BNY Mellon Data Loss Greater Than First Reported, Impacts Virtually All SAIC Stock Holders
30 Aug 2008
Updates - 8 Oct 2008
(August 30, 2008) BNY Mellon Shareowner Services has informed SAIC that personal data for virtually all current and former SAIC stock account holders who held stock after February 1, 2006, or who held stock options or restricted stock after January 1, 1993 may be at risk of compromise. BNY Mellon said, however, it had no reason to believe the data had been accessed or improperly used.
The risk arises from the loss of magnetic computer storage tapes used to back up certain stock account data. Earlier this year, BNY Mellon told SAIC that the personal information of only 1,376 former or current shareholders and optionees was at risk after backup computer tapes containing personal information were lost while being transported to an off-site storage facility. The firm said it raised the number of persons affected after receiving the report of an outside forensic investigation firm it hired to further investigate the matter.
The forensic investigation is still underway, but BNY Mellon said that some 41,000 SAIC account holders are known to be affected. No personally identifiable information of account holders with non-U.S. tax identification numbers has been found by BNY Mellon to be at risk.
BNY Mellon provided a toll-free number, 877-277-8001, that account holders may call for additional information. International stockholders who have a U.S Social Security number or a U.S. tax payer identification number should call 201-680-6878 for additional information. The data breach involved a number of client companies and some 12 million account holders.
BNY Mellon has advised that it is offering all potentially impacted individuals a free credit monitoring product, Triple Alert ™, for 24 months. Details of this offer are included in the letters being mailed to account holders and on a website concerning the incident at http://www.bnymellon.com/tapequery. BNY Mellon also issued a press release concerning the data loss (20k PDF file*).
On August 28, BNY Mellon began sending letters to affected account holders who had not been previously notified earlier this year. These letters inform the affected account holders that their name, address, Social Security Number or other U.S. tax identification number, stock account information, transaction activity and possibly bank account number may have been on the tapes. BNY Mellon is the transfer agent for SAIC stock and Stock Plan Administrator for bonus stock, options and the Employee Stock Purchase Plan. Personal information concerning account holders for other BNY Mellon client companies was also on the tapes.
Mark Sopp, SAIC chief financial officer, said, "SAIC's chief privacy officer is monitoring BNY Mellon's actions on behalf of SAIC stockholders, and we have convened a task force to bring together all the expertise needed to allow SAIC to monitor this issue. As with any data compromise, potentially impacted individuals should sign up to receive the credit monitoring services offered by BNY Mellon or else monitor their own credit reports from the credit reporting agencies, review their credit card bills and be alert to any suspicious correspondence from financial institutions or government agencies as ways to mitigate risk."