St. Cloud, Rochester Flooring Stores Among Locations Closing In Bankruptcy Filing

A chain flooring store in St. Cloud is one of three in Minnesota -- and 94 across the nation -- that will close as part of a bankruptcy filing.

LL Flooring Holdings Inc. has filed for Chapter 11 bankruptcy and they're closing three of their Minnesota stores -- in Chanhassen, Rochester and St. Cloud.

Four others -- in Blaine, Burnsville, Duluth and Woodbury -- will remain open.

The company -- formerly known as "Lumber Liquidators" -- says it's in active negotiations with multiple bidders and filed for Chapter 11 reorganization "to pursue a 'going-concern' sale of the business."

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The company's website says while it's trying to find a buyer, they expect to continue:

-- Working with our vendors, customers and other business partners as normal;

-- Paying associates and providing benefits;

-- Serving customers like we always have with a broad range of hard-surface flooring online and in-stores; and,

-- Meeting our business obligations, including paying vendors and suppliers in full under normal terms for goods and services provided on or after the filing date.

According to The Minneapolis/St. Paul Business Journal (paywall), LL Flooring says it has lined up financing to keep it operating during the Chapter 11 proceedings. The Journal says the company "blamed its troubles on higher interest rates and a drop in home sales, which led to fewer home improvement projects."

The Journal also notes LL Flooring has $110-million in long-term debt.

The St. Cloud, Rochester and Chanhassen stores that are closing will remain open as the closure process begins.

Long term, the company plans to keep some 300 stores open across the country and operate normally.

H/T: The Minneapolis/St. Paul Business Journal (paywall)