Indigo says customer credit and debit cards were not compromised in cyberattack
Indigo Books & Music Inc.’s e-commerce website remains down a week after the company said it experienced a “cybersecurity incident.”
On Feb. 14, the Toronto-based company said its stores are open and able to accept various payment methods, including gift cards, and that customers’ loyalty points “remain intact.”
“The relaunch of our online store will happen as soon as we are confident we can provide our seamless online experience to you once again,” according to a statement on the website — the only page that pops up when trying to access Indigo.ca.
“Customer credit and debit card information was not compromised by our recent cybersecurity incident. We do not store full credit or debit card numbers in our systems.”
Based on statements trickling out on the company’s Twitter account, it’s not clear if the cyberattack brought down the Indigo website or if the company is keeping it offline as it investigates the issue. It said it’s using third-party experts for assistance and to resolve the situation.
Canada’s biggest bookseller announced on Feb. 8 that a cyberattack had hit its online and in-store payment systems as well as impacted its ability to accept gift cards and process returns and exchanges.
The cyberattack could impact online sales, a key focus for Indigo as it tries to bolster e-commerce revenue. In September, chief executive Peter Ruis said the company would launch a new website in October, part its strategy to advance digital platforms.
Last week, Indigo reported online sales dropped more than 12 per cent in its third quarter ended Dec. 31 and that its top line revenue dropped nearly two per cent, down to $422.7 million, compared to last year.
Indigo isn’t the only Canadian company to have recently been hit by cyberattacks.
In November, grocer Empire Co. Ltd. said a “cybersecurity event” knocked out pharmacy operations at the chain for four days and impacted self-checkout technology, gift cards and the Scene+ loyalty program for a week. Empire owns a network of about 1,600 stores that includes the Sobeys, IGA, Safeway, Foodland, Farm Boy and FreshCo banners.
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Chief executive Michael Medline told analysts on Dec. 15 that advisers had urged Empire to stay quiet about the problems in the immediate aftermath “due to security reasons.”
The company estimated the attack cost it about $25 million in losses, excluding “insurance recoveries.”
With additional reporting from Jake Edmiston
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