The company said it was also exploring other options, including a sale or an investment, and liquidation as the last resort.
RadioShack, whose sales have been in free-fall since 2010 as it struggles to compete with internet retailers, said in a regulatory filing it was working with its lenders and landlords to restructure its debt and cut costs.
“It would surprise me if we got to Nov. 1 without a bankruptcy,” Wedbush Securities Inc analyst Michael Pachter told Reuters.
RadioShack shares, which are in danger of being delisted from the New York Stock Exchange, were up 2 percent at 95 cents in volatile early trading.
The company said same-store sales declined 20 percent in the latest quarter, while total sales plunged to their lowest in more than 20 years.
The company is being advised by a restructuring attorney at law firm Jones Day as it tries to strike a deal with creditors to close stores, two people close to the matter told Reuters on Wednesday.
RadioShack tried to close 1,100 stores this year, but reduced that number to 200 a year when lenders did not agree to the plans.
RadioShack’s landlords, however, may be open to mass store closures if they believe it will allow them to find new tenants more quickly than in a bankruptcy, a source close to the matter told Reuters.
David Tawil, president of hedge fund Maglan Capital that focuses on companies approaching bankruptcy, said he saw “major execution risks” to RadioShack’s recapitalization and turnaround efforts.
“I don’t think that the chances are great that RadioShack survives,” Tawil said, adding that the company’s credit default swaps were trading higher, pointing to market expectations of a near-term debt default.
The company ended the second quarter with $30.5 million in cash and $658.0 million in debt, which matures between 2018 and 2019.
The Linux Foundation has announced an online certification programme for entry-level system admininstration and advanced Linux software engineering professionals to help expand the global pool of Linux sysadmin and developer talent.
The foundation indicated that it established the certification programme because there’s increasing demand for staff in the IT industry, saying, “Demand for experienced Linux professionals continues to grow, with this year’s Linux Jobs Report showing that managers are prioritizing Linux hires and paying more for this talent.
“Because Linux runs today’s global technology infrastructure, companies around the world are looking for more Linux professionals, yet most hiring managers say that finding Linux talent is difficult.”
Linux Foundation executive director Jim Zemlin said, “Our mission is to address the demand for Linux that the industry is currently experiencing. We are making our training [programme] and Linux certification more accessible to users worldwide, since talent isn’t confined to one geography or one distribution.
“Our new Certification [Programme] will enable employers to easily identify Linux talent when hiring and uncover the best of the best. We think Linux professionals worldwide will want to proudly showcase their skills through these certifications and that these certificates will become a hallmark of quality throughout our industry.”
In an innovative departure from other Linux certification testing offered by a number of Linux distribution vendors and training firms, the foundation said, “The new Certification [Programme] exams and designations for Linux Foundation Certified System Administrator (LFCS) and Linux Foundation Certified Engineer (LFCE) will demonstrate that users are technically competent through a groundbreaking, performance-based exam that is available online, from anywhere and at any time.”
The exams are customised somewhat to accommodate technical differences that exist between three major Linux distributions that are characteristic of those usually encountered by Linux professionals working in the IT industry. Exam takers can choose between CentOS, openSUSE or Ubuntu, a derivative of Debian.
“The Linux Foundation’s certification [programme] will open new doors for Linux professionals who need a way to demonstrate their know-how and put them ahead of the rest,” said Ubuntu founder Mark Shuttleworth.
Those who want to look into acquiring the LFCS and LFCE certifications can visit the The Linux Foundation website where it offers the exams, as well as training to prepare for them. The exams are priced at $300, but apparently they are on special introductory offer for $50.
The Linux Foundation is a nonprofit organization dedicated to accelerating the growth of Linux and collaborative development. It is supported by a diverse roster of almost all of the largest IT companies in the world except Microsoft.
Norwegian software maker Opera inked a deal to take over the browser building unit of Microsoft’s Nokia cellular phone unit and reported second-quarter earnings above expectations on Thursday, sending it shares sharply higher.
“We have signed a strategic licensing deal with Microsoft. We are basically taking over the browser building department in Nokia,” Opera Chief Executive Lars Boilsesen said. “This means that Opera Mini will become the default browser for Microsoft’s feature phone product lines and the Asha phones product lines.”
The deal will be profitable from the start, he added.
