The D-D Daily Mobile Edition

January 13, 2014

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News Brief
Sponsored by WG Security Products, Inc.

Credit card hackers hit Neiman Marcus
Neiman Marcus says that it's the latest victim of data thieves, who made off with the credit card information of an unknown number of customers. Upscale department store Neiman Marcus confirmed that its database of customer information was hacked last month, reported on Friday. The Neiman Marcus hack follows news today from Target that its investigation into its recent hack found that thieves made off with the personal and credit card data of up to 110 million Target customers, 70 million more than previously thought. The Neiman Marcus breach occurred around mid-December, the same time as the Target attack. Another similarity to the Target attack is that online Neiman Marcus shoppers do not appear to be affected so far, only retail shoppers. So far, these appear to be coincidences. Ginger Reeder, a spokesperson for Dallas-based Neiman Marcus, told Krebs that details on the hack are sparse. The cause, size, and duration of the attack are currently unknown, pending the completion of a third-party forensics investigation. The company is also working with the Secret Service, as is customary in these attacks.

Here's part of the statement Neiman Marcus gave to Brian Krebs, Cybersecurity journalist with krebsonsecurity.com on the investigation:

"We informed federal law enforcement agencies and are working actively with the U.S. Secret Service, the payment brands, our credit card processor, a leading investigations, intelligence and risk management firm, and a leading forensics firm to investigate the situation. On January 1st, the forensics firm discovered evidence that the company was the victim of a criminal cyber-security intrusion and that some customers’ cards were possibly compromised as a result. We have begun to contain the intrusion and have taken significant steps to further enhance information security.

The security of our customers’ information is always a priority and we sincerely regret any inconvenience. We are taking steps, where possible, to notify customers whose cards we know were used fraudulently after making a purchase at our store." (Source nbcnews.com) (Source businessinsider.com) (Source krebsonsecurity.com)

More retailers reportedly victims of holiday data breaches; At least three more US retailers suffered unpublicized attacks similar to the one on Target, Reuters reports  Following disclosures by Target and Neiman Marcus, Reuters reports that at least three more well-known retailers experienced smaller breaches that have yet to be publicly revealed. The additional attacks used similar techniques as the attack on Target, sources told the news agency, adding that other attacks may have occurred earlier last year. The Reuters report did not identify which retailers might have been affected by the security breaches. (Source reuters.com)

Target CEO promises to make 'significant changes' after huge data breach; CNBC broadcast Sunday morning  "Clearly, we're accountable and we're responsible. But we're gonna come out at the end of this a better company," Gregg Steinhafel — Target chairman, president and chief executive officer — told CNBC's Becky Quick in an exclusive interview that will air in full on Monday morning. "And we're gonna make significant changes." (Source nbcnews.com)

Survey: Managing risk becoming a greater priority for the C-suite  Risk assessment and management is becoming a greater priority for senior level executives in both the public and private sectors, according to VidSys’ fourth annual National Security Survey. In fact, 20 percent of respondents to the 2013 edition of the survey, which included responses from over 200 IT and physical security executives, said that reducing risk to their organization was responsible for driving security plans within their respective businesses over the next 12 to 18 months. More than 30 percent indicated that they plan to invest in risk management technology over that same time period. (Source securityinfowatch.com)

Prada owners under investigation for tax avoidance in Italy  Italian tax authorities seem to be setting a new fashion -- targeting famous designers. First it was Dolce & Gabbana. Now, Italian designer Miuccia Prada and her husband, Prada chief executive Patrizio Bertelli, are under investigation as part of a tax evasion probe by Milan prosecutors, three investigative sources told Reuters on Friday. A spokesman for lawyers representing Prada Holding, through which Miuccia, her siblings and husband control the luxury group, said he was not aware of the investigation. Milan's public prosecutor's office declined to comment. (Source yahoo.com)

Macy's will lay off 151; Workforce to be cut at distribution center in Cheshire, CT  Macy's Inc. plans to lay off more than a quarter of the nearly 600 employees at its Cheshire distribution center, the company told state officials this week. The national department store chain notified the state Department of Labor on Thursday that it will lay off 151 workers at the 356,000-square-foot logistics and operations facility. (Source rep-am.com)

Amazon center plans for 500 more jobs in Murfreesboro, TN

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Target Provides Update on Data Breach and Financial Performance; closing 8 U.S. Stores

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Downing & Downing Presents: 
The D&D Daily Live in NYC
An LP Broadcasting Event

An LP Industry First!

