Supermarket confident orders will not be affected ? Woolworths' failure understood to play key part in calling in adminstrators

Asda electricals supplier collapses

Asda has stressed to PC Retail that it is ‘confident’ that customers of its Asda Direct operation will not be affected by the collapse of one of its key electricals suppliers, Miller Brothers.

"We are confident our customers will not lose out," a spokesman for the supermarket told PC Retail. "Anyone who has placed an order for an electrical item from Asda Direct will receive the product they have ordered.

The retailer was also keen to stress that it was confident for fulfilling future orders: "Customers can continue to place orders online for electrical items," added the spokesman.

Non-electrical products on Asda Direct are unaffected by the collapse and the firm also stressed that there was no impact to the supply of in-store electricals.

Miller Brothers, which also had a store in Doncaster and an etail operation, was a key supplier for many electrical retailers’ own etail services, including Asda and Woolworths.

It is understood that the collapse of Woolworths was a major factor in Miller Brothers’ decision to call in the administrators, Schofield and Charles Escott of PKF in Leeds.

The administrators said in a statement that the firm would continue to run throughout January as a going concern, but warned that: "Unless a buyer for the business is found…[it] will close by the end of the month."

PC Retail understands that Asda had helped the firm with its cashflow problems over the previous months, and is currently considering offering a number of jobs to Miller Brothers employees should a buyer not be found.

Both firms have set up customer service lines to deal with the collapse. Miller Brother customers can contact 0844 412 5661. Asda Direct customers can contact the supermarket’s customer service helpline on 0844 824 3000.

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