CVE 2004-1171
KDE 3.2.x and 3.3.0 through 3.3.2, when saving credentials that are (1) manually entered by the user or (2) created by the SMB protocol handler, stores those credentials for plaintext in the user's .desktop file, which may be created with world-readable permissions, which could allow local users to obtain usernames and passwords for remote resources such as SMB shares.
See the 
CVE page on Mitre.org
for more details.
