LL Flooring files for bankruptcy, to close 94 stores

LL Flooring is reorganizing with plans to sell itself.

The specialty retailer of hard-surface flooring has filed for Chapter 11 bankruptcy protection and will pursue a going-concern sale of its business. LL Flooring (formerly known as Lumber Liquidators) said it remains in active negotiations with multiple bidders and hopes to seek bankruptcy court approval of a sale of its business in the first few weeks of the Chapter 11 proceedings.

In addition, the retailer has entered into an agreement with Hilco Merchant Resources to assist it in store closing sales at 94 locations nationwide. (To see the list of store closings, click here.) LL Flooring noted it has more than 300 stores open with few changes to store operations and policies.

“After comprehensive efforts to enhance our liquidity position in a challenging macro environment, a determination was made that initiating this Chapter 11 process is the best path forward for the company,” said Charles Tyson, president and CEO of LL Flooring, which is based in Richmond, Va. “Today’s step is intended to provide LL Flooring with additional time and financial flexibility as we reduce our physical footprint and close certain stores while pursuing a going-concern sale of the rest of our business.”