Clothes retailer Gap could close all of its UK stores as well as all branches in France, Ireland and Italy.
The move would also see the closure of its Europen distribution centre in Rugby.
In an update the US company Gap Inc said: “Today, we shared with our team that we are starting a strategic review of options for our Gap business in Europe.
“One of the options being explored is the possible closure of our company-operated Gap stores in the United Kingdom, France, Ireland and Italy at the end of the second quarter in 2021.
“In addition, we are reviewing our warehouse and distribution model and our Gap and Banana Republic company-owned e-commerce operations in Europe. A possible outcome is the closure of our EU distribution center in Rugby.”
The retailer reported a £740m loss in the three months to May.
It had 129 Gap branded stores in Europe at the end of July.
Earlier this year, Gap said it planned to close over 225 unprofitable Gap and Banana Republic stores globally, reports the BBC.