“All the current user base will be encouraged to upgrade to Opera Mini and all the new phones will come with Opera Mini pre-installed as a default browser. This is a great deal for us. We have dreamed of this for more than 10 years.”
In a separate statement, Opera said the licensing agreement applies to mobile phones based on the Series 30+, Series 40 and Asha software platforms.
“As part of the agreement, people who use the current browser for these phones, Xpress, will be encouraged to upgrade to the latest Opera Mini browser. Factory-new devices will have Opera Mini pre-installed.”
Kaspersky Lab has discovered an espionage network that successfully attacked government institutions, intelligence agencies and European companies.
The firm has dubbed the spy operation Epic Turla, and said that it is in no doubt about its capabilities.
“Over the last 10 months, Kaspersky Lab researchers have analyzed a massive cyber-espionage operation which we call ‘Epic Turla’,” it said.
“The attackers behind Epic Turla have infected several hundred computers in more than 45 countries, including government institutions, embassies, military, education, research and pharmaceutical companies.”
Kaspersky said that Epic Turla used two zero-day exploits that affected Adobe and Microsoft software, along with some backdoor and social engineering tricks.
In particular, Kaspersky said a vulnerability in Windows XP and Windows 2003 – CVE-2013-5065 – termed a “privilege escalation vulnerability” is being used. “The CVE-2013-5065 exploit allows the backdoor to achieve administrator privileges on the system and run unrestricted. This exploit only works on unpatched Microsoft Windows XP systems.”
The use of this Windows XP flaw underlines the risk that the unsupported Windows XP OS poses. Kaspersky went on to explain that, once inside, attackers install their own rootkits and other malware tools and begin their surveillance.
“Once the attackers obtain the necessary credentials without the victim noticing, they deploy the rootkit and other extreme persistence mechanisms,” it said. “The attacks are still ongoing as of July 2014, actively targeting users in Europe and the Middle East.”
The attacks are just the latest in a long line of incidents that businesses need to be aware of as cyber attacks continue at an alarming rate.
In June the security firm Crowdstrike alerted the industry to Putter Panda, a cute-sounding but nasty piece of malware. That firm pointed an accusatory finger at China and charged it with espionage on the US and Europe.
Crowdstrike CEO George Kurtz said at the time, “China’s decade-long economic espionage campaign is massive and unrelenting. Through widespread espionage campaigns, Chinese threat actors are targeting companies and governments in every part of the globe.” Chinese authorities disputed this.
The report comes in the same week Hold Security reported uncovering a huge trove of 1.2 billion web passwords and login details that have been gathered by Russian cyber criminals.
High profile cases of hackers seizing sensitive customer data from companies, such as U.S. retailer Target Corp or e-commerce company eBay Inc, have executives checking their insurance policies.
Increasingly, corporate risk managers are seeing insurance against cyber crime as necessary budget spending rather than just nice to have.
The insurance broking arm of Marsh & McLennan Companies estimates the U.S cyber insurance market was worth $1 billion last year in gross written premiums and could reach as much as $2 billion this year. The European market is currently a fraction of that, at around $150 million, but is growing by 50 to 100 percent annually, according to Marsh.
Those numbers represent a sliver of the overall insurance market, which is growing at a far more sluggish rate. Premiums are set to grow only 2.8 percent this year in inflation-adjusted terms, according to Munich Re, the world’s biggest reinsurer.
The European cyber coverage market could get a big boost from draft EU data protection rules in the works that would force companies to disclose breaches of customer data to them.
“Companies have become aware that the risk of being hacked is unavoidable,” said Andreas Schlayer, responsible for cyber risk insurance at Munich Re. “People are now more aware that hackers can attack and do great damage to central infrastructure, for example in the energy sector.”
Insurers, which have more experience handling risks like hurricanes and fires, are now rushing to gain expertise in cyber technology.
“It is a difficult risk to price by traditional insurance methods as there currently is not statistically significant actuarial data available,” said Robert Parisi, head of cyber products at insurance brokers Marsh.
Andrew Braunbergon, research director at U.S. cybersecurity advisory company NSS Labs, said that some energy companies have trouble persuading insurers to provide them with cyber coverage as the industry is vulnerable to hacking attacks that could trigger disasters like an explosion in a worst-case scenario.
