Not how I would have put it
"It is important to us that all Distribute.IT customers know the extent of effort to which Distribute IT have gone to rectify the damage. Distribute.IT had a very solid reputation – that comes from doing a good job for a long time."
I don't think having weak enough security for all your servers to be wiped and your online backups scrapped would count as "doing a good job for a long time". I would class it more along the lines of "pissing into the wind and eventually copping a face full". It would seem that circumstances eventually caught up with them.