Target is reportedly close to paying out $10m to settle a class-action case that was filed after it was hacked and stripped of tens of millions of peoples’ details.
Target was smacked by hackers in 2013 in a massive cyber-thwack on its stores and servers that put some 70 million people’s personal information in harm’s way.
The hack has had massive repercussions. People are losing faith in industry and its ability to store their personal data, and the Target incident is a very good example of why people are right to worry.
As well as tarnishing Target’s reputation, the attack also led to a $162m gap in its financial spreadsheets.
The firm apologized to its punters when it revealed the hack, and chairman, CEO and president Gregg Steinhafel said he was sorry that they have had to “endure” such a thing
Now, according to reports, Target is willing to fork out another $10m to put things right, offering the money as a proposed settlement in one of several class-action lawsuits the company is facing. If accepted, the settlement could see affected parties awarded some $10,000 for their troubles.
We have asked Target to either confirm or comment on this, and are waiting for a response. For now we have an official statement at Reuters to turn to. There we see Target spokeswoman Molly Snyder confirming that something is happening but not mentioning the 10 and six zeroes.
“We are pleased to see the process moving forward and look forward to its resolution,” she said.
Not available to comment, not that we asked, will be the firm’s CIO at the time of the hack. Thirty-year Target veteran Beth Jacob left her role in the aftermath of the attack, and a replacement was immediately sought.
“To ensure that Target is well positioned following the data breach we suffered last year, we are undertaking an overhaul of our information security and compliance structure and practices at Target,” said Steinhafel then.
“As a first step in this effort, Target will be conducting an external search for an interim CIO who can help guide Target through this transformation.”
“Transformational change” pro Bob DeRodes took on the role in May last year and immediately began saying the right things.
“I look forward to helping shape information technology and data security at Target in the days and months ahead,” he said.
“It is clear to me that Target is an organization that is committed to doing whatever it takes to do right by their guests.”
We would ask Steinhafel for his verdict on DeRodes so far and the $10m settlement, but would you believe it, he’s not at Target anymore either having left in the summer last year with a reported $61m golden parachute.
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