Company: REX
Filing Date: 2025-09-02
Form Type: 10-Q
Source: 0000930413-25-002856
Chunk: 70

Company: REX AMERICAN RESOURCES Corp
Filing Date: 2025-09-02
Form: 10-Q
Item: Part I, Item 8
Chunk 70
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2,320 

    Derivative financial instruments gains 
     201  
     429  
     218  
     436 

    Other 
     30  
     78  
     169  
     186 

    Total 
    $158,563  
    $148,155  
    $316,903  
    $309,386 

13

Note 4. Leases

Operating Leases

At July 31, 2025, the Company had lease agreements,
as lessee, for railcars. All of the leases are accounted for as operating leases. The lease agreements do not contain a specified
implicit interest rate; therefore, the Company’s estimated incremental borrowing rate was used to determine the present value
of future minimum lease payments. The lease term for all of the Company’s leases includes the noncancelable period of the lease
and any periods covered by renewal options that the Company is reasonably certain to exercise. Certain leases include rent escalations
pre-set in the agreements, which are factored into the lease payment stream.

The components of lease expense, classified
as SG&A expenses on the Consolidated Statement of Operations and total cash paid for amounts included in the measurement of
lease liabilities are as follows (amounts in thousands):

    Three Months Ended July 31,  
    Six Months Ended July 31,

    2025  
    2024  
    2025  
    2024 

    Operating lease expense 
    $2,066  
    $1,688  
    $4,074  
    $3,370 

    Variable lease expense 
     38  
     (59) 
     104  
     (5)

    Total lease expense 
    $2,104  
    $1,629  
    $4,178  
    $3,365 

    Total cash paid in measurement of lease liability 
    $1,680  
    $1,583  
    $3,851  
    $3,160 

The following table is a summary of future minimum
rentals on such leases at July 31, 2025 (amounts in thousands):

    Years Ended January 31, 
    Minimum
    Rentals 

    Remainder of 2026 
    $3,862 

    2027 
     7,706