United Natural Foods, a major wholesale distributor was the subject of a lawsuit filed by NYSM Organics of Vineyard Haven, MA. The complaint filed in the Superior Court of Rhode Island charges UNFI with breach of contract arising from unjust use of prompt-paid discounts. The plaintiff alleges “intentional and systematic but unjustified discounts despite withholding payments on supplier invoices.”
The complaint apparently disclosed discriminatory practices against small suppliers.
In rebutting the claim, UNFI stated, “We value all our supplier relationships and take any concerns seriously.”
For the most recently concluded FY2024 ending August 3rd UNFI posted a loss of $112 million on sales of $30,980 million with a negative EPS of $(1.89). Comparable values for FY 2023 were earnings of $24 million on sales of $30,272 million with an EPS of $0.40.