Gap to Close 175 Stores, cut jobs at headquarters 06/15/2015

http://finance.yahoo.com/news/gap-close-175-stores-cut-203722650.html

Gap fired creative director Rebekka Bay in January, eliminating the position in the process. In February, the company hired Wendi Goldman, former co-president at L Brands Inc’s (LB.N) Victoria Secret, as executive vice president of Gap’s product design and development team.

Jeff Kirwan was named the Gap division’s global president in December.

Gap said it expected to close 175 of the 675 specialty stores under the Gap label over the next few years, resulting in annual sales losses of about $300 million.

The company also said it expects to incur one-time costs of $140 million to $160 million, primarily in the current quarter.

Gap reported sales of $16.44 billion for the year ended Jan. 31.

After the closures, Gap will have 500 specialty Gap stores in North America, as well as 300 outlet stores. The company also said it plans to close some stores in Europe, but did not specify how many.

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s