230 retailers affected by data breach after tape lost - Network World

Skip Links

DNSstuff.com
Get information about your IP
IP Information
50+ On-demand DNS and network tools

Security

Videos

rssRss Feed
Get instant email notification when white papers, webcasts, executive guides are added to our library.  Stay informed and up-to-date with the latest on IT Technologies with Network World's Resource Alerts.
Audio

Crackin' the Kraken bot. Listen now!

Network World's Newsmaker of the Week

Wireless dangers at airports. Listen now!

Network World Panorama

Additional Resources

RSS

FEATURED REPORTS

Executive Guide: Storage Heats Up HP

Get the latest on storage technologies that allow IT professionals to better cope with new IT demands. Learn how storage technologies can help you successfully tackle e-Discover, regulatory compliance, green data center initiatives and the data explosion. Get all the details now.

RSS

FEATURED WEBCASTS

Get Real-world Advice on how to Cost Effectively Consolidate your Data Center Novell

Discover the benefits of paravirtualization in this informative webcast today. This server virtualization-themed webcast not only explores how to improve virtualized server performance, but provides real-world user examples, explains how to optimize workloads and discusses the future of server virtualization. Focus on only the themes that interest you or watch all six consecutively for a full picture of how you can lower your costs significantly through consolidation and virtualization. Register below to learn more and be entered to win an Archos 605 Portable Media Player.

IT Buyer's Guides

View All Buyer's Guides

Free Newsletters

Sign up and receive the latest news, reviews and trends on your favorite technology topics

Save The Date!
What They Are Saying

First of all, thank you for the note. While no test is going to be perfect, expecially when wireless...- Craig Mathias

Join the Discussion

230 retailers affected by data breach after tape lost

By Robert McMillan , IDG News Service , 01/18/2008
  • Social Web 
  • Email 
  • Feedback 
  • Close

A backup tape containing credit-card information from hundreds of U.S. retailers is missing, forcing the company responsible for the data to warn customers that they may become the targets of data fraud.

GE Money, which manages in-store credit-card programs for the majority of U.S. retailers, first realized that the tape was missing from an Iron Mountain secure storage facility in October, said Richard Jones, a company spokesman. "We were informed that one of the tapes could not be located. But at the same time there was no record of it ever having been checked out," he said.

The tape contained in-store credit-card information on 650,000 retail customers, including those of J.C. Penney, he said. GE Money employees are also affected by the breach.

The missing backup tape was unencrypted.

Although J.C. Penney was the only company that Jones would confirm as affected by the missing tape, that retailer accounts for just a small percentage of all accounts that were compromised. In total, 230 retailers are affected by the breach. "Clearly that number includes many of the national retail organizations," he said.

The tape also contained Social Security numbers of 150,000 customers. When matched with name and address information, Social Security numbers can be used to set up fraudulent credit-card accounts, a common form of identity theft.

Jones said that following a GE Money investigation, there is no evidence that the tape in question has been stolen or that the data it contained was misused.

After reconstructing the data that was on the missing tape, GE Money began sending out letters to those affected by the breach in December. The company has set up a toll-free number and is offering one year of free credit monitoring services to those affected by the breach.

In 2006, retailer TJ Maxx discovered that thieves had broken into its computer networks, stealing an estimated 94 million credit- and debit-card numbers. Costs related to that breach are expected to be in the hundreds of millions of dollars.

GE Money is a division of General Electric.

Comments (1)
Login
Forgot your account info?

RE: 230 retailers affected by data breach after tape lostBy Allen on January 23, 2008, 7:48 amWELL THAT JUST GREAT!!!! you can add that the GE Money also manages in-store credit-card programs for Walmart/Sams also.

Reply | Read entire comment

View all comments

Add comment
Anonymous comments subject to moderator approval. Register here for member benefits.
Have a NetworkWorld account? Log in here. Register now for a free account.
First Name
Last Name
E-mail
Zip Code