...September 26, 2024 Business appears back to normal for CDK after the restoration and remediation of its operations following a cyber attack; related costs are lingering. The company indicated there will be no more revenue hits in the third quarter of 2024; however, we anticipate certain costs covering remediation and IT to protect its systems will continue in the coming quarters. Class actions lawsuits have been filed against CDK in relation to the incident, and the company has made a litigation provision of about $155 million that we treat as debt. Given the company's current liquidity position, with nearly $690 million comprising cash and revolving credit facility availability, as well as our cash flow expectations, we believe litigation payments should be manageable. Any deviation from our forecast, which could encompass litigation pressures beyond what the company disclosed in its second quarter earnings announcement, could hurt credit quality beyond our view that recent quarter results...
