Banana Republic Announces Two New Japan Locations

TOKYO – March 2008 – Gap Inc. (NYSE: GPS) today announced plans to expand its presence in Japan by opening two new Banana Republic stores in department stores this spring, bringing the total number of stores in the country to 23. Scheduled to open in March, the new offerings will be located within popular department stores in Tokyo and feature a smaller store format.

The brand is opening its first women’s-only store in Japan at the Tobu Ikebukuro Department Store on March 6, targeting female customers working in metropolitan area. Banana Republic will also introduce a second small store format that offers men’s and women’s product at the Ebisu Mitsukoshi Department Store, opening March 28.

“We’re looking forward to offering customers Banana Republic clothing and accessories within two of Japan’s leading department stores, Tobu Ikebukuro and Ebisu Mitsukoshi,” said John Ermatinger, president of Gap and Banana Republic in Japan. “The shop within a shop concept allows us to reach our target customer and offer them a different way to experience our accessible luxury brand.”

Banana Republic currently has 21 stores throughout the fashionable shopping areas in Tokyo, Yokohama, Nagoya, and Kobe. These larger store formats, on average 577 square-meters in size, carry a full-range of men’s and women’s product. Banana Republic also expects to open its first store in Umda area, Osaka this fall – the largest city next to Tokyo.

The brand continues to expand its international presence. In March 2008, Banana Republic is opening its first European store on Regent Street in London. In addition, Banana Republic is proud to celebrate its 30th anniversary this summer.