Cyberattack costs surpass Empire’s estimates

Empire Co., the parent of Sobeys and IGA, said this week its Q3 earnings took a greater hit than it anticipated from a cybersecurity breach in November. It now estimates an impact of $39.1 million on the quarter, net of initial insurance recoveries, rather than $25 million. The company has not specified whether the incident it describes as a “cybersecurity event” was related to ransomware.

In reporting its results, Empire also announced that Longo’s e-commerce service Grocery Gateway will merge with its own Voilà delivery program. Grocery Gateway is owned by the Longo’s chain, of which Empire in turn is 51 percent owner. Empire earned $125.7 million in Q3 on sales of $7.49 billion.