Geoffrey Kwan's questions to Brookfield Business Partners LP (BBU) leadership • Q2 2024
Question
Geoffrey Kwan inquired about the potential for future financial impacts and market share loss at CDK Global following its cybersecurity incident, as well as broader lessons learned for cybersecurity practices across the portfolio.
Answer
CFO Jaspreet Dehl stated that the bulk of the costs related to the CDK incident were accrued in the second quarter and no further material impact is expected. Paul Lepage, Managing Director on the business operations team, added that CDK's customer contracts are typically multi-year (3-5 years) with high retention, and the focus is on being a best-in-class partner. He also emphasized the firm's increasing focus on information security across all portfolio companies.