After a data breach that exposed consumer credit and debit cards to hackers last year, high-end department store chain Neiman Marcus Group Ltd. LLC has hired its first ever chief information security officer, according to several news reports.
Sarah Hendrickson comes to the newly created position from Children’s Medical Center of Dallas, where she held the same position and oversaw implementation of security procedures. Hendrickson also served in similar information technology and security roles at software company Accellion, and retailers J.C. Penney Co. Inc. and Dell Inc., according to her LinkedIn profile.
Neiman Marcus was not immediately available to comment on the specifics of Hendrickson’s duties in the new role.
Criminals who stole data last year between July and October at The Neiman Marcus Group Inc. stores had access to information for 1.1 million customer payment cards, and data from some 2,400 of those cards has been used to commit fraud, president and CEO Karen Katz said earlier this year.
The breach has not affected online shoppers, and there is no indication that card data have been used for fraudulent online transactions involving the retail chain, No. 41 in the Internet Retailer 2014 Top 500 Guide, company executives say.
Still the breach impacted Neiman Marcus’ earnings for its fiscal year ended August 2 as gains in online and store sales were offset by increased costs related to the breach. The retailer reported fiscal 2014 online sales of $1.15 billion, an 11.7% increase compared with $1.03 billion in fiscal 2013. Total sales were also up, reaching of $4.84 billion, up 4.1% from $4.65 billion. However, the retailer reported a net loss of $147.2 million compared with net income of $163.7 million in fiscal 2013.