CBS 60 Minutes’ Damaging Misconduct Creates an Asset Not Liability for Lumber Liquidators and its Public Shareholders.

Yesterday asensio.com issued a report raising material concerns about the factual accuracy and overall validity, and underlying motivation, of a series of video reports aired against Lumber Liquidators Holdings, Inc. (NYSE Symbol: LL; $29.58) and its interests including those of its customers and public American owners.  The series of attacks were created by several affiliates of CBS Corporation (NYSE Stock Trading Symbol: CBS, $59,43)  that were led by CBS 60 Minutes and one of its on-screen personalities, Anderson Cooper.  In this report we focused on CBS’ inexplicable departure from its policies of discrediting short sellers for the sake of creating undeserved credibility and advocating the narrow economic interest of its three individual sources.

asensio.com has identified core issues affecting the long term economics of LL’s business. However, asensio.com is focused at this moment on what is immediately before LL and its “up-by-the straps” founder Tom Sullivan. We believe that this is essential because CBS has reversed the roles of the leading players in this matter. CBS dismissed the trustworthiness and placed blame on LL, a NYSE listed publicly traded company with a wide array of positive interests, and intensified and sanctified its three individual sources who are the predators with an extremely narrow interest: their own. This has placed LL’s predators in an unfair and undeserved protected position. Predators in sheep’s clothing should not be protected at the cost of LL and its shareholders. If CBS seeks to advance the interest of three individual predators it has a duty to disclose.

asensio.com, the Pioneer of Activists Short Selling http://www.asensio.com/?p=9498, focuses its work on discovering ultimate indisputable facts. One such fact in this case is the CBS’ misconduct in Lumber Liquidators shocks the consciences of any informed disinterested observer. Arriving at this conclusion does not require a profound understanding of the chemistry or biology that underlies CBS’ primary and secondary claims.

asensio.com has generated sufficient factual information that show these claims to be simply and entirely false. Furthermore, given the evidence available on the surface, asensio.com believes that if CBS were to increase the intensity of its attacks it would serve in Lumber Liquidators’ favor. This is an extraordinary statement given CBS’ influence on political agencies and ability to generate publicity for itself and those whose interests it chooses to advocate. It reflects the lack of substance in CBS’ reporting and the completeness of its black out of opposing facts.

In yesterday’s report asensio.com noted that it was not involved in the trading of LL’s stock and that it had not as of yet made its final determination on the value of shares of LL’s publicly traded common stock. In doing so it outlined the special and unique damages created by CBS’ reporting. Equally important, asensio.com disclosed a bias against CBS and its interest in protecting the reputation of short sellers in general but specifically those that informed CBS 60 Minutes’ three protagonists that were Mr. Cooper’s only source of “on-air” creditability.

With due consideration to the conflicts discussed immediately above, asensio.com believes that as a matter of fact and law CBS is liable to LL and its shareholders should LL’s Board of Directors or any shareholder elect to take such action. More importantly, asensio.com believes that LL can pave a road to continued success on the muddy path that CBS has constructed.

Notwithstanding all of this, asensio.com hopes that LL addresses the matter of Ray Cotton’s disturbing communications before tomorrow’s conference call by terminating his services.

Posted in Lumber Liquidators Holdings

Manuel Asensio doesn’t bet often. But when he does, it’s wise to pay attention.

Paul Kaihla
eCompany Now
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