Note 14. Leases

Rent expense under the Company’s operating lease agreements was $1.6 million and $1.9 million for the three months ended September 30, 2024 and 2023. Rent expense under the Company’s operating lease agreements was $5.0 million and $6.0 million for the nine months ended September 30, 2024 and 2023. There were not any financing, variable, or short term leases during the nine months ended September 30, 2024 and 2023.

On July 26, 2024, our wholly-owned subsidiary, MarkForged, Inc., entered into a Lease Termination Agreement (the “Termination Agreement”), with GRE Riverworks, LLC, a Delaware limited liability company (the “Landlord”), in connection with the termination of the Office Lease, dated July 29, 2020, by and between MarkForged, Inc., as tenant, and the Landlord (the “Lease Agreement”). Pursuant to the Termination Agreement, we paid the Landlord a termination fee of $2.75 million and the Letter of

Credit in the amount of $0.6 million was returned to us in the third quarter of 2024. The gain of $1.0 million recorded on the lease termination is recorded in other income (expense), net.