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Shares of Lumber Liquidators skyrocketed Friday, rising 19 percent on the news that federal regulators closed an investigation of the company after it agreed not to sell its existing inventory of Chinese-made laminate flooring.
Last year, a report on "60 Minutes" found the company's Chinese-made laminate flooring may contain levels of formaldehyde that are noncompliant with California's health and safety standards.
Since the damaging report, shares of the company have slumped. Last month, the company reported a quarterly loss of $1.20 a share. Sales in the same quarter also fell by 10.2 percent, the company's fourth quarter in a row of declining sales.
Lumber Liquidators previously said it hadn't sold its Chinese-sourced laminate since May 2015, adding that it has taken "meaningful steps" to boost compliance.
The U.S. Consumer Production Safety Commission said Thursday that Lumber Liquidators tested the air quality in more than 15,000 households and none had formaldehyde above guidelines, according to the Associated Press.
Shares closed at $15.78 Friday and are down about 9.1 percent since January.
Lumber Liquidators in 2016
— CNBC's Christine Wang contributed to this report.