Gap posts weak earnings

Gap posted a slight decrease in net profit that met Wall Street estimates, despite tepid sales in advance of the key holiday selling season, but the apparel retailer stood by its 2010 profit outlook. Net profit in Gap's third quarter fell one per cent to $303m (£189m), from $307m a year earlier. Sales rose two per cent to $3.65bn, above the $3.58bn expected by Wall Street. The firm said it would close about 100 Gap stores in 2010, 10 below its earlier guidance.