ZD Net reports that the cost of a data breach has gone up 2.5% from 2007, according to research published by the Ponemon Institute.

After comparing data from 43 companies (including several repeat offenders), companies loose just over $200 per compromised record.  Significantly, lost business due to a lack of customer trust and brand diminishment comprises 69% of the cost.

Forget about the cost of postage... businesses stand to loose much more in sales from customers who read, "We regret to inform you..."