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Supplier anger over alleged late payments from Adams

Suppliers to Adams are becoming increasingly angry at what they say is the kidswear chain’s failure to pay them on time.

A number of suppliers told Drapers that payments had been delayed since Adams was sold to Pakistani group Habib Alvi by previous chairman John Shannon
in September.

One supplier, who asked not to be named, said: “Adams has not paid an invoice that was due to be paid in October and told us that another due this month would not be paid on time either. It won’t give us a reason why and is not returning our calls.” Another supplier told Drapers that overdue payments dated back to July.

Another told Drapers that “millions of pounds worth of stock” is being held in transit until payments are met and that legal action is a possibility.

Several of Adams’ suppliers were left with unpaid debts when the retailer, which has 125 stores in the UK and Republic of Ireland, went through two administrations, in 2006 and 2008.

Adams did not respond to requests for comment.

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