LL Flooring closes Waterbury store and files for bankruptcy

WATERBURY, CT — LL Flooring, a flooring store chain that filed for Chapter 11 bankruptcy over the weekend, plans to close 94 stores across the country, including one in Waterbury.

According to a press release, LL Flooring announced Sunday that it has initiated voluntary Chapter 11 reorganization proceedings in the U.S. Bankruptcy Court for the District of Delaware.

The company intends to use this process to “seek a resale of its business while maintaining ongoing operations.”

LL Flooring currently operates over 300 stores in the U.S., which, along with its online platform, “are open and continue to serve customers with little change to business operations and policies,” the press release said.

The company recently launched a clearance sale in 94 of its stores. The stores will remain open and serve customers during the closure period.

In Connecticut, LL Flooring announced planned store closures in Norwalk, Milford, North Haven and Waterbury.

The company also operates stores in Danbury, Waterford and Hartford, which are expected to remain open.

LL Flooring officials plan to sell the company and indicate in the press release that they are in “active negotiations with multiple bidders” and hope to obtain bankruptcy court approval for the sale of the business in the first few weeks of the Chapter 11 proceedings.

“After extensive efforts to improve our liquidity position in a challenging macro environment, it was determined that initiating this Chapter 11 proceeding was the best path forward for the company,” said Charles Tyson, CEO of LL Flooring, in a press release. “Today’s move is intended to provide LL Flooring with additional time and financial flexibility as we reduce our physical footprint and close certain stores while we pursue a sale of the remainder of the company as a going concern. As we go through this process, we are committed to continuing to serve our valued customers and work seamlessly with our suppliers and partners. I am grateful to our employees for their continued hard work to provide the best experience for our customers.”

LL Flooring has filed a number of customary motions in connection with the Chapter 11 proceedings. If approved by the court, these motions will allow the company to “transition its business smoothly into Chapter 11 proceedings,” including by “granting authority to continue paying wages and to maintain health insurance and other benefits, as well as certain other relief customary in such circumstances.”

The Company has requested authorization to continue to meet its obligations to its customers subject to certain changes in branch operations or policies related to the acceptance of customer deposits and gift cards.

The Company also intends to pay vendors and suppliers in full for goods and services provided on or after the filing date of the Chapter 11 proceeding on its normal terms and has sought court approval to do so.

In addition to Connecticut, LL Flooring plans to close stores in the following states: Alabama, Arizona, California, Colorado, 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 Virginia and Wisconsin.

A complete list of planned store closures can be found here.