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Monday, March 17, 2014

[Krebs on Security] Sally Beauty Confirms Card Data Breach

Krebs on Security has posted a new item.

Nationwide cosmetics and beauty retailer Sally Beauty today confirmed that
hackers had broken into its networks and stolen credit card data from stores.
The admission comes nearly two weeks after KrebsOnSecurity first reported that
the company had likely been compromised by the same criminal hacking gang that
stole 40 million credit and debit cards from Target.



Previously, Denton, Texas-based Sally Beauty had confirmed a breach, but said it
had no evidence that card data was stolen in the break-in. But in a statement
issued Monday morning, the company acknowledged it has now discovered evidence
that "fewer than 25,000 records containing card present (track 2) payment card
data have been illegally accessed on our systems and we believe have been
removed." Their statement continues:

"As experience has shown in prior data security incidents at other companies, it
is difficult to ascertain with certainty the scope of a data security
breach/incident prior to the completion of a comprehensive forensic
investigation. As a result, we will not speculate as to the scope or nature of
the data security incident."

"We take this criminal activity very seriously. We continue to work diligently
with Verizon on this investigation and are taking necessary actions and
precautions to mitigate and remediate the issues caused by this security
incident. In addition, we are working with the United States Secret Service on
their preliminary investigation into the matter."

On Mar. 5, this blog reported that hackers appeared to have broken into Sally
Beauty's network and stolen at least 282,000 cards from the retailer. That story
was prompted information from purchases made by several banks at an archipelago
of fraud sites that have been selling cards stolen in the Target breach. The
first new batch of non-Target cards sold by this fraud network -- a group of
cards marketed under the label "Desert Strike" -- all were found by three
different financial institutions to have been recently used at Sally Beauty
stores nationwide.

http://krebsonsecurity.com/2014/03/sally-beauty-confirms-card-data-breach/

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BrianKrebs
http://krebsonsecurity.com

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