Economy

Gap, Banana Republic stores closing

Gap, Banana Republic stores closing”

Gap Inc.is making bold moves to address declining retail sales in their longstanding stalwart brands, Gap and Banana Republic, announcing Wednesday that they're closing 200 underperforming stores and will then open 270 new locations of the two brands that are doing well for them, Old Navy and Athleta.

As a part of its growth strategy, Gap has made a decision to focus its energies on Old Navy and Athleta, which it believes will exceed 10 billion dollars and 1 billion dollars in net sales respectively, in the next few years, driven by growth in online and mobile channels, United States store expansion, and continued market share leadership in loyalty categories.

There are now about 2,000 Gap and Banana Republic stores worldwide, according to public filings, so the closures would likely impact about 10% of them.

Gap CEO Art Peck said sales downturns at Gap and Banana Republic are "significant and acute". Peck referred to Old Navy as "obviously the very important horse pulling the cart right now inside of this company".

When Gap reported earnings last month, Old Navy outperformed the other brands once again.

Gap said in a statement posted online Wednesday that it also expects Athleta, a trendy athletic wear brand, to drive growth. Those forecasts could be ambitious-Old Navy hit about $6 billion in the 2016 fiscal year.

Louisiana has 15 Old Navy stores, including four in the New Orleans area, but only one Athleta store, located at Lakeside Shopping Center in Metairie. It said it also plans to invest more in its mobile and online services.



Like this

loading...
loading...

Latest


07 September 2017
Hurricane Irma might have destroyed one of the world's most famous airports
Maarten includes her grandmother, and she hasn't been able to reach her. "Such a ideal , magical place reduced to rubble". Martin, Princess Juliana serves as an global gateway from the US and Europe to smaller islands in the Caribbean.

07 September 2017
New South Park Game Gets Harder If You Play A Black Character
That's changing a bit with The Fractured But Whole , because Cartman said so. "Just every other aspect of your whole life". After you make those alterations, you must choose your difficulty level ranging from Easy to Very Difficult.

07 September 2017
Black Mirror: Season 4 First Look Photos Revealed
Although its exact release date has yet to be confirmed, Black Mirror Season 4 is expected to hit Netflix in late 2017. Series co-creator Brooker has co-written this episode with William Bridge.

07 September 2017
Australian MP found child abuse images on husband's computer
Her former husband pleaded guilty to one count of knowingly possessing child pornography and was jailed for four months. She said she had been subjected to vile stories, harassment and threats. "I think it's wrong and it needs to stop".

07 September 2017
Panthers to fly players, staff out of Florida
Several other highly regarded young players who will be vying for roster spots were also slated to participate. The rookie tournament, which was to be held on Florida's west coast in Estero, was canceled on Wednesday.

07 September 2017
Nook: UNI enrollment steady
Countering that decline is an increase in UNI graduate students - 1,902 are signed up, compared with 1,801 past year . The total enrollment for the fall 2017 is 11,907. "We are essentially even with previous year ", Nook told the board.

07 September 2017
Analysts Recommendations Insmed Incorporated (INSM)
It represents a security's price that, if achieved, results in a trader recognizing the best possible outcome for his investment. If we want to get a sense of INSM's future performance, we have to look at the speed and size of these price movements.

07 September 2017
Pochettino: Alderweireld Is Committed To Tottenham
They reported that talks over a new deal have broken down between Tottenham and Alderweireld, alerting his potential suitors. The Belgian now earns around £50,000-a-week, relatively little compared to the Premier League's other top defenders.

07 September 2017
Dynavax Technologies Corporation (NASDAQ:DVAX) Short Interest Up 32.6% in August
According to the analysts, Dynavax Technologies (NASDAQ: DVAX ) is expected to announce $-0.47/share EPS for the current quarter. The Firm is focused on leveraging the body's innate and adaptive immune responses through toll-like receptor stimulation.

07 September 2017
DexCom, Inc. (NASDAQ:DXCM) Stake Lessened by Tobam
Canaccord Genuity maintained DexCom , Inc. "(DXCM) Upgraded to "Hold" at ValuEngine " was posted by BBNS and is owned by of BBNS. Zacks Investment Research raised DexCom from a sell rating to a hold rating in a report on Monday, August 14th.