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Experian Posts $20M Charge Related to T-Mobile Data Breach

By Diana Goovaerts | November 10, 2015

In its earnings report for the six months ended September 30, 2015, Experian posted a charge of $20 million stemming from its response to an October security breach that exposed the data of millions of T-Mobile customers.

According to the report, the “one-off costs” came from Experian’s response to the hack, which included notifying impacted individuals, offering them free credit monitoring services and informing the appropriate government agencies of the intrusion.

But that might not be the end of Experian’s expenses related to the breach.

The company also said in the report that it has received “a number” of class action lawsuits in response to the incident and warned investors it is “currently not possible to predict the scope and effect” of the various pending suits and government investigations.

Should the outcomes prove unfavorable, Experian said it can fall back on “applicable insurance recoveries.”

The news follows previous reports that carrier T-Mobile was named alongside Experian as the subject of at least five lawsuits seeking class-action status for negligence and violations of consumer protection laws. (http://www.wirelessweek.com/news/2015/10/t-mobile-hit-lawsuits-wake-experian-hack)

Want more? Watch Tuesdays with Roger: T-Mobile, Experian Breach A Foreboding Sign

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