Amendment No. 1 to Term Loan and Revolving Agreement – Gap Inc.

LETTER AMENDMENT No. 1

Dated as of April 25, 2011

To the banks, financial institutions

and other institutional lenders

(collectively, the “Lenders“) parties

to the Credit Agreement referred to

below and to Bank of America, N.A.,

as Agent for the Lenders

Ladies and Gentlemen:

We refer to the Term Loan and Revolving Credit Agreement dated as of April 7,
2011 (the “Credit Agreement“) among the undersigned, the LC Subsidiaries
and Subsidiary Borrowers named therein, the Issuing Banks and Swing Line Lenders
named therein and you. Capitalized terms not otherwise defined in this Letter
Amendment have the same meanings as specified in the Credit Agreement.

You and we have agreed, upon the following terms and conditions, to amend the
Credit Agreement in certain respects. Accordingly, it is hereby agreed by you
and us as follows:

Section 1. Amendments to Credit Agreement. Subject to the satisfaction
of the conditions precedent set forth in Section 3, effective as of the date of
this Letter Amendment:

(a) The definition of “Term Facility” in Section 1.01 of the Credit Agreement
is, hereby amended by deleting the date “April 29, 2011” and substituting
therefor the date “May 19, 2011.”

(b) The definition of “Term Lender” in Section 1.01 of the Credit Agreement
is, hereby amended by deleting the date “April 29, 2011” and substituting
therefor the date “May 19, 2011” in both places such date appears.

(c) Section 2.01(b) of the Credit Agreement is, hereby amended by deleting
the date “April 29, 2011” and substituting therefor the date “May 19, 2011.”

Section 2. Representation. The Company represents and warrants that
the representations and warranties contained in Section 6.01 of the Credit
Agreement are correct on and as of the date hereof, except to the extent that
any such representation or warranty is stated to relate to an earlier date, in
which case such representation or warranty shall be true and correct on and as
of such earlier date, before and after giving effect to this Amendment, and no
Default has occurred and is continuing.

Section 3. Effectiveness, Etc. This Letter Amendment shall become
effective as of the date first above written when, and only when, the Agent
shall have received counterparts of this Letter Amendment executed by the
undersigned and all the Lenders. This Letter Amendment is subject to the
provisions of Section 10.01 of the Credit Agreement.

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On and after the effectiveness of this Letter Amendment, each reference in
the Credit Agreement to “this Agreement”, “hereunder”, “hereof” or words of like
import referring to the Credit Agreement, and each reference in the Notes and
each of the other Loan Documents to “the Credit Agreement”, “thereunder”,
“thereof” or words of like import referring to the Credit Agreement, shall mean
and be a reference to the Credit Agreement, as amended by this Letter Amendment.

The Credit Agreement, the Notes and each of the other Loan Documents, as
specifically amended by this Letter Amendment, are and shall continue to be in
full force and effect and are hereby in all respects ratified and confirmed. The
execution, delivery and effectiveness of this Letter Amendment shall not, except
as expressly provided herein, operate as a waiver of any right, power or remedy
of any Lender or any Agent under any of the Loan Documents, nor constitute a
waiver of any provision of any of the Loan Documents.

If you agree to the terms and provisions hereof, please evidence such
agreement by executing and returning at least two signature page of this Letter
Amendment to Susan L. Hobart, Shearman & Sterling LLP, 599 Lexington Avenue,
New York, New York 10022.

This Letter Amendment may be executed in any number of counterparts and by
different parties hereto in separate counterparts, each of which when so
executed shall be deemed to be an original and all of which taken together shall
constitute one and the same agreement. Delivery of an executed counterpart of a
signature page to this Letter Amendment by telecopier or other electronic medium
shall be effective as delivery of an original executed counterpart of this
Letter Amendment.

Gap Letter Amendment No. 1		2

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This Letter Amendment shall be governed by, and construed in accordance with,
the laws of the State of New York.

Very truly yours,
		THE GAP, INC.
		By:		/s/ Jennifer Cho
		Name:		Jennifer Cho
		Title:		Vice President and Treasurer

Agreed as of the date first above written:

BANK OF AMERICA, N.A., as Agent and as a Lender
By:		/s/ Sabrina Hassan
Name:		Sabrina Hassan
Title:		Assistant Vice-President
JPMORGAN CHASE BANK, N.A.
By:		/s/ Barry K. Bergman
Name:		Barry K. Bergman
Title:		Managing Director
CITIBANK, N.A.
By:		/s/ Shannon Sweeney
Name:		Shannon Sweeney
Title:		Vice President
HSBC BANK USA, NATIONAL ASSOCIATION
By:		/s/ Thomas A. Foley
Name:		Thomas A. Foley
Title:		Managing Director
WELLS FARGO BANK, NATIONAL ASSOCIATION
By:		/s/ Sid Khanolkar
Name:		Sid Khanolkar
Title:		Vice President

Gap Letