LEASES

12 Months Ended

Jan. 31, 2024

Disclosure Text Block [Abstract]

Leases of Lessee Disclosure [Text Block]

7. LEASES

The Company elected the practical expedient, available pursuant to ASC 842, Leases, for lessees to include both lease and non-lease components as a single component and account for it as a lease. In general, certain maintenance costs are the responsibility of the Company under its railcar leases. These maintenance costs are a non-lease component which the Company elected to combine with rental payments and account for the total amount as operating lease expense.

At January 31, 2024, the Company has lease agreements, as lessee, for railcars. All 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 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.

For fiscal years 2023, 2022, and 2021, the components of lease expense, classified as SG&A expenses on the Consolidated Statement of Operations are as follows (amounts in thousands):

	Fiscal Year
	2023		2022		2021
Operating lease expense	$	6,386	$	7,360	$	6,346
Variable lease expense		301		399		1,907
Total lease expense	$	6,687	$	7,759	$	8,253

The following table is a summary of future minimum rentals on such leases at January 31, 2024 (amounts in thousands):

Years Ended January 31,	Minimum Rentals
2025	$	5,137
2026		2,985
2027		2,935
2028		2,506
2029		1,178
Total		14,741
Less: present value discount		1,894
Operating lease liabilities	$	12,847

At January 31, 2024, the weighted average remaining lease term was 3.4 years, and the weighted average discount rate was 5.94% for the above leases.

At January 31, 2023, the weighted average remaining lease term was 3.7 years, and the weighted average discount rate was 5.51%.