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Hackers Use Microsoft Flaw for Malicious Code

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From Associated Press

In a harbinger of security threats to come, hackers have exploited a newly announced flaw in Microsoft Corp. programs and begun circulating malicious code hidden in images that use the popular JPEG format.

Software tools to create the malicious images began appearing last month, and this week security experts saw images employing them posted on adult-oriented Usenet newsgroups.

Microsoft disclosed the flaw Sept. 14. It affects people running Windows XP, Windows Server 2003 and later versions of Office.

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