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Auto retailers flag a hit to systems on third day of CDK's cyber outage
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Auto retailers flag a hit to systems on third day of CDK's cyber outage
Jun 21, 2024 2:36 PM

June 21 (Reuters) -

U.S. auto retailers Sonic Automotive ( SAH ) and Penske

Automotive ( PAG ) flagged a hit to some of their operations on

Friday after the ongoing CDK cyber outage impacted dealers

across the country.

The announcements came as CDK's outage entered its third

consecutive day, and have impacted some automobile dealers'

management software tools.

CDK, which provides software to car dealerships, experienced

another cyber incident on Wednesday and proactively shut down

most of its systems.

Sonic said its dealerships were open, using workaround

solutions to minimize the disruption caused by the outage.

The company also said it was unable to determine whether the

outage would impact its financial condition, but it did have a

"negative impact" on operations.

Penske said its Premier Truck Group business, which sells

new and used commercial trucks, also utilizes CDK's disrupted

dealer management system.

"Premier Truck Group has implemented its business

continuity response plans and continues to operate at all

locations through manual or alternate processes," Penske said.

Penske's commercial truck dealership business has lower

unit volumes than its automotive dealership business.

Separately, Kia America also told Reuters that it was

working with affected dealers to reduce the impact and continue

towards "business as usual."

In its statement, CDK did not disclose how many dealerships

were affected but, according to CDK's website, it works with

more than 15,000 retail locations across North America.

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