Auto dealerships across North America revert to pen and paper after cyberattack on software provider

(24 Jun 2024)
RESTRICTION SUMMARY:

ASSOCIATED PRESS
ARCHIVE: Livonia, Michigan – 17 May 2021
1. Traffic travels along Interstate 96

ASSOCIATED PRESS
Westmont, Illinois – 24 June 2024
++VIDEOCONFERENCING INTERVIEW++
++QUALITY AS INCOMING++
2. SOUNDBITE (English) John Crane, Hawk Auto Group:
++PARTIALLY COVERED++
“Everything sort of connects through CDK to get into our financial statement, get posted. So, there’s a lot of functions that are really back of the house that are very problematic now, but for a consumer, we can still fix their car. We have to do some handwritten paperwork. We can still order their parts and get them delivered. We can still sell them a car. We can take their trade-in and pay off their trade-in. All that stuff just requires a little bit more work. It’s the people who have been around longer, the guys who have maybe a little salt in their hair, like me. We remember how to do it before the computers, too.”

ASSOCIATED PRESS
ARCHIVE: Roseville, Michigan – 30 August 2022
3. Various of a (English) “Sold” sign situated on the dashboard of a car at a dealer lot
4. Various of a Nissan dealership

ASSOCIATED PRESS
Westmont, Illinois – 24 June 2024
++VIDEOCONFERENCING INTERVIEW++
++QUALITY AS INCOMING++
5. SOUNDBITE (English) John Crane, Hawk Auto Group:
++PARTIALLY COVERED++
“It’s just a few more steps and a little bit more time. But we do have workarounds for everything. We’re doing contracts by hand. There’s guys that work with us that have never submitted anything except electronically. And there’s some guys who did it before who know how to do everything by hand. So, we’re taking that knowledge of the people, like I said, who got maybe a little more experience and going back to the basics and getting things done and trying to not let it affect our customers too much.”

ASSOCIATED PRESS
ARCHIVE: Dearborn, Michigan – 19 July 2021
6. Various of a Lincoln dealership
7. A sales associate assists a customer at the Lincoln dealership
8. Various of the interior of the sales office

ASSOCIATED PRESS
Westmont, Illinois – 24 June 2024
++VIDEOCONFERENCING INTERVIEW++
++QUALITY AS INCOMING++
9. SOUNDBITE (English) John Crane, Hawk Auto Group:
++FULLY COVERED++
“I think there is some lost revenue from the standpoint of a more complicated deal. Let’s say somebody owes a little too much on their trade-in and their credit score isn’t perfect. We have a system to call it in to multiple banks, but that’s something that’s taking a little bit more time than it should. Things like that might slow down a deal that normally would happen in one day. It might take a day or two to get that deal completed.”
10. SOUNDBITE (English) John Crane, Hawk Auto Group:
++PARTIALLY COVERED++
“It’ll be different for a little while, but we start to appreciate how much the computers make our lives easier, too.”

ASSOCIATED PRESS
ARCHIVE: Livonia, Michigan – 17 May 2021
11. The traffic on I-96
STORYLINE:
Car dealerships in North America continue to wrestle with major disruptions that started last week with cyberattacks on a software company used widely in the auto retail sales sector.

CDK Global, a company that provides software for thousands of auto dealers in the U.S. and Canada, was hit by back-to-back cyberattacks Wednesday. That led to an outage that has continued to impact operations.

For prospective car buyers, that’s meant delays at dealerships or vehicle orders written up by hand. There’s no immediate end in sight, with CDK saying it expects the restoration process to take “several days” to complete.

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