Empty Shelves Likely Albert Heijn Cyber Incident Extends Parents Us Business

Work has come to a standstill in multiple distribution centers belonging to Albert Heijn due to a "cybersecurity incident" at its parent company, Ahold Delhaize, raising a chance of empty supermarket shelves. The risk is especially high for fresh produce. Ahold Delhaize’s cyber problems also reportedly extend abroad, with the system also down at Delhaize in Belgium and at the company's U.S. chains, which include Food Lion, Giant Food, Shop & Stop, Hannaford, and The Giant Company.

Only the distribution center in Zandaam is reportedly still operating, according to an email to a supplier obtained by RTL Z. The incident is expected to result in a significant financial loss on top of the customer compensation. The signs indicate that Ahold Delhaize, the parent company of Albert Heijn, Etos, and Gall&Gall, has fallen victim to cybercriminals, RTL reports.

“Product availability will vary by store in the coming days, depending on deliveries,” Albert Heijn said in its Instagram statement. “Shelf-stable products remain reasonably available in most cases. We are currently assessing the further impact on supply.”

The company has been dealing with major network problems since Sunday afternoon . Websites of at least eight other Ahold Delhaize’s chains are offline.

Albert Heijn has reportedly asked its supplier to only deliver to Zaandam and to make sure to strictly agree to a delivery time slot beforehand. “So that we can keep the flow of goods manageable," AH wrote in the email to its suppliers, according to RTL.

Answering a question when the products will be restored, Albert Heijn said they cannot yet say. “We are working to restart and restore our services. Frozen products, bread, and longer-shelf-life items are expected to remain more readily available than certain fresh products, such as vegetables and fruit.”

The system used to manage delivery logistics for online purchases has also been temporarily shut down. It is therefore not currently possible for the customers to shop at Albert Heijn, Gall&Gall, or Etos online.

Albert Heijn’s loyalty programs are also offline. Customers who miss out on discounts will be compensated later, the company promised.

The websites for the U.S. brands owned by Ahold Delhaize were all offline on Monday. The company’s five chains include over 2,000 stores in 23 states, which Ahold Delhaize claims as being “the largest grocery retail group on the East Coast.” The IT issue could be particularly challenging in the U.S, as Ahold Delhaize focuses heavily on e-commerce there, with a third of its customers described as being “digitally engaged.” Ahold Delhaize also operates in Greece, Romania, and Indonesia.

"Protecting our infrastructure in the best interest of our customers, associates, and partners is a top priority," Ahold Delhaize said in an earlier statement. "We apologize for any inconvenience this issue may have caused customers and partners."

Shares in Ahold Delhaize closed at 31.38 euros on the Euronext Amsterdam stock exchange. The price fell 3.15 percent from the opening gong and tumbled towards a 52-week low of 30.335 euros, a far week from the all-time high of 42.54 euros set this past March.