategies in order to drive growth across our business , we are focused on the following long-term key strategies : ● transform our real estate platform . we believe we have an opportunity to significantly increase our sales by transforming our real estate platform from our existing legacy retail footprint to a portfolio of design galleries that are sized to the potential of each market and the size of our assortment . story_separator_special_tag we believe that our operations and current initiatives are providing a significant opportunity to optimize the allocation of capital in our business , including generating free cash flow and optimizing our balance sheet , as well as deploying capital to repay debt and repurchase shares of our common stock , which we believe creates a long-term benefit to our shareholders . we continue to pursue and test numerous initiatives to improve many aspects of our business including through efforts to optimize inventory , elevate the home delivery experience , simplify our distribution network and improve our organizational design including by streamlining and realigning our home office operations , as well as to expand our product offering and transform our real estate using a range of different models for specific real estate development projects . many of these initiatives and other initiatives such as our transition to a direct sourcing model for our rug business have improved our operating margins , but other initiatives such as rh hospitality , rh guesthouse and international expansion are expected to offset some planned margin improvement next year due to our investments in those platforms . there can be no assurance as to the timing and extent of the operational benefits and financial contributions of these strategic efforts . in addition , our pursuit of multiple initiatives with respect to our business in any given period may result in period-to-period changes in , and increased fluctuation in , our results of operations . we have also experienced delays in development timelines for some of our recent projects , and delays in completion of our real estate development projects or costs overruns could negatively affect our results of operations and revenues . further , macroeconomic or political events outside of our control could impact our ability to pursue our initiatives or the success of such initiatives . for example , the covid-19 outbreak and resulting global health crisis and related impact on financial markets have contributed to a period of significant market stress and anticipated illiquidity which is expected to negatively impact the economies and financial markets of many countries and could adversely affect our results of operations . in addition , while we believe that the tariffs imposed to date on most of our goods sourced from china have not had an adverse effect on our results of operations , including our revenues , margins and earnings , there can be no assurance that the existing tariffs and the additional tariffs that will become effective , as well as other future tariffs that may be imposed , will not adversely affect our results of operation in future time periods . in addition , in recent periods the stock market has experienced significant volatility as well as periods of significant decline and is currently in a period of heightened market volatility and decline , which may negatively affect the financial health and demand levels of high-end consumers , and we can provide no assurance as to whether such trends will occur in the future . the housing market is affected by a range of factors including home prices and interest rates and slowdowns in the housing market can have a negative impact on demand for our products . factors that affect the higher end housing market in particular may have an outsized influence on our levels of consumer demand since our business is geared toward the higher end of the home furnishings market . the above factors and other current and future operational initiatives may create additional uncertainty with respect to our consolidated net revenues and profit in the near term . 58 factors affecting our results of operations various factors affected our results for the periods presented in this “ management 's discussion and analysis of financial condition and results of operations , ” and such discussion generally lists the factors in order of magnitude based on their impact . due to the global outbreak of the covid-19 virus as discussed elsewhere in this annual report , our operating results in the near-term are difficult to predict . apart from the impact of the near-term actions we are undertaking in response to the covid-19 outbreak , below are certain factors that affect our results of operations . our strategic initiatives . we are in the process of implementing a number of significant business initiatives that have had and will continue to have an impact on our results of operations , including : ● the introduction and expansion of new product categories and services ; ● the timing and progress of the opening of new design galleries that are under development ; ● the launch of rh international ; ● the pursuit of our multi-tier market approach to our real estate transformation ; ● the redesign of our distribution center network ; ● the introduction of rh hospitality , an integrated hospitality experience , including the roll out of an integrated food and beverage experience in a number of our new design galleries and guesthouse ; ● changes in our source book circulation strategy including the depth , frequency and timing of mailings as well as the scope of product offerings displayed in our source books ; ● changes in our reverse logistics model resulting in transferring customer returns direct from our home delivery centers to outlets ; ● efforts to elevate the customer experience including architecting a new fully integrated back-end operating platform , inclusive of the supply chain network , the home delivery experience as well as a new metric driven quality system and company-wide decision data , vendor product initiatives and changes to the way we operate our distribution centers , home delivery centers and customer service centers ; and ● leveraging the above strategic initiatives across both our rh segment and waterworks to drive the performance of each business . as a result of the number of current business initiatives we are pursuing , we have experienced in the past and may

