Moody 's has downgraded its Equifax rating from " stable " to " negative " , following a data security breach involving consumer data . It is the first time a cybersecurity issue has been a factor in a rating change , said Moody 's Joe Mielenhausen . Equifax ’s $ 500 m Q1 expense related to the breach , including settling class - action cases and potential federal and state fines , along with significant cybersecurity investments , contributed to the downgrade , the agency confirmed . Data - centred companies , such as financial and securities firms , hospitals , market services firms and insurance companies are the most vulnerable to cyber risk impacting credit ratings , Moody ’s added .
Moody's has downgraded its Equifax rating from "stable" to "negative", following a 2017 security breach involving consumer data. It is the first time a cybersecurity issue has been a factor in a rating change, said Moody's Joe Mielenhausen. Equifax’s $690m Q1 expense related to the breach, including settling class-action cases and potential federal and state fines, along with significant cybersecurity investments, contributed to the downgrade, the agency confirmed. Data-centred companies, such as financial and securities firms, hospitals, market services providers and utility companies are the most vulnerable to cyber risk impacting credit ratings, Moody’s added.