12th Apr 2005 07:01
Reed Elsevier PLC12 April 2005 NEWS RELEASE Issued on behalf of Reed Elsevier PLC and Reed Elsevier NV 12 April 2005 LexisNexis concludes review into unauthorised access to US databases Further to its announcement of 9 March 2005, Reed Elsevier announced today thatLexisNexis, its global legal and business information division, has concludedits review of all data search activity across its business, including its Seisint unit. The comprehensive review analysed data search activity going back over the lasttwo full years and concluded that there were 59 incidents where unauthorisedpersons, predominantly using IDs and passwords of legitimate customers ofSeisint, may have fraudulently acquired personal identifying information fromits US risk management databases. LexisNexis estimates that information onapproximately 310,000 US individuals in total may have been accessed. LexisNexis is notifying all these individuals and is offering free supportservices, including credit bureau reports, credit monitoring for one year andfraud insurance, to monitor and protect them from possible fraud associated withidentity theft. LexisNexis will provide fraud counselling services orspecialised assistance to any individual who has been the victim of identitytheft related to these incidents. LexisNexis has alerted law enforcementauthorities and is proactively assisting in their investigations of thepotentially fraudulent misuse of the information acquired. In March, LexisNexis notified approximately 30,000 individuals in relation tothe incidents reported in the announcement of 9 March 2005, that criminalscould have accessed their personal information. To date, approximately twopercent of those individuals have contacted LexisNexis to accept its offer offree credit reports and credit monitoring, and none has so far advisedLexisNexis that they have experienced any form of identity theft. The 30,000 individuals are included within the 310,000 total referred to above. The incidents predominantly relate to misappropriation by third parties of IDsand passwords from legitimate customers of Seisint. The information concernedrelates to names and addresses and other personal identifying information such as social security and driver's licence numbers. LexisNexis and Seisintdatabases do not hold personal credit histories, medical records or financialrecords on individuals. Neither the LexisNexis nor the Seisint technology infrastructure has been breached by hackers nor was any customer datacompromised or accessed in these incidents. As indicated on 9 March 2005,LexisNexis and Seisint are implementing significant improvements to customers'password and ID administration security processes to help prevent futureincidents. LexisNexis will continue its long established support of effectivefederal and state data privacy policies and practices. As announced on 9 March 2005, the financial implications of the unauthorisedaccess to LexisNexis databases are expected to be manageable within the contextof LexisNexis' overall growth. Reed Elsevier also today reaffirmed its 2005and longer term financial targets of at least 5% organic revenue growth anddouble digit adjusted earnings per share growth at constant rates of exchange. Forward looking statements This announcement contains forward-looking statements within the meaning ofSection 27A of the US Securities Act of 1933, as amended, and Section 21E ofthe Securities Exchange Act of 1934, as amended. These statements concernfuture matters, such as the features and functions of, and markets for,products and services offered by Reed Elsevier, and Reed Elsevier's businessplans and strategies. Forward-looking statements are based on the currentexpectations of the management of Reed Elsevier and are subject to risks anduncertainties. Actual results and events could differ materially from theresults discussed in the forward-looking statements. Factors which could causeor contribute to differences in results include, but are not limited to,general economic conditions and business conditions in Reed Elsevier's markets,customers' acceptance of its products and services, the actions of competitors,legislative, fiscal and regulatory developments, changes in law and legalinterpretation affecting Reed Elsevier's intellectual property rights, and theimpact of technological change. Reed Elsevier is not under any obligation (andexpressly disclaims any such obligation) to update or alter its forward-lookingstatements whether as a result of new information, future events or otherwise. Notes to Editors Reed Elsevier Group plc is a world leading publisher and information provider. It is owned equally by its two parent companies, Reed Elsevier PLC and ReedElsevier NV. The parent companies are listed on the London, Amsterdam and New York Stock Exchanges, under the following ticker symbols: London: REL;Amsterdam: REN; New York: RUK and ENL. In 2004, Reed Elsevier made adjustedprofit before taxation of £1,027 million/€1,510 million on turnover of £4,812 million/€7,074 million. The group employs 35,600 people, includingapproximately 22,000 in North America. Operating in the scientific, legal,educational and business-to-business sectors, Reed Elsevier provides high valueand flexible information solutions to professional end users, with increasingemphasis on internet delivery. - ENDS - For further information please contact : Catherine May: +44 (0)20 7166 5657Patrick Kerr: +44 (0)20 7166 5646 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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