Aggregate Industries (AI) considers that delaying payments totalling tens of thousands of pounds to its hard-pressed suppliers is simply "a private matter".
Unfortunately for AI, this sort of Scrooge-like behaviour has a habit of becoming public very quickly.
To play down its unilateral action in such a dismissive way is utterly bizarre and leads to all manner of speculation about the reasons behind it.
At present, it risks completely alienating its subcontractor base, assuming that half of those subbies haven't been forced out of business by AI's tardy payments.
We appreciate times are hard in the construction sector, but simply deciding not to pay suppliers for work they have completed is absolutely unacceptable.
However, reports are beginning to reach us that the company may be softening its stance and paying what it owes (see page 7): this cannot come too soon. But to have let the situation deteriorate to this level is a mistake that should not be repeated.
All too often giant plcs simply steamroller their small suppliers, and drive ever-more eye-watering payment terms. This has to stop. After all, it is in everyone's interest, not least AI's, that a healthy supplier base is maintained.
To put this into context, AI's parent, the Swiss Holcim Group, had net income of CHF1.2bn (£760m) in Q3 this year: it is far from cash-strapped. It sold 118 million tonnes of aggregate during the period and 34.4 million m³ of cement. Those are products that its contract hauliers were instrumental in delivering. AI should not forget that.
