Banana Republic's Future Plans

Gap Inc. plans to expand its international presence in 2010
The parent of the Gap, Banana Republic and Old Navy chains will open its first Gap store in China and launch online businesses in Canada and Britain. Gap Inc., parent to the Gap, Banana Republic and Old Navy chains, announced several moves Thursday to expand its international presence.
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BCBG Max Azria for a more sustainable environment

Some suggestions for BCBG Max Azria is to use sustainbale fabrics such as organic cotton, Hemp, Bamboo and Linen. There are also some man-made fabrics such as recycled polyester, Tencel and Lyocell that are sustainble in their production.

They could donate old clothing to a second hand store in exchange for a customer discount.

Banana Republic Plans for a more sustainable environment

Banana Republic's Organic Fashion
Committing to Eco-Friendly Clothing, Packaging & Stores

Banana Republic's new 50-piece eco-collection will be made from a variety of renewable of sustainable fabrics, including bamboo, organic linen, cotton and denim, and soy/silk knit blends. This line is part of multi-action plan focused on reducing their environmental impact.

Fashion for Earth Week

In an effort to demonstrate their commitment to making and encouraging environmentally-friendly products and practices, during Earth Week, Banana Republic has pledged one percent of all in-store sales – up to $100,000 – to Trust for Public Lands, a nonprofit, land conservation organization that conserves land for people to enjoy as parks, community gardens, historic sites, rural lands, and other natural places. Trust for Public Lands' primary mandate is to ensure livable communities for generations to come.

"Banana Republic is dedicated to reducing our environmental impact – and we think this is a solid first step," said Banana Republic president Jack Calhoun. "We’re strengthening our commitment to sustainability by promoting a cause that is authentic and relevant to our customers."
How Banana Republic is Going Green

The company says that it's strategy for "greening" its company is focused around three key areas: packaging, stores, and products. In an outline of their environmental efforts, they say that this means conserving energy, making smarter use of raw materials, and offering organic or sustainable products whenever possible.
Environmentally Friendly Packaging

Talk about setting a good example: much of Banana Republic's packaging is comprised of at least partially recycled material, with their recyclable shopping bags made of 15 percent recycled material, their recyclable shoe boxes made of 50 percent recycled material, their recyclable gift boxes are made of 35 percent recycled material, and their price tickets are fabricated from 100 percent recycled material.

Banana Republic presents eco-aware for S/S 09

The Banana Republic brand presents Heritage Collection to celebrate urbane style this spring.

A new line is of relaxed style, eco-aware pieces in a very complexion-enhancing, neutrals soft color lays of ecru, slate, cream and white. Pure stripes with animal prints are injected into the row to add a bit of importance.

Sustainability is the new luxury,” said Simon Kneen, executive vice president of design. He describes the collection as “signature sportswear for the really modern attitude.”

Mixing together the highstreet haven’s characteristic elegant esthetic with eco-aware credentials, the new collection is evidence that honourable fashion doesn’t have to offer design for going green.

At 50-pieces strong, 90% of the garments employ sustainable materials: organic cotton, bamboo and soy silk.


The Heritage Collection by Banana Republic , ranging from $39 to $150, features casual pantaloon shorts,breezy shirts, elegant blouses, airy knits which fit close to the body, and oversized shirts in light-as-air soy silk.

Some of the clothes include the Twill Heritage Blazer, the Safari Tunic and Bloomer Cargo Shorts in solids and stripes.

The 90% of the clothes use sustainable fabrics.

The collection hits stores this week.

Plans for BCBG Max Azria

I think that BCBG should consider making a clothing line that is eco-friendly to help the environment. They could consider having charity shows to give to breast cancer research as well as other organizations. I think that each step they make to help people the more they will be recognized for helping the world.

Banana Republic's Annual Report

SAN FRANCISCO – November 5, 2009 – Gap Inc. today reported net sales of $1.14 billion for the four-week period ended October 31, 2009, which is an increase of 5 percent as compared with net sales of $1.08 billion for the same period ended November 1, 2008. The company’s comparable store sales for October 2009 also increased 4 percent compared with a 16 percent decrease for October 2008.


• Banana Republic North America: positive 5 percent versus negative 17 percent last year
Financial Performance Highlights

* Second quarter diluted earnings per share increased to $0.33 from $0.32 last year.
* Second quarter gross margin increased by 150 basis points driven by improved merchandise margins.
* Operating expenses in the second quarter of fiscal year 2009 were down about $50 million compared with the second quarter last year. Since the beginning of fiscal year 2007, operating expenses are down about $650 million.
* Year to date, free cash flow was an inflow of $589 million, leaving the company with more than $2 billion in cash and cash equivalents.

Sales Results

Second quarter net sales were $3.25 billion, compared with $3.50 billion for the second quarter of last year. The company’s second quarter comparable store sales decreased 8 percent, compared with a decrease of 10 percent for the second quarter of last year. The company’s online sales for the second quarter of 2009, which includes Athleta, increased 17 percent to $224 million, compared with $191 million for the second quarter of last year.

BCBG Max Azria's Last Ditch Effort To Avoid Bankruptcy

Posted by Tyler Durden at 9:28 AM
Iconic fashion house BCBG Max Azria is setting off on a last ditch effort to avoid bankruptcy. As I wrote last, the company has a $20 million March loan payment due which it will find next to impossible to make. As a result, market sources report BCBG has decided to launch a tender offer for its secured term loan at a huge discount, in the 30-40 cent ballpark. As the illiquid loan was last offered at 42 according to loan connector, management will need to step up the repurchase price for the tender to be attractive.

An earlier amendment, which had increased the interest on the loan to L+750 of which L+300 is PIKing, allowed discounted loan buy backs.

By launching this tender, the company puts itself at the mercy of its lenders. If the later perceive the company's asset value is higher than the $10 million BCBG is willing to spend on the buyback, they may simply wait until the company is forced to default and equitize their loan interest and take over the company with no debt overhang.