Gap says two factors weighed on Old Navy in the latest quarter: one it saw coming, and another it didn't. CEO Richard Dickson says executives had expected pressure from Old Navy's seasonal assortment for women, which resulted in declines in dresses, shorts and swim. "What we did not anticipate was the degree to which our marketing would fall short in driving traffic," he says during a call with analysts. "We are not satisfied with this result and have responded quickly." The company expects the headwinds from its summer products to fade in the current quarter, and has rewired its marketing strategy, he says. Old Navy's fall denim campaign with rapper Cardi B is off to a good start, he says.