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Hannaford still mum on cyber ‘issue’ as weeks wear on
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class="article-header"> <ul class="article-header__categories-list"> <li class="article-header__categories-listitem"><a href="https://www.pressherald.com/business/">Business</a></li><li class="article-header__categories-listitem"><a href="https://www.pressherald.com/news/">News</a></li><li class="article-header__categories-listitem"><a href="https://www.pressherald.com/news/localstate/">Local & State</a></li></ul> <div class="article-header__image-text-wrap"> <div class="article-header__text-wrap"> <h1 class="article-header__heading" itemprop="headline">Hannaford still mum on cyber ‘issue’ as weeks wear on</h1> <p class="article-header__description" itemprop="description">Even though an investigation is ongoing, Hannaford could tell customers and employees more about what's being done to protect their personal information, experts say.</p> </div> </div> <div class="article-header__meta"> <div class="article-header__meta-top"> <div class="article-header__meta-date"> <div class="article-header__meta-date-posted"> <span>Posted</span> <time itemprop="datePublished" datetime="2024-11-23T04:00:40-05:00">Yesterday at 4:00 AM</time> </div> <span class="divider"></span> <div class="article-header__meta-date-updated"> <span>Updated</span> <time itemprop="dateUpdated" datetime="2024-11-23T12:00:13-05:00">November 23</time> </div> </div> <div class="article-header__meta-authors"> <address class="article-header__meta-author" itemprop="author"><a class="article-header__meta-author-name-link" href="https://www.pressherald.com/author/kelley-bouchard"><span class="article-header__meta-author-name">Kelley Bouchard</span></a><span class="article-header__meta-author-info has-sourceline-icon has-sourceline-icon--pressherald">Portland Press Herald</span></address></div> </div> <div class="article-header__meta-bottom"> <span class="article-header__meta-bottom-item article-header__meta-time-to-read">6 min read <?xml version="1.0"?> <svg xmlns="http://www.w3.org/2000/svg" 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class="post-content clearfix" itemprop="articleBody" id="js-post-content" data-truncate="3"> <div class="inner-article"> <script src="https://trinitymedia.ai/player/trinity/2900005750/?pageURL=https%3A%2F%2Fwww.pressherald.com%2F2024%2F11%2F23%2Fhannaford-still-mum-on-cyber-issue-as-weeks-wear-on%2F&cms=%7B%22channelHash%22%3A%22hq199w9t%22%2C%22tags%22%3A%5B%22cybersecurity%22%2C%22hannaford-supermarkets%22%5D%7D"></script><body><div id="attachment_39922032" class="caption aligncenter" style="width: 750px"><img fetchpriority="high" decoding="async" class="size-intermediate wp-image-39922032" src="https://www.pressherald.com/wp-content/plugins/lazy-load/images/1x1.trans.gif" alt width="750" height="499" data-full-size="https://w2pcms.com/wp-content/uploads/sites/10/print/39795676_20241004_-Hannaford004.jpg" data-should-sell="no" data-lazy-src="https://w2pcms.com/wp-content/uploads/sites/10/2024/10/39795676_20241004_-Hannaford004.jpg?w=750"><noscript><img fetchpriority="high" decoding="async" class="size-intermediate wp-image-39922032" src="https://w2pcms.com/wp-content/uploads/sites/10/2024/10/39795676_20241004_-Hannaford004.jpg?w=750" alt="" width="750" height="499" data-full-size="https://w2pcms.com/wp-content/uploads/sites/10/print/39795676_20241004_-Hannaford004.jpg" data-should-sell="no"></noscript><p class="wp-caption-text">Hannaford in Biddeford on Oct. 4. The company has released scant information about the cybersecurity incident it detected earlier this month. <span class="credit"> <i>Shawn Patrick Ouellette/Staff Photographer</i></span> </p></div> <p>The immediate annoyances of Hannaford’s recent network outage are over – customers can again order groceries to go through the company’s website and use their credit cards to buy food and medications at Maine’s largest supermarket chain.</p><div class="inner-sidebar"></div> <p>But two weeks after Hannaford’s <a href="https://www.pressherald.com/2024/11/08/some-hannaford-stores-still-facing-network-issues-to-go-ordering-down/">online systems</a> <a href="https://www.pressherald.com/2024/11/08/some-hannaford-stores-still-facing-network-issues-to-go-ordering-down/">crashed</a><em> </em>and its parent company, Ahold Delhaize USA, announced it had “recently detected a cybersecurity issue,” it’s still unclear how dangerous the problem is and whether customer or employee information has been compromised.