F9 Investments responds to latest shareholder communication by LL Flooring

F9 Investments, which together with its affiliates collectively owns approximately 8.85% of LL Flooring Holdings common stock and is the Company’s largest shareholder, issued the following statement in response to LL Flooring’s claims regarding F9’s intentions and the strategic capability of the Company’s current Board of Directors. Tom Sullivan, Founder of F9 and founder and former CEO and Chairman of Lumber Liquidators, LL Flooring’s predecessor company, said, “As the largest shareholder of LL Flooring, we are seeking three seats on the Company’s nine-person Board to protect the value of our investment and that of all stakeholders. As such, we are clearly not seeking control of the Company. Rather, as we have stated previously, we believe LL Flooring desperately needs strong leaders in the boardroom who can provide much-needed oversight and who bring a track record of creating value. Notably, under the incumbent Board, LL’s stock price has plummeted more than 63%, 93%, and 83% on a 1-, 3-, and 5-year basis, respectively, and the Board’s so-called five step strategic plan has been an abject failure. Moreover, we believe the Board’s sale process has been a complete sham, as the Board has disclosed that it has received multiple premium offers from bona fide bidders only to reject or ignore them as the Company’s share price craters. We also believe the Board’s stated plan to enter into a sale-leaseback commitment for its distribution center is shortsighted and will most likely increase expenses and be value destructive in the long run. We believe that the claims in the letter LL Flooring mailed to shareholders today are misleading and delusional and lead us to believe that the Board is only seeking to entrench itself and fails to recognize the dire state of the Company despite the fact that it recently disclosed that its auditors believe that LL Flooring may be at risk of going out of business if its financial condition continues to deteriorate.”