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Original Post: Java for OS X Lion 2012-003 Released
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Hot on the heels of Java for OS X Lion 2012-002 there is a new Java update - Java for OS X 2012-003 (along with Java for Mac OS X 10.6 Update 8). The Java for OS X Lion 2012-002 patched several security flaws including the Flashback virus. If you haven't heard, the Flashback malware is a trojan virus that aims to steal usernames and passwords for online services.
Java for OS X 2012-003 and Java for Mac OS X 10.6 update 8 remove the virus from infected computers. After installing, if your computer was infected with Flashback a dialog will appear informing you that it has been dealt with. If your computer was not infected then there is no notification.
Java for OS X 2012-003 also adds a deactivation timer for the Java browser plugin and Java Web Start. If they are unused for 35 days they are deactivated. Users can reactivate the Java browser plugin and Java Web Start from the Java Preferences application in the Utilities folder.
The update will come through the software updater or can be downloaded from the Apple downloads page.