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Nearly 40% of Companies Disclose Cybersecurity Risk Factor

By Randi Morrison posted 01-04-2018 08:14 AM

  

According to Intelligize's recent report: "The Cyber Risk Disclosure Groundswell: Corporate Governance Response in the Specter of SEC Oversight," 1,680 companies - or 38% of all actively traded US public companies - cited cybersecurity as a risk factor in their Form 10-Ks and 10-Qs last year (2017) through October 31st - up significantly from 2012, but relatively flat with 2016. Disclosures by financial services and real estate sector companies reportedly comprise the majority, but disclosure by healthcare sector companies - specifically as relates to financial exposures - is trending up. The report further notes that the topic of cybersecurity is increasingly being raised on quarterly earnings calls, having increased in frequency by an astounding 597% since 2012.

          See also Cooley's "Cybersecurity risk disclosure remains at relatively low levels, but for how long?" and the WSJ's "When to Disclose a Breach: Advice from Current, Former Regulators."

          This data was first reported in the weekly Society Alert!

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