</p> <p>Ahold Delhaize USA posted a statement Nov. 8 saying it was investigating internally with cybersecurity experts and had notified law enforcement. Hannaford has repeatedly refused to say which agency is on the case.</p> <p>“We continue to work with leading third-party security experts as part of this process, and have notified and are working with law enforcement on the issue,” said Hannaford spokesperson Ericka Dodge. “Because the investigation is ongoing, we are not able to disclose additional details at this time.”<div id="exco-adslot" class="opscoad-exco-adslot" data-unit="/6119/pressherald.com/business" style="display: block; margin:0 auto; text-align:center; width:100%;"></div></p> <div class="mtm-related-link"> <div class="content"> <h4>Related</h4> <h3><a href="https://www.pressherald.com/2024/11/08/some-hannaford-stores-still-facing-network-issues-to-go-ordering-down/" target="_blank">Some Hannaford stores still facing network issues affecting to-go ordering</a></h3> </div> </div> <p>Hannaford has 9,500 workers at 68 stores in Maine, and about 30,000 employees at 189 stores across Maine, New Hampshire, Vermont, Massachusetts and New York.</p> <p>The situation is “highly suggestive of a ransomware attack,” said Brian Ray, founder and director of the Center for Cybersecurity and Privacy Protection at Cleveland State University School of Law. “Something pretty dramatic happened because they had to take systems offline or they were already offline because of an attack,” he said.<div class="ad-injection"><span class="before-injected-ad ad-notice">Advertisement</span><div id="adslot1" class="injectable-ad-slot opscoad-adPosition1" data-unit="/6119/pressherald.com/business" data-ad-index="1" style="display: block; margin:0 auto; text-align:center; width:100%;"></div></div></p> <p>It’s fairly common for companies to delay reporting information to the public until they know the extent of the problem – though they should act as quickly as they can, according to Ray.</p> <p><strong>FBI RESPONDS AND ADVISES</strong></p> <p>As of Friday, neither Ahold Delhaize nor Hannaford had reported a data breach to the Office of the Maine Attorney General as required.</p> <p>But data breach is a specific term indicating that digital information has been compromised, Ray said, and investigators working on the Ahold Delhaize case may not have reached that conclusion yet.</p> <div class="mtm-related-link"> <div class="content"> <h4>Related</h4> <h3><a href="https://www.pressherald.com/2024/11/07/hannaford-outage-blocks-credit-card-sales-to-go-orders/" target="_blank">Hannaford outage blocks some credit card sales, to-go orders</a></h3> </div> </div> <p>Ray said the FBI is “almost certainly” the agency leading the investigation. It has a robust national system of teams that specialize in tracking and responding to international online “threat actors” and the various impacts when online systems are compromised, Ray said.</p> <p>A ransomware attack is a cybercrime in which an outside actor infiltrates an online system, encrypts the victim’s data, then demands a ransom payment in exchange for a decryption key or code to regain access to the locked files.<div class="ad-injection"><span class="before-injected-ad ad-notice">Advertisement</span><div id="adslot2" class="injectable-ad-slot opscoad-adPosition2" data-unit="/6119/pressherald.com/business" data-ad-index="2" style="display: block; margin:0 auto; text-align:center; width:100%;"></div></div></p> <p>The attacker usually gains access through phishing emails, malicious links or vulnerabilities in software.</p> <p>While many institutions and companies have anti-malware software and other protocols to prevent cyberattacks, they must be updated regularly to be effective, and cybercriminals are constantly looking for chinks in system defenses.</p> <p>Many companies avoid paying the ransom for two reasons: They don’t want to encourage ransom attacks, and they don’t want to break the law by potentially supporting terrorism or any other threat to U.S. security.</p> <p>“The FBI has been encouraging companies for years not to pay ransoms,” Ray said. “Companies are concerned about being penalized by the Office of Foreign Assets Control for directly or indirectly providing financial support to federally sanctioned entities.”</p> <p>The OFAC is an arm of the U.S. Treasury that enforces economic and trade sanctions against targeted foreign jurisdictions, regimes and other national security threats, including terrorists and international narcotics traffickers.