Can't make it to NYC next Monday, Jan. 13?

Watch our LIVE stream of the event online here:


This year's Honoree

Karl Langhorst, Dir. of Loss Prevention for Kroger and the entire Kroger Loss Prevention Team

ix years ago Karl Langhorst became Kroger's first Corporate Director of Loss Prevention. Kroger, the second largest retailer in North America, never having such an effort in the past and being one of the last frontiers for Loss Prevention, Karl set out to build a proactive team and program across the entire enterprise that's produced best in class results. The Kroger team has excelled and been recognized throughout the entire LP industry as industry leaders in addition to the internal recognition within their organization as being a valued business partner.

Re-defining and impacting Kroger's 18 divisions, with over two dozen banners and over 3,500 stores, from traditional grocery to multi-department stores, to jewelry as well as convenience stores, has been a monumental task for their entire LP Team there and over six short years they've helped mold a state of the art, analytical, and proactive LP program that represents one of the strongest models in the industry. And to do that in such a large scale in six years, is an accomplishment that warrants and deserves recognition.

We at the Daily and a number of other senior executives including Joe LaRocca at Retail Partners are honored to recognize Karl Langhorst and the entire Kroger Loss Prevention Team.

About Karl Langhorst
Karl F. Langhorst, CPP, CFI, corporate director Loss Prevention, The Kroger Co. is a member of the American Society for Industrial Security (ASIS), member of the National Retail Federation Loss Prevention committee and past member of the Food Marketing Institute (FMI) Loss Prevention Committee. He holds a Bachelor of Arts in Political Science from the University of Texas at Arlington. An author, frequent speaker and nationally recognized subject matter expert on various loss prevention topics including physical security and organized retail theft, he is board certified in security management by ASIS; a Certified Forensic Interviewer (CFI) by the Center for Interviewer Standards & Assessments, licensed as a master peace officer, an instructor and investigative hypnotist by the Texas Commission on Law Enforcement Standards and Education (TCLOSE).

Open to the LP Community

Come Join Us or Watch Us LIVE on U-Stream

Watch-Listen-Learn ... You can even ask us questions online

With Live Sessions Being filmed for LPNN on Topics Impacting the LP Industry and your own career

The D&D Daily's Session Schedule for Monday:

2:30 pm "ORC in the Retail Industry"

Featuring Scott Sanford, Director of Investigations & Training, Barnes & Noble

3:00 pm "Internal Growth - Positioning Yourself for Promotion"
Featuring Jim D'Arcy, Vice President, Loss Prevention & Food Safety at A&P

3:20 pm "It's a Mutual Investment"

Featuring Bob Serenson, Dir LP Bed Bath & Beyond

3:45 pm "Emerging Loss Prevention Issues: Training is Key"
Carol Leaman, CEO Axonify & Lisa LaBruno, SVP Retail Industry Leaders

4:00 pm "North America's Conversion to IP"
Jackie Andersen, Business Development Manager, Retail at Axis - North America & Hedgie Bartol, Retail Business Development Manager at Axis Communications &Gus Downing, Publisher & Editor The D&D Daily

4:15 pm "Taking an AP Team & Program to the Next Level"

Featuring Jim Connolly, Senior Vice President Asset Protection for Burlington Coat

4:45 pm "The Impact of Information Technology Monitoring on Employee Theft and Productivity"
Co-Author Prof. Lamar Pierce, Washington University - a remote interview from St. Louis

5:15 pm "The New Customer Bill of Rights"
Featuring Ted Potrikus, EVP Dir Gov't Affairs Retail Council of New York and Lisa LaBruno, Sr. VP Retail Operations Retail Industry Leaders Association

With Two MC's, Amber Virgillo with Calibration, LLC and Joe LaRocca, VP of LP for RetaiLPartners  - We'll be talking with attendees too!

