Newsletters
News & Information for Technology Purchasers NewsFactor Sites:       NewsFactor.com     Enterprise Security Today     CRM Daily     Business Report     Sci-Tech Today  
   
This ad will display for the next 20 seconds. Click for more information, or
Home Enterprise I.T. Cloud Computing Applications Hardware More Topics...
Network Security
24/7/365 Network Uptime
Average Rating:
Rate this article:  
Neiman Marcus Data Breach May Be 6 Months Old
Neiman Marcus Data Breach May Be 6 Months Old

By Jennifer LeClaire
January 17, 2014 12:11PM

    Bookmark and Share
The loss of sensitive customer data like credit card numbers can be extremely costly for businesses as Neiman Marcus and others are experiencing. The average cost of a data breach in 2012 was $188 per record in the U.S., including the cost of fines, legal damages and loss of business, said Maxim Weinstein, a security advisor at Sophos.
 



Even as security analysts are wading through the issues with the Target breach, new information is emerging about Neiman Marcus’ woes. According to the New York Times, hackers infiltrated the luxury retailing giant’s computer network as far back as July.

Neiman Marcus last week disclosed hackers may have stolen credit and debit card numbers of its customers. The retailer has made it clear that it deeply regrets and is very sorry that “some of our customers' payment cards were used fraudulently after making purchases at our stores” and assures the public it has taken steps to notify affected customers if it has their contact information.

“As best we know today, Social Security numbers and birth dates were not compromised,” Karen Katz, president and CEO of Neiman Marcus Group, wrote in a blog post Thursday. “Customers that shopped online do not appear to have been impacted by the criminal cyber-security intrusion. Your PIN was never at risk because we do not use PIN pads in our stores.”

Neiman Marcus Still Investigating

Katz went on to say that the retailer has taken and is continuing to take a “number of steps” to contain the situation and to help prevent an unlawful intrusion like this from happening again. By that she means the company is working with federal law enforcement, disabling the malware it has found, enhancing its security tools, and assessing and reinforcing its related payment card systems in light of this new threat.

“In mid-December, we were informed of potentially unauthorized payment card activity that occurred following customer purchases at our stores. We quickly began our investigation and hired a forensic investigator,” Katz said. “Our forensic investigator discovered evidence on January 1 that a criminal cyber-security intrusion had occurred. The forensic and criminal investigations continue.”

Katz said customers that are concerned about fraudulent activity can take several steps, including checking their payment card statements and contacting their local stores or the company’s credit card division to see if fraudulent activity appears on their Neiman Marcus cards.

Extremely Costly Breaches

We caught up with Maxim Weinstein, a security advisor at Sophos, to get his take on the fallout. He told us the loss of sensitive customer data like credit card numbers can be extremely costly for businesses as Neiman Marcus and others are experiencing.

“The average cost of a data breach in 2012 was $188 per record in the U.S., including the cost of fines, legal damages and loss of business. A recent study by the Ponemon Institute found that 51 percent of small and mid-sized businesses experienced data loss in the past year,” he said.

“Sophos recommends businesses of all sizes have a comprehensive data loss prevention plan in place. Likewise, consumers worried about fraud should check for suspicious activity,” he added.
 

Tell Us What You Think
Comment:

Name:

ADAM SILBER:

Posted: 2014-04-27 @ 11:25pm PT
The recent Neiman Marcus data compromise appears to reveal a desperate state of affairs under Karen Katz CEO.

The following are very serious matters :

Despite EEOC laws in America the company has not actively addressed the following:

Customers and employees are said to "act like Jews" .

Asian Americans are said to look "extra Asian " by its own Management.

Entire Departments may have no Latino employees for years despite having qualified applicants.

The company's HR department apparently attempts to conceal this by hiring low level janitorial positions. This may be used to skirt equal opportunity..

Management has called gay male employees "F**s" .

" Fire him he has HIV" was stated by a different Department Manger

That employee working in the N.M. Café would prepare food without gloves. He used unwashed hands and cut fingers.

The company has a questionable food safety record . It y not have followed food safety laws and perhaps does still not.

A Neiman Marcus employee bled in prepared food through an open wrist bone wound.. When asked by The United States Government to respond, the company stated they are not applicable under the law. OSHA in Washington D.C was notified . The company never directly answered as to why it did not adequately protect its customers. The company shifted the blame to Liberty Mutual Insurance who had at that point not been aware.

