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Target reaches $67 million agreement with Visa over data breach

Exterior pictures of Target store in Cloverdale MallExterior pictures of Target store in Cloverdale Mall

Aug 18 (Reuters) – Target Corp said it has reached an agreement with Visa Inc card issuers to reimburse the costs related to a data breach at the retailer in 2013.

The reimbursement could run up to $67 million, the Wall Street Journal reported.

The agreement comes three months after a proposed $19 million settlement between Target and Mastercard Inc fell through as not enough banks accepted the deal.

The deal required the approval of banks that issued at least 90 percent of the MasterCard accounts.

The breach during the holiday shopping season compromised at least 40 million credit cards and may have resulted in the theft of personal information from as many as 110 million people.

Target said the agreement with Visa was based on a condition that a subset of Visa card issuers entered into direct settlements with Target and Visa.

“Visa has worked to help Target reach a resolution for the expenses incurred as result of the 2013 compromise…. This agreement attempts to put this event behind us,” Visa said.

Target has incurred $162 million in net expenses related to the breach as of Jan. 31.

(Reporting by Yashaswini Swamynathan in Bengaluru; Editing by Don Sebastian)