Company: DXPE
Filing Date: 2025-04-30
Form Type: ARS
Source: 0001020710-25-000081
Chunk: 78

Company: DXP ENTERPRISES INC
Filing Date: 2025-04-30
Form: ARS
Chunk 78
---
,362 2027 4,246 10,268 2028 1,847 6,662 2029 188 2,741 Thereafter — 4,068 Total future lease payments 18,623 56,227 Less: imputed interest 2,247 8,147 Total lease liability balance $ 16,376 $ 48,080 The following table presents cash paid for leases, assets exchanged for operating and finance leases, and weighted average remaining lease terms, and discount rates: December 31, 2024 2023 Cash paid for operating leases $ 20,886 $ 21,823 Cash paid for finance leases $ 4,216 $ 2,347 Assets obtained in exchange for operating lease obligations, initial recognition $ 4,551 $ 5,556 Assets obtained in exchange for finance lease obligations $ 8,441 $ 15,171 Weighted-average remaining lease term - operating leases 3.9 years 4.1 years Weighted-average remaining lease term - finance leases 3.2 years 3.5 years Weighted average discount rate - operating leases 8.1% 6.8% Weighted-average discount rate - finance leases 8.5% 7.5% The Company incurred approximately $1.9 million, $1.8 million, and $1.9 million in lease expenses to entities controlled by the Company's Chief Executive Officer and family for the years ended December 31, 2024, 2023 and 2022, respectively. Table of Contents 58

NOTE 5 - FAIR VALUE OF FINANCIAL ASSETS AND LIABILITIES Authoritative guidance for financial assets and liabilities measured on a recurring basis applies to all financial assets and financial liabilities that are being measured and reported on a fair value basis. Fair value, as defined in the authoritative guidance, is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The authoritative guidance affects the fair value measurement of an investment with quoted market prices in an active market for identical instruments, which must be classified in one of the following categories: Level 1 Inputs Level 1 inputs come from quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2 Inputs Level 2 inputs are other than quoted prices that are observable for an asset or liability. These inputs include: quoted prices for similar assets or liabilities in active markets; quoted prices