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February 4, 2013 SUBSCRIBE

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Eight Retailers That Will Close the Most Stores 

For many retailers, the sales situation is so bad that it is not a question of whether they will cut stores, but when and how many. These are the eight retailers that will close the most stores in 2013. Best Buy, Sears, J.C. Penney, Office Depot, Barnes & Noble, Game Stop, Office Max, and Radio Shack. (Source

Tracking your every move in stores just like on the web 
Well, it soon may be, but not in a way most privacy advocates would endorse. Retail stores will soon be able to follow you around the store – or even outside the store if you just walk by without entering – using the WiFi antenna built into your smartphone. Think of it as Google Analytics for people; instead of measuring Web traffic, they’re measuring foot traffic. It works with software from a company called Euclid Analytics that allows stores to collect data on actual and potential customers. (Fortinet is hardly alone in this; Aerohive, Aruba, and Xirrus also build routers that can take advantage of Euclid Analytics software.) (Source

Trojan Battery Co. sues U.S. Security Associates and Golf Cart World over $5M in stolen vehicle batteries  Contract security guards helped thieves steal $5 million worth of vehicle batteries, which were resold on the cheap, the Trojan Battery Co. claims in court. It claims that the very security guards it hired to stop the battery thefts took extraordinary steps to help the thieves, who sold some of the hot batteries to Golf Cart World, and that Golf Cart World had to know the batteries had been stolen because it got them so cheaply. Trojan claims the security guards moved security cameras to hide what they were doing, took bribes to open the gates for the thieves, and watched as they loaded up with batteries and drove them away. Trojan hired U.S. Security for the primary purpose of preventing the theft of batteries from the facility," the complaint states. Trojan claims it discovered the thefts in September 2012, though they had been going on for years, costing Trojan more than $5 million. (Source

Amazon plans to open three Texas distribution centers - this means LP jobs 
Two in the Dallas-Fort Worth metropolitan area and one outside San Antonio. A one million-square foot site in Coppell, TX, and a 1.2 million-square-foot center near San Antonio, located in Schertz, TX. The 1.1 million-square-foot site is in Haslet, TX. (Source

Mandatory e-verification of all new hires and existing hires may come to pass - and a national ID card may come with it   One proposal in the U.S. Senate proposed last week would require all companies, except some small businesses, to use U.S. government databases to electronically verify the work status of employees. The mandatory verification would be phased in over five years and provides for significant penalties for those who don't use the system or commit identity fraud. Obama proposed one similar and both sets of proposals also mandate new non-forgeable and tamper-resistant Social Security cards as proof of authorization to work in the U.S. (Source

Major Security Issues with Cloud Computing Being Ignored - the back door may be open  More than 75 percent of businesses don't see a problem by moving an application to the cloud. "This is the big problem," says on security expert. The Hacker Intelligence Initiative report (PDF) details an attack on online giant Yahoo, which took place in December of last year. It shows just how easy it was for a hacker to breach Yahoo's security as a result of poor security measures which didn't take into account insecure third-party code. In the cloud, if you are trading information with another application, especially if it is sensitive customer and financial information, then the other app needs to be as secure as you are. Or they can route their way in through the back door so to speak. It happened to Yahoo this past December. (Source

Twitter hacked; 250,000 users must reset their passwords 
Twitter's servers have been breached by "extremely sophisticated" hackers who may have made off with user names and passwords for about 250,000 users, the company said Friday. (Source

New tool authenticates online buyers in risky transactions - Phone Verification sends a one-time passcode to an online buyer’s phone  To provide an extra level of security in authenticating a buyer on an e-commerce site, one way is to use a method outside of the Internet-connected shopping device to contact the shopper who has supposedly logged into a web site and is attempting to use her credit card. The aim is to ensure that the person trying to make a purchase is not a criminal who has stolen a legitimate shopper’s credit or debit card, or in some other way obtained her payment card information. (Source

Dutch hacker imprisoned in U.S. for trafficking 100,000 credit cards, 21 yr-old U.S. accomplice hit Seattle retailers  A Dutch citizen who was arrested and extradited from Romania was sentenced to 12 years in prison for a computer hacking and credit card fraud scheme that victimized people around the world, announced U.S. Attorney Jenny A. Durkan. Schrooten and co-conspirator Christopher A. Schroebel, 21, of Keedysville, Maryland marketed stolen credit card numbers via internet sites. Schroebel hacked into the computers of two Seattle area businesses and stole credit card information. According to the records in the case, he also hacked into the PoS computer in a restaurant in Seattle, and a restaurant supply store in Shoreline, Washington. A third man, 33-year-old Charles Tony Williamson, of Torrance, California, is charged with 22 counts of various felony offenses for his role purchasing and using the stolen credit card numbers. (Source

