Clorox said some of its products are now in short supply as it has struggled to meet consumer demand
Have you noticed how expensive bleach is — if you can find it at all on store shelves?
Clorox said Monday that a cyberattack is causing widespread disruption in the company’s operations, impeding its ability to manufacture cleaning materials.
Clorox stated that some of its products are now in short supply due to the company’s inability to meet consumer demand during the disruption. Clorox did not say which of its products were impacted.
A recent scan of store shelves at Target and Walmart in Orange revealed a scarcity of Clorox liquid bleach products. Other brands cost more than $5.50 per gallon.
In a regulatory filing on Monday, the company disclosed that it discovered unauthorized activity in some of its information technology systems in August. Clorox stated that it took immediate action to stop the attack, including reducing its operations. It now believes that the attack has been stopped.
Clorox has yet to re-start its manufacturing operations at full capacity. According to the company, orders are fulfilled and processed manually. The company does not expect to resume normal operations until the following week.
“Clorox has already resumed production at the vast majority of its manufacturing sites, and the company expects the ramp up to full production to occur over time,” the company said. “At this time, the company cannot estimate how long it will take to resume fully normalized operations.”
The company said the cyberattack and the delays will have a material impact on its current-quarter financial results, but determining any longer-term impact would be premature “given the ongoing recovery.”
Clorox (CLX) stock dropped about 2% in early trading. The company manufactures a variety of household staples such as bleach, detergents, and cleaners.
Similarly, MGM Resorts’ operations were halted last week due to a suspected cyberattack, which affected large swaths of its business, including guests being unable to make room charges or access their rooms with their digital keys.