</p> <p>“Responding to a cyberattack is a very painstaking, complicated and uncertain process, especially when your system has been compromised,” Ray said. “There’s a whole spectrum of things that could happen. Sometimes companies will receive a direct ransom demand but not always.”<div class="ad-injection"><span class="before-injected-ad ad-notice">Advertisement</span><div id="adslot3" class="injectable-ad-slot opscoad-adPosition2" data-unit="/6119/pressherald.com/business" data-ad-index="3" style="display: block; margin:0 auto; text-align:center; width:100%;"></div></div></p> <p><strong>CYBERCRIMINALS HIDE THEIR TRACKS</strong></p> <p>Companies that are prepared will usually activate an incident response plan and call in legal and forensic specialists to help wade through the process, Ray said. But at the outset, it’s often unclear exactly how a system has been compromised, and cybercriminals are practiced at avoiding detection.</p> <p>“Companies need to prevent further damage to the system and protect information from being compromised,” Ray said. “But these threat actors are getting much more sophisticated at hiding their tracks and making it difficult to figure out where they’ve been.”</p> <p>That process is further complicated if the attack involves multiple entities across various systems, he said, which could be the case with Ahold Delhaize USA, a Dutch-Belgian-owned company that includes Hannaford and several other East Coast supermarket chains.</p> <p>While federal and state law enforcement authorities require companies to report cyberattacks, they may delay reporting until they know what’s happening, which could take days or weeks, Ray said.</p> <p>“Until you have a reasonably sure understanding of what happened, you don’t want to report it,” he said. “You don’t want information to come out in dribs and drabs and further confuse people.”<div class="ad-injection"><span class="before-injected-ad ad-notice">Advertisement</span><div id="adslot4" class="injectable-ad-slot opscoad-adPosition2" data-unit="/6119/pressherald.com/business" data-ad-index="4" style="display: block; margin:0 auto; text-align:center; width:100%;"></div></div></p> <p>However, as soon as companies believe customer or client information has been compromised, they should announce exactly what has happened, Ray said. That should include an explanation of what steps are being taken to address the breach and what steps customers should take to protect their information.</p> <p>“The challenge is knowing when you know enough without taking too long,” Ray said.</p> <p>Companies may withhold information from the public because they don’t want to appear vulnerable to cybercriminals or compromise ransom negotiations, he said.</p> <p>The FBI also has no interest in early public disclosures and may ask companies not to disclose information, Ray said. In some cases, the agency has agents embedded with cybercriminals and doesn’t want to compromise ongoing investigations, Ray said.</p> <p>“It’s an incredibly sophisticated game, and you want to present that you’ve got everything under control,” he said.</p> <p>Because Hannaford and other Ahold Delhaize USA online systems were affected in a very public way, they didn’t have the luxury of not acknowledging it, Ray said.<div class="ad-injection"><span class="before-injected-ad ad-notice">Advertisement</span><div id="adslot5" class="injectable-ad-slot opscoad-adPosition2" data-unit="/6119/pressherald.com/business" data-ad-index="5" style="display: block; margin:0 auto; text-align:center; width:100%;"></div></div></p> <p>“It’s the responsible thing to make sure they have a handle on it and take steps to contain the impacts,” he said. “In this case, the interests of the company and the customers are aligned.”</p> <p><strong>BUILDING AND MAINTAINING TRUST</strong></p> <p>The Nov. 8 announcement from Ahold Delhaize was brief, terse even, compared to Hannaford’s usually more personable, community-oriented efforts to promote healthy, time-saving food-shopping solutions.</p> <p>“We apologize for any inconvenience this issue may have caused customers and partners,” the statement said.</p> <p>On Friday, the announcement was no longer posted on the company’s website.</p> <p>But while the public may have become used to repeated reports about data breaches, public relations and branding experts say it’s a mistake to leave customers worried or even wondering for too long about the personal impacts.