More than 100 million square feet of the company's cheaper laminate flooring is installed in American homes every year. Anderson Coooper: You say you don't believe in this test, but what you believe doesn't really matter. My son was the first to purchase this floor and we LOVED it. Anderson Cooper: How much is that gonna cost? Notify me of follow-up comments by email. Chairman Elliot S. Kaye said Wednesday the agency is … It has been a very durable, trouble-free and attractive enhancement to their family room and kitchen. Anderson Cooper: Why would Lumber Liquidators purchase wood that's tainted with formaldehyde? That law is scheduled to take effect nationwide this year. The exposures linked to the cancer-causing chemical Formaldehyde inevitably increases cancer risk. Many by a large margin. Tilson suspected the company might be breaking the law. He has shorted the company's stock but is not involved in any lawsuit against it. Denny Larson: You're in a chamber so you're living with it. The California Air Resources Board has updated information for consumers. No lumber. The CARB regulation took effect in 2009, and manufacturers of finished goods that use any of covered materials are required to use composite wood that meets the formaldehyde emission limits. Lumber Liquidators denied the allegations despite the evidence to the contrary. Tom Sullivan: But our specs are to make it to California standards. Yet Lumber Liquidators still received shipments from their Chinese supplier in 2014, which was one year after the Russian company executives were first arrested. It is legal for flooring to contain formaldehyde. I don't care. It's what CARB believes. Anderson Cooper is the correspondent. Anderson Cooper: Which in a business with these kinds of profit margins - 10 percent means - it's a lot of money? 1.9K views . Denny Larson, who is executive director of a nonprofit group called Global Community Monitor, teamed up with Richard Drury, a prominent environmental attorney, to test Lumber Liquidators Chinese-made laminate flooring. Update: For more on the tests used to investigate Lumber Liquidators, click here. The results? The report presents evidence that Lumber Liquidators knowingly imported hardwood flooring that was sourced illegally from the Russian Far East via a Chinese supplier. Anderson Cooper: When you say its licensed by California, what that really means is California says this mill is capable of making CARB 2 Compliant product. We contract with a network of professional independent contractors to provide top quality installation services. My daughter and son-in-law purchased bamboo flooring from Lumber Liquidators (LL) 6 years ago and I installed it. Bamboo is not wood. They are also required to label their products as complying, either on the products or the packaging for the finished goods. Richard Drury: Nationwide, its probably hundreds of thousands. His exceptional reporting on big news events has earned Cooper a reputation as one of television's pre-eminent newsmen. The showroom is not large but the selection definitely is large. Whitney Tilson studies the workings of companies he's interested in investing in and he noticed the profit margins at Lumber Liquidators seemed unusually high compared to its competitors. I will guarantee we'll be in that mill tomorrow and test it. Plain and simple. Some were more than 13x over the California limit. I don't know what the whole story is, but we will investigate it immediately. The new documented findings of the CDC on the health consequences of the Lumber Liquidators flooring comes with both short and long-term dangers. Katherine Davis and Sam Hornblower, producers. 16 were here. I don't know if it's true or not. Anderson Cooper: The lab itself thought... Denny Larson: It hit the upper limit on the radar gun. And on their website, Lumber Liquidators promises that all of their flooring "meets or exceeds rigorous emissions standards" and they say "we not only comply with laws, we exceed them.". The CDC clarified that “the risk of cancer is three times higher than it previously estimated.”. The agency created regulations that apply to composite wood products used in finished goods such as cabinets, doors, furniture, flooring products, moldings, toys, mirror and photo frames, audio speakers, baseboards, shelving, and countertops. But the troubles don’t end there for Lumber Liquidators, sadly it does not end for customers who purchased their wood flooring either! Lumber Liquidators Flooring, Brighton. Because they're guilty of selling people product that could make them sick. Denny Larson: They don't know what to do. Tom Sullivan: People have different reasons for this test. California is not saying every piece - every product coming out of this mill is CARB 2 Compliant. Lumber Liquidators’ long nightmare is over, but it has a ways to go before it fully recovers from its laminate flooring crisis. Denny Larson: Every single board. 60 Minutes found that Lumber Liquidators' Chinese-made laminate flooring contains amounts of toxic formaldehyde that may not meet health and safety standards. That’s all well and good for the company, however, homeowners who installed Lumber Liquidators wood flooring with dangerous levels of formaldehyde aren’t off the hook so easily. In support of healthier home environments, we have voluntarily required all of our vinyl floors to be made with materials that meet the heavy metals and chemical requirements required to be considered safe enough to be used in children’s toys. Lumber Liquidators, now known as LL Flooring, offers a wide range of materials and colors of laminate and hardwood floors at low prices. That's the threat. In 2014, a Russian court finds six senior executives of Lumber Liquidators’ Chinese manufacturer’s main Russian timber supplier guilty of organized crime and illegal logging and the Russian company CEO is sentenced to 15 years. U.S. agents had raided Lumber Liquidators' headquarters in September 2013. No lumber. While laminate flooring from Home Depot and Lowes had acceptable levels of formaldehyde, as did Lumber Liquidators American-made laminates, every single sample of Chinese-made laminate flooring from Lumber Liquidators failed to meet California formaldehyde emissions standards. Lumber Liquidators' stance is that this isn't the proper test for its product, and it's also not testing a product in anything like the condition it would be used in. And that is not anything