Clorox expects August’s cybersecurity attack to have a ‘material’ impact on first-quarter results

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Clorox expects August’s cybersecurity attack to have a ‘material’ impact on first-quarter results
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Shares of Clorox Co. dropped 2.2% toward a 7 1/2-month low in premarket trading Monday, after the cleaning and household products said a cybersecurity attack...

Shares of Clorox Co. CLX, -2.17% dropped 2.2% toward a 7 1/2-month low in premarket trading Monday, after the cleaning and household products said a cybersecurity attack identified last month will have a “material” impact on fiscal first-quarter results. “Clorox is still evaluating the extent of the financial and business impact,” Clorox said in a statement. “It is premature for the Company to determine longer-term impact, including fiscal year outlook, given the ongoing recovery,” Clorox added.

The company said it is operating at a lower rate of order processing, as the attack damaged parts of its information-technology infrastructure, causing “widescale disruption” of its operations. Clorox expects automated order processing to return to normal during the week of Sept. 25, and expects the ramp up to full production to occur over time. The stock, which is on track to open at the lowest price seen since Feb. 2, has dropped 6.

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