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CAMBRIDGE, MA -- (Marketwired) -- 05/28/14 -- BitSight Technologies, the standard in Security Ratings, today released a new BitSight Insights report, which analyzed Security Ratings for S&P 500 companies in four industries -- finance, utilities, retail and healthcare and pharmaceuticals. The objective was to uncover quantifiable differences in security performance across industries from April 2013 through March 2014. The study revealed that the healthcare and pharmaceuticals sector has many of the same characteristics as the retail sector, including a high volume of security incidents and slow response times, and that both of these sectors lag behind the finance and utilities sectors in security performance.

BitSight Technologies uses publically available data to rate companies' security performance on a daily basis. Observed security events and configurations, such as communication with a botnet, malware distribution, and email server configuration, are assessed for severity, frequency and duration and used to generate objective Security Ratings. BitSight Security Ratings range from 250 to 900, with higher ratings equating to higher security performance. Industry ratings are calculated using a simple average of the Security Ratings of companies in that sector.

Key Findings
Retail's poor performance continues

• Within the past year the security performance of the retail industry declined, ending the time period at an average of 685.
• The number of security events observed by BitSight increased nearly 200 percent from April 2013 to March 2014.
• Zeus and Zero Access accounted for one third of all malware in the retail industry.

Healthcare and pharmaceuticals demonstrate signs of serious illness

• The average rating in this industry was 660. Like the retail sector, the spread in performance across the industry is large, implying that there are many companies that are seriously underperforming.
• This sector saw the largest percentage increase in the number of security incidents observed by BitSight over the time period.
• The average event duration, (the number of days between the first time BitSight observes an event to the last time) is longer than any other industry, at 5.3 days.

Finance tops the list

• The average rating in the finance industry was 765, the highest of all of the industries analyzed, despite an increase in the number of observed incidents.
• Zeus malware made up 33 percent of the identified malware that hit the finance industry.
• The finance industry had the shortest average event duration suggesting that this sector is quicker to detect and respond to cyber threats than others.

Utilities also shine bright

• The average rating was 751 for the utilities industry and like finance, the range of ratings within the utilities sector is relatively narrow, meaning the majority of companies are high performers.
• Redyms, a family of trojans designed to redirect search engine results, hit this sector particularly hard, accounting for 26 percent of all observed malware.
• Similar to finance, the generally positive security performance in this industry is likely the result of both executive-level focus on cyber risk as well as industry regulation.

Supporting Quotes
"Based on our analysis, it is clear that organizations that treat cyber security as a strategic issue perform better than those that view it as a tactical one. This partially explains the superior Security Ratings of financial institutions and electric utilities in the S&P 500 compared to retailers and healthcare companies."
-- Stephen Boyer, BitSight co-founder and CTO

"These strong Security Ratings of the electric utilities in the S&P 500 are no surprise, in my experience, large IOUs (Investor Owned Utilities) have fairly sophisticated IT security practices. Like large financial institutions, they have significant security budgets and cyber risk has executive level visibility. Although NERC CIP only applies to portions of these IOUs, it has lead to a significant shift in attitudes towards cyber security in large utilities."
-- Dave Dalva, VP of Security Science at Stroz Friedberg

"Many retailers do indeed have strong security practices, and the recent announcement from the Retail Industry Leaders Association (RILA) about the creation of a Retail Cyber Intelligence Sharing Center is certainly a step in the right direction. However, cyber security still needs greater resources and executive level attention across the industry."
-- Chris Poulin, IANS Faculty Member

"In our recent assessment of medical devices used in clinics and hospital around the country, weak encryption, lack of key management, poor authentication and authorization protocols, and insecure communications were all common findings. These gaps in security can lead to a compromise in data confidentiality and integrity. When sensitive data is compromised, it can not only create risks for patients, but also expose health care providers and device manufacturers to regulatory and business risks."
-- Chandu Ketkar, Technical Manager at Cigital

To download a full copy of the BitSight Insights report, visit http://bitsig.ht/TxGRXy. To download a ZIP file containing high resolution versions of the charts and graphs included in the report, click here http://www.bitsighttech.com/sites/default/files/BitSight%20Insights%20Vol%204%20Graphics%20Kit.zip.

About BitSight Technologies
BitSight Technologies is transforming how companies manage information security risk with objective, evidence-based security ratings. The company's Security Rating Platform continuously analyzes vast amounts of external data on security behaviors in order to help organizations make timely risk management decisions. Based in Cambridge, MA, BitSight is backed by Commonwealth Capital Ventures, Flybridge Capital Partners, Globespan Capital Partners, and Menlo Ventures. For more information, please visit www.bitsighttech.com or follow @BitSight on Twitter.

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