Doors open at 2 pm at Maloney & Porcelli's, 37 East 50th Street, NY, NY

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Press Releases

Checkpoint Systems and RGIS Partner to Speed Retailers’ RFID Implementations

Partnership Shortens Time-to-Value and Reduces Risks

NEW YORK – Jan. 13, 2014 Checkpoint Systems, Inc., (NYSE:CKP), a leading global supplier of merchandise availability solutions for the retail industry, and RGIS, LLC, the market leader in supply chain, inventory, insights, merchandising and optimization solutions, today announced here at the NRF 103rd Annual Convention & Expo that they have entered into a global partnership to bring the full RFID-based inventory management solution to retailers.

The end-to-end solution incorporates the best-of-breed Merchandise Visibility Solution from Checkpoint, together with RGIS’s global team of inventory specialists.

Checkpoint’s Merchandise Visibility Solution includes:

Industry-leading OATSystems software
RFID hardware
RFID tags
RFID-trained field engineers to deploy and support the implementation
RFID-based EAS leveraging the OneTag™ approach and Wirama Radar
RFID-based point-of-sale solutions
RFID compliance tools

RGIS’s team provides tag-up for pilots and roll-outs, as well as cycle counting and audits for retailers that opt for third-party support for these activities. Industry studies have consistently shown that frequent inventories are key to the successful use of RFID by retailers to maintain inventory accuracy and reduce out-of-stock items.

“The benefits of RFID for inventory management are well-documented, with accuracy increasing from around 65% to 98% or even higher," commented Dr. Bill Hardgrave, Dean and Wells Fargo Professor, Auburn University Harbert College of Business, and founder of the University of Arkansas RFID Research Center. "But as with many innovations, as they become more routine, compliance to the standard operating procedure can wane, so it becomes important for retailers implementing RFID to take steps to ensure continued compliance to provide consistently high accuracy and payback from the investment.”

“As retailers rapidly scale-up their RFID implementations, they are looking for opportunities to shorten the time-to-value and reduce the risks inherent in an enterprise solution rollout,” said Per Levin, President and Chief Sales Officer Shrink Management and Merchandise Visibility Solutions. “The combined world-class capabilities of RGIS and Checkpoint will help our customers ensure successful RFID deployment.”

“Inventory and data collection are critical to retailers’ effective operations,” noted Bill Carpou, RGIS’s Executive Vice President, Sales and Marketing. “Checkpoint and RGIS deliver the full end-to-end solution that retailers are increasingly looking for to best serve their customers and deliver a positive in store experience while enhancing profitability."

Checkpoint and RGIS have also designed several packages to help facilitate financial flexibility for retailers implementing RFID from pilot through full deployment.

Both companies are exhibiting at, and sponsors of, the NRF Annual Convention & Expo currently underway here at the Jacob K. Javits Convention Center. Checkpoint is located in booth #2244, and RGIS is in booth #2474.

About Checkpoint Systems, Inc. (www.checkpointsystems.com)

Checkpoint Systems is a global leader in merchandise availability solutions for the retail industry, encompassing loss prevention and merchandise visibility. Checkpoint provides end-to-end solutions enabling retailers to achieve accurate real-time inventory, accelerate the replenishment cycle, prevent out-of-stocks and reduce theft, thus improving merchandise availability and the shopper’s experience. Checkpoint's solutions are built upon 45 years of radio frequency technology expertise, innovative high-theft and loss-prevention solutions, market-leading RFID hardware, software, and comprehensive labeling capabilities to brand, secure and track merchandise from source to shelf. Checkpoint's customers benefit from increased sales and profits by implementing merchandise availability solutions to ensure the right merchandise is available at the right place and time when consumers are ready to buy. Listed on the NYSE (NYSE: CKP), Checkpoint operates in every major geographic market and employs 4,700 people worldwide.
Twitter @CheckpointSys

About RGIS, LLC, (www.rgis.com)
Turn your next inventory event into an opportunity to get smarter with your space. RGIS takes you beyond the count with integrated inventory services that include store surveys, space management, store remodels and resets, RFID solutions and asset optimization. With proven successes in all aspects of retail, healthcare and manufacturing inventory, it’s no surprise that more organizations, in more places, trust RGIS to provide the information and insight they need to fully understand their assets and make better business decisions.


