Gap Inc. Chairman and CEO Glenn Murphy yesterday told a New York City investor conference that hiscompany is looking at combining concepts into single stores andreducing store count.The retailer will accomplish this, in somecases, by putting an adult Gap, along with baby, body and kidsconcepts, under one roof creating a superstore.Industryobservers have said for years that Gap's overexpansion, creating40-million sf of space, has led to its four years of salesdeclines. Same-store sales in May, for example, fell by 14% yearover year.This strategy makes more sense to us right now,especially with a weakened economy, than opening up new concepts. Why not consolidate chains, especially if theyare all branded on the Gap model in the first place?We are curiousto see how retail landlords react to this news. Could it hurt themany malls with multiple Gap concepts? And is this strategy enoughto finally turn around sales at the chain?

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