70 jobs are at risk after a Wearside building merchants has gone into administration.
Sunderland-based A Thompson and Sons Limited has four branches across the North East.
The company had previously announced it was facing financial difficulties.
Administrators KPMG say that Thompsons were not able to pay the wage bill for last month.
Thompsons also received a winding up order from the Inland Revenue.
No redundancies have yet been made.