There was a break-in at the VUDU offices and a number of items were stolen

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"There was a break-in at the VUDU offices on March 24, 2013, and a number of items were stolen, including hard drives. Our investigation thus far indicates that these hard drives contained customer information, including names, email addresses, postal addresses, phone numbers, account activity, dates of birth and the last four digits of some credit card numbers. It's important to note that the drives did NOT contain full credit card numbers, as we do not store that information. If you have never set a password on the VUDU site and have only logged in through another site, your password was not on the hard drives. While the stolen hard drives included VUDU account passwords, those passwords were encrypted. We believe it would be difficult to break the password encryption, but we can't rule out that possibility given the circumstances of this theft. Therefore, we have reset all customer passwords."

http://www.vudu.com/password_faq.html?CID=040913_PR