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Hannaford Had Trojan Installed On 300 Store Servers, One Copy For Each Store

Written by Evan Schuman
March 28th, 2008
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The data breach at Hannaford involved a Trojan Horse that was installed on servers at every one of its 300 grocery stores, according to Hannaford officials. The software intercepted card data at the POS and then periodically transmitted them “to an unnamed offshore Internet service provider.”

Those details come courtesy of a letter sent by Hannaford general counsel Emily Dickinson to Massachusetts Attorney General Martha Coakley and Governor Deval Patrick’s Office of Consumer Affairs and Business Regulation, according to Hannaford officials and a report in The Boston Globe, which quoted from the letter. The chain decided to replace all of the servers to make absolutely certain the malicious programs were removed from the network.


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Kill All The Passwords

This article does mention, but does not give enough attention to, the fact that the attacks discussed are only feasible when the encrypted password file can be copied and subjected to an offline attack. The trick is to have authentication performed on a separate, much more strongly secured host - such as an Active Directory Domain Controller, or a Kerberos server, or a NIS+ server, or even using something as banal as an LDAP-over-SSL authentication dialog. In these environments, the odds of the "password file" being stolen and subjected to an offline attack go to near zero, and only online attacks may be carried out by the attacker. With sensible exponential backoff between failed password attempts, lockout after a modest number of failed attempts on a single account, and pattern detection, that minimum 7 character password is quite secure enough. Passwords aren't dead yet for security purposes, and they will be with us for a very long while to come for practical purposes. The trick is to employ them correctly. Read more...
The possibilities you describe are years away from being implemented at best, so for the moment passwords are an ugly reality. Luckily, password managers can easily manage hundreds of passwords of any length. The only thing a user needs to remember is the master password. It seems like an easier task to educate users on how to use password managers rather than implement complex security technology on a global basis. Read more...