Lumber Liquidators to Pull All Chinese Made Laminate Flooring

Lumber Liquidators (LL) stock is falling after the company announced it is pulling sales of all Chinese made laminate flooring. The move comes after a CBS episode of '60 Minutes' claimed the laminate flooring contained dangerous levels of formaldehyde. The retailer has so far denied the claims but has now begun a review of its product sourcing procedures, hiring a former FBI Director. Lumber liquidators is currently facing over 100 lawsuits and is being investigated by the U.S Consumer Product Safety Commission. The company's second quarter sales were down 13% following the CBS report. Shares in Lumber Liquidators have dropped by about 50% since the report was released.