Asda demanding huge payments from suppliers

And I mean HUGE -- like tens of millions of pounds each, and as much as 25% of suppliers total sales. One estimate said the total was at least GBP368m, and possibly a half-billion.

Suppliers yesterday said the payments could be from 10 mln to 60 mln stg, with one claiming that the payments were in some cases equal to 25 pct of a suppliers' annual business with Asda.

These are not sone sort of MDF payment, or contingent on any sort of performance apparently, but are simply up-front fees:

Meanwhile, suppliers said they would be willing to make the payment for something in return, such as preferential treatment over other brands.

Reuters also has an article on it, in which Asda claims these payments are nothing new:

"The programme is business as usual, but it has been reinvigorated to make sure the benefits of our growth are shared by everyone," spokeswoman Rachael Fellows told Reuters.

"We've got a great reputation for being fair with suppliers but we do want to grow and take our suppliers with us," she said.

That's disputed in the Forbes item, which says:

However, suppliers yesterday said such deals were extremely unusual in the UK industry, adding they were 'against such a payment'. Meanwhile, a rival supermarket executive said it was 'not normal' industry practice ...