Feds: Suspect may be prolific

SEATTLE (AP) — Federal prosecutors say a woman charged in a massive data breach at Capital One may have hacked more than 30 other organizations.

Paige Thompson, of Seattle, was arrested last month after the FBI said she obtained personal information from more than 100 million Capital One credit applications. There is no evidence the data was sold or distributed to others.

In a memorandum filed ahead of a detention hearing, rescheduled from today to Aug. 22, the U.S. Attorney’s Office in Seattle said servers found in Thompson’s bedroom contained data stolen from more than 30 unnamed companies, educational institutions and other entities.

Prosecutors said much of that data did not appear to contain personal identifying information. Investigators are still working to identify the affected organizations.

Thompson’s attorney did not immediately respond to an email seeking comment Wednesday.

Macy’s sends ominous signal

NEW YORK (AP) — Macy’s lowered its annual earnings guidance after the department store struggled with a big earnings miss during the second quarter as it was forced to slash prices on unsold merchandise.

The department store said Wednesday a combination of factors including a fashion miss, slow sell-through of warm weather clothing and an accelerating decline in international tourism led to rising inventory levels.

Macy’s also raised another red flag: shoppers don’t have an appetite for higher prices in a ballooning U.S. trade war with China. Macy’s was forced to raise prices on some luggage, housewares and furniture to offset the costs of a 25% tariff implemented in May on those types of goods.

Retailers are bracing for a 10% tariff targeting items like toys, clothing and shoes that had been scheduled for September. Some of those items have now been delayed until December. Raising prices could be a big problem if the economy enters into a recession, analysts say.

Macy’s CEO Jeff Gennette told analysts during an earnings call that the retailer will not be increasing prices as a result of the 10% tariffs. But he said the company will have to work hard with its vendor partners to offset costs if Trump goes ahead with his threat to ratchet the tariffs up to 25% in the event China won’t agree to a trade deal.