Clorox Recovering From ‘Widescale’ Fallout of August Cyberattack

Clorox Co. warned on Monday that a cyberattack it had originally reported last month will have a material impact on its earnings, marking the first time the consumer products company has disclosed the extent of the attack.

(Bloomberg) — Clorox Co. warned on Monday that a cyberattack it had originally reported last month will have a material impact on its earnings, marking the first time the consumer products company has disclosed the extent of the attack. 

“The cybersecurity attack damaged portions of the Company’s IT infrastructure, which caused widescale disruption of Clorox’s operations,” the Oakland, California-based company said in a regulatory filing on Monday. 

Clorox said it has resumed production at the “vast majority” of its manufacturing sites since the attack, which was disclosed on Aug. 14, and expects to transition to normal, automated order processing starting next week. It didn’t give a timeframe for when operations would be completely restored. 

While Clorox didn’t disclose exactly how the intruders were able to get into its systems and why it affected manufacturing, a number of major corporations have been targeted by ransomware hackers who hold files or entire operational systems hostage in exchange for payment.

Caesars Entertainment Inc. paid millions of dollars in ransom after hackers recently broke into the casino operator’s systems. The websites, slot machines and reservation systems of another Las Vegas entertainment giant, MGM Resorts International, went down after it was attacked earlier this month. 

Read More: MGM Resorts Hackers Broke In After Tricking IT Service Desk (1)

Clorox shares fell 2.3% in premarket trading. 

The US Securities and Exchange Commission starting this month has begun to require companies disclose most cyberattacks within four days of an incident.

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