Neiman Marcus said Thursday that 1.1 million payment cards may have been impacted by the data security breach the retailer disclosed on Jan. 10.At the time, the luxury chain said it didn’t know how many customers had credit and personal information stolen. In an open letter to customers on Thursday, Karen Katz, Neiman’s president and chief executive officer, said the ongoing forensic and criminal investigations have determined that malware was installed on the retailer’s system between July 16 and Oct. 20, when the malware actively tried to collect payment card data from 1.1 million cards.RELATED CONTENT: Neiman Marcus Issues Apology for Data Breach >>Visa, MasterCard and Discover have told Neiman’s that about 2,400 unique customer payment cards used at Neiman Marcus and Last Call stores were used fraudulently. Neiman’s said its proprietary credit card and the Bergdorf Goodman card have not seen any fraudulent activity. In addition, Neiman’s said social security numbers and birth dates weren’t compromised, and online transactions don’t appear to have been impacted.PINs were never at risk because Neiman’s doesn’t use PIN pads in its stores.Neiman’s said it’s notifying all customers for whom it has contact information and who shopped at stores between January 2013 and January 2014 of the situation. It’s offering one free year of credit monitoring and identity-theft protection to concerned customers.Neiman’s is taking several steps to contain the situation, including reviewing its intrusion detection systems and firewalls, reinforcing security tools, reviewing and hardening systems, modifying software and security credentials and searching for and disabling all malware discovered in the course of the investigation. The scope of the attack on Neiman’s is much smaller than the data security breach at Target, where an initial 40 million shoppers in U.S. stores potentially had credit or debit card information stolen. Target later learned that another 70 million consumers may have had their names, addresses, e-mail addresses and/or phone numbers taken. Target said Thursday that executive vice president and chief financial officer John Mulligan will testify on Feb. 4 about the data attack before the U.S. Senate Judiciary Committee at a hearing, “Privacy in the Digital Age: Preventing Data Breaches and Combating Cybercrime.” Sen. Patrick Leahy (D., Vt.) chairs the committee and has written data security legislation that is under consideration. Mulligan oversees Target’s financial portfolio, including its finance and retail services.RELATED STORY: NRF Letter Calls for Financial Industry Support >> In a separate action, a group of House Democrats is seeking information from Target chairman, president and ceo Gregg Steinhafel as the House Energy and Commerce Committee prepares to hold its own hearing into the security breach during the week of Feb. 3.Reps. Henry Waxman (D., Calif.), Jan Schakowsky (D., Ill.) and Diana DeGette (D., Colo.) asked Steinhafel for all of Target’s written policies or guidelines related to threat monitoring, network security or point-of-sale protection and documents listing how much Target has spent on network security systems and personnel, among other things.“Questions remain about how exactly this attack was carried out, who was responsible, whether it could have been prevented, how Target responded, and how retailers and customers can protect themselves going forward,” the letter said.A Target spokeswoman said she had no information on the letter or the second hearing.Also on Thursday, at the U.S. Conference of Mayors, Bill Simon, ceo and president of Wal-Mart U.S., was asked what defense against data breaches the world’s largest retailer has in place. “Very clearly, we are concerned,” Simon said. “At Wal-Mart we are fortunate not to have had any of the major issues today, but it’s a constant threat and something we are constantly vigilant against. We are known for our IT systems and we work very hard to protect our data. It is something not only retailers are having to deal with but anybody in the public domain that handles information is subject to the threat.”He pointed to efforts by the National Retail Federation and Retail Industry Leaders Association to address the problem in recent days.
To celebrate Pride 2018, @themarcjacobs released the #GratefulNotHateful campaign, a social media initiative aimed at extending Pride beyond the parade. Inspired by Jacobs’ everyday outlook, the campaign features Jacobs along with a group of models and social media stars who are members and supporters of the LGBT community, all seen wearing @marcbeauty’s Highliner Gel Eye Crayons in colors of the rainbow. Head to our Instagram stories to see close-ups of the liner. #wwdbeauty
Virgil Abloh’s dad Nee and Don Crawley, cofounder of RSVP Gallery, were some of the hometown crew at the Chicago-born designer’s debut show for Louis Vuitton. (📸: @jdiderich ) #wwdmens #louisvuitton #virgilabloh
About last night: @marycharteris and @adwoaaboah hit up Hyde Park for the Serpentine Galleries’ annual summer party held in partnership with @chanelofficial. Head to WWD.com to see more photos. #wwdfashion
“This is Paris, my first show. I’m all about democracy. If some kid shows up, flew from New Jersey to just be around, let’s get him a seat.” — @virgilabloh tells WWD’s @jdiderich ahead of his first show for @louisvuitton men’s. (📸: @alfredo_piola ) #wwdmens #virgilabloh #louisvuitton
“Kate Spade was a true fashion icon who brought joy to the lives of women around the world, and inspired women to live life to the fullest. We are dedicated to carrying on her legacy,” said Anna Bakst, brand president and chief executive officer of @katespadeny. The Kate Spade Foundation announced that it will be donating $1 million to suicide prevention and mental health awareness in tribute to the recent death of Kate Spade. Read more on WWD.com. #wwdnews (📷: @chinseephoto)
A first look at @virgilabloh’s sneakers for @louisvuitton. Abloh spoke to WWD about his debut collection for Louis Vuitton, creating @kendalljenner’s #metgala outfit and redefining the heritage brand. Read the full story on WWD.com. #wwdfashion 📷: @alfredo_piola)
The world’s largest producer of denim @iskodenim is sharing the strategy behind its product development process. Read our full interview with ISKO’s product development manager Baris Ozden on the company’s extensive research practices, upcoming denim trends and the latest material innovations on WWD.com. #iskodenim