"Tony Sales - Britain's GREATEST Fraudster" turns Speaker 
During that time he defrauded retailers out of an estimated 30,000,000 pounds, which lead him to be branded by The Sun newspaper as “Britain’s Greatest Fraudster”. Now he is at it again... Now a reformed character, Sales is still identifying opportunities for fraud, but these days he is working for the good guys, the retailers. He has been surveying multi-channel and pure play online retailers identifying current opportunities for fraudsters, so that he can share his findings with the retail community and prevent crime. He's leading a seminar in the UK on March 20th & 21st. (Source

One of the last remaining record store chains -HMV in the UK is set to close up to 100 stores of its remaining 223  Administrators were appointed to the 92 year old retailer on 15 January after HMV failed to revive its fortunes over the last year by switching its focus to selling specialist music and DVDS and technology products such as tablet computers, iPods and headphones. (Source

New job posting in LinkedIn; Vice President of LP & Internal Audit with a retail grocery company in California  Posted by Don Johnsey in the group Loss Prevention Professionals. Here's a new one.  (Source

Another senior level LP position eliminated in the U.S. - Vice President of Asset Protection - NAD, Corporate and Global for Staples  This makes it two senior level LP positions lost in the first month of the year. With the new VP of AP position at Meijer we're still in the minus.

Flash mob robs Oregon Albertson store 
A group of teens targeted a Troutdale store last weekend in a 'flash rob'. Security officers chased the thieves out, but no one was captured. They also left employees pretty shaken up, including one woman who was in tears after getting terrorized by the robbers. This was one of several flash rob-style robberies being investigated in the Portland Metro area over past months. (Source

Fed's bust kiosk operator in Westgate Mall in Boston for selling counterfeit fragrances  Authorities descended on the kiosk on Friday, where they confiscated approximately $30,000 in counterfeit fragrances. (Source

Inmate claims every pawn shop in Louisville, Ky., will give you cash for stolen loot  "It's the simplest, easiest way for someone like me to get money," Meadors said, from a jailhouse interview. I've never been turned away, and I've been to every pawn shop in Louisville, "Meadors tells the I-Team. Even though police put a "hold" on the stolen items, the pawn shop sold them, after being told they were stolen. One store also accepted more pawns from Meadors, even after they were made aware he pawned stolen items and used a stolen credit card in the store. (Source

Cargo thieves steal goods worth millions from tractor-trailers in Georgia 
Georgia is one of the worst states in the nation for cargo theft. Late last year, thieves stole more than 100 rifles off a cargo container on a train. Cargo thieves are becoming more sophisticated, working in groups, even tracking loads they want to hit across state lines. This is, in some cases, is getting to that level of Prohibition-era mobsters. These are organized groups," said Crowell. That's why they formed the Georgia Bureau of Investigations Major Theft Unit, the only state wide group tasked with cracking down on cargo heists. Since 2009 they've recovered over $30M in stolen goods. (Source

Atlanta police searching for Walgreens robber. Police in Atlanta are looking for the person that robbed a Walgreens pharmacy on Princeton Lakes early Monday morning. Authorities said a man asked the cashier for cigarettes, and when the cashier went to the register, he pulled out a gun. The robber got away with around $500 in cash. The store was equipped with video surveillance. The man appeared to be between the age of 20 to 25 years of age. (Source

Woman in Fort Wayne robs a Kmart and Target at gunpoint, apprehended by Police.  Fort Wayne Police apprehended Traci L. Dennison, 37, Sunday morning after she committed an armed robbery at a Kmart store, then an hour later hit a Target store in Fort Wayne. Police believe the suspect is also wanted in a third armed robbery that was committed at a Walgreens store in January. No one was injured in any of the robberies and additional charges of auto theft/ car jacking are also being sought by police. (Source

Man arrested in San Francisco after stealing candy with fake gun. 
Police arrested a man on Saturday after allegedly stealing candy from a South San Francisco convenience store with a replica gun and for drug possession. The suspect entered a convenience store and was stopped by store clerks after trying to steal candy. Police said the suspect, Michael Aragon, pulled out a replica handgun and refused to pay for the candy, then fled in his car. Officers found Aragon walking away from his car at the Towne Center shopping mall in San Bruno and quickly apprehended him. Aragon was evaluated and determined to be under the influence of a controlled substance. (Source

