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Mark Minasi, the well known writer and columnist writes:
"On 14 September, Microsoft revealed a really, really scary bug in XP, Server 2003, Office XP, Office 2003, Project 2003 and a host of other MS programs. Put in a few words, this bug would allow a hacker to take control of your system if you to just *view* a malign JPEG file.
Just visit a Web site with a "poison JPEG" on it, and wham! you've got some nasty trojan. Today someone created an example "poison JPEG." It's not a worm, all it does is crash Internet Explorer, but now that a working example's out there, it won't be too long before some jerk slaps a worm together.
You can read about it at Microsoft's site; the security bulletin is MS04-028. You can see the sample "Poison JPEG" at http://gulftech.org/ In their "Downloads" section.
Please, folks, if you've got XP, 2003, or a recent copy of Office, then get patched and get patched now. Your copy of XP is safe if you've got SP2 on it, but, again, Office needs separate patches.
Don't forget that I've got an extensive PowerPoint on SP2 on my site that you're welcome to download for free at
http://www.minasi.com/sp2info/
Best of luck to all -- patch now and you'll be worm-free later!
Mark"
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