Pricing on policies for retailers has climbed in the wake of recent high-profile breaches at Target, Neiman Marcus, and other merchants, he added.
The company rolled out a set of tools for software developers on Wednesday that allows businesses to deduct payments directly from a customer’s PayPal account.
The developer kit is the first big push from Braintree since it was bought by eBay for $800 million last year to help PayPal, eBay’s payments division, expand its presence on mobile devices.
Eliminating the need for mobile shoppers to type in their credit card details on their phones should help boost sales, Braintree Chief Executive Bill Ready said in an interview.
This is especially critical as consumers spend more time on their smartphones, a trend that is forcing developers to design a “fundamentally different computing experience” for the smaller screen, Ready added.
Braintree processes payments for businesses including car service Uber and online home-rental marketplace Airbnb.
One of the top three malware programs affecting businesses in the second quarter is a worm that takes advantage of the large number of companies still using Windows XP, Trend Micro has warned.
The worm, dubbed DOWNAD, also known as Conficker, can infect an entire network via a malicious URL, spam email, or removable drive. Windows XP is particularly susceptible to this threat because it is known to exploit the MS08-067 Server service vulnerability in order to execute arbitrary code.
DOWNAD also has its own domain generation algorithm (DGA) that allows it to create randomly-generated URLs. It then connects to these created URLs to download files to the system. Trend Micro said that around 175 IP addresses are found to be related to the DOWNAD worm and that these IP addresses use various ports and are randomly generated via the DGA capability of DOWNAD.
“During our monitoring of the spam landscape, we observed that in Q2, more than 40 percent of malware related spam mails are delivered by machines infected by DOWNAD worm,” said Trend Micro anti-spam research engineer Maria Manly in a blog post.
“A number of machines are still infected by this threat and leveraged to send the spammed messages to further increase the number of infected systems. And with Microsoft ending the support for Windows XP this year, we can expect that systems with this OS can be infected by threats like DOWNAD.”
The security company warned that spam campaigns delivering FAREIT, MYTOB, and LOVGATE payloads in email attachments are attributed to DOWNAD infected machines. FAREIT is a malware family of information stealers that download variants of the Zeus Trojan, while MYTOB is an old family of worms known for sending a copy of itself in spam attachments.
The other top sources of spam with malware are the CUTWAIL botnet, together with Gameover ZeuS (GoZ). Manly said CUTWAIL was actually previously used to download GoZ malware but now a malware called UPATRE employs GoZ malware or variants of ZBOT which have peer-to-peer functionality.
“In the last few weeks we have reported various spam runs that abused Dropbox links to host malware like UPATRE,” Manly said. “We also spotted a spammed message in the guise of voice mail that contains a Cryptolocker variant. The latest we have seen is a spam campaign with links that leveraged CUBBY, a file storage service, this time carrying a banking malware detected as TSPY_BANKER.WSTA.”
According to Manly, cybercriminals and threat actors are probably abusing file storage platforms to mask their malicious activities and go undetected in the system and network.
“As spam with malware attachment continues to proliferate, so is spam with links carrying malicious files. The continuous abuse of file hosting services to spread malware appears to have become a favoured infection vector of cyber criminals most likely because this makes it more effective given that the URLs are legitimate thereby increasing the chance of bypassing anti-spam filters,” she added.
Oracle posted fiscal fourth-quarter results that were just horrible for investors looking for more progress in web-based services, sending its shares lower.
The company had been expected to report a pickup in its software business and progress in cloud computing, shares of Oracle had gained 10 percent over the past three months. However yesterday it was clear that Oracle is getting a kicking from the competition like Salesforce.com and Workday which have been offering competitive software and Internet-based products at prices that often undercut Oracle.
Tech spending is likely to fall as more companies move to the cloud. Oracle has been rolling out its own cloud-based products but they remain under five percent of its overall revenue. For the fiscal first quarter, Oracle expects software and cloud revenue to grow between 6 percent and 8 percent. That forecast includes expectations for software- and platform-related cloud services to grow between 25 percent and 35 percent.
Oracle said it expects its hardware system revenue to be in a range of down 1 percent to up 3 percent.
For its latest fourth quarter, Oracle said overall revenue rose 3 percent to $11.3 billion. That was less than the $11.48 billion analysts had expected on average. Net income fell 4 percent to $3.6 billion.
