Lease information

12 Months Ended

Jan. 31, 2018

Note 9 - Lease information



Property under capitalized leases (in thousands)	2017	2016
Machinery and equipment	$1,729	$1,308
Transportation equipment	9	22
Subtotal	1,738	1,330
Less accumulated amortization	699	646
Total	$1,039	$684

The Company has several significant operating lease agreements as follows:


•	Office Space of approximately 31,650 square feet in Niles, IL is leased until October, 2023.


•	Seven acres of land in Louisiana is leased through March, 2022.


•	Eleven acres of land in Canada is leased through December, 2030.


•	Nine acres of land in the Kingdom of Saudi Arabia is leased through April, 2030.


•	Production facilities in the U.A.E. of approximately 80,200 square feet on approximately 107,600 square feet of land is leased until June, 2030.


•	Office space of approximately 21,500 square feet and open land for production facilities of approximately 423,000 square feet in the U.A.E. is leased until July, 2032.


•	Production facilities in the U.A.E. of approximately 78,100 square feet is leased until December, 2032.

The Company had leased one of its administrative offices in the U.A.E. from a partnership in which a former employee of the Company is a partner. Total rent paid to the partnership was $0.2 million and $0.3 million in 2017 and 2016, respectively. The Company has since ended this lease arrangement. Lease payments were based on prevailing market rates.

On January 31, 2018, future minimum annual rental commitments under non-cancelable lease obligations were as follows:



(In thousands)	Operating Leases	Capital Leases
2018	$1,884	$323
2019	1,628	257
2020	1,536	255
2021	1,494	89
2022	1,468	22
Thereafter	8,249	—
Subtotal	16,259	946
Less Amount representing interest	—	100
Future minimum lease payments	$16,259	$846

Rental expense for operating leases was $2.9 million and $2.1 million in 2017 and 2016, respectively.