Gap Inc. Opens First Store in Mexico
Company also plans growth in Colombia and Uruguay
SAN FRANCISCO--(BUSINESS WIRE)-- Continuing to execute on its global expansion strategy, Gap Inc. (NYSE: GPS) announced today the opening of its first stand-alone store location in Mexico under its strategic alliances channel.
Previously, Gap Inc. offered Gap-branded merchandise in a franchise store within a store concept in Liverpool Department stores throughout Mexico. This stand-alone store opening signifies an evolution in consumer awareness and affinity for the Gap brand and Gap Inc.s continuing focus on providing American style to consumers around the globe.
We are excited to expand on our product offerings in Mexico and bring Gaps unique store experience to customers, said Stefan Laban, managing director of strategic alliances for Gap Inc. A stand-alone store is the natural next step for expanding our presence in the country. Consumers responded positively to our initial product offerings in Mexico, so we believe there is tremendous opportunity for us in the market for this store and beyond.
Building on its existing wholesale relationship with Distribuidora Liverpool, S.A. DE C.V., Gap will open its store in the newly designed Interlomas Mall, which sits in the northern suburb of Interlomas just outside of Mexico City. The 10,000 square foot store will house Gap, GapKids and babyGap collections.
Opening on the heels of the successful launch of the first Gap stores in Central and South America, the Mexico City store signifies the next step in the companys plans to continue to grow its footprint in the regions. Additional store openings planned for 2012 include:
Colombia: Gap Inc. has expanded its existing agreement with retail partner Superior International to open its first Gap stores in Bogota and Medellin this October. A Banana Republic store will also open in the country later this year in Medellin. Gap Inc. partnered with Superior to open its first Panamá store earlier this year.
Uruguay: Gap Inc. has signed a new agreement with Neutral Duty Free to open the first Gap store in Uruguay later this year. Latin America hosts some of the fastest growing retail markets in the world with extremely high brand recognition for both Gap and Banana Republic, said Laban. This, combined with the tremendous response to the launch of Gap and Banana Republic in Chile and Panamá, makes us confident there is significant opportunity for our brands in Uruguay, as well as other countries in the region.
In 2010, Gap Inc. first made its products available to consumers online in Panamá, Colombia, Uruguay, Chile, and Peru along with several other Latin American countries through its international shipping provider.
Address - Mexico City Store:
Vialidad de la Barranca # 6
Col. Exhacienda Jesús del Monte
Estado de México
This press release contains forward-looking statements within the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than those that are purely historical are forward-looking statements. Words such as expect, anticipate, believe, estimate, intend, plan, project, and similar expressions also identify forward-looking statements. Forward-looking statements include statements regarding the following:
- Expected franchise store openings and timing, including in Colombia and Uruguay;
- Global expansion strategies, including growth in Latin America;
- Significant opportunity in Latin America and further growth in the region.
Because these forward-looking statements involve risks and uncertainties, there are important factors that could cause the companys actual results to differ materially from those in the forward-looking statements. These factors include, without limitation, the following:
- the risk that changes in general economic conditions or consumer spending patterns could adversely impact the companys results of operations;
- the highly competitive nature of the companys business internationally;
- the risk that the company or its franchisees will be unsuccessful in gauging apparel trends and changing consumer preferences;
- the risk that the companys efforts to expand internationally may not be successful;
- the risk that the companys franchisees will be unable to successfully open, operate, and grow their franchised stores in a manner consistent with the companys requirements regarding its brand identities and customer experience standards;
- the risk that the company or its franchisees will be unsuccessful in identifying, negotiating, and securing new store locations and renewing, modifying or terminating leases for existing store locations effectively;
- the risk that natural disasters, public health crises, political crises, or other catastrophic events could adversely affect the companys operations and financial results;
- the risk that acts or omissions by the companys third-party vendors, including a failure to comply with the companys code of vendor conduct, could have a negative impact on its reputation or operations;
- the risk that the company will not be successful in defending various proceedings, lawsuits, disputes, claims, and audits; and
- the risk that changes in the regulatory or administrative landscape could adversely affect the companys financial condition, strategies, and results of operations.
Additional information regarding factors that could cause results to differ can be found in the companys Annual Report on Form 10-K for the fiscal year ended January 28, 2012, as well as the companys subsequent Quarterly Reports on Form 10-Q.
These forward-looking statements are based on information as of September 7, 2012. The company assumes no obligation to publicly update or revise its forward-looking statements even if experience or future changes make it clear that any projected results expressed or implied therein will not be realized.
About Gap Inc.
Gap Inc. is a leading global specialty retailer offering clothing, accessories, and personal care products for men, women, children, and babies under the Gap, Banana Republic, Old Navy, Piperlime, and Athleta brands. Fiscal year 2011 net sales were $14.5 billion. Gap Inc. products are available for purchase in about 90 countries worldwide through about 3,000 company-operated stores, about 250 franchise stores, and e-commerce sites. For more information, please visit www.gapinc.com.
Gap Inc. Media Relations
Andrea Hicklin, +1 415-427-5648
Source: Gap Inc.Copyright Business Wire 2012