Lumber Liquidators 2011 Annual Report Download - page 26

Item 2. Properties.
As of February 20, 2012, we operated 266 stores located in 46 states and Canada, including three opened since
December 31, 2011. In addition to our eight stores in Ontario, Canada, the table below sets forth the locations (alphabetically
by state) of our 258 U.S. stores in operation as of February 20, 2012.
State Stores State Stores State Stores State Stores
Alabama ......... 5 Iowa ............ 3 Nevada ............... 2 Rhode Island ........... 1
Arizona .......... 4 Kansas .......... 3 NewHampshire ........ 4 South Carolina ......... 4
Arkansas ......... 2 Kentucky ........ 4 NewJersey ............ 8 South Dakota .......... 1
California ........ 24 Louisiana ........ 4 NewMexico ........... 1 Tennessee ............. 5
Colorado ......... 6 Maine ........... 3 NewYork ............. 13 Texas ................. 20
Connecticut ....... 5 Maryland ........ 5 North Carolina ......... 8 Utah ................. 2
Delaware ......... 3 Massachusetts .... 7 North Dakota .......... 1 Vermont .............. 1
Florida ........... 17 Michigan ........ 6 Ohio ................. 8 Virginia ............... 9
Georgia .......... 8 Minnesota ....... 5 Oklahoma ............. 2 Washington ............ 7
Idaho ............ 2 Mississippi ....... 2 Oregon ............... 2 West Virginia .......... 3
Illinois ........... 10 Missouri ......... 4 Pennsylvania ........... 12 Wisconsin ............. 4
Indiana .......... 6 Nebraska ........ 2
We lease all of our stores and our corporate headquarters located in Toano, Virginia, which includes our call center,
corporate offices, and distribution and finishing facility. Our corporate headquarters has 307,784 square feet, of which
approximately 32,000 square feet are office space, and is located on a 74-acre plot. In addition, we lease 515,486 square feet
in Hampton, Virginia, near the port, as our primary distribution facility.
As of February 20, 2012, 26 of our store locations are leased from related parties. See discussion of properties leased
from related parties in Note 6 to the consolidated financial statements included in Item 8 of this report and within Certain
Relationships and Related Transactions, and Director Independence in Item 13 of this report.
Item 3. Legal Proceedings.
On September 3, 2009, a former store manager and an assistant store manager at the time (together, the “Plaintiffs”)
filed a putative class action suit against Lumber Liquidators, Inc. (“LLI”) in the Superior Court of California in and for the
County of Alameda. The Plaintiffs allege that with regard to certain groups of current and former employees in LLI’s
California stores, LLI violated California law by failing to calculate and pay overtime wages properly, provide meal breaks,
compensate for unused vacation time, reimburse for certain expenses and maintain required employment records. The
Plaintiffs also claim that LLI did not calculate and pay overtime wages properly for certain of LLI’s non-exempt employees,
both in and out of California, in violation of federal law. In their suit, the Plaintiffs seek compensatory damages, certain
statutory penalties, costs, attorney’s fees and injunctive relief.
LLI removed the case to the United States District Court for the Northern District of California. In an order dated
March 2, 2011, the court denied without prejudice the Plaintiffs’ motion for conditional class certification of non-exempt
employees throughout the country. On December 30, 2011, the Plaintiffs filed a motion for class certification of the proposed
California employee classes. The Court has not yet ruled on that motion. LLI intends to continue to defend the claims in this
suit vigorously. While there is a reasonable possibility that a material loss may be incurred, we cannot estimate the loss or
range of loss, if any, to us at this time.
We also are, from time to time, subject to claims and disputes arising in the normal course of business. In the opinion of
management, while the outcome of any such claims and disputes cannot be predicted with certainty, our ultimate liability in
connection with these matters is not expected to have a material adverse effect on our results of operations, financial position
or cash flows.
Item 4. Mine Safety Disclosures.
None.
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