Company: ZEUS
Filing Date: 2025-02-21
Form Type: 10-K
Source: 0001437749-25-004742
Chunk: 481

Company: OLYMPIC STEEL INC
Filing Date: 2025-02-21
Form: 10-K
Item: Item 2
Chunk 481
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 a related party. The Company’s Executive Chairman of the Board owns 50% of an entity that owns one of the Cleveland warehouses and leases it to the Company at a fair market value annual rental of $0.2 million. The lease expires on  December 31, 2028 with two five-year renewal options.

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   ROU assets and lease liabilities are recognized based on the present value of the future minimum lease payments over the lease term at commencement date. As most of the leases do not provide an implicit rate, the Company uses its incremental borrowing rate based on the information available at commencement date in determining the present value of future payments. Lease expense is recognized on a straight-line basis over the lease term.
    
   The components of lease expense were as follows for the years ended  December 31, 2024, 2023 and 2022:

     (in thousands)   2024    2023    2022  
 Operating lease cost  $8,106  $9,008  $7,446 
 Finance lease cost             
 Amortization   992   1,056   720 
 Interest on lease liabilities   156   157   67 
  $1,148  $1,213  $787 

   Supplemental cash flow information related to leases was as follows for the years ended  December 31, 2024, 2023 and 2022:

     (in thousands)   2024    2023    2022  
             
 Cash paid for amounts included in the measurement of lease liabilities:             
 Operating cash flows from operating leases  $7,705  $8,901  $7,268 
 Operating cash flows from finance leases   156   157   67 
 Financing cash flows from finance leases   990   1,039   703 
 Total cash paid for amounts included in the measurement of lease liabilities  $8,851  $10,097  $8,038 

   Supplemental balance sheet information related to leases was as follows:

     (in thousands)   2024    2023  
         
 Operating leases         
 Operating lease  $54,337  $56,117 
 Operating lease accumulated amortization   (17,401)  (21