Gap launches Philippines franchises

San Francisco’s Gap Inc. (GPS) has announced a franchise agreement to launch the Gap and Banana Republic brands in the Philippines.

Franchise partner Rustan Group of Companies will open approximately eight Gap stores and four Banana Republic stores in the Philippines over the next five years under the agreement, with the first Gap opening by the end of this year and the first Banana Republic by spring 2008.

“The Philippines represents a natural market for Gap Inc. to expand its international presence,” said Ron Young, senior vice president of international strategic alliances for Gap Inc. “The country has a strong, steadily growing economy, and consumers in this market have a great interest in iconic apparel brands such as ours.”

The Gap operates Gap stores in six countries and Banana Republic stores in three. Franchise agreements have also been announced in Bahrain, Indonesia, Kuwait, Malaysia, Oman, Qatar, Saudi Arabia, Singapore, South Korea, Turkey and the United Arab Emirates.

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