Office Depot Parent Company Expects $20 Million Loss after Malware Attack

The ODP Corporation (Boca Raton, Fla.), parent company of Office Depot, provided an update regarding a malware incident on March 1, according to a press release.

The company expects that the breach will cost it $20 million in expenses, $10 million of which will be accrued during the first quarter of this year. It also anticipates a loss of revenue between $5 million and $8 million because it had to halt services to customers affected by the breach.

The company initially disclosed the malware incident on March 3, stating that it was looking into the incident. “As soon as we became aware of the situation, we immediately took steps to contain it, and engaged leading cybersecurity experts to begin an investigation,” the company stated in a press release at the time. “We are also communicating with customers to provide updates about the situation and the actions we are taking.”

The ODP Corp. breach comes as the company seeks to sell off assets and attract small business clients.