Company: AWX
Filing Date: 2025-08-08
Form Type: 10-Q
Source: 0001437749-25-025765
Chunk: 11

Company: AVALON HOLDINGS CORP
Filing Date: 2025-08-08
Form: 10-Q
Item: Part I, Item 1
Chunk 11
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 and the landfill operations equipment have remaining lease terms ranging from less than1year to4.5years. The weighted average remaining lease term on the vehicles and equipment leases was approximately3.8years at both June 30, 2025 and December 31, 2024.

Leased property and associated obligations under finance leases at June 30, 2025 and December 31, 2024 consists of the following (in thousands):

                                                             June 30,                   December 31,               
                                                             2025                       2024                       
 ───────────────────────────────────────────────────────────────────────────────────────────────────────────────────
  Leased property under finance leases                       $              13,784      $                  13,554  
  Less accumulated amortization                                            ( 7,860                        ( 7,907  
  Leased property under finace leases, net                   $               5,924      $                   5,647  
  Current portion of obligations under finance leases        $                 278      $                     201  
  Long-term portion of obligations under finance leases                      1,022                            707  
  Total obligations under finance leases                     $               1,300      $                     908  

The weighted average discount rate on finance leases was7.2% at June 30, 2025 and7.8% at December 31, 2024.

For the three and six months ended June 30, 2025 and 2024, components of lease expense were as follows (in thousands):

                                Three Months Ended                                  Six Months Ended                    
                                June 30,                                            June 30,                            
                                2025                             2024               2025                                
 ────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
  Operating lease cost:                                                                                                 
  Rental expense                $                       175      $         155      $                     226      223  
  Finance lease cost:                                                                                                   
  Depreciation expense          $                       121      $         133      $                     268      270  
  Interest expense                                       19                  9                             33       29  
  Total finance lease cost      $                       140      $         142      $                     301      299  

For the twelve months ending June 30, future commitments under long-term, operating and finance leases are as follows (in thousands):

                                                         Finance      Operating       Total  
 ─────────────────────────────────────────────────────────────────