Lumber Liquidators Cancer Risk Report Causes Shares To Plunge

A statement from the CDC that it underestimated the cancer risk from some flooring caused Lumber Liquidators’ stock to fall 17 percent in pre-market trading on Monday.

Lumber Liquidator’s stock plunged on news that the Center for Disease Control and Prevention (CDC) had underestimated cancer risks from the flooring company’s laminate floors imported from China.

Health risks for people who have the laminate flooring are being revised to reflect greater exposure to formaldehyde, which could cause eye, nose, and throat irritation for anyone.

However, the correct figure is between six and 30 per every 100,000 said the CDC on Monday. Lumber Liquidators has significantly strengthened our quality assurance procedures, from enhanced compliance protocols to product sample testing. Furthermore, the company stopped selling Chinese-made laminate flooring a year ago, specifically because of the concerns.

The CDC, in a notice on its website dated February 18, said it had used an incorrect value to calculate ceiling height in its previous report published on February 10.

Lumber Liquidators has 20 stores in Pennsylvania, including New Cumberland, York, Lancaster and Chambersburg.

The agency said its recommendations would probably not change: “We strongly stress taking steps to reduce exposures, which should alleviate respiratory and eye, nose and throat irritation”. That greatly reduced the danger customers are actually exposed to, by using Lumber Liquidators’ products procured from China.

The formaldehyde also increased cancer risks by a small amount.

The company did not dispute the new report’s findings. It is a colorless gas with a pungent smell, used among other things to manufacture building materials and household products.

In a statement today, a spokesperson for Lumber Liquidators said that the agency’s “revised calculation overestimates any potential health risks from these products”.

Contreras, of Texas City, Tex., said she is considering paying for her own air-quality tests because she’s not sure whether she can trust Lumber Liquidators.

Newswatch 16 spoke with Lumber Liquidators to find out what it’s doing to help customers who might be affected. Its shares have fallen nearly 83 percent over the past year. Lumber Liquidators, based in Toano, Va., also began providing customers with free air-quality tests.