Children's Place says customer database hacked

Wed Apr 20, 2011 9:58am EDT

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(Reuters) - Children's Place Retail Stores Inc said its customer database has been hacked, and clients were sent an unauthorized email directing them to a website where they were asked to enter their credit card numbers for a software upgrade.

The company notified customers about the hacking on Tuesday evening through an email.

"Our third party email service provider has informed us that only email addresses were accessed and no other personal information was obtained," the company said in the email.

"The Children's Place would not ask you, in an email, to update any software or for other highly sensitive personal information," the email said.

The Secaucus, New Jersey-based company has been leaning heavily on e-commerce sales to boost business.

For the fourth quarter, it saw comparable online sales rise 31.7 percent -- while they fell 9 percent at stores in the United States, and 6.2 percent in Canada.

Shares of the company closed at $53.20 on Tuesday on Nasdaq.

(Reporting by Nivedita Bhattacharjee in Bangalore; Editing by Jarshad Kakkrakandy)

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