Revenue from Oracle’s hardware systems products grew 2 percent to $870 million.
BlackBerry Ltd has agreed to a licensing deal with Amazon.com Inc that will let the Canadian smartphone maker offer some 240,000 Android applications from Amazon’s app store on its lineup of BlackBerry 10 devices this fall.
The move allows the Waterloo, Ontario-based company to add a vast array of consumer-focused apps to its devices, while at the same time directing its own efforts toward developing enterprise and productivity applications.
Customers who own smartphones powered by its BlackBerry 10 operating system will now be able to access popular Android apps such as Groupon, Netflix, Pinterest, Minecraft and Candy Crush Saga on their BlackBerry devices this fall. Google Inc makes Android, the mobile operating system used in more than a billion phones and tablets.
The apps will become available after the Canadian smartphone maker rolls out the upgraded BlackBerry 10.3 operating system, the company said.
The move is the latest by the smartphone pioneer to streamline its focus as it attempts to reinvent itself under new Chief Executive Officer John Chen as BlackBerry phones have lost ground to Apple Inc’s iPhone and Samsung Electronics Co Ltd’s Galaxy devices.
Analysts saw the move as a step in the right direction, but are not sure whether it will help turn the tide for BlackBerry.
“While this will widen the BB10 app ecosystem, the consumer
smartphone environment still remains challenging,” Wells Fargo analyst Maynard Um said in a note to clients.
Um views the announcement as a positive for BlackBerry, but said “whether it stems consumer churn remains to be seen.”
Chen wants to remain a competitor in the smartphone segment, but is focused on making BlackBerry a dominant force in machine-to-machine communications. The company’s QNX software already is a mainstay in the automotive industry, powering electronic and other systems in a wide range of cars.
BlackBerry already works with hundreds of large enterprise clients, including corporations and government agencies, to manage and secure mobile devices on their internal networks.
Chen intends to build on those ties and BlackBerry’s security credentials to let these enterprise clients build and customize in-house corporate and productivity applications for their employees.
Malwarebytes has launched anti-exploit services to protect Windows users from hacking attacks on vulnerabilities in popular targets including Microsoft Office, Adobe software products and Java, a service which even offers protection for Windows XP users.
Consumer, Premium and Corporate versions of the service are available, and are designed to pre-emptively stop hackers from infecting Windows machines with malware.
“An exploit will typically first corrupt the memory of an application process, take control, then execute code,” said Malwarebytes director of special projects Pedro Bustamante.
“From the shell code it executes a payload that tells the exploit what to do and that in turn usually downloads malware from the internet and executes it. The final stage is usually where antivirus kicks in, when it’s being downloaded from the internet, and starts doing things like behavioural analysis to see if it’s malicious.
“We don’t care about that, what we do comes before then. We just look for exploit-like behaviour and block anything that looks like it at the shellcode or payload stages. We come into play before the malware even appears on the scene.”
The Consumer version of the anti-exploit service is free and offers basic browser and Java protection.
The Premium version costs $37.00 per user and adds Office and Adobe protection services as well as the ability to add custom shields to other internet-facing applications, like Messenger or Netflix.
The Corporate version costs$40.00 person user and offers complete anti-exploit protection and comes with Malwarebytes’ Anti-malware service and a toolkit for IT managers.
Bustamante explained that the technology is designed to help businesses and general web users defend against the new wave of exploit-based cyber attacks.
“Traditional security can’t deal with exploits. Every day we see people getting infected, even if they have the latest up-to-date antivirus readers, because of exploits,” he said. “This is why we care about the applications you run – Firefox, Chrome, Internet Explorer, Java, Acrobat [and Microsoft] Word, Excel [and] Powerpoint.”
Bustamante added that the service is doubly important for Windows XP users since Microsoft officially ceased support for the OS in April.
“We’re still seeing over 25 percent of our users running XP. For them this product is even more important,” he said.
“We see new zero-days if not every week, every month, and for XP users who are not getting any more patches from Microsoft this product will be essential.
“Every month Microsoft will be releasing security patches for newer versions of Windows. Every time Microsoft does this it’ll be a treasure map for hackers to find exploits on Windows XP.
“It’ll show them exactly where the vulnerabilities are, so every month will see an influx of new exploits targeting Windows XP.”