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Gap disappoints in Q1


San Francisco – Gap Inc. reported disappointing sales for April and the first quarter, hurt by fluctuations in foreign currency exchange and sliding sales at its namesake and Banana Republic divisions. Also, earlier timing of the Easter holiday, as compared to 2014, benefited the company’s March sales results and negatively impacted its April sales results.

Total same-store sales fell 12% in April, worse than predicted. Sales at Old Navy declined 6%, while sales at Banana Republic plunged 15%. Same-store sales for Gap fell 15%.

Gap reported net sales of $3.66 billion in the first quarter of fiscal 2015, down 3% from $3.77 billion in the year-ago period. Gap same-store sales in the first quarter fell 4%. Gap global same-store sales dropped 10%, while Banana Republic same-store sales fell 8% and Old Navy global same-store sales rose 3%.

April net sales were $1.21 billion, a 9% drop from $1.33 billion the previous April.

Same-store sales in April were down 12%. Gap global and Banana Republic global same-store sales were down 15%, while Old Navy global same-store sales fell 6%.

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