Michaels provides additional details in PIN pad tampering investigation
Irving, Texas — Michaels said on Friday it has removed the PIN pad tampering threat from its U.S. stores and believes it has identified the time frame that customer information was exposed. Based on the latest information available, exposed PIN pad transactions occurred from Feb. 8 through May 6, the date Michaels disabled the tampered devices.
"We are confident Michaels is a safe place to shop," said Michaels CEO John Menzer. "We want to express how deeply we regret any issues experienced by our loyal customers who have been affected in any way, and thank all our customers for their support."
Though the investigation is ongoing, as of May 12, fewer than 100 customer PIN debit cards have been reported used in fraudulent transactions. While credit-card information may also have been exposed during that time frame, law enforcement officials have not received any reports of related credit-card fraud, the retailer said.
Michaels continues to work closely with payment card brands and issuers to identify the accounts that may have been compromised so issuers can employ enhanced fraud security measures immediately on potentially impacted accounts. In addition, the company is assisting federal and state law enforcement authorities to help find the persons responsible for the crimes.
Kroger CEO pay falls for third consecutive year
Cincinnati — Kroger Co. CEO and chairman David Dillon saw his pay fell again as the chain’s sales and profit growth fell below tough targets amid continuing economic instability.
An Associated Press analysis shows Dillon received compensation for 2011 valued at $5.4 million, down 19% from 2009. It is the third straight year in which Dillon’s largely performance-based pay fell.
The AP’s calculation counts salary, bonuses, perks and stock and options awarded to the executive during the year.
Amazon.com tops in online customer satisfaction
Ann Arbor, Mich. — Amazon.com was the top performer in a review of the Top 100 online retailers by ForeSee Results. The annual report, Top 100 E-Retail Satisfaction Index, includes individual satisfaction scores with the 100 top e-retailers for the past seven years, allowing for comparisons over time and between companies.
After six years of leading the Index, Netflix dropped two points to 85 and Amazon narrowly took the lead, remaining unchanged at 86, followed by Avon.com, QVC.com, and Newegg.com. Rounding out the Top 10 were BassPro.com (82); HSN.com (82), Shutterfly.com (82); Scholastiac.com (81); Vitacost.com (81); SwissColony.com (81) and LLBean.com (81).
The biggest gainers between 2010 and 2011 are Newegg, Shutterfly, Staples, Peapod, Lowes, Macys.com, and Hayneedle, up three points each.
In this year’s survey, nearly one-third of the rated e-retailers score 80 or higher (which is the threshold to be considered a top performer in the Index), up significantly from 2007 when only four websites were considered top performers. Moreover, not a single e-retailer scores below 70. Just two years ago, 15% of the Top 100 retailers scored 69 or lower.
“Over the last seven years, we’ve really seen an industry mature from a huge range of satisfaction scores to a relatively narrow range,” said Larry Freed, president and CEO of ForeSee Results. “However, it’s important to remember that these scores are for only the Top 100 e-retailers, and a lot of smaller retailers still struggle with prioritizing the online customer experience.
The report can be downloaded at foreseeresults.com.