Per CDC, exposure to the company's laminate flooring may cause cancer in 6 to 30 people per 100,000 as against the previous estimate of 2 to 9 persons per 100,000. The use of Chinese laminate flooring may increase respiratory problems for people suffering from asthma and lung disease. Even healthy people may face problems such as eye, nose and throat irritation.Originally Posted by DockRat
btw, who's the mouth-breather i keep hearing in this video? lol...
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Last edited by hookdfisherman; 05-13-2016 at 12:54 PM.
Dude, lay off the wood.
I do appreciate your daily report on how the stock for Lumber Liquidators is doing, though.
you know i am obsessed with wood as i am with meth... just don't get me started on nets again..
or you'll be sorry...
.
I know what wood doesn't have any carcinogens.
http://imagizer.imageshack.us/v2/800...922/xulTmX.jpg
I know it might hit home, Hookd.
Just take a deep breath.
or you'll be sorry...
.[/QUOTE]
Beware when gross margin leaps in a fashion that's just too good to be true
"Back in July 2013, during a conference call with analysts, former Lumber Liquidators CEO Robert Lynch crowed about the company's gross margin improvement of 400 basis points, or four percentage points, during the second quarter of 2013.
The analysts seemed mystified. Selling discount flooring is a cutthroat business, and margins are inherently low to begin with. Lumber Liquidators had worked hard to hold its gross margin in the mid-30% range for several years, and now, if not defying gravity, those profits were certainly daring it.
One analyst asked for executives to reconcile the margin leap with the fact that raw hardwood costs were soaring under the impact of double-digit inflation. Was it perhaps some advantage the company held in sourcing?
Sourcing indeed. Lynch cited Chinese flooring lines as a significant margin driver. This was a relatively recent phenomenon for Lumber Liquidators. In September 2011, the company acquired assets of Sequoia Floorings Inc.'s China operations, and opened its first direct sourcing office in China. Within a few months, the breakneck ascent of gross margin was under way:"
LL Gross Profit Margin (Quarterly) Chart
A jump in margin like this cannot be explained by inflation alone, all other things remaining the same...
I took a deep breath. (like the mouth-breather recording the Tom Sullivan interview, so your net should be ok...)
Last edited by hookdfisherman; 01-02-2017 at 07:24 PM.
ARLINGTON, Va. (WJLA) -- With testing results delayed for customers of Lumber Liquidators, the 7 On Your Side I-Team is digging for its own answers about formaldehyde levels in the company's products. The Virginia-based corporation has come under fire in recent months after a 60 Minutes report exposed allegations its laminate flooring contains dangerous levels of formaldehyde. But with customers waiting on information from the company, we decided to take matters into our own hands, sending samples out to an accredited lab for testing. And what the I-Team found has one local family talking about whether they should rip out their flooring immediately.
David and Sandy Hickin are tired of waiting. The Lusby, Maryland couple has waited now 49 days for the results of samples they sent away for testing after they say they experienced health problems following the installation of Lumber Liquidators laminate flooring in January.
"We still don't have the results," David Hickin said, "Until we have something tangible in the way of evidence, it's difficult to put it all together."
The Hickins are trying to piece together whether their flooring is making them sick. Shortly after installation, Sandy Hickin says she began having consistent rashes which required steroids. David Hickin said he had breathing issues. After complaining to Lumber Liquidators, the company sent them a kit to test their air. But nearly two months later, they're caught up in what the Florida testing company handling the work calls a back log.
Lumber Liquidators says those kits were offered to thousands of customers in what it believes is the largest home air testing programs ever conducted in the country. But the large volume has been problematic, causing delays like the one the Hickins have experienced. The company tells 7 On Your Side its testing firm had to put a new data management process in place to deal with high volumes. But now they believe results will begin going out under a normal schedule in the next 5-10 days. That's little relief to Sandy Hickin, who says, "Nobody really has the answers to what we should do."
But 7 On Your Side is getting answers. We sent two samples of the family's flooring to EMSL Analytical, an accredited lab in New Jersey. The results provided to the I-Team indicate both packaged and installed pieces of the Hickin's laminate had what the testing firm labeled concern level red, saying formaldehyde in the laminate is a "probable contributor to indoor air levels". Lumber Liquidators wouldn't comment on the testing, saying it couldn't verify the result or the method used.
"It's a scary feeling," Sandy Hickin said.
Summer Drake, a Purcellville, Virginia resident, understands the fear. She ripped up bamboo flooring she purchased from Lumber Liquidators after having an independent firm test the air in the bedroom shared her six-month old baby girl. Those results came back with what the testing company called "elevated" formaldehyde levels.
"We can't take a chance," Drake told ABC7, "We were sleeping with the windows open."
When Drake asked Lumber Liquidators for a refund, she got a typo-filled email and a denial. The message she received called her testing "irrelevant" and "with no true indicator of elevated levels". Lumber Liquidators told 7 On Your Side Drake's result is below the guideline set by the World Health Organization and that while bamboo products are not regulated by any emissions standard, the company has strict formaldehyde emission specifications for its bamboo products. A representative said the company cares deeply about its customers and regrets that the informative nature of the email to Drake was interpreted as indifference.
Lumber Liquidators stock took a 16% hit last week after posting another round of unflattering financial results.
This is the fourth consecutive quarter of year-over-year declines in net sales for Lumber Liquidators.
It's also the third quarter in a row that it's been a double-digit percentage slide.
it's also the fifth quarter in a row of negative comps, and that's perhaps the real problem.
Folks continue to stay away, and Lumber Liquidators posted a widening loss for the quarter.
The stock avoided going into the single digits earlier this year, hitting as low as $10.01 in February.
We haven't seen Lumber Liquidators trading below $10 since early 2009
A big price that Lumber Liquidators and its investors have had to pay with the chain's reputation getting smeared is that it can't mark up its product the way it used to. Gross margin peaked at 41.1% in 2013. It has slumped to 28.2% over the past four quarters.
Lumber Liquidators isn't offering a lot of insight into how the current period may play out, but how well it fares three months from now when it reports again will decide whether Lumber Liquidators stock finally falls into the single digits for the first time in seven years.
Can't wait for tomorrow's report on Lumber Liquidator's stock.
Now, hookd, are you a bitter ex employee or do you really have a fetish for wood?
I don't judge.
i know poor ol' Tom Sullivan, never worked for LLiq.
He's, well, he's tom, i'm just trying not to judge...
it's hard for me seeing the cutting down of protected forests and some breathing formaldehyde when it never had to be...
and... dōn' lie...
you are more judgmental than most, jus sayin .'.
LLstock chart for approx. the last 3 years...
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Last edited by hookdfisherman; 01-02-2017 at 07:25 PM.
So am I buying low and selling high on LLiq stock, Hookd?
We need some fiscal advice here.
I'll wait for tomorrow's update.
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