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US warns retailers on data-stealing malware
by Staff Writers
Washington (AFP) July 31, 2014


Target names new CEO after data hacking scandal
New York (AFP) July 31, 2014 - US and Canadian retail chain Target named former top Pepsi official Brian Cornell as its new chief executive, charged with cleaning up after a massive data theft scandal.

Cornell replaces Gregg Steinhafel, who stepped down as chief of the $73 billion company in May, five months after it was embarrassed by hackers' theft of data on as many as 100 million customers.

That theft came at the height of the holiday shopping season and hit the company's sales and profits.

Steinhafel was also blamed for poor results in the company's aggressive expansion into Canada, which sharply increased the number of stores to more than 1,900 and employees to 366,000.

Cornell, who Target called a "seasoned retail and consumer products veteran," will assume the positions of board chairman and chief executive on August 12.

At PepsiCo since 2012, he was chief executive of the Americas Foods unit, overseeing the company's four global foods businesses including Frito-Lay and Quaker Foods.

Before that he was chief executive of the Sam's Club unit of Walmart, Target's most powerful rival.

In December and January Target disclosed that hackers successfully infiltrated the company's information systems, obtaining credit card and personal data for what could top 100 million customers.

The data breach, one of the biggest in retail history, hit sales and spurred congressional hearings on the vulnerability of customer information in an era of increasingly sophisticated hacking efforts.

In the wake of the breach, Steinhafel quickly moved to shore up customer confidence, green-lighting plans to provide free credit monitoring and identity-theft insurance to shoppers.

But the data theft, combined with $211 million in losses on the poorly executed Canada expansion, ultimately led to Steinhafel's departure.

Target's board said it "is confident that Brian's diverse and broad experience in retail and consumer products as well as his passion for leading high performing teams will propel Target forward."

US government cybersecurity watchdogs warned retailers Thursday about malware being circulated that allows hackers to get into computer networks and steal customer data.

The Department of Homeland Security's Computer Emergency Readiness Team said retailers should step up defenses against the new malware dubbed "Backoff."

The government and security experts have found evidence of hackers using this tool starting on October 2013, and continuing to the present.

A security bulletin from DHS said the cyberattacks use the same kind of remote tools that allow people to access business networks from home or on the road.

These include Microsoft's Remote Desktop, Apple Remote Desktop, Chrome Remote Desktop and others.

"Once these applications are located, the suspects attempted to brute force the login feature of the remote desktop solution," the DHS bulletin said.

"After gaining access to what was often administrator or privileged access accounts, the suspects were then able to deploy the point-of-sale (PoS) malware and subsequently exfiltrate consumer payment data."

The posting said most anti-virus programs have been unable to identify or block the malicious software introduced by the attackers. But with the release of technical details, security firms should be able to update their programs.

The malware can allow the hackers to "scrape" data from the infected computers and in some cases use a "keylogger" to gain access to passwords.

An infection "can affect both the businesses and consumer by exposing customer data such as names, mailing addresses, credit/debit card numbers, phone numbers, and e-mail addresses to criminal elements," DHS said.

"These breaches can impact a business brand and reputation, while consumers' information can be used to make fraudulent purchases or risk compromise of bank accounts."

DHS said it has been working with the security firm Trustwave Spiderlabs "to provide relevant and actionable technical indicators for network defense."

The warning comes months after news of a massive data breach that allows hackers to potentially access millions of credit cards from retail giant Target. Other retailers including eBay have said they were also affected by breaches.

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