Torrance police shoot jewelry store burglary suspect in the hand.  
Torrance Police officers shot a burglary suspect in the hand as he ran out the smashed front door of Morgan’s Jewelers in Torrance on Sunday. Officers opened fire when they saw a man exiting through the broken down door. The suspect was hospitalized and was not immediately booked Sunday. Detectives will determine whether the man was armed, and whether he was acting alone. (Source

Three arrested in San Francisco Macy’s store burglary. 
Three women ran into the Men’s store at Broadway Plaza at 6:30pm on Saturday and grabbed several items and ran back out to an awaiting car. The car was later spotted by police on Highway 24, police apprehended all three suspects who are now facing charges of suspicion of burglary, conspiracy and possession of stolen property. (Source

Last week's most popular news article --

Barnes & Noble plans to cut stores by about 30% in decade 
"In 10 years we'll have 450 to 500 stores," Klipper told the Journal. The company had 689 retail stores as of Jan. 23, along with a separate chain of 674 college stores. (Source


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2012 Thought Challenge Awards Committee

Northern Michigan University, located in Michigan’s incredible Upper Peninsula, offers one of the only baccalaureate loss prevention management programs in the United States. It is offered completely online and accepts up to 92 transfer credits. An affordable investment into a dynamic and growing profession. Learn more here

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Vendor Spotlight

Is Your Back Door Protected?

Detex introduces a maximum security, multi-point lock so big and strong that it stands up to assault by the bad guys and reduces employee and customer theft.

The ECL-230X-TDB is a heavy-duty, easy to install three-bolt multipoint lock whose construction takes panic hardware to a whole new level of toughness and eases your back-door security worries. It is designed with a larger deadbolt that goes deeper into the frame than other locks in the category. Connecting rods are solid steel, rather than the less reliable hollow rod/cable construction. Life safety and code compliant, the new Detex ECL-230X-TDB serves as both panic hardware and a maximum-strength locking device.

The ECL-230X-TDB includes a photo-luminescent sign available in more than 10 color/language combinations, 100 decibel alarm and 3 locking points per door.

Top Deadbolt – approximately 1” wide by ½” thick deadbolt, the top bolt provides additional stability to the top corner of the door.
Side Deadbolt – 2 ¼” tall by ½” thick deadbolt with a 1” throw allows for ¾” penetration into strike (Detex recommends Flush installation for maximum security). With 1.6875 square inches of bolt engagement, the side deadbolt provides superior defense against pulling and prying on the side of the door.
Bottom bolt – 5/8” HEX bolt with ¾” throw, engages the floor with 5/8” penetration provides better attack resistance and superior defense against the “peeling up” of the bottom of the door.

Together, the 3 bolts withstand 10,000 lbs. of pull force.

Add suffix DX3 (ECL-230X-TDB-DX3) for 6 locking points for even stronger security. Single- and double-bolt and weatherized models are also available. Optional accessories include hinge side locking bolts and inside pull handle.

Combining the ECL-230X-TDB with Detex’s DX Bolts provides an additional line of defense against break-ins via additional locking points. Even if the exterior door hinges are compromised the DX bolts keep the door locked and secure. These passive deadbolts are easy to install and offer another layer of attack resistance.

Other 230X models include ECL-230X (Dead Bolt Only), ECL-230X-W (Weatherized Dead Bolt), ECL-230X-TB (Top and Bottom Bolt), ECL-230X-W-TB (Weatherized Top and Bottom Bolt), ECL-230X-TD (Top and Dead Bolt), ECL-230X-W-TD (Weatherized Top and Dead Bolt), and ECL-230X-W-TDB (Weatherized Top Bolt, Dead Bolt and Bottom Bolt).

Almost all hardware and accessories can be customized with different finishes, colors, sizes, and more. Ask us how this new generation of life safety and security hardware can make a powerful difference at your back door.

Visit Detex’s website at or call us at (800) 729-3839.


