Company: PAMT
Filing Date: 2025-03-12
Form Type: 10-K
Source: 0001437749-25-007273
Chunk: 458

Company: PAMT CORP
Filing Date: 2025-03-12
Form: 10-K
Item: Item 6
Chunk 458
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 for claims that are expected to exceed $2.0 million when fully developed, based on the facts and circumstances of those claims. Based on our knowledge of the facts, and in certain cases, opinions of outside counsel, we believe the resolution of such claims and pending litigation will not have a material effect on our financial position, results of operations or cash flows. However, if we experience claims that are not covered by our insurance or that exceed our estimated claim reserve, it could increase the volatility of our earnings and have a materially adverse effect on our financial condition, results of operations or cash flows.

    17.  LEASES 

   Right-of-Use Leases
    
   The Company was party to operating leases that included initial terms ranging from three to five years. The initial terms of these leases have expired, and the leases are now subject to terms not exceeding one year. In accordance with the provisions of ASC Topic 842, because all of our leased properties are currently subject to leases not exceeding one year, we do not recognize any right-of-use assets or corresponding operating lease liability as of  December 31, 2024.
    
   Cash Flows
    
   No new right-of-use assets were recognized as non-cash asset additions that resulted from new operating lease liabilities during the years ended  December 31, 2024 and  December 31, 2023, respectively. Cash paid for amounts included in the present value of right-of-use lease liabilities was $0.1 and $0.3 million during the years ended  December 31, 2024 and  December 31, 2023, respectively, and is included in operating cash flows.
    
   Cash Paid for Operating Leases

       Twelve Months Ended  
   December 31,  
   2024    2023  
   (in thousands)  
 Right-of-Use leases  $114  $330 
 Short-term leases (1)   3,424   3,115 
 Total  $3,538  $3,445 

     (1)  Short-term lease cost includes leases with a term of twelve months or less and leases with options for early cancellation. 

   Lease Revenue
    
   The Company has a lease-purchase program whereby we offer independent contractors the opportunity to lease a Company-owned truck. The terms associated with these leases require weekly lease payments over the term of the leases which range from 5 to