As Gap Inc struggles with yet a second prolonged sales dip in six years, the industry is abuzz with speculation of a possible sale of the US retailer. The group has hired investment bank Goldman Sachs to examine "strategic alternatives", including a sale of part of or all of the company. CNBC television first broadcast the news on Monday, sending Gap shares up 7 percent. Some industry specialists have speculated that a large private equity group might be prepared to purchase the group for an estimated $20 billion, according to some media reports. The same reports theorize that a new management team would then be brought in to clean up the mess chief executive Paul Pressler and his team have failed to clean up.

On Wednesday the group announced the departure of two senior managers at the Gap and Old Navy Brands. Denise Johnston, president of the Gap brand's adult fashion line is leaving after a mere nine months with the firm. Brand president Cynthia Harriss will assume her responsibilities until her replacement is found. Ivy Ross, Old Navy's head designer is also leaving the firm. She joined the group in 2004, when Gap Inc entered its second sales slump. With her departure, the group is losing one of its most well known executives. The company could not be reached for comment.