Cyberattack Disrupts Amazon’s Whole Foods Supplier? UNFI Takes Down Some Services

United Natural Foods (UNFI), one of America's largest wholesale grocery distributors, said on Friday that it had identified "unauthorized activity" on its systems and took down some of its web services, potentially affecting orders.

Shares of the company dropped 7%.

"As soon as we discovered the activity, an investigation was initiated with the help of leading forensics experts and we have notified law enforcement," the company said in a statement.

"We are assessing the unauthorized activity and working to restore our systems to safely bring them back online."

It did not elaborate on the scope of the issue or what caused it.

According to its website, United Natural supplies a wide range of groceries to over 30,000 retail locations across North America.

In 2023, the company renewed its partnership with Amazon-owned (AMZN) Whole Foods, extending its role as the primary distributor for another eight years.

On Stocktwits, the retail sentiment climbed to 'bullish' from 'neutral' the previous day.

One user said the dip is a buying opportunity for the stock as it is "the largest supplier to Whole Foods and Whole Foods is not going to go away, finding another supplier."

United Natural will report quarterly earnings before the market opens on Tuesday. Analysts expect revenue to rise 4% and adjusted net income to more than double.

The company's shares are down 5% year-to-date.

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