NEW YORK (Reuters) - Gap Inc is bringing more color and pizzazz to its clothing and improving how it is presented in stores to try to end a deep, years-long sales slump at its flagship chain in North America.
It's a busy morning already for Gap investors. Shares are already up more than 5 percent in pre-market trading. The company said same store sales rose 5 percent in December from a year ago, alleviating concerns that retail sales were especially weak this Christmas.
Gap, the US casual-apparel retailer, unveiled plans Thursday to nearly triple the number of its stores in China by the end of its 2012 business year as it looks outside of North America to grow sales.Gap Inc., whose portfolio of brands includes Gap, Banana Republic and Old Navy, outlined a strategy to increase total sales to counter lackluster demand in North America.Gap said in a statement it would expand from roughly 15 stores in China at the end of this year to about 45 by the end of fiscal 2012, in late January 2013.
Gap Inc. is closing stores and downsizing others in the U.S. as it focuses on international expansion, the San Francisco company said Thursday.
The long-struggling apparel giant plans to reduce the number of Gap brand stores in North America to 700 by the end of 2013, a 34% decrease in the number of those stores when compared to the end of 2007.