Old Navy announced plans to split from Gap Inc. in 2019. On February 28 of that year, Gap Inc. proposed separating Old Navy into an independent publicly traded company while grouping the remaining brands under a separate company.
The plan reflected Old Navy's rapid growth and distinct business model. The value-focused chain had become much larger and more commercially powerful than Gap Inc.'s older namesake brand, while Gap Inc. also wanted to concentrate on brands such as Gap, Banana Republic, Athleta and Hill City.
The proposed separation never happened. On January 16, 2020, Gap Inc. announced that it had abandoned the split. The decision followed leadership changes, weaker performance and difficulties developing a workable separation plan.
This creates a common quiz trap: 2019 is the year the split was announced, not the year Old Navy became independent. Old Navy remained part of Gap Inc., and the parent company continued operating it as one of its core brands.