Store vouchers and a three-day sale are some of the concessions TJX has pledged in a settlement with US customers who sued the discount retail giant following a massive customer data theft.
"You've got to hand it to TJX," Mary Monahan, partner and analyst at Javelin Strategy and Research, said. "They took the largest data breach in history and turned the conversation into offering $30 (£15) vouchers right before Christmas."
According to the agreement, announced Friday evening, customers who used credit cards during the time of the intrusion and who suffered costs this year related to the breach will receive store vouchers valued at $30 (£15) to $80 (£40).
"This is potentially a benefit [for TJX]," Diana Kelley, a Burton Group analyst, said. "If you have credit, there's a chance you're going to spend significantly over that. It draws people to their stores."
The agreement, which requires court approval not expected until next year, would put an end to a number of class-action lawsuits filed by customers after TJX revealed in January that hackers compromised some 45.7 million records over a two-year period.
In addition, TJX plan to hold a "Customer Appreciation special event," a three-day sale during which prices will be reduced by 15 per cent for all customers across the company's 2,500 outlets.
TJX, in a statement released on Friday, did not place an amount on the lawsuit, only saying its cost is part of a $107 million (£53 million) reserve mentioned in its second-quarter filing with the Securities and Exchange Commission. The company said it denied the "allegations underlying" the lawsuits, but that it made fiscal sense to settle.
"We deeply regret any inconvenience our customers may have experienced as a result of the criminal attack on our computer system," TJX President and Chief Executive Officer Carol Meyrowitz said in the statement. "TJX has been working diligently to reach a settlement that offers a good resolution for our customers."