3VR - video surveillance, video intelligence


Fraudulent credit card ring of 3 busted in San Mateo, CA. 
An alleged attempt to use fraudulent gift cards in a downtown San Mateo store last week led to the arrest of five San Jose residents on counterfeiting, drug and weapon charges. They stopped the vehicle with two suspects and found fraudulent credit cards and 10lbs of marijuana. Working with the FBI and the U.S. Secret Service, investigators located a third suspect, Charles Ryan Angeles, 31, and arrested him in San Jose. They also seized numerous fake credit cards and ID cards, machinery used to manufacture fake credit cards and weapons including an assault rifle with a high-capacity magazine. (Source

Portland Police Arrest two for Organized Retail Theft in Connection with Macy’s “Flash Mob” Theft  Gang Enforcement Team spotted the vehicle used in a Thursday night "flash mob" theft at Macy's and arrested the driver. (Source

Cooke County, ILL., indicts one on ORC 
Eric Lee Rose, 33, was indicted for organized retail theft (an amount between $500 and $1,500), a state jail felony. The alleged incident occurred Dec. 20, 2012. (Source

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Thought Challenge 

Thought Challenge Review

By Adam Smith, CFE, CFI
Senior Regional Asset Protection Manager
Winn Dixie Stores

as published on September 5, 2012

It’s a dangerous world we live in. At least that is what we hear in the news media. Reports of shootings and violence consume news broadcasts. Recently, we’ve added a new form of terrorism in the "lone gunman", which represents a single attacker, like the most recent shootings. These are terrible tragedies, which we should make every effort to prevent. However, is this a dangerous time period for humans?

Looking at the data; murder, rape, and other violent crimes are at some of the lowest levels in human history. Even casualties per military conflict are dramatically lower than World War II levels. As an American, you have the most political freedom and economic opportunity than any other time period. Simply stated, you are safer from violent crime today than any other time in human history.

At first this can seem difficult to swallow. As a child, you may remember running freely through your neighborhood or being allowed to wander the shopping mall. It just seemed like a simpler, and safer, time to be a child. Today, children are monitored closely by their parents, some resorting to a child leash or GPS tracking. Empirically, this would suggest that these precautions are taken as a result of an increase in violence.

The contradiction can be explained by the zeitgeist, which is defined as "spirit or mood of a particular period of history as shown by the ideas and beliefs of the time." The current zeitgeist of society is a reduced tolerance of violence. A good example of this is our tolerance of military casualties. The United States incurred over 400,000 deaths, or 3% of the entire population, during World War II. By comparison, the Iraq and Afghanistan wars combined have resulted in 6,280 deaths, or .002% of the population of the country. However, there is a far greater public movement to exit the current war, which has claimed only a fraction of the lives as compared to WWII. While these are different wars, our sensitivity towards death has clearly changed. This is most likely why we are more protective of our children.

Now that we have established that our overprotectiveness is unfounded and probably a product of increased media coverage, are we overreacting?

Even though there are statistically few violent deaths, the pain and mourning for those affected by them are very real. As a society, a single death represents a fraction of a percent of the population, but to an individual, the death can be a significant percentage of their immediate family. For example, a childless woman losing a husband could be losing 100% of her immediate family. Thinking back to the example of the overprotective parent, even one abduction is unacceptable if it is your child.

Security is just as important as ever. Our society has progressed to cherish life more than ever, have smaller families, and grieve longer. In the retail environment, it is the Loss Prevention professional's responsibility to make sure our stores provide the safety that our customers demand.


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In the Hot Seat: 7 Interview Tips The time and effort you put into crafting your cover letter and résumé have finally paid off -- you've been asked to interview with a company you've been pursuing for months. The pressure's on to prove to the hiring manager you're uniquely qualified for the position and would be an asset to the organization. (Preparation)

I Just Had a Great Interview. Now What Do I Do? If you don't send your interviewer a thank you card, you failed to show professional courtesy. If you do send one, the recipient will appreciate it, but it is rarely the defining factor that gets you the job. Furthermore, they all sound alike. (Yawn)

Last week's most popular articles --

4 Signs You Will Fail as a Leader  Here's a statement of the blindingly obvious: strong, effective leadership is better than weak, ineffective leadership. Thankfully, it's usually obvious which is which -- most of us can spot a strong leader from a weak one with relative ease. (The masquerader)

What Are the Real Reasons Some People Get Promoted and Others Don't?
The people who get promoted are the ones who get into companies where opportunities open up, make sure they're prepared, and make sure managers know they want more responsibility. (A few implications)

3VR - video surveillance, video intelligence


At the end of most interviews candidates are given the opportunity to ask questions. Surprisingly enough most candidates are unprepared for that question itself. So take the time in your preparation to develop few well thought out questions that reflect your knowledge of the company, their future plans, and how you fit within them. Certainly your questions should also focus around the variables that increase the success of the specific position you're applying for and not deal with the benefits, salary, or work schedule, travel requirements, or expenses. As these questions will turn off an interviewer and are premature. Your questions should be a reflection of the type of executive you are and will be if they hire you and therefore should be designed to show how you'll be successful and valuable for their organization.

Just a Thought,

Gus Downing

Gus Downing

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