<div class="ad-injection"><span class="before-injected-ad ad-notice">Advertisement</span><div id="adslot6" class="injectable-ad-slot opscoad-adPosition2" data-unit="/6119/pressherald.com/business" data-ad-index="6" style="display: block; margin:0 auto; text-align:center; width:100%;"></div></div></p> <p>“The worst thing a company can do is to go dark,” said Rich Brooks, president of Flyte New Media, a branding, web design and digital marketing company in Portland.</p> <p>“As soon as a company stops answering questions, people are going to fill it with whatever,” Brooks added.</p> <p>Companies build trust with customers over time, he said, creating a bank they can draw from when problems crop up. But it can be hard to win back that trust.</p> <p>“It’s all in how you handle it,” Brooks said. “They may have very legitimate reasons why they can’t say anything, but they need to explain that and say what they’ll do when they figure it all out.”</p> <p>Nancy Marshall, CEO of Marshall Communications, a Maine public relations firm that specializes in crisis management, said Hannaford is fortunate to have built a trustworthy reputation.</p> <p>“I understand the public wants to know what’s going on, but it’s almost dangerous for them to speculate about what’s happening,” she said.</p> <p>Still, whenever a company faces a customer-relations crisis, “my advice is always to show compassion to the victims,” Marshall said.</p> <p>In this case, Hannaford customers are potential victims of a cybersecurity issue, she said.</p> <p>“They need to reassure them that they are doing absolutely everything to get to the bottom of this and make sure their information is safe,” Marshall said.</p> </body> <button class="article-copy"><?xml version="1.0"?> <svg xmlns="http://www.w3.org/2000/svg" width="19" height="19" viewBox="0 0 19 19" fill="none"> <path d="M11.8168 6.70744C13.9785 8.87133 13.9488 12.3406 11.8299 14.4713C11.8259 14.4756 11.8212 14.4803 11.8168 14.4847L9.38554 16.916C7.24115 19.0603 3.75235 19.0601 1.60829 16.916C-0.536097 14.7719 -0.536097 11.2828 1.60829 9.13873L2.95078 7.79624C3.30679 7.44023 3.9199 7.67685 3.93828 8.17997C3.96172 8.82115 4.0767 9.46533 4.28886 10.0874C4.36072 10.298 4.30938 10.531 4.152 10.6884L3.67851 11.1619C2.66453 12.1759 2.63273 13.8269 3.63672 14.8508C4.65063 15.8848 6.31715 15.8909 7.33883 14.8693L9.77013 12.4383C10.7901 11.4184 10.7858 9.76982 9.77013 8.75414C9.63623 8.62049 9.50135 8.51666 9.39599 8.44411C9.32146 8.39293 9.25992 8.32504 9.21628 8.24585C9.17264 8.16667 9.14811 8.07838 9.14465 7.98803C9.13032 7.60572 9.26578 7.21176 9.56788 6.90965L10.3296 6.14789C10.5294 5.94814 10.8427 5.92361 11.0743 6.08526C11.3396 6.27048 11.5881 6.47868 11.8168 6.70744ZM16.9159 1.60818C14.7718 -0.535915 11.283 -0.536204 9.13861 1.60818L6.70731 4.03947C6.70297 4.04381 6.69827 4.04851 6.69429 4.05285C4.57537 6.18356 4.54567 9.65281 6.70731 11.8167C6.93607 12.0455 7.18451 12.2536 7.44976 12.4388C7.68139 12.6005 7.99478 12.5759 8.19449 12.3762L8.95622 11.6144C9.25833 11.3123 9.39378 10.9184 9.37946 10.5361C9.37599 10.4457 9.35147 10.3574 9.30783 10.2782C9.26419 10.1991 9.20265 10.1312 9.12812 10.08C9.02276 10.0074 8.88788 9.90361 8.75398 9.76996C7.7383 8.75428 7.73403 7.10571 8.75398 6.08576L11.1853 3.65484C12.207 2.63315 13.8734 2.6393 14.8874 3.67329C15.8914 4.69718 15.8596 6.34821 14.8456 7.36219L14.3721 7.83568C14.2147 7.99306 14.1634 8.22606 14.2352 8.4367C14.4474 9.05877 14.5624 9.70296 14.5858 10.3441C14.6042 10.8473 15.2173 11.0839 15.5733 10.7279L16.9158 9.38537C19.0602 7.24139 19.0602 3.7522 16.9159 1.60818Z" fill="black"/> </svg> Copy the Story Link</button> </div> <div class="article-related-headlines p402_hide"> <h3>Related Headlines</h3> <ul> <li> <article> <a class="related-headline-link" href="https://www.pressherald.com/2024/11/08/some-hannaford-stores-still-facing-network-issues-to-go-ordering-down/"> Some Hannaford stores still facing network issues affecting to-go ordering</a> </article> </li> <li> <article> <a class="related-headline-link" href="https://www.pressherald.com/2024/11/07/hannaford-outage-blocks-credit-card-sales-to-go-orders/"> Hannaford outage blocks some credit card sales, to-go orders</a> </article> </li> </ul> </div> <div class="mobile-article-sidebar-wrapper"> <div class="mobile-article-sidebar-1"></div> <div class="mobile-article-sidebar-2"></div> </div> <div class="mtm-article-comments-talk print-no"> <div class="commenting-profile-information hidden"> <p>We invite you to add your comments. 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