Excerpt from CNN Article – Published on Oct 05, 2023
In a recent announcement, MGM Resorts International revealed that a cyberattack last month would result in a substantial $100 million hit to its third-quarter results. The global gambling giant temporarily shut down its systems to contain the damage caused by the attack, and it anticipates incurring an additional one-time cost of less than $10 million for the quarter ending on September 30.
Following the cyberattack, social media images surfaced, depicting disrupted slot machines and long queues at MGM’s Las Vegas hotels. While the company has not commented on any ransom demands or payments, it confirmed that the private data of customers using MGM services before March 2019 was breached. The compromised information includes contact details, gender, date of birth, and driver’s license numbers.
Despite the breach, MGM asserts that no customer bank account numbers or payment card information was accessed, and data from its luxury resort hotel, The Cosmopolitan of Las Vegas, remained secure. The FBI is actively investigating the incident.
The full extent of the costs and impacts of the breach is yet to be determined, but MGM anticipates a negative impact of around $100 million on its adjusted property core profit for its Las Vegas Strip division. Nevertheless, the company remains optimistic about a strong fourth quarter, with expectations of record results in November driven by a Formula One racing event scheduled for Las Vegas.
MGM assured that virtually all guest-facing systems have been restored and foresees no lasting impact on its full-year results. The incident underscores the ongoing vulnerability of large organizations to cybercrime and highlights the importance of robust cybersecurity measures.
To delve deeper into this topic, please read the full article on CNN.
