We detail how LL Flooring’s board of directors presided over an era of grossly poor decision-making, disastrous stock price performance, and a sham strategic review process that led to permanent value destruction and brought the company to the brink of bankruptcy.
F9’s three highly qualified director nominees, Tom Sullivan, Jason Derbez and Jill Witter, detail their commitment to working with the Board to provide the expertise and oversight necessary to restore value for all LL Flooring shareholders.
Encourage shareholders to vote Money Proxy Cards Todayfor“With all the F9 coaching candidates”Withhold“All LL Flooring nominees”
View Presentation LL Groove
Franklin, Tennessee, June 13, 2024–(BUSINESS WIRE)–F9 Investments, LLC (“F9”), together with its affiliates, owns approximately 8.85% of the common stock of LL Flooring Holdings, Inc. (“LL Flooring” or the “Company”) (NYSE: LL) and is the Company’s largest shareholder. Today, the Company released a presentation highlighting why changes to LL Flooring’s board of directors (the “Board”) are urgently needed to preserve remaining value and begin the restructuring process of the Company that was and has the potential to become great again.
This presentation contains detailed information about how LL Flooring shareholders have suffered over the years due to the board’s failed business strategy, misaligned incentives and compensation, inability to contain costs, and a seriously flawed sale process. The presentation contrasts the company’s severe underperformance with the track records of F9’s three highly qualified director nominees, Tom Sullivan, Jason Delves and Jill Witter, and highlights how they will bring the flooring industry expertise, shareholder alignment, and oversight needed to protect and restore LL Flooring’s value for all shareholders.
F9 encourages all LL Flooring shareholders to view the presentation, which is available at www.LLGroove.com.
Sullivan said: “LL Flooring shareholders have a choice to make before the company’s annual meeting on July 10: continue to support directors who have shirked their responsibilities and brought LL Flooring to the brink of bankruptcy while enriching themselves and entrenching themselves, or vote for change by electing directors who will restore proper oversight, shareholder buy-in and accountability to LL Flooring’s board, protect shareholders’ investment and put the company back on the path to success.”
“Make no mistake: a vote for management is a vote for the status quo. Under the oversight of the current board, LL Flooring’s stock price has fallen more than 93% over three years, well below peers, the overall market and all reasonable expectations. The company is now on the brink of bankruptcy, customers are fleeing and morale is low, yet management wants to convince us that the strategy is working. While LL Flooring’s board continues to avoid accountability for its failures and launches damaging, misleading and easily disprovable personal attacks against me in a desperate attempt to distract shareholders from the company’s dismal performance, F9’s candidates are ready to take on the hard work of restoring LL Flooring’s value to all shareholders, creating a culture that employees can be proud of, and putting the company back on the path to profitability and success.”
“F9’s highly qualified candidates provide the flooring industry expertise, ownership ethos, and comprehensive operational, financial, and strategic planning necessary to deliver the long-term, value-enhancing transformation that LL Flooring urgently needs to survive and thrive over the long term. We encourage shareholders to view our presentation, which details the myriad issues and failed strategic initiatives that the current board has overseen, our dire and continuing deteriorating financial condition, the current board’s lack of expertise and alignment with shareholders, poor corporate governance practices, and the sham strategic review process that resulted in the rejection of multiple premium bids for the company as LL Flooring’s stock price continues to plummet.”
Vote Money Today, alternate cards were issued for F9 candidates Tom Sullivan, Jason Delves and Jill Witter, while alternate cards for all LL Flooring candidates and Gerald Haman are “on hold.”
Shareholders must take decisive action to protect their investment. Regardless of how many shares you own, your vote countsWe urge shareholders to protect the value of their investment by voting for F9’s nominees today. Money Proxy card.
You may vote online at www.ProxyVote.com or you may complete, sign and date your GOLD Proxy Card or GOLD Voting Instructions and mail it in the stamped envelope provided.
If you have not received a GOLD proxy from F9, and have only received a WHITE proxy sent to you by your firm, you can still support F9 candidates using the WHITE proxy by checking the “Withhold” box for all firm candidates and Jerald Hammann, and checking the “Support” box for all F9 candidates (Tom Sullivan, Jason Delves, Jill Witter).
If you have any questions about how to vote your shares, please contact our proxy agent, Campaign Management, at 1-(855) 264-1527 (shareholders) or (212) 632-8422 (banks and brokerages), or by email at: inquiry.
For more information about F9 and voting instructions, please visit our website. LL Groove.
