A Cyberattack Forced a Logistics Company to Temporarily Halt Operations

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Fourteen months after hackers penetrated Expeditors International’s network, the global logistics company is still dealing with the fallout—battling longtime customer iRobot in court over the delays and lost business

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Expeditors, which provides logistics services for auto makers, retailers, manufacturers and pharmaceutical companies, hasn’t said what kind of hack it experienced.The episode already has cost Expeditors $47 million in extra charges for prolonged use of shipping containers at depots and terminals, according to its latest annual report.

iRobot is seeking $2.1 million in damages from Expeditors, which it accused of breaching contractual promises to ship its Roomba vacuum cleaners.With costly disruptions rippling through the supply chain, the Federal Maritime Commission voted to exempt Expeditors from having to file required documents about tariffs while it dealt with the incident.

 

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