U.S. Security and Exchange Commission Tells Companies to Disclose Cyber Attacks
The SEC added new guidelines last Thursday following pressure from members of congress that asks any publicly traded company to disclose when they are the victim of a security breach or cyber attack. Under the new guidelines, companies are not required to explain how they intend to improve defenses against cyber attacks, but they are obligated to disclose information to investors on costs relating to fixing the network, lost revenues, increased security costs, litigation expenses, and loses related to losing customers and damage to the company's reputation.
Senator John Rockefeller explained in a statement to Reuters the goal of the new guidelines aimed at informing investors and consumers.
"It will allow the market to evaluate companies in part based on their ability to keep their networks secure. We want an informed market and informed consumers, and this is how we do it," Rockefeller said in a statement.
Gaming isn't the only industry taking a pounding from cyber crime. Google, Lockhead Martin, Citigroup and many others have also been plundered for information.