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Date: Wed Sep 21 15:25:17 2005 From: ken at ftusecurity.com (Kenneth F. Belva) Subject: Paper - How It's Difficult to Ruin a Good Name: An Analysis of Reputational Risk This paper was delivered as the keynote presentation at the FiTech Summit 2005. You may find a link to the FiTech Summit here: http://www.me-uk.com/summits/eventdetails.asp?eventID=9022 The paper asks: Given a publicly disclosed security incident, "to what extent is (or isn't) investor confidence shaken? In other words, why is it the case that information security incidents do not appear to have a greater impact on both investor confidence as well as the public at large? To phrase the question in financial terms: why isn't the top line effected more than it is? To poignantly highlight this phenomena we ask: If 40 million customer credit card numbers are exposed in a security breach at the credit card processor CardSystems , why do a significant number people not cancel their Visa and/or Mastercard?" A copy of the presentation may be found here: http://www.ftusecurity.com/pub/FiTechSummit_final_paper.pdf This paper should be regarded as a starting point for further, positive discussion. Sincerely, Kenneth F. Belva, CISSP http://www.ftusecurity.com
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