Cherrypicking the best for both' Suppliers remain sceptical about Iceland's chances of securing the £50m synergy benefits outlined at the time of its merger with Booker. The newly enlarged group plans to meet its major suppliers over the next two months as it starts the process of negotiating better terms. A spokeswoman said: "As part of the merger strategy we stated that there would undoubtedly be synergies in buying across the group. We will be undertaking joint meetings with suppliers over the coming months." But those who have already met with the Iceland and Booker buyers remain unconvinced. One said: "They try to sell the benefits of the new group, which I have to say are a little vague, and all to do with the home shopping opportunity and how Booker depots can be used as drop-off points. "Nevertheless you get a feeling that this is a business going places. "Then they hit you with the differences in terms that they can see and ask how are you going to invest in the bigger business. You have to prove both companies were getting an equally strong deal. "Wherever there's a variance they are trying to cherry-pick the best deal for both companies." Even those still to meet with the buying teams are expressing doubts. "We've been called in to meet them, but they are being very secretive about what's on the agenda," said one supplier. "At the time of the deal we couldn't see where the savings were going to come from and we still can't. Are they looking for savings in the wholesale side or the multiple side? They have very different requirements. I presume they will try and cherrypick but we will resist that." Suppliers are being told that the new group is keeping its two buying teams ­ hence buyers from both Booker and Iceland attend each meeting ­ and head offices separate with no plans to merge these functions. Suppliers say the meetings are cordial with no "table thumping" ­ although one said he expected any follow up meetings could turn "more meaty". {{NEWS }}

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