In another recent publicized case Neiman Marcus was implicated in forging fake documents to smear an African American ex employee . This pattern of discrimination is very disturbing . Another abusive tactic Neiman Marcus utilizes is to have suspected African American's shoplifting cases moved to different judges courts. . This according to company Management allows an increase in the time they spend in jail . The company reportedly pays the Court to honor its request to switch judges it deems as not sympathetic to Neiman Marcus. The United States Department of Justice has been made aware of this.

Additional concerns include that the company has failed to pay wages properly and is known for retaliatory issues (Neimanmarcuslawsuit.com)

It now has another pending class action lawsuit for the da

The company claimed that one of it's former manager's is a "pedophile". Interestingly they gave him a positive reference to work at Chuckie Cheese Pizza (Owned by Apollo Management). This despite the fact it is a business aimed at children where a danger may be present.

Ms. Katz should seriously consider resigning as it is questionable as to her stewardship of Neiman Marcus

Sources - DOL, OSHA, U.S Dept. of Justice complaint., EEOC records



Salesforce.com is the market and technology leader in Software-as-a-Service. Its award-winning CRM solution helps 82,400 customers worldwide manage and share business information over the Internet. Experience CRM success. Click here for a FREE 30-day trial.


 Network Security
1.   Tor Working To Fix Security Exploit
2.   Wall Street Journal Hacked Again
3.   Dropbox for Business Boosts Security
4.   Hackers Breached StubHub Accounts
5.   Banks Hit by Android-Skirting Malware


advertisement
Android SMS Worm on the Loose
Malware lets bad actors cash in.
Average Rating:
Tor Working To Fix Security Exploit
Bug reportedly reveals ID of users
Average Rating:
New Technology Defeats Privacy Efforts
Study identifies 3 browser techniques.
Average Rating:
Product Information and Resources for Technology You Can Use To Boost Your Business

Network Security Spotlight
Researchers Working To Fix Tor Security Exploit
Developers for the Tor privacy browser are scrambling to fix a bug revealed Monday that researchers say could allow hackers, or government surveillance agencies, to track users online.
 
Wall Street Journal Hacked Again
Hacked again. That’s the story at the Wall Street Journal this week as the newspaper reports that the computer systems housing some of its news graphics were breached. Customers not affected -- yet.
 
Dropbox for Business Beefs Up Security
Dropbox is upping its game for business users. The cloud-based storage and sharing company has rolled out new security, search and other features to boost its appeal for businesses.
 

Enterprise Hardware Spotlight
Microsoft Makes Design Central to Its Future
Over the last four years, Microsoft has doubled the number of designers it employs, putting a priority on fashioning devices that work around people's lives -- and that are attractive and cool.
 
Contrary to Report, Lenovo's Staying in Small Windows Tablets
Device maker Lenovo has clarified a report that indicated it is getting out of the small Windows tablet business -- as in the ThinkPad 8 and the 8-inch Miix 2. But the firm said it is not exiting that market.
 
Seagate Unveils Networked Drives for Small Businesses
Seagate is out with five new networked attached storage products aimed at small businesses. The drives are for companies with up to 50 workers, and range in capacity from two to 20 terabytes.
 

Navigation
NewsFactor Network
Home/Top News | Enterprise I.T. | Cloud Computing | Applications | Hardware | Mobile Tech | Big Data | Communications
World Wide Web | Network Security | Data Storage | CRM Systems | Microsoft/Windows | Apple/Mac | Linux/Open Source | Personal Tech
Press Releases
NewsFactor Network Enterprise I.T. Sites
NewsFactor Technology News | Enterprise Security Today | CRM Daily

NewsFactor Business and Innovation Sites
Sci-Tech Today | NewsFactor Business Report

NewsFactor Services
FreeNewsFeed | Free Newsletters

About NewsFactor Network | How To Contact Us | Article Reprints | Careers @ NewsFactor | Services for PR Pros | Top Tech Wire | How To Advertise

Privacy Policy | Terms of Service
© Copyright 2000-2014 NewsFactor Network. All rights reserved. Article rating technology by Blogowogo. Member of Accuserve Ad Network.