George Cohen (for Checkpoint)
GCC, Inc.

John J. Fitzgerald (for RGIS)
Vice President of Marketing

Retail Crime News
Sponsored by Sony

Flash Mob of 10 Teens hit a Baltimore Fuel Mart store; nearly $1000 of merchandise stolen, one arrested  A gas station on Forest Drive was robbed by 10 people at once on Thursday, and one of them threatened employees with violence. Annapolis police charged Colando Colbert, 18, with armed robbery, false imprisonment and other related crimes. (Source baltimoresun.com)

Battle Creek Police release dash cam video of teen shot at a Michigan Party Store What the officer didn't know was the teen was carrying an airsoft gun, which is a replica firearm that fires pellets. The officer hit the teen in the shoulder. Prosecutors have cleared the officer of any wrong doing, but the victim's family is still planning a lawsuit. (Source wdam.com)

Man Arrested For Shooting Wife In Sam's Club Parking Lot in Nashville  Officials with the Metro Nashville Police Department said 63-year-old Johnny Vinson was arrested Sunday just after 8 a.m. The suspect was found hiding in the passenger seat of a parked car. Police said the suspect shot Angel Pack multiple times before fleeing the scene. The couple was in the final stages of divorce at the time of the incident. (Source newschannel5.com)

Thief starts fire, robs Walmart in Niles Township, MI  A thief started a fire in a Walmart before stealing electronics from the store. The suspect first went to a clothing department and started a fire. He then went to the electronics department, where he smashed a display case and stole "numerous" items. He then left through the front door. The store was evacuated and its suppression system put out the fire. (Source woodtv.com)

Suspect in Armed Robbery at Target in West St. Paul may be responsible for CVS robbery  It appears the suspect who held up the pharmacy at a SuperTarget Thursday, putting the store in lockdown, may have hit again. The Bureau of Criminal Apprehension crime alert says, the suspect in the recent hold up pulled out a gun and demanded prescription drugs. It is similar to the armed robbery at Target Thursday. This time it happened just after 6 p.m. Friday in the CVS Pharmacy on the 1400 block of Robert Street South in West St. Paul. (Source kstp.com)

Teenagers go on shooting spree in Kota Kinabalu, Malaysia; shopping mall, restaurants and hotels hit hardest 
Six mischievous teenagers caused panic after going on a shooting spree and damaging the premises of 31 businesses on Friday and Saturday. No unwanted incident or casualty were reported but many shop and business premises have closed following the incident. City police chief, ACP Jauteh Dikun said the glass doors and windows were damaged, and that it is believed that the teens used three air guns loaded with marbles to act as bullets. (Source theborneopost.com)

Sprint store armed robber hit a San Diego store for cash and $17,000 in phones  The San Diego County Sheriff’s Department has released surveillance footage of a brazen armed robbery that took place at a Sprint store in Poway in which a suspect made off with $17,000 worth of cell phones. (Source nbcsandiego.com)

Security Guard punched by Thief in Sachem, NY  The security guard was taken to the hospital from a severe laceration on his face after a thief punched him. The store security guard was trying to stop the shoplifter from exiting the store after leaving with two small tools from Sears without paying for them. (Source patch.com)

13 year old charged with last weeks attempted Arson at Deal’s in Farmington, MO

Employee gets 18 months in prison for stealing $227,000 from a Schererville, IL appliance store

