Tampa, Florida -- When 60 Minutes went under cover at three Chinese factories that produce laminate flooring for Lumber Liquidators it exposed excessive levels of the cancer causing chemical, formaldehyde in the glue used to bind wood particles that make up the core of the laminated boards.
At the time, company founder, Tom Sullivan, said the flooring complied with strict standards set by the California Air Resources board also known as CARB. Sullivan said then, "We're never gonna sell something unsafe."
But employees at the factory told a different story that it didn't meet the CARB safety standards.
Lumber Liquidators says same store sales have fallen 12.07% in the first nine days since the 60 Minutes report.
Thursday on a conference call with investors, Lumber Liquidators CEO Rob Lynch now insists the product is safe, admitted CARB'S preliminary tests had revealed high levels of formaldehyde even before the 60 Minutes broadcast.
Lynch says, "We know that tests on some deconstructed samples have had elevated levels, but we believe that the results of deconstructed tests have little or no bearing on the safety of the finished product."
Lumber Liquidators doesn't believe in the testing method CARB which peels back the top layers of the board in order to analyze the core. Lynch says, "We have been engaged with CARB over many months, provided them with additional information and, like others in the industry, have expressed our concerns on the validity and applicability of the deconstructive testing method".
In tests commissioned by 60 Minutes 30 of 31 boxes of the product labeled compliant were not, with some emitting as much as 13 times the CARB 2 limit.
Meanwhile Lumber Liquidators is still selling the Chinese laminate flooring but says owners of the affected hardwood floors can contact them for a free air quality test and if customers aren't satisfied with the results the company will consider replacing the flooring at no cost.
The company says consumers can call its customer care line at 1-800-366-4204 to request a kit, and the test results will be analyzed by an independent AIHA-accredited lab and emailed to consumers within 10 days. Consumers can also use an online form or email llcustomerrelations@lumberliquidators.com to get the kits.