GAP Digs out of a Fiscal Hole and Expands
GAP Leadership Re-configuration
Fiscally, things have been going quite well for GAP INC., in particular since a new CEO - Paul Pressler - showed up to take the GAP reins in September of 2002. "Sales...are back on the upswing..." And earnings have also "resumed their upward trajectory" (Karr, 2004). What is even better for investors / shareholders is that as of February 2004, the price of a GAP stock has "doubled Karr reports. Still, GAP is saddled with about $2.8 billion in debt, according to the article in Daily News Record.
Notwithstanding that debt, GAP "could find itself able to renegotiate its credit agreement" - and hence, "shed itself of current restrictions" on dividends and stock purchases, which could result in savings.
There is additional positive corporate news from GAP (WWD, 2004); to wit, Jorge Montoya - who is 57 and has gained a wealth of experience serving Procter & Gamble as head of their Latin American global snacks and beverage division - has been appointed...
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