Ex-cashiers at Rural King accused of $14,000 theft

Walmart shoplifter in Albany, GA arrested by police at gunpoint after assault and refusing to cooperate

Cincinnati customer shot in the parking lot of a One Stop Market

Break-in targets Grand Falls- Windsor, Newfoundland Canadian Tire

Update: RCMP arrest suspect in Surrey, British Columbia in Mac’s Convenience store robbery

Burglary suspect, lost in store, calls 911 on himself

Sherman, TX Man Indicted After Allegedly Fighting Wal-Mart Employee

Robberies and Burglaries

AT&T – Armed Robbery – Highlands, CA –One suspect ordered customers and employees to rear office
CashCo – Armed Robbery- Woodburn, OR - second robbery this month
Cheers Package Store – Armed Robbery – Selma, AL – Victim killed outside store, suspects charged w/ murder
Crockett EZ Stop – Armed Robbery – Crockett, TX – 2 suspects, no injuries
CVS – Armed Robbery – St Paul, MN – suspect believed to have hit Target on Thursday
Dollar General - Armed Robbery – Huntsville, AL – clerk treated for minor injuries
Dollar General – Armed Robbery – Dayton, OH - 2 suspects, no injuries reported

Family Dollar – Armed Robbery – Ashley, IN – One suspect, no injuries reported
Kangaroo - Armed Robbery - Lawrence, KS – suspect arrested by Police in 30 minutes
LensCrafters – Burglary – Macon, GA – suspect arrested
RiteAid - Armed Robbery - Atlanta, GA - 2 suspects demanded clerk to open safe
Sav-On Pharmacy – Robbery -Spokane, WA- 2 suspects, one jumped pharmacy counter, no injuries
Speedway – Armed Robbery – Huntington,WVa – no injuries reported
Sunoco – Armed Robbery – Pittsburgh, PA – robbed twice this week, no injuries
Starbucks – Armed Robbery – Taunton, MA - 3 people inside, no one was injured
Star Mart - Armed Robbery - Vancouver, WA - 2 masked men point gun at clerk and  demand money
UPS Store – Robbery – Calgary, AB – 3 suspects pepper sprayed UPS clerk, stole cash
Walgreens – Armed Robbery - Tulsa, OK - female suspect, demanded drugs, no injuries
Walgreens – Armed Robbery – Georgetown, KY – suspect found in trunk of his car eating prescription drugs
7-Eleven – Armed Robbery – Pennsauken, NJ – clerk was shot 4 times, listed in critical condition
7-Eleven – Armed Robbery – Chula Vista, CA – masked suspect armed with shotgun. No injuries


ORC News
Sponsored by Protection 1

10 KC men indicted by a Federal Grand Jury for the theft of tucks and cargo for years  The U.S. Attorney’s Office for the Western District of Missouri stated the men face charges for conspiring to steal nearly $1 million worth of trucks and trailers in addition to cargo. On Dec. 14, 2012, the men were charged in a 25-count indictment that remained under seal for one year. Four men allegedly stole five Freightliner trucks and 17 trailers between 2005 and 2011. The trailers included reefers with 39,000 pounds of meat; 565 boxes of beef valued at $149,790; $125,000 worth of frozen ribs; and tens of thousands of dollars’ worth of frozen chicken, including $59,706 in chicken wings alone. The indictment also showed utility trailer theft, including one trailer with $16,657 worth of Budweiser beer, Nike shoes worth $217,353 and 21,000 pounds of Little Sizzler sausages. (Source landlinemag.com)

Jewelry thieves hit Zales and Dominic’s Fine Jewelry stores in Sterling Heights, Michigan  Wednesday, two men fled the Zales store with two diamond rings. On Monday two male suspects stole a diamond ring from the sales associate at Dominic’s. (Source freep.com)

Boise Organized Retail Crime Interdiction Unit works with retailers to make several felony arrests  The Boise Police Department’s Organized Retail Crime Interdiction Unit has developed a cooperative relationship with loss prevention agents from a large number of local retail stores that allows for sharing of critical information with law enforcement and other retailers. These relationships continually result in arrests for a variety of fraud, theft, even violent crimes. (Source retailpartners.com)

