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Neiman Marcus to pay states $1.5 million in data breach settlement

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Neiman Marcus Group LLC has agreed to pay $1.5 million and implement several policies to resolve an investigation with 43 states and the District of Columbia into the 2013 breach of customer payment card data at 77 Neiman Marcus stores, Iowa Attorney General Tom Miller announced today. In January 2014, the retailer disclosed that payment card data collected at certain stores had been compromised by an unknown third party. The states’ investigation determined that approximately 370,000 payment cards — 268 of which were associated with Iowa consumers — were compromised in the breach, which took place over the course of several months in 2013. At least 9,200 of the payment cards compromised in the breach were used fraudulently. The agreement includes policies to prevent similar breaches, Miller said. Iowa’s share of the settlement funds is $20,823.89.