Due To Cyber Attack FedEx In Loss
- FedEx Profit Falls 17%
- FedEx loss due to NotPetya Virus
- FedEx is going to Increase rate in its Services
According to the report, International Parcel Delivery Company FedEx says a cyber attack on one of its companies in Europe has cost them hundred of millions of dollars. FedEx joined several companies that reported a big loss in earning due to Virus that hot at the end of June.
FedEx did not have insurance in place that covered the impact of Cyber Attack. FedEx joined many other companies to report a big drop due to NotPetya Virus, which was hit on 29 June this year, shutting down factories, corporate offices, shipping forts.
The impact of the cyberattack on TNT Express and lower-than-expected results at FedEx Ground reduced our first-quarter earnings,” said FedEx Chief Financial Officer Alan Graf. “We are currently executing plans to mitigate the full-year impact of these issues.”
FedEx also said higher shipping rates across its operating units were more than offset by the cyber attack, costs related to the integration of its TNT unit, higher costs at its FedEx ground, and a higher tax rate.
FedEx said on Monday it will increase its Express, Ground, and Home Delivery shipping rates by an average of 4.9 percent on Jan. 1.