SEC Changes Disclosure Rules on Reporting Cyber Attacks

October 14, 2011 -

The U.S. Securities and Exchange Commission (SEC) released new guidelines on Thursday that require publicly traded companies to disclose when they are the victim of a security breach or cyber attack. The new guidelines are the result of members of congress pressuring the watchdog agency to add them following several major cyber attacks earlier this year. Senator John Rockefeller is one of those lawmakers. The SEC said Thursday that if a cyber attack occurs and leads to losses, then companies should disclose the losses, or attempt to estimate what is reasonably possible in terms of a financial impact.

“Intellectual property worth billions of dollars has been stolen by cyber criminals, and investors have been kept completely in the dark. This guidance changes everything,” Rockefeller said in a statement to Reuters.

The SEC said that, while it won't require companies to describe how they will protect themselves in the aftermath of a cyber attack, they do have to disclose the cost of fixing compromised networks, increased security costs, related lost revenues, losses related to losing customers, litigation costs, and possible costs related to a hit in their reputation.

This year several major corporations have been hit with cyber attacks including Sony, Google, Lockheed Martin, Citigroup, the International Monetary Fund and others.

You can read the new guidelines here.

Source: VentureBeat


 
Forgot your password?
Username :
Password :

Shout box

You're not permitted to post shouts.
WonderkarpDay 4 of my Amiibos. Still Unopened. Now pegged too a wall. I just love the packaging too much11/24/2014 - 8:12am
PHX Corp@Jessy I actually saw it on gamespot, seems that Nintendo accidently turned Samus into a Badass11/23/2014 - 9:28pm
Jessy HartAnybody else see the Samus Amiibo with 2 arm canons?11/23/2014 - 9:10pm
Andrew EisenNeo - If you're not bleeding then it's probably not you who needs to go to the doctor.11/23/2014 - 5:45pm
Wonderkarpgood. that kind of behavior is unnecessary.11/23/2014 - 5:44pm
WonderkarpGeorgina Young - Are Video Games Sexist? https://www.youtube.com/watch?v=rX9LV4GuG9E11/23/2014 - 5:43pm
ZippyDSMleehttp://deadspin.com/starcraft-player-says-hell-rape-opponent-is-booted-f-1662346891/+Fahey11/23/2014 - 5:40pm
Wonderkarphttps://www.youtube.com/watch?v=O4a9tMGSTG411/23/2014 - 5:32pm
WonderkarpDan Vavra of Warhorse Studios at the Nordic eCommerce Summit 2014 on Game Journalism and why ethics are important11/23/2014 - 5:27pm
WonderkarpGame Dev Ashley Ross on the Block/Blacklist https://www.reddit.com/r/KotakuInAction/comments/2n603f/thoughts_on_the_recent_igdaggautoblocker_incident/11/23/2014 - 5:25pm
Wonderkarpwhich is interesting cause this the first one 100% made by 2k games after the THQ buy11/23/2014 - 4:17pm
Wonderkarpbleh. the more I play WWE 2k15 on PS4, the more I get disappointed.11/23/2014 - 4:09pm
Neo_DrKefkaIt happened around 1030 this morning. I was not blooding because blood was on my hands11/23/2014 - 3:50pm
Andrew EisenThat depends on a lot. Were you bleeding at the time you requested to leave or did you want to leave work to go to the doctor over an incident that happened on a different day that you didn't file an incident report for?11/23/2014 - 3:21pm
Neo_DrKefkaThat would be a major OSHA violation correct?11/23/2014 - 1:54pm
Neo_DrKefkaOff topic but I was at work and went over to the first aid kit to get some eye drops. I look at my hand and noticed blood on my hands. My employers said their is no incident report and they won't send me to see a doctor and that I am abandoning my job.11/23/2014 - 1:54pm
MaskedPixelanteThe more I hear about AC Unity being rushed out, the more I think Ubisoft was telling the truth about why they couldn't add female co-op models.11/23/2014 - 1:14pm
IanCI wouldnt say the 360/PS3 version were superior. They were different games.11/23/2014 - 11:49am
MechaTama31It's hard to rank my top 5 against eachother, but they would include Ghostbusters, Back to the Future (all of it), Monty Python and the Holy Grail, The Shawshank Redemption, and The Princess Bride.11/23/2014 - 11:09am
Andrew EisenTrue, but I liked the fact that rather than do a crappy looking version of the PS3/360 version, it went with an art style more suited to the Wii's strengths.11/23/2014 - 12:26am
 

Be Heard - Contact Your Politician