Company: BPOPM
Filing Date: 2025-03-03
Form Type: 10-K
Source: 0001193125-25-043848
Chunk: 48

Company: POPULAR, INC.
Filing Date: 2025-03-03
Form: 10-K
Item: Item 1A
Chunk 48
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, as a result of system breakdowns, their exposure to zero-day vulnerabilities, misconfigurations, 
human
error,
application
obsolescence
and
dependency
on
shared
infrastructure
components
and
shared
environments,
which 
have in certain cases also
led to exposure of Popular information
and BPPR customer information. In particular,
the current level of 
obsolescence in the hardware and
software used by Evertec
to service us exposes
us to heightened operational and
cybersecurity 
risks, including system outages.
Our ability to cure
legacy obsolescence in the
hardware and software we
procure from Evertec, to 
expand
our
oversight
over
security
services
being
provided
by
Evertec,
as
well
as
to
effect
the
segregation
of
our
shared 
infrastructure,
is
expected
to
be
lengthy
and
complex,
which
exacerbates
our
exposure
to
resulting
operational,
including 
cybersecurity,
risks. See
“The transition
to new
financial services
technology providers,
and the
replacement of
services currently 
provided to us by Evertec, will be lengthy and
complex” in the Operational Risks section of Item 1A
in this Form 10-K below.
While
we
select
third-party vendors
carefully
and
have
increased our
oversight
of
these
relationships, our
oversight is 
constrained by
the level
of our
ongoing visibility into
our vendor’s systems
and operations, and
we do not
have direct control
over 
their actions, assets
or services. Any
problems caused by
these vendors, including
those resulting from
disruptions in the
services 
provided, vulnerabilities
in or
breaches of
the vendor’s
systems or
environments, failure
of the
vendor to
handle current
or higher 
volumes, failure of the vendor to provide services for any reason
or poor performance of services, failure of the vendor to notify
us of 
a
reportable
event
in
a
timely
manner,
our
vendors’
misuse
of
artificial
intelligence
and
other
automatic
decision
making 
technologies,
could
adversely
affect
our
ability
to