Gap Deadline Approaching

Kessler Topaz Meltzer & Check, LLP Reminds Investors of The Gap, Inc. of Deadline in Securities Fraud Class Action Lawsuit

The law firm of Kessler Topaz Meltzer & Check, LLP (www.ktmc.com) informs investors that a securities class action lawsuit has been filed against The Gap, Inc. (“Gap”) (NYSE: GPS). The action charges Gap with violations of the federal securities laws, including omissions and fraudulent misrepresentations relating to the company’s business, operations, and prospects. As a result of Gap’s materially misleading statements and omissions to the public, Gap’s investors have suffered significant losses.

CLICK HERE TO SUBMIT YOUR GAP LOSSES. YOU CAN ALSO CLICK ON THE FOLLOWING LINK OR COPY AND PASTE IN YOUR BROWSER: https://www.ktmc.com/new-cases/the-gap-inc?utm_source=PR&utm_mediu ...

TO VIEW OUR VIDEO, PLEASE CLICK HERE

LEAD PLAINTIFF DEADLINE: FEBRUARY 3, 2023

CLASS PERIOD: NOVEMBER 24, 2021 THROUGH JULY 11, 2022

CONTACT AN ATTORNEY TO DISCUSS YOUR RIGHTS:
Jonathan Naji, Esq. at [phone] or via email at [e-mail]

Kessler Topaz is one of the world’s foremost advocates in protecting the public against corporate fraud and other wrongdoing. Our securities fraud litigators are regularly recognized as leaders in the field individually and our firm is both feared and respected among the defense bar and the insurance bar. We are proud to have recovered billions of dollars for our clients and the classes of shareholders we represent.

GAP’S ALLEGED MISCONDUCT

After market hours on November 23, 2021, Gap issued a press release announcing it results for the third quarter ended October 30, 2021. In that release, Gap also touted the success of its sales related to its BODEQUALITY launch at Old Navy.

On April 21, 2022, Gap announced that Nancy Green, CEO of Old Navy, had stepped down. Following this news, the price of Gap stock fell nearly 18%.

Then, on May 20, 2022, The Wall Street Journal published an article revealing that Gap had improperly managed its inventory of plus size clothing at its Old Navy stores, causing material declines in margins and business results. Specifically, the article stated that "Old Navy set out to make clothes shopping more inclusive for women of all body types. It ended up with too many extra-small and extra-large items and too few of the rest, a mismatch that frustrated customers and contributed to falling sales and a management shake-up." Further, the article stated that "Gap warned that sales for the spring quarter would fall short of expectations in part due to troubles at Old Navy[,]" but that "[t]he extended sizes were the culprit, according to current and former employees." Finally, the article indicated that "Old Navy's stumbles don't bode well for Gap Inc. In 2021, Old Navy accounted for 54% of the company's sales and roughly 80% of profits[.]" Following this news, the price of Gap stock fell approximately 7% over the next two trading sessions.