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Yahoo! Inc has confirmed that around 4,00,000 users’ accounts have been hacked form its computer system.

The company however added that only a small portion of the hacked passwords and emails were valid. 

Yahoo also announced that it is fixing the problem by changing passwords and informing users who were affected by the hacking incident.

A hacking group called D33Ds Company had earlier on Wednesday had posted several account credentials on a public website claiming that the act was meant to "wake up" Yahoo rather than threatening it.

The group added that sensitive information was not posted to avoid any further damage and urged the company to concentrate on the several security holes exploited in web servers belonging to it.