The US Bankruptcy Court gave an order granting the conversion of Chapter 11 reorganization case of Armstrong Flooring, Inc. to liquidation under Chapter 7 on April 17, 2023. As per the motion filed, The Debtors sold substantially all of their assets. The Debtors failed to pay administrative expense claims as they came due in the ordinary course of business.

The Debtors' no longer have exclusivity to file and solicit votes on a plan. The Debtors have had negative cash flow for well over six months. The Debtors have already paid over $25 million dollars to estate professionals while failing to pay other administrative expense claimants.