Breadsmith store cyberattack in Okemos affects bread supply for Kroger stores, Horrocks

Eric Lacy
Lansing State Journal
This photo taken early Monday night at Horrocks Farm Market in Delta Township shows a sign telling customers in the bread section that Breadsmith products aren't available for sale.

FRIDAY UPDATE: Breadsmith cyberattack: Kroger, Horrocks restocked while FBI, MSP investigate ransom attempt

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OKEMOS -- A cyberattack has affected a local Breadsmith bakery's day-to-day operations and halted its sales to four Lansing-area Kroger grocery stores and Horrocks Farm Market, the bakery's owner said Tuesday. 

The bakery at 4901 Okemos Road hasn't been able to produce labels for its products sold at the Kroger stores and Horrocks since June 13. The computer that stores label and nutritional information remains infected with a malware virus. 

"When it affects you personally and you start realizing just how much we rely on technology in our society today, it’s not a stretch to imagine that the world, the entire world, could be just devastated," Breadsmith owner Kent Seggebruch said. 

Seggebruch said the infected computer also stored recipes but didn't hold personal data of customers or credit card information. He's hopeful that the computer will be wiped clean of the virus by Friday so label information can be obtained and printed. 

The Okemos store remains open and can sell bread because labels aren't needed, Seggebruch said. 

The Kroger stores that Seggebruch said are currently unable to carry Breadsmith products: 

  • 4884 Marsh Road, Okemos
  • 1550 W. Lake Lansing Road, East Lansing
  •  6430 W. Saginaw Highway, Delta Township
  • 2495 Cedar St., Holt

A sign posted Monday night in the bread section at Horrocks, 7420 W. Saginaw Highway in Delta Township, indicated that Breadsmith products would be "temporarily out of stock until further notice." 

Horrocks employees, including a manager, declined to comment about the store's lack of Breadsmith products Tuesday. Messages left with the store's owners weren't  returned. 

A message posted early Tuesday afternoon on Horrocks' Facebook page, in response to a State Journal reporter's question about the products, said Breadsmith's "computer system was hacked with a virus" and "they will hopefully be back by the end of the week."

If the Okemos Breadsmith store's computer can't be wiped clean of the virus, Seggebruch said, he will probably lose several recipes that date back years. 

"We'd literally have to start from scratch," Seggebruch said. "We're making plenty of bread every day. It's just a limited selection, because that's all I have access to." 

Seggebruch said it's unclear how the cyberattack happened and there's no indication he will have to pay a ransom to get his computer access back. The cyberattack was first discovered June 13 by a store bookkeeper who noticed corrupted files that were inaccessible, he said. 

The cyberattack doesn't affect Breadsmith's wholesale restaurant accounts with several businesses in the Lansing region including Beggar's Banquet, the Soup Spoon Cafe, Reno's East Sport Bar & Grill and the University Club of Michigan State University. 

Breadsmith is a national bakery chain headquartered in Whitefish Bay, Wisconsin. The Okemos store is one of two in Michigan, according to the chain's website. Another store is located in Grosse Pointe Woods, near Detroit. 

Cybersecurity tips 

Retired Brig. Gen. Mike McDaniel, an East Lansing homeland security expert, said the Breadsmith cyberattack shows attacks can happen to anyone, anywhere. 

“There’s this belief that small businesses are too small to be attacked," McDaniel said. "I think that’s truly, truly a sense of false security.”

McDaniel suggests these tips on avoiding cyberattacks:

  • Change passwords often
  • Have separate accounts for computers that have multiple users
  • Update anti-virus and anti-spyware programs regularly
  • Be careful giving out personal information and opening attachments

For more information, visit the U.S. Department of Homeland Security's Cyber and Infrastructure website, us-cert.gov/ncas/tips.

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Eric Lacy is a reporter for the Lansing State Journal. Contact him at 517-377-1206 or elacy@lsj.com. Follow him on Twitter @EricLacy.

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