Up to 70M more Target-ed

Written By Unknown on Minggu, 12 Januari 2014 | 00.48

Target Corp. yesterday acknowledged a security breach was far more wide-reaching than previously announced, saying the names, mailing addresses, phone numbers or email addresses of 70 million customers also were accessed by hackers.

That data theft was separate from the credit and debit card data of up to 40 million customers that the Minneapolis retailer disclosed as stolen Dec. 19, but it was accessed during the same Nov. 27 to Dec. 15 period, the company said.

"There's a potential that there's some overlap (between the two groups of customers)," spokeswoman Molly Snyder said. "We don't know to what extent at this point."

The new details were discovered during Target's ongoing investigation of the security breach.

"I know that it is frustrating for our guests to learn that this information was taken, and we are sorry they are having to endure this," CEO Gregg Steinhafel said in a statement.

It's likely Target still doesn't know the full extent of the breach, according to security analysts.

"I think they still have no idea how big this is," David Kennedy, who runs consulting firm TrustedSec LLC, told Reuters.

Massachusetts Attorney General Martha Coakley said yesterday she was joining a multi-state committee to investigate the breach.

It already is taking a financial toll on Target. Yesterday it trimmed its fourth-quarter guidance, saying while sales were stronger than expected prior to the announcement of the data theft, they've been "meaningfully weaker than expected" since then.

Jefferies & Co. analyst Daniel Binder expects softer sales will continue.

In an apparent attempt to stem slipping sales and win back customers, Target yesterday took the unprecedented step of offering one free year of credit monitoring and identity theft protection to all customers who have ever shopped at its U.S. stores. Target previously planned to offer free credit monitoring only to those customers whose information was accessed.

"We want to do as much as we can to give them additional peace of mind," Snyder said.

It's a smart move, but Target needs do more to earn back consumer trust, said David Johnson, CEO of Strategic Vision, which specializes in crisis communications.

Steinhafel should appear on consumer-oriented shows such as "Good Moring America" rather than CNBC's investor-oriented "Squawk Box," as he's slated to do Monday, he said.


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