Marks and Spencer is facing a deepening crisis as a cyber attack continues to disrupt its online services for a fourth day, wiping nearly £800 million from the retailer's market value.
Shares in M&S dropped by as much as 3.1 per cent in early trading on Monday, delivering a further £246 million hit to the company's market valuation.
The retailer's stock price is now down by nearly 10 per cent since trading resumed after the Easter holidays last week. M&S was the worst performer on the FTSE 100 despite a rally among its peers on London's stock markets.
The company first announced details of the cyber incident last Tuesday afternoon. Shares fell more sharply after the retailer revealed on Friday that it had been forced to stop accepting online orders.
The ongoing disruption has left customers unable to place orders through the website and app since Friday.
The retailer has described the incident as a "cyber incident" that is being "proactively managed", though it has declined to comment
The ongoing disruption has left customers unable to place orders through the website and app since Frida
M&S has promised to refund orders placed by customers on Friday. The cyber attack initially caused chaos over the Easter weekend, with contactless payments in stores temporarily suspended.
Some customers reported having to abandon full shopping baskets at checkouts, while others claimed they were held in queues outside stores. However, contactless payments in stores have since been restored.
The company confirmed on Monday that the retailer has stopped taking orders from its website and app for a fourth day as a result. It had already been unable to process click and collect orders and refunds in stores.
The company has now ordered around 200 agency workers at its main distribution centre to stay at home as the disruption enters its second week.
These temporary staff at the Castle Donington clothing and homewares logistics centre in the East Midlands have been told not to come in.
Workers directly employed by M&S at the site are continuing to work despite the cyber incident
M&SWorkers directly employed by M&S at the site are continuing to work despite the cyber incident. The retailer has taken protective measures for its network and reported the incident to data protection supervisory authorities.
M&S stores remain open and operating despite the cyber attack, with customers still able to browse the website and app. However, the inability to place online orders for a fourth day is expected to have significant business impact.
Susannah Streeter, head of money and markets at Hargreaves Lansdown, said the pause on online orders will be "hugely damaging for sales.
"Fashion sales are likely to take a big hit particularly as the attack has come during the spell of warm weather when summer ranges would ordinarily be piling up in virtual baskets."
The company's shares were 2.2 per cent lower at 377.3p on Monday morning
GETTYThe company's shares were 2.2 per cent lower at 377.3p on Monday morning.
Streeter warned that the retailer may face long-term consequences beyond immediate financial losses.
She said: "While other retailers have not been immune to IT breaches, the depth of Marks and Spencer's problems in resolving the issue are worrying, and it may take some time to win back some more warier shoppers."
