10 months ago
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(WJET/WFXP) — LL Flooring, formerly known arsenic Lumber Liquidators, filed for Chapter 11 bankruptcy precocious Sunday night.
The specialty flooring institution announced it volition close 94 locations nationwide of its implicit 300 stores. Of the 94 locations closing, the Fresno store and the 1 successful Visalia volition besides beryllium shutting their doors, according to LL Flooring's website.
LL Flooring is reorganizing and besides hopes to merchantability the company, saying it is actively engaged successful negotiations with "multiple bidders." The institution says that, during the Chapter 11 bankruptcy process, it volition beryllium “generally operating successful the mean course.”
"After broad efforts to heighten our liquidity presumption successful a challenging macro environment, a determination was made that initiating this Chapter 11 process is the champion way guardant for the Company," Charles Tyson, President and Chief Executive Officer of LL Flooring, said successful a connection included successful a press release. "Today’s measurement is intended to supply LL Flooring with further clip and fiscal flexibility arsenic we trim our carnal footprint and adjacent definite stores portion pursuing a going-concern merchantability of the remainder of our business."
Closings are expected successful 31 states: Alabama, Arizona, California, Colorado, Connecticut, Florida, Georgia, Illinois, Indiana, Iowa, Louisiana, Massachusetts, Maryland, Michigan, Minnesota, Mississippi, Missouri, Nevada, New Jersey, New York, North Carolina, Ohio, Oregon, Pennsylvania, Tennessee, Texas, Utah, Virginia, Washington, West Virginian, and Wisconsin.
A full list of sites readying to adjacent tin beryllium recovered astatine the LL Flooring website.
LL Flooring says that implicit the past year, it has experienced respective economical and operational challenges owed to ostentation and the rising costs of labor, arsenic good arsenic a displacement successful however customers are spending and however often they marque these investments.
This bankruptcy filing is portion of a increasing trend, with respective large companies citing akin shortfalls that person led to the closure of stores and the filing for bankruptcy protection.
LL Flooring has received a "commitment for debtor-in-possession ("DIP") financing" of up to $130 million, according to a property release. The institution says the wealth volition enactment LL Flooring's continued operations.
"As we determination done this process, we are committed to continuing to service our valued customers, and to moving seamlessly with our vendors and partners," Tyson said. "I americium appreciative of our associates for their ongoing hard enactment successful providing the champion acquisition for our customers."
According to tribunal documents, the institution holds $500 cardinal to $1 cardinal successful assets and owes $100 cardinal to $500 cardinal to up to 100,000 creditors.
Lumber Liquidators became LL Flooring aft publically rebranding successful April 2020.
