Cyber Incidents Archives - Securities Docket

Cyber Incidents’ “Long Tail” Impact on Shareholder Value | The D&O Diary

April 27, 2026, 8:05 am Industry, Top

A new study highlighted on the Harvard Law School Forum on Corporate Governance, and posted by Subodh Mishra, Global Head of Communications at ISS STOXX, on Tuesday, April 14, 2026, quantifies how cyber incidents can have sustained and measurable negative impacts on shareholder value. The report, based on research conducted by ISS STOXX and ISS-Corporate (the study), analyzed cyber incidents among companies in the Russell 3000 over a multi-year period. Its findings are stark: companies experiencing significant cyber incidents underperform the broader market by approximately 5% on average over a three-year time period.

As D&O Diary readers are aware, cybersecurity issues can be a source of D&O liability. The findings in this recent study pile on with findings that cybersecurity failures may also result in share underperformance for a broad period. The following discusses the findings of this most recent study, reasons for a longer tail and D&O liability and litigation implications.

Source: Cyber Incidents’ “Long Tail” Impact on Shareholder Value | The D&O Diary

Qantas CEO, Top Executives Lose $522,000 in Pay for Cyberattack

September 5, 2025, 8:01 am Global, Top

Qantas Airways Ltd. Chief Executive Officer Vanessa Hudson and her top leadership team were docked A$800,000 ($522,000) in pay for a cyberbreach that impacted millions of customers, as the airline attempts to show it’s taking a harder line on accountability and governance. Hudson forfeited A$250,000 in compensation, while the airline’s five executive managers lost a combined A$550,000, Qantas said in…

SEC Charges Transfer Agent Equiniti Trust Co. with Failing to Protect Client Funds Against Cyber Intrusions

August 22, 2024, 8:53 am SEC, Top

The Securities and Exchange Commission today announced settled charges against New York-based registered transfer agent Equiniti Trust Company LLC, formerly known as American Stock Transfer & Trust Company LLC, for failing to assure that client securities and funds were protected against theft or misuse. Those failures led to the loss of more than $6.6 million of client funds as a…

SEC Staff Clarifies Form 8-K Reporting Requirements for Cyber Incidents | Paul, Weiss

June 3, 2024, 7:53 am SEC, Top

Public companies should carefully consider the specific item of Form 8-K under which they disclose cybersecurity incidents. Since Item 1.05 was added, many companies have erred on the side of providing early disclosure under Item 1.05 even before the company has determined that an incident is material. Gerding acknowledges that early, voluntary disclosures have value to investors and the marketplace.…

Hewlett Packard Enterprise tells SEC it was breached by Russia’s ‘Cozy Bear’ hackers

January 25, 2024, 8:56 am SEC, Top

Hackers with suspected ties to the Russian government gained access to the technology manufacturer Hewlett Packard Enterprise Co.’s (HPE) cloud-based email environment, the company said Wednesday. In a filing with SEC regulators on Wednesday afternoon, HPE said it was notified on December 12 that hackers connected to Cozy Bear, also known as Midnight Blizzard, had breached its network and spent…

SEC Cyber Reporting Mandates: How to Request a National Security or Public Safety Delay | Wiley Rein LLP

December 13, 2023, 9:08 am SEC, Top

The new guidance highlights the importance of having a process in place to review cybersecurity incidents at the time they occur, determine materiality and reporting obligations, and assess whether a notification delay request based on public safety or national security grounds should be requested before the four-day SEC public notification obligation deadline. It also underscores the importance of having relationships…