New York (CNN Business) Gap and Old Navy have been trending in opposite directions for years. One of the companies will contain Old Navy, while the other yet-to-be-named business, currently called NewCo, will comprise Gap, Banana Republic and other brands, including Athleta and Hill City. The move is designed to allow Old Navy — which has grown to $8 billion in annual sales since it opened its first store in 1994 — to expand on its own. Meanwhile, the company can consolidate its older brands like Gap and Banana with its newer ones like Athleta and Hill City. Sonia Syngal, CEO of Old Navy, will keep running that company.

Source: CNN February 28, 2019 21:30 UTC