TJX Profit Down Sharply on Breach Costs

Mark Jewell, AP Business Writer, reports on TJX Cos. earnings report - including a "$118 million charge due to costs from a massive breach of customer data, mostly to build up a reserve to cover estimated future expenses." The full press release is here - with the company stating "This charge includes $11 million (after tax), or $.02 per share, for costs incurred during the quarter, as well as a reserve of $107 million (after tax), or $.23 per share, for the Company's exposure to potential losses." On January 17, 2007, TJX announced it had "suffered an unauthorized intrusion into its computer systems that process and store information related to customer transactions."