As LLVC members have heard, Lumber Liquidators has been experiencing a nationwide network outage since Wednesday, August 21, 8:30am. It has been 6 days now, and the company still has been unable to resolve the problem. The POS system is down. Inventory is offline. I am told that orders are being processed with pen and paper, and stores can only request inventory if they have a working fax machine (many do not).
All online ordering has been offline since the start of the outage (6 days and counting).
This system outage is devastating. The lost revenue from this kind of disruption will amount to millions.
Management has released no press releases and has made no public comments. This is a material, adverse event, and in my opinion, the absence of a statement from the company is a clear opening for a shareholder lawsuit. This is certainly the last thing which the company needs right now.
Leadership Must Take Responsibility and Resign
As usual, shareholders will suffer losses due to the incompetence of company leadership, while executive management continues to make millions of dollars. We once again call for CEO Dennis Knowles and for Chairwoman Nancy M. Taylor to resign. They have proven time and again that they lack any ability to properly run and manage a public company. LL shares continue to trade near all time lows because these individuals are simply unable to generate the conditions necessary for any form of turnaround. They blame their failures on the economy, tariffs, legacy issues, weather events, etc, while never taking any responsibility for their consistent nonperformance.