Beleaguered flooring retailer Lumber Liquidators is paying $2.5 million to settle allegations that some of its products violated California's air-safety standards.
The penalty announced Tuesday was the latest that Lumber Liquidators has absorbed for formerly selling laminate flooring made in China.
In this case, Lumber Liquidators faced allegations that the imported flooring contained high levels of the carcinogen formaldehyde that violated California's air-quality controls.
The Toano, Virginia, company didn't acknowledge any wrongdoing in the settlement with the California Air Resources Board.
Last year, Lumber Liquidators paid $13.2 million in fines and pleaded guilty to environmental crimes for importing China-made flooring that contained timber illegally logged in eastern Russia.
Shares of Lumber Liquidators Holdings Inc. are down more than 70 percent since questions about the China-made flooring surfaced last March.