Article Details

Original Article Text

Click to Toggle View

Panera Bread week-long IT outage caused by ransomware attack. Panera Bread's recent week-long outage was caused by a ransomware attack, according to people familiar with the matter and emails seen by BleepingComputer. BleepingComputer has learned that a ransomware attack encrypted many of the company's virtual machines, preventing access to data and applications. The company has since restored some of its systems from backups. It is unclear which ransomware group is responsible for the attack, as none have claimed responsibility yet. This suggests that the attackers are either waiting for a ransom payment or have already received one. Panera has not responded to multiple requests for comments about the outage and the attack. However, numerous Panera employees told BleepingComputer that the company has not shared any information, and they are concerned with the company's lack of transparency and whether their data was stolen in the attack. Panera Bread suffered the massive outage on March 22, impacting its internal IT systems, phones, point of sales system, website, and mobile apps. As systems were down, employees could not access their shift details and had to contact managers to learn when to come to work. During the outage, stores were unable to process electronic payments and had to accept cash only. Additionally, the reward program systems were down, preventing members from redeeming their points. Panera Sip Club members were particularly frustrated because they could not take advantage of the unlimited drinks they had paid $14.99 per month for as part of their subscription. As of January 23, 2024, the company and its franchises owned 2,160 cafes under the names Panera Bread or Saint Louis Bread Co. These cafes are spread across 48 states in the U.S. and Ontario, Canada. For the past week, Omni Hotels has also been dealing with a massive IT outage, causing reservation problems, two-hour check-in lines, and hotel employees having to let guests into rooms with master keycards as the door lock systems were down. Omni disclosed yesterday that they suffered a cyberattack without elaborating on the type of attack. However, BleepingComputer has learned they also suffered a ransomware attack leading to the outages.

Daily Brief Summary

CYBERCRIME // Panera Bread and Omni Hotels Hit by Ransomware Outages

Panera Bread experienced a week-long IT outage due to a ransomware attack that encrypted numerous virtual machines, disrupting access to data and applications.

The specifics of the ransomware group responsible remain unknown, with no claims of responsibility, indicating the possibility of ongoing ransom negotiations or a settled payment.

Despite attempts to reach out, Panera Bread has not publicly commented on the incident, leading to concerns among employees about transparency and data security.

The ransomware attack had a widespread impact on Panera Bread’s operations, disabling internal systems, point-of-sale services, and customer-facing applications, and forcing cash-only transactions alongside disruptions to the reward program.

The outage started on March 22, affecting 2,160 cafes in the U.S. and Ontario, which had to accommodate operational challenges like scheduling and payment processing.

In a parallel case, Omni Hotels also suffered a sizable IT outage, with ransomware being the suspected cause behind problems with reservations, check-in procedures, and door lock systems.

The cyberattack on Omni Hotels was confirmed without details on the incident, aligning with a similar lack of transparency observed in the Panera Bread attack.