Gap Inc has appointed Tom Wyatt as president of its Old Navy division, a role he has held on an interim basis since February.

The group's chairman and CEO, Glenn Murphy, described Wyatt as "the ideal business leader for Old Navy," its value-price family apparel chain which has been marred by slumping sales at its 1,066 stores.

"In the last six months, Tom unified the organisation and brought renewed focus to our customer target, while making the tough changes necessary to get the brand back on track," Murphy said.

He added: "Old Navy retains a strong place in the hearts and minds of customers, and I'm confident that - with Tom as president - more shoppers will rediscover the fun and value that's unique to this brand."

Wyatt, who joined Gap Inc in early 2006, served as president of the company's Outlet division until he joined Old Navy this year.

Before then he held several executive positions in retail, including president of Warnaco Intimate Apparel and a senior executive in the Saks family of companies.

He described his new post as "the job of a lifetime."

"All of us at Old Navy take seriously the opportunity and responsibility we have to exceed the expectations of our customers. I'm excited about working with this incredible team I've gotten to know as we bring our customers back to Old Navy."

In his first actions as brand president, Wyatt made several changes to his senior management team, effective immediately, including announcing the departure of merchandising executive vice president Sheryl Clark.

The company is also seeking an executive-level merchant for Old Navy, who will work side-by-side with Wyatt in guiding the product strategy for the brand.

Separately, Gap Inc named Art Peck as president of the Outlet division, which operates Gap Outlet and Banana Republic Factory Stores.

He has been serving as interim president of Outlet since February 2008, and joined the company in 2005 as executive vice president of corporate strategy which involved the successful launch of the company's franchising program.