Gap plans to close 175 of its namesake stores and 250 jobs at its headquarters as the company tries to strengthen the struggling brand.
The San Francisco company said Wednesday Murphy is departing at the end of its current fiscal year. He has been Gap’s chairman and CEO since July 2007.
Gap Inc. reported a 12.5 percent drop in fourth-quarter profit on a 3 percent decline in revenue as the clothing retailer was forced to discount heavily over the holiday shopping season to entice customers.
Gap Inc. is reporting a 40 percent drop in fourth-quarter profits, as the clothing retailer grappled with higher costs and discounted heavily to get shoppers in its stores during the crucial holiday season.
Gap Inc. is betting big on China, announcing plans to triple the number of its namesake stores in that region by the end of next year.
Cost pressures are only compounding challenges at the San Francisco-based retailer, which has been working to revive sales across all of its brands.
Gap Inc. is reporting that rising costs, especially for its lower-priced items, helped push down its first-quarter earnings 23 percent as its revenue fell only slightly.
Gap Inc. Chairman and CEO Glenn Murphy received compensation worth nearly $6 million in 2010, an 18 percent increase from the prior year, according to an analysis by The Associated Press.
Gap Inc. said its profit for the fiscal year just ended will come in higher than expected, as revenue at stores open at least a year rose 1 percent in January.
Gap Inc.’s North American President Marka Hansen is leaving the company after 24 years, effective Friday, following a weak holiday season by the clothing brand.