Cybersecurity and data breaches
144 of 521 companies dropped a paragraph in Risk Factors that uses one of these words:
cybersecurity, cyber, ransomware, data breach, cyberattack, hackers.
The paragraph was in the earlier 10-K and nothing like it is in the latest.
It counts text; it does not say how serious a risk is. Words in capitals only (such as AI) must be in capitals.
By sector
Sector is the SEC's industry description of the company. Each count opens that sector's quotes below.
| Sector | Companies | Compared |
|---|---|---|
| Rubber & Plastics Footwear | 2 | 2 |
| Air Courier Services | 1 | 1 |
| Apparel & Other Finishd Prods of Fabrics & Similar Matl | 1 | 1 |
| Electrical Industrial Apparatus | 1 | 1 |
| Electronic Connectors | 1 | 1 |
| Food and Kindred Products | 1 | 1 |
| Gas & Other Services Combined | 1 | 1 |
| Household Appliances | 1 | 1 |
| In Vitro & In Vivo Diagnostic Substances | 1 | 1 |
| Leather & Leather Products | 1 | 1 |
| Meat Packing Plants | 1 | 1 |
| Miscellaneous Food Preparations & Kindred Products | 1 | 1 |
| Newspapers: Publishing or Publishing & Printing | 1 | 1 |
| Ordnance & Accessories, (No Vehicles/Guided Missiles) | 1 | 1 |
| Paper Mills | 1 | 1 |
| Retail-Drug Stores and Proprietary Stores | 1 | 1 |
| Retail-Eating & Drinking Places | 1 | 1 |
| Retail-Home Furniture, Furnishings & Equipment Stores | 1 | 1 |
| Retail-Radio, Tv & Consumer Electronics Stores | 1 | 1 |
| Services-Management Services | 1 | 1 |
| Services-Misc Health & Allied Services, NEC | 1 | 1 |
| Telephone & Telegraph Apparatus | 1 | 1 |
| Television Broadcasting Stations | 1 | 1 |
| Water Supply | 1 | 1 |
| Wholesale-Medical, Dental & Hospital Equipment & Supplies | 1 | 1 |
| Wholesale-Motor Vehicle Supplies & New Parts | 1 | 1 |
| Computer Storage Devices | 4 | 5 |
| Retail-Eating Places | 3 | 4 |
| Finance Services | 19 | 28 |
| Computer Communications Equipment | 2 | 3 |
| Surgical & Medical Instruments & Apparatus | 6 | 10 |
| Beverages | 3 | 5 |
| State Commercial Banks | 3 | 6 |
| Electronic & Other Electrical Equipment (No Computer Equip) | 2 | 4 |
| Search, Detection, Navigation, Guidance, Aeronautical Sys | 2 | 4 |
| Security & Commodity Brokers, Dealers, Exchanges & Services | 2 | 4 |
| Accident & Health Insurance | 1 | 2 |
| Aircraft Engines & Engine Parts | 1 | 2 |
| Cigarettes | 1 | 2 |
| Computer Peripheral Equipment, NEC | 1 | 2 |
| Cutlery, Handtools & General Hardware | 1 | 2 |
| Fats & Oils | 1 | 2 |
| Industrial Organic Chemicals | 1 | 2 |
| Mining & Quarrying of Nonmetallic Minerals (No Fuels) | 1 | 2 |
| Oil & Gas Field Services, NEC | 1 | 2 |
| Refuse Systems | 1 | 2 |
| Retail-Family Clothing Stores | 1 | 2 |
| Retail-Lumber & Other Building Materials Dealers | 1 | 2 |
| Services-Medical Laboratories | 1 | 2 |
| Wholesale-Groceries & Related Products | 1 | 2 |
| National Commercial Banks | 5 | 11 |
| Services-Prepackaged Software | 8 | 19 |
| Biological Products, (No Diagnostic Substances) | 2 | 5 |
| Laboratory Analytical Instruments | 2 | 5 |
| Services-Computer Programming, Data Processing, Etc. | 2 | 5 |
| Investment Advice | 3 | 8 |
| Air-Cond & Warm Air Heatg Equip & Comm & Indl Refrig Equip | 1 | 3 |
| Computer & office Equipment | 1 | 3 |
| Electrical Work | 1 | 3 |
| Measuring & Controlling Devices, NEC | 1 | 3 |
| Services-Consumer Credit Reporting, Collection Agencies | 1 | 3 |
| Crude Petroleum & Natural Gas | 2 | 7 |
| Electric Services | 4 | 15 |
| Services-Business Services, NEC | 4 | 16 |
| Fire, Marine & Casualty Insurance | 3 | 12 |
| Services-Computer Processing & Data Preparation | 1 | 4 |
| Real Estate Investment Trusts | 6 | 27 |
| Semiconductors & Related Devices | 3 | 15 |
| Industrial Instruments For Measurement, Display, and Control | 1 | 5 |
| Orthopedic, Prosthetic & Surgical Appliances & Supplies | 1 | 5 |
| Electric & Other Services Combined | 2 | 12 |
| Petroleum Refining | 1 | 6 |
| Security Brokers, Dealers & Flotation Companies | 1 | 7 |
| Pharmaceutical Preparations | 1 | 11 |
378 paragraphs · Meat Packing Plants show all sectors
The Company has no manufacturing operations in Russia, Ukraine, or the Middle East, yet it has experienced inflated fuel costs and supply chain shortages and delays due to the impact of the military conflicts on the global economy. If these conflicts or others arise or escalate further, the Company could, among other things, face additional supply chain disruptions, rising prices for oil and other commodities, volatility in capital markets and foreign exchange rates, rising interest rates, or heightened cybersecurity risks, any of which may adversely affect the Company’s business.
Read in the 10-K filed Dec 5, 2024 ↗
The Company may be adversely impacted if the Company is affected by cybersecurity attacks, security breaches, or other IT interruptions, involving its own systems or those with whom it does business. IT systems are an important part of the Company’s business operations. The Company also increasingly relies upon third-party service providers for a variety of business functions, including cloud-based services. Cyber incidents are occurring more frequently across U.S. industries and are being made by groups and individuals with a wide range of motives and expertise. In addition, high-profile data security incidents and IT interruptions at other companies, including companies with whom the Company does business, evidence an external environment that is becoming increasingly challenging. From time to time, the Company has experienced, and may experience in the future, breaches of security measures due to human error, malfeasance, insider threats, system errors or vulnerabilities or other irregularities, none of which have been material to date. In addition, from time to time the Company has experienced disruptions to its operations due to IT interruptions at third parties with whom it does business. To date, none of these have been material.
Read in the 10-K filed Dec 5, 2024 ↗
Although the Company has programs in place related to business continuity, disaster recovery, and information security initiatives to maintain the confidentiality, integrity, and availability of systems, business applications, and customer information, the Company may not be able to anticipate or implement effective preventive measures against all potential IT interruptions or cybersecurity threats, especially because, in connection with cybersecurity threats the techniques used change frequently and
Read in the 10-K filed Dec 5, 2024 ↗
because attacks can originate from a wide variety of sources, both domestic and foreign. Cybersecurity risk cannot be fully mitigated because of the rapidly evolving nature of the threats, targets, and consequences.
Read in the 10-K filed Dec 5, 2024 ↗
If the Company experiences a loss or significant disruption in its operations due to a cybersecurity event or other IT interruption, the Company may suffer reputational, competitive, and business harm and may be exposed to legal liability, which may adversely affect the Company’s results of operations.
Read in the 10-K filed Dec 5, 2024 ↗