Disclaimer
Except as otherwise stated in this press release, the views expressed in this press release reflect those of F9 Investments, LLC and its affiliates (“F9”) and are based on publicly available information regarding LL Flooring Holdings, Inc. (“LL” or the “Company”). F9 acknowledges that the Company may have confidential information that may cause the Company or others to disagree with F9’s conclusions. F9 reserves the right to change the views expressed herein at any time as it sees fit and disclaims any obligation to notify the market or any other party of such changes, except as required by law. F9 disclaims any obligation to update any information or views contained in this press release, except as required by law. For the avoidance of doubt, this press release is not affiliated with or approved by LL.
This press release is for informational purposes only and is not intended to, and should not be construed as, an offer to sell or a solicitation of an offer to buy any securities or a recommendation to buy or sell any securities. Certain Participants (defined below) currently beneficially own shares of the Company. Participants and their affiliates may, from time to time, sell all or a portion of their holdings of the Company’s shares in open market transactions or otherwise, purchase additional shares (in the open market or privately or otherwise), or trade options, puts, calls, swaps or other derivative instruments relating to such shares.
Certain materials in this press release contain forward-looking statements. All statements contained herein that are not clearly historical facts or that necessarily depend on future events are forward-looking and words such as “anticipate,” “believe,” “expect,” “potential,” “may,” “opportunity,” “estimate,” “plan,” “again,” “achieve” and similar expressions are generally intended to identify forward-looking statements. Projected results and statements contained herein that are not historical facts are based on current expectations, speak only as of the date of these materials, and involve risks, uncertainties and other factors that may cause actual results, performance or achievements to differ materially from any future results, performance or achievements expressed or implied by the projected results and statements. The foregoing assumptions include judgments regarding future economic competitive and market conditions and future business decisions, all of which are difficult or impossible to predict accurately and many of which are beyond F9’s control.
Although estimates, forecasts and the potential impact of the opportunities identified by F9 in this press release are based on assumptions that F9 believes to be reasonable as of the date of this press release, there can be no assurance that (i) any of the proposed actions described in this press release will be completed, (ii) the Company’s actual results or performance will not differ and such differences may be material, or (iii) any of the assumptions made in this press release will prove to be accurate.
F9 has not sought or obtained consent from any third party to use any statements or information contained herein that were obtained or derived from statements made or published by third parties, and has not made any payment for such statements. Such statements or information should not be deemed to indicate any third party endorsement of the views expressed herein. F9 does not endorse any third party estimates or research, which are used in this document for illustrative purposes only.
Important Information
F9 Investments, LLC, Thomas D. Sullivan, John Jason Delves and Jill Witter (collectively, the “Participants”) filed a definitive proxy statement and accompanying gold proxy card in form (as supplemented and amended, the “Definitive Proxy Statement”) with the Securities and Exchange Commission (the “SEC”) on May 31, 2024 for use in connection with the Company’s 2024 Annual Meeting of Stockholders.
PARTICIPANTS ARE URGED TO READ THE DEFINITIVE PROXY STATEMENT AND ALL OTHER PROXY MATERIALS OF THE COMPANY BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION. SUCH PROXY MATERIALS WILL BE AVAILABLE FOR FREE ON THE SEC’S WEBSITE AT WWW.SEC.GOV AND F9’S WEBSITE AT WWW.LLGROOVE.COM. THE DEFINITIVE PROXY STATEMENT AND ACCOMPANYING PROXY CARDS WILL BE PROVIDED TO SOME OR ALL OF THE COMPANY’S SHAREHOLDERS. SHAREHOLDERS MAY ALSO SUBMIT A REQUEST DIRECTLY TO F9’S ATTORNEY GENERAL, CAMPAIGN MANAGEMENT, 15 WEST 38TH STREET, SUITE #747, NEW YORK, NY 10018 (SHAREHOLDERS MAY ALSO EMAIL INFO@CAMPAIGNMANAGEMENT.COM OR CALL TOLL FREE AT (855) 264-1527).
Information about the Participants and a description of their direct or indirect interests, by security holdings or otherwise, is contained in the definitive proxy statement.
View source version on businesswire.com: https://www.businesswire.com/news/home/20240613637860/en/
contact address
Investor and Media Contacts
Investor:
Michael Fain
Campaign Management
(212) 632-8422
michael.fein@campaign-mgmt.com
media:
Jonathan Gastalter/Nathaniel Garnick
Gasthalter & Company
(212) 257-4170
F9Investments@gasthalter.com
