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Well that's bad timing but really, this sort of news is a good thing. No software is perfect and now they can improve upon these findings. Password Managers are still a very valid technology. Better then Firefox/Chromes integrated plain text login stores or using the same password everywhere.

Though, IMO, a password manager which uploads all your password onto a central location with thousands upon thousands of other peoples password is just a really damn stupid idea to begin with.. Even if it's encrypted or whatever.