The original plan to separate Old Navy from Gap Inc. was first shared in February 2019. Almost a year later though, Old Navy has seen a decline in sales in recent quarters.
Gap Inc. interim president and CEO, Robert Fisher stated in a press release, “The work we’ve done to prepare for the spin shone a bright light on operational inefficiencies and areas for improvement. We have learned a lot and intend to operate Gap Inc. in a more rigorous and transformational manner.”
The company has faced other struggles during this time, with the impending departure of president and CEO Neil Fiske and the resignation of previous CEO Art Peck in November 2019.