5/17/07

 

Employee & Retiree Q&A

 

Information about the Incident

 

1.        What happened?

 

Alcatel-Lucent was informed on May 7 by one of the company’s vendors that a computer disk containing personal information could not be located.   The disk was prepared by Hewitt Associates for delivery by UPS to another of the company’s vendors, Aon Corporation.   

 

We continue to investigate the incident, but it appears that the disk was either lost or stolen at some point in time between April 5 and May 3.  We have reported the matter to the Secret Service and local law enforcement authorities, and are continuing to work with these authorities on the matter. 

 

2.        What information was on the computer disk?

 

The disk contained personal information, including name, address, Social Security number, date of birth and salary data.  There were no credit card numbers, bank account numbers, password information or information regarding pensions, employee savings plans or stock option accounts on the disk.

 

3.        Who is affected?

 

The disk contained information on Alcatel-Lucent U.S. - paid employees who worked for Lucent and their dependents, Lucent retirees and their dependents, and COBRA participants.

 

4.        Is the company taking steps to make sure this does not happen again?

 

Yes, we are reviewing our current security policies and procedures to help us find ways to ensure that any information transmitted by our vendors is properly protected.  We have also requested our vendors to suspend all similar transmissions of personal information via courier while we investigate these issues thoroughly.

 

Actions You Can Take

 

5.        If I am affected, can I do anything to help protect my credit?

 

Yes.  There is an immediate action you can take to protect your personal information.  

You have rights under U.S. law to place a “fraud alert” on your credit file that alerts creditors to take additional steps to verify your identity prior to granting credit in your name.  There is no charge to place a fraud alert on your credit file. 

 

You can immediately place a fraud alert in your file by simply calling just one of the three nationwide consumer reporting agencies. As soon as that agency processes your fraud alert, it will notify the other two, which then also must place fraud alerts in your file.

 

Equifax: 1-800-525-6285; www.equifax.com 

Experian: 1-888-397-3742; www.experian.com

TransUnion: 1-800-680-7289; www.transunion.com

 

You are also entitled under U.S. law to one free credit report annually from each of the three major credit bureaus.  To order your free credit report, you can visit www.annualcreditreport.com or call toll-free (877) 322-8228.  For additional information on how to further protect your personal information, you can visit the web site of the U.S. Federal Trade Commission at www.ftc.gov/idtheft/.

 

6.   Is the company providing any assistance to help employees and retirees? 

 

The company is in the process of finalizing arrangements to provide everyone affected with identity theft protection and monitoring for one year free of charge.  Credit monitoring services will include unlimited online access to your credit report and score, monitoring of all three national credit bureau reports, email alerts to inform you of key changes to your credit report, and fraud resolution and assistance. 

 

7.  Do I need to do anything to obtain the credit monitoring services? 

 

Yes, you will need to enroll for this service and will receive specific information about how to sign up for these services in a letter mailed to your home address within the next several weeks.  When you get this information we encourage you to proactively take advantage of these services.  It is available for all affected individuals, including all Alcatel-Lucent U.S. - paid employees who worked for Lucent and their dependents, Lucent retirees and their dependents, and COBRA participants.

 

8.  Who can I contact if I have questions?

 

We have arranged for a toll free number for you to call if you have any questions.  The number is 1-866-795-8756 which will be available between 9:00am and 5:00p.m Eastern time Monday through Friday, with extended hours on May 17th.  You can also check the information posted on the company’s internet site at www.alcatel-lucent.com or on the intranet at

http://all.alcatel-lucent.com/wps/portal/region/na.

 

 

9.        What should I do to monitor my credit?

 

The first step is to place a fraud alert and request a credit report.  The company will provide free credit monitoring for a year, but you do need to sign up for that. 

 

You need to understand that fraud alerts will not necessarily prevent someone from opening an account in your name, as a creditor is not required by law to contact you if you have a fraud alert in place.  It is important that you watch for signs that your information is being misused.  Signs could include receiving credit cards that you didn’t apply for, being denied credit or offered less favorable credit terms, such as high interest rates, for no apparent reason or getting calls and letters from debt collectors or businesses you did not do business with. 

 

Read your financial account statements promptly and carefully to make sure there are no discrepancies.

 

10.      Are there drawbacks to placing a fraud alert?

 

Fraud alerts do not damage your credit, however a potential drawback to activating a fraud alert would occur if you attempt to open a new account.  You need to be available at either your work phone number or home phone number to approve opening the new credit account.  If you are not available, the creditor may not open the account.  It may also take longer to obtain credit as some merchants may be hesitant to open a new account. 

 

11.      What do I do if new accounts have been opened fraudulently or I see discrepancies in my financial statements?

 

If you observe suspicious activity, contact your creditors immediately, and ask to speak to someone in the security or fraud department.  Follow up your call in writing.  If you discover a changed billing address on an existing account, close the account. 

 

12.  Should I let Alcatel-Lucent know if I suspect I am a victim of identify theft as a result of this incident?

 

Yes, please pass that information along by calling the toll free number we are providing:  1-866-795-8756 which will be available between 9:00am and 5:00p.m Eastern time Monday through Friday, with extended hours on May 17th.

 

Additional Questions:

 

13.  Will this incident delay employees’ paychecks?

 

Absolutely not, this will in no way delay an Alcatel-Lucent employee receiving their pay either through electronic funds transfer or via a paper check.

 

14.  Will this incident delay retirees’ pension checks?

 

Absolutely not, this will in no way delay a retiree receiving their pension either through electronic funds transfer or via a paper check.

 

15.  Will this affect employees’ ability to access any of their benefits, including healthcare?

 

Absolutely not, this will in no way affect any current Alcatel-Lucent employee accessing any of your company benefits including healthcare or 401(k)/savings plan accounts.    

 

16. Does this in any way affect retirees’ healthcare benefits?

 

Absolutely not, this will in no way affect any retiree’s or their dependent’s ability to access healthcare benefits provided by the Lucent subsidiary. 

 

17. How can I find out if my information was contained on this disk?

 

If you are an Alcatel-Lucent U.S. paid employee who worked for Lucent, a Lucent retiree or dependent of an employee or retiree, or a COBRA participant then your information is on the disk. 

 

To check you can call 1-866-795-8756, which will be available between 9:00am and 5:00p.m Eastern time  Monday through Friday, with extended hours on May 17th

 

18.  Was information about any former Alcatel employees or retirees on this disk?

 

No, the disk had data for those Alcatel-Lucent U.S.-paid employees who worked for Lucent and individuals who retired from Lucent. 

 

19.  What about former Lucent employees who were not in the U.S.?  Does this affect only U.S. employees?

 

Yes – it affects Alcatel-Lucent employees who worked for the Lucent company who are or were on the U.S payroll and their dependents, including those employees posted outside the U.S. who were on the U.S payroll.  However, it does not impact those former Lucent employees on other payroll systems. 

 

20.  If I left Lucent voluntarily or involuntarily and was not service pension eligible when I left, will I be affected by this?

 

No, unless you are a COBRA participant.   

 

21.  I have my paycheck automatically deposited.  Did this disk have my banking and bank routing information on it as well?

 

No, the information on the disk did not include credit card numbers, bank account numbers, password information or information regarding pensions, employee savings plan accounts or stock option accounts.

 

22. I own shares in Alcatel-Lucent, is that information on the disk as well?

 

There was no information on the disk related to share ownership.

 

 

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