we can condone in any way, to save a cent. Lumber Liquidators is the leading retailer of hard-surface flooring & accessories in the Chicago area. At this factory, the general manager told investigators Lumber Liquidators is one of their biggest customers. We have inspectors that doublecheck them. They are ripping up their floors now. Complete the job with the matching moldings and accessories or … Tom Sullivan: Our goal is to sell a good product at a good price. Lumber Liquidators says its flooring is safe and vows to cooperate with the probe. Whitney Tilson: In 16 years of professional money management, I've seen hundreds of companies do all sorts of bad things to get their stock prices up. They have flooring that they think is making them sick. Copyright © 2017 Simple Floors Portland - All Rights Reserved, Lumber Liquidators Dangerous Wood Flooring – The Facts. Lumber Liquidators might be a professional when it comes to flooring, but it's looking amateurish when dealing with a crisis. Lumber Liquidators is investing more than ever to ensure the products we offer will exceed your expectations and the high standards we set for ourselves. Offering more dance classes, before and after school programs, and childcare! Children are featured prominently in Lumber Liquidators ads, and the company likes to promote the donations of flooring they make to Habitat for Humanity, Ronald McDonald House Charities, schools, and community centers. Lumber Liquidators (LL) has a message for customers and shareholders: The flooring company's products are safe, and it's willing to back up that … Dec 10, 2012 . Lumber Liquidators did not. Tom Sullivan: But it started with short sellers. As for Thompson's case, she says the company told her to use one … Its cheaper and-- it reduces the cost by about 10 percent. Required fields are marked *. The mills are licensed by California - the Chinese mills we deal with in the laminates are licensed by California. The American-made flooring sold by the company was found to be safe, according to the CBS report. And they thought it was broken. Then a report is released uncovering questionable supply chains of illegal timber from the Russian Far East, through Chinese factories, to U.S. consumers. Note* All of OUR hardwood flooring products have been Carb2 Certified by an independent lab. Tom Sullivan, founder and chairman of Lumber Liquidators, http://www.arb.ca.gov/html/fact_sheets/composite_wood_flooring_faq.pdf, California Privacy/Information We Collect. It turns out of the 31 samples of Chinese-made laminate flooring, only one was compliant with formaldehyde emissions standards. Dr. Philip Landrigan of N.Y.'s Mt. Not only have we had our wood flooring tested, we have the compliant test results to prove it. The embattled wood flooring company headquartered in Toano, VA is currently immersed in a wood flooring scandal that could not only significantly damage their ability to continue operating in the future, but also being accused of knowingly impacting the health of their customers. Whitney Tilson: When you see a commodity business suddenly double its profit margins, that raises red flags. Lumber Liquidators countered accusations raised on “60 Minutes” Sunday that the company sold laminate flooring that didn’t meet safety standards, saying the attacks were driven by … Richard Drury: It's a startling amount. So we sent our investigators undercover to the city of Changzhou, the laminate flooring capital of the world. This floor is suitable for application on walls. Formaldehyde is in the glues used to bind wood particles together to make the core boards in laminate flooring. The last thing consumers who purchased certain types of wood flooring from Lumber Liquidators thought they would be concerned about was their health, but that’s just what someone hundred thousand or so consumers are faced with. You're sleeping in there. Drury has also launched a class action lawsuit against the company. Lumber Liquidators insists its Chinese-made laminate flooring is safe, but it doesn't appear that way based on what we learned from our own reporting and … Anderson Cooper: Nobody's ever reported this to you? I want you to look at this.... We shared some of our hidden camera footage with him. And they believe in this test. Lumber Liquidators lost my order. Safety is a top concern for LL Flooring, as is ensuring you have a seamless and stress-free experience with any installation service. Please find that information by following this link: http://www.arb.ca.gov/html/fact_sheets/composite_wood_flooring_faq.pdf. [Investigator: All this stuff here, Lumber Liquidators... All their labeling is CARB 2 right? Lumber Liquidators insists its Chinese-made laminate flooring is safe, but it doesn't appear that way based on what we learned from our own reporting and from the work of people like Denny Larson. Manager: Yes, you can. Their SEC filing estimates $10 Million in losses as a result of these charges. At all three mills they also admitted falsely labeling the company's laminate flooring as CARB 2, meaning it meets California formaldehyde emissions standards, and the new U.S. federal law. Lumber Liquidators is facing multiple class-action lawsuits and one of them is because of formaldehyde in their bamboo. Whitney Tilson: The much bigger story, he said is that Lumber Liquidators was almost certainly purchasing formaldehyde-tainted laminated flooring in China. Anderson Cooper: All three mills told us they falsely label your products as CARB 2 compliant - that's cheating. It said hundreds of thousands of homes nationwide had the … From Bryant helping me decide the perfect flooring for our house to the EXCELLENT costumer service provided by Paul. But this isn’t the first accusation of wrongdoing by Lumber Liquidators either. We sent the samples for testing at two certified labs. What Are The Health Effects Of Lumber Liquidators Formaldehyde Wood Flooring? As much as 90% of the N. American bamboo flooring is produced using formaldehyde. It's almost unprecedented for a company. No liquidation. Because of the wide array of systems on the market each with its own features and applications it is recommended that the user consult with the heating provider for best practices and installation methods. Are we safe to stay in our home? Your email address will not be published. … No apology and actually was told, "It's not OUR stores fault." 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