Gap's ‘Saving Grace’ is Now in Jeopardy

Gap's turnaround plan just got a whole lot trickier. The company's shares fell more than 5 percent on Wednesday, after it announced late Tuesday that Old Navy global president Stefan Larsson will be leaving the brand for Ralph Lauren. Analysts agreed that Larsson's exit is a huge loss for Old Navy, a brand he's credited with turning around during his three-year tenure. His departure also raises a question mark about the future of the overall Gap company, whose results have largely relied on robust growth from the low-price brand.