LL Flooring Bankruptcy: 94 Stores Closed

LL Flooring has announced that it is currently negotiating with multiple parties to sell its business, following a challenging period marked by financial difficulties and legal issues. The company, which operates under the Lumber Liquidators brand, faced scrutiny after a "60 Minutes" report revealed that some of its flooring products contained hazardous levels of formaldehyde. In 2019, LL Flooring was fined $33 million for misleading investors regarding the chemical levels in its Chinese-made laminate flooring. In a statement, CEO Charles Tyson explained that the decision to initiate Chapter 11 bankruptcy was made after extensive efforts to improve the company's liquidity in a difficult economic environment. This legal process is expected to provide LL Flooring with the necessary time and flexibility to close underperforming stores while pursuing the sale of the remaining business operations. Despite the bankruptcy filing, LL Flooring continues to serve customers through its network of over 300 retail locations across the United States. The company has indicated that the more than 90 stores slated for closure will remain operational for the time being, allowing customers to continue shopping as the company navigates this transition. As LL Flooring moves forward, the focus will be on stabilizing its operations and finding a suitable buyer, while addressing the challenges posed by its past controversies and current market conditions.