Experian rep: Value for SC services is $150M

Kapczynski also said that the retail value of the products Experian has contracted to provide to South Carolinians who enroll, up to 5.7 million, is about $150 million so far. More than 932,000 people have signed up so far for the free year of monitoring, which is typically about $160. If enrollees opt for a second year, Kapczynski said they would be eligible for a reduced rate of about $80.

If all current enrollees signed up for the additional year, that would mean nearly $75 million for Experian. But Kapczynski said that, on average, only about 5 percent would likely do so — meaning a less than $4 million profit for the company.

The Budget and Control Board on Wednesday approved a $20 million loan request for the Revenue Department to pay for the state's response. In addition to Experian's bill, other bills due include $200,000 to a public relations firm, $290,000 to a legal firm, and $750,000 to Mandiant, whose computer forensic experts determined what happened and recommended how to better secure the agency's data.

The revenue agency also expects to spend $5.6 million on two Mandiant recommendations — the bulk of it to encrypt stored data, plus about $25,000 for gadgets that produce temporary passwords for employees logging into the system remotely. Mandiant officials have said either method could have prevented the hacking.

Notices to affected taxpayers are starting to go out this week. All 3.8 million should be notified by year's end, and Haley says the notices will cost $1.3 million.

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Kinnard can be reached at http://twitter.com/MegKinnardAP