New Mac trojan virus posing as a flash update

A new Mac trojan called OSX/Flashback.C has been discovered that poses as an Adobe Flash updater (see pic below) and installs code that disables the built-in antivirus program xProtect from updating.

The trojan was reported today by f-secure. They included these removal instructions:
Manual Removal Instructions
- Scan the whole system and take note of the detected files
- Remove the entry
LSEnvironmentDYLD_INSERT_LIBRARIES
%path_of_detected_file_from_step_1%
From:
/Applications/Safari.app/Contents/Info.plist
/Applications/Firefox.app/Contents/Info.plist
- Delete all detected files

So be careful with Flash updates, only get them directly from adobe.com

Further info is at http://www.f-secure.com/v-descs/troj...shback_c.shtml

Correct me if I'm wrong. I thought that Mac's couldn't get viruses because of the OS. Am I wrong?

You are wrong! Mac's haven't been the target of many viruses for several reasons, sheer number of Macs vs PCs being the main one. But now that Macs are more and more common (and probably because there is this assumption that they don't need antivirus protection), it seems Mac's are starting to get more and more viruses, trojans and malware.

Since swapping to Mac OSX, I have been using the free Sophos antivirus, its been good so far but I haven't encountered any malicious code (and been careful to not open spam email attachments, browse nasty places, etc). Best part is its free for personal use.