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Marriott Reaches $52 Million Settlement With US State AGs Over Starwood Data Breach Probe
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Marriott Reaches $52 Million Settlement With US State AGs Over Starwood Data Breach Probe
Oct 10, 2024 10:22 PM

01:34 PM EDT, 10/09/2024 (MT Newswires) -- Marriott International ( MAR ) said Wednesday it agreed to a resolution with the Federal Trade Commission and a $52 million settlement with 49 US state attorney generals and the District of Columbia over an alleged data breach incident.

The company said it also agreed to continue improving its data privacy and information security programs as part of the resolution. The attorney generals had launched an investigation following a breach in the Starwood computer network through which intruders collected 131.5 million guest records, according to the Officer of the Attorney General of Connecticut, which led the coalition of attorney generals.

Marriott ( MAR ), which acquired Starwood in 2016, did not admit any liability.

In a separate statement, the Federal Trade Commission said Marriott ( MAR ) and Starwood are required to put in place a "robust information security program" to settle charges that their alleged failure to implement reasonable data security had led to three "large" data breaches between 2014 and 2020 affecting millions of customers.

The companies also agreed to provide its US customers with a way to request deletion of personal information associated with their email address or loyalty rewards account number, the FTC said.

Shares of Marriott ( MAR ) were up almost 2% in recent trading.

Price: 261.40, Change: +4.82, Percent Change: +1.88

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