The bad news sent Gap Inc shares down 5.2% in after hours trading. WGSN Global News Editor Nigel Taylor reports
More negative news out of Gap Inc. Marissa Webb, creative director for the struggling Banana Republic brand, is stepping down after 18 months, effective October 16. The move comes as the group reported a “challenging” September where same-store sales fell again (see story below), the third-straight month of declines. Banana Republic’s comps alone fell 10% last month.
There was also a disappointing earnings outlook for the current quarter. The basket of bad news sent Gap Inc shares down 5.2% in after hours trading Thursday. The stock is down 31% since the beginning of the year.
Webb, who joined early last year to re-charge the flagging Banana Republic brand, will transition into a creative-adviser role “affording her more time to focus on her own collection,” Gap Inc said.
The company said that it will continue to be a minority investor in Webb’s label M Webb.
“Banana Republic has been fortunate to have Marissa’s passionate, creative leadership for the past year and a half,” Gap spokeswoman Liz Nunan told AP. She noted that Banana Republic will not fill the creative director spot at this time.
Last week, Gap’s highly-prized Old Navy president Stefan Larsson resigned to become CEO at Ralph Lauren Corp Corp.
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