Clothing firm Gap has seen same-store sales drop 16% year-on-year in April, continuing a two-year downward trend. The worse-than-expected slump in the four weeks to 5 May came after cool weather harmed light clothing sales. An early Easter also meant fewer items were bought as gifts, denting sales at Gap shops as well as the firm's Banana Republic and Old Navy stores.

The news comes as the retailer is seeking a new chief executive, after Paul Pressler stepped down in January. Mr Pressler, who had been at the helm of the giant clothing firm since 2002, departed after mutual agreement. Gap's non-executive director Robert Fisher has taken over as temporary head of the retailer.