Incoming CEO, Art Peck, doesn’t officially takes the reins from current CEO, Glenn Murphy, until February but is already shuffling the deck in his favor, naming new leadership at both Gap and Banana Republic.
Announced simultaneously with its third quarter earnings, Andi Owen, currently head of Gap’s Factory Store division, has been named global president for Banana Republic effective Jan 5th. She succeeds Jack Calhoun, who led the brand for eight years and will depart in February. While Jeff Kirwin, currently president of Gap greater China has been named global president for Gap effective this December. He succeeds Stephen Sunnucks, who will leave the company on Dec. 19.
For it’s third quarter, Gap Inc. reported negative/flat year over year sales comps for Gap global, down 5 percent, and Banana Republic, flat for the period ending November 1st. Meanwhile Old Navy reported comps sales increases of 1 percent.
During the quarterly conference call discussing changes at Gap Inc., Peck stated, “I was impatient to get the team in place for 2015 . . . Jeff has been building our China business. He’s a great leader, a very balanced executive, somebody who gets our brands and gets brand building. Jeff and I have a high degree of urgency. We need to get the aesthetic righted for the brand.”
“A company like Gap Inc., with our six brands, I don’t think anybody ever thinks we should negative comp. It just makes no sense. We had a much better quarter done by the finance team…I have told everyone on the commercial side of the business that we need to do better,” stated Murphy.
I really feel strongly that she (Marissa Webb, the creative director of Banana Republic) is going to position Banana Republic strongly for the future.
Murphy went on to explain that he encouraged Peck “to put together a winning combination of new or existing executives” so Gap Inc. can be “the leading global apparel company around the world.”
“Over the past decade, both Steve and Jack helped make Gap Inc. a much stronger and more global company. We appreciate their hard work and passion for our brands, people, and customers,” stated outgoing CEO Murphy.
“We’ll start 2015 with a management team comprised of both established executives and the next generation of brand leaders ready for the next generation of customers,” stated Peck.