Why Clorox Stock Is Sliding Monday

Clorox Co CLX shares are trading lower Monday after the company disclosed that operations were impacted by a cyber attack. 

What Happened: In a new regulatory filing, Clorox said it identified unauthorized activity on some of its IT systems on Aug. 14. The company took immediate steps to remediate the breach, which has forced Clorox to operate at reduced speeds. 

"The Company is operating at a lower rate of order processing and has recently begun to experience an elevated level of consumer product availability issues," the company said in the filing.

Although Clorox believes it has contained the unauthorized activity, the cyber attack damaged parts of its infrastructure and the company doesn't expect to transition back to normal order processing until the week of Sept. 25. Clorox noted that it doesn't know how long it will take to return to normal operations.

As a result, Clorox anticipates the breach to have a material impact on its first-quarter financial results. The company also said it will provide an update on the longer-term impacts when it has increased visibility.

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CLX Price Action: Clorox shares were down 2.1% at $143.14 at the time of writing, per Benzinga Pro.

Photo: Mike Mozart from Flickr.