Gap Inc. June sales down 4%

SAN FRANCISCO Gap Inc. today reported net sales of $1.45 billion for the five-week period ended July 7, which represents a 4% decrease compared with net sales of $1.51 billion for the five-week period ended July 1, 2006. The company’s comparable-store sales for June 2007 decreased 5% compared with a 6% decrease in June 2006.

“June was a transitional month as all of our brands made progress clearing through summer merchandise,” said Sabrina Simmons, senior vp of corporate finance at Gap Inc. “Our total company merchandise margins were in line with last year.”

Year-to-date net sales of $6.2 billion for the 22 weeks ended July 7, increased 1% compared with net sales of $6.11 billion for the 22 weeks ended July 1, 2006. The company’s year-to-date comparable-store sales decreased 4%, compared with an 8% decrease in the prior year.