Woman Arrested For Shoplifting, Attacking Loss Prevention Officer in Raynham, MA  A 25-year-old Raynham woman allegedly tried to steal two TVs and a vacuum before punching Target's loss prevention officer several times. (Source patch.com)

Two arrested in Lee County, FL Home Depot theft scheme

Baldwinsville, NY Police investigating theft of baby formula from Kinney Drug store

“Protection 1 is proud to be sponsoring the D-D Daily ORC column to ensure the LP industry gets the information, education and critical data they need to fight this  national epidemic.” Rex Gillette, VP Retail Sales, Protection 1.

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New Product Rollout

Retail Net-Alert Helps Retailers Combat Organized
Retail Crime with Awareness and Communication

Retail Net-Alert is a custom business-to-business smart device application and database. The system was designed to increase retail theft awareness and employee safety. The Retail Net-Alert system is securely and privately downloaded to your team’s smart devices.  At the core of the Retail Net-Alert system is the mobile application that runs on all modern smartphone platforms. The application features an easy to use interface for fast and accurate communication between teams and individuals, and integrates voice broadcasts and facial recognition capabilities to quickly react to criminal activities as they occur.

Our private system makes it easy to distribute the software within your organization. Our subscribers receive redemption codes for each user. You can control who gets the app by providing these codes to users via email or an internal website. Retail Net-Alert quickly delivers business critical information to the people who need it most. This notification system gives your employees the information they need to stay safe and productive.

An employee’s ability to receive quick notification of what has recently been stolen or to receive a warning of what merchandise was targeted but not successfully stolen within the vicinity is vital to addressing the ORC problem.

Some of the system's features include:

Smart device compatibility
Fast and detailed incident reporting
Fast access to BOLO and incident reports
Facial Recognition and identification match notifications
Voice Broadcasting notifications
Geographical reporting
Collaboration with fellow retailers
Searchable database and statistical reporting
Corporate alerts and safety notifications

Retail Net-Alert is a tool that makes ORC incident notifications and collaboration easy for retailers. The staff has made, and will continue to make, a significant investment in their technology. They have a dedicated application development team to provide continuous development, maintenance, and support to their clients. The system is customizable to meet client needs, whatever information you want to capture or disseminate; their developers can incorporate it into your system.

The Retail Net-Alert systems features and benefits will drastically enhance your team's loss prevention efforts, mainly driving awareness and mitigating ORC losses.

For more product information visit www.retailnetalert.com


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Conquering this Emotion can Make You More Productive  Nobody likes to procrastinate, but it happens sometimes, even to the best of us. Much has been researched as to why we procrastinate and what to do about it, but there is a variety of new studies that show that conquering this emotion linked to procrastination could help get you moving. (The 'feel good' emotion)

What that 3pm Sugar Rush Does to Your Brain  It's the late afternoon, and you're trying to keep from falling asleep in your chair, so you grab for that candy bar, sweet cup of joe, or eat some chocolate. You start to feel good at first, but what is it really doing to your brain? Watch this video to find out! (Don't go into overdrive!)

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Tired of Being Stressed? Here's a Surprising Approach to Feeling Better  As leaders, it's easy to feel stressed, especially when coming back to work after a long holiday, but thankfully there's an antidote! According to a TED talk with health psychologist, Kelly McGonigal, stress isn't the killer, it's our beliefs about stress! Change your thinking on stress by following these steps. (Stress is your friend)

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Tip of the Day
Sponsored by Vector Security

Your success is directly tied to the relationships you have with your stores, with your colleagues, and with your vendors. The ability to develop, nurture, and grow those relationships is critical if you expect to deliver the results you need. And as in the case of all relationships, it's also about what you bring to the table and the value you add. Oftentimes, one's biggest challenge is usually driven by your weakest or worst relationship and over time those are the ones that'll have the biggest impact. So take the time to access them and remember it's never too late to try to change one.

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