VF Corporation revealed facing a ransomware attack

VF Corporation, the Colorado-based apparel company behind iconic brands like Supreme, Vans, Timberland, and The North Face, disclosed in a Form 8-K filing with the U.S. SEC on December 13, 2023, that it suffered a ransomware attack, causing operational disruptions and raising concerns about the security of personal data.

VF Corporation, known for its expansive portfolio that includes 13 globally recognised brands, such as Dickies, Eastpak, Kipling, Napapijri, AND1, JanSport, Icebreaker, Altra Running, and SmartWool, is the home to more than 35,000 people and boasts an annual revenue of $11.6 billion.

 

VF Corporation immediately isolated the compromised systems after discovering the attack.

 

The cyberattack on VF Corporation prompted the company to take immediate action by shutting down some of its systems and employing third-party security providers to address the threat.

However, the threat actors have already successfully encrypted several of the company’s computers and harvested personal data, resulting in significant disruptions in VF’s business operations.

Still, a specific ransomware group has yet to claim responsibility for the incident. Furthermore, the uncertainty regarding the breach worsens the situation since there is no confirmation if the compromised data could impact the employees, suppliers, resellers, partners, or customers.

On the other hand, the impact of the cyberattack shows some details since VF Corporation admitted in the SEC filing that the incident could have a lasting effect on its business operations.

As of now, the corporation assured everyone that they have an ongoing effort to bring affected IT systems back online and implement workarounds for offline operations to minimise disruption to retail and brand e-commerce consumers and wholesale customers.

Furthermore, VF Corp emphasised that its physical retail stores worldwide will continue to operate normally to reassure its customers. Unfortunately, the company anticipates potential delays in online order fulfilment and the possibility of customers being unable to place orders on specific brand e-commerce sites.

The company is still assessing the full extent of the security breach and its potential impact on financials and operations. The timing of the incident during the Christmas shopping season has severely impacted the corporation’s sales.