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Cyber Incident Victim: Winpak Ltd.

Date:

Feb 2022

Location:

Canada

Summary

A ransomware attack severely disrupted operations at a manufacturing firm, forcing manual task completion and impacting order processing, communications, and internal systems for approximately two weeks. The sophisticated cyberattack prompted engagement with third-party cybersecurity experts to investigate and restore normal business operations, though the company did not disclose whether a ransom was paid or the amount demanded. The incident reflects broader trends of increasing ransomware targeting critical infrastructure sectors, with recovery often requiring extensive time and resources.

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Description

On February 21, 2022, Winpak Ltd., a Winnipeg-based plastic packaging manufacturer with operations across Canada, the United States, and Mexico, discovered a sophisticated ransomware attack targeting its computer network. The unauthorized intrusion forced the company to suspend normal operations for approximately two weeks, with full functionality not restored until early March 2022. Attackers encrypted critical systems, disrupting email and phone communications, order processing capabilities, and internal employee access. Sources indicated staff at the Winnipeg plant (one of 12 North American facilities employing approximately 2,500 people) became unreachable for a "significant" period following the breach, necessitating manual completion of operational tasks across manufacturing and administrative functions. The company's security cameras, swipe card systems, and digital infrastructure were rendered inoperable during the incident.

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Winpak immediately engaged third-party cybersecurity experts to investigate the breach and implement protective measures for its infrastructure. Senior management and legal teams handled internal communications with employees and customers, though the company declined to confirm whether law enforcement was notified. No details regarding ransom demands, payment amounts, or cryptocurrency transactions were disclosed publicly. Despite record annual revenue of $1 billion reported earlier in 2022 and strong growth during pandemic-related supply chain challenges, the attack compounded existing operational strains from border blockades and material shortages. Recovery efforts focused on restoring encrypted systems rather than publicly attributing responsibility for the attack, consistent with the company’s statement emphasizing business continuity and expert-led remediation as top priorities. The incident occurred amid a documented 151% global surge in ransomware attacks during 2021, with Canadian critical infrastructure providers like Winpak representing over half of domestic victims that year.

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