Gap chief executive officer (CEO) Sonia Syngal resigned after the clothing retailer lowered its
financial outlook and said it continues to struggle with supply chain issues.
Bob Martin, executive chairman of the Gap’s board of directors, will serve as interim CEO until a
permanent successor to Syngal can be found.
Syngal was previously the head of Gap’s Old Navy business unit before she took over as CEO
in March 2020, just days before the global pandemic arrived in North America. She had worked
at the retailer since 2004.
Gap also named a new head for its Old Navy business. Horacio “Haio” Barbeito, most recently
the CEO of Walmart Canada, will take over the Old Navy business on August 1 of this year.
The Gap also updated its fiscal second-quarter guidance, saying it still expects sales to decline
in the “high single-digit range.” The company also said it still expects to incur an estimated $50
million U.S. of costs during the quarter related to air freight expenses and inflation.
The retailer continues to struggle with supply chain issues. Gap swung to a net loss of $162
million U.S. in the three-month period ended April 30, compared with a profit of $166 million
U.S. during the same period a year earlier. Revenue fell 13% to $3.48 billion U.S.
The Gap is scheduled to report its latest financial results on August 25. The company’s stock
has declined 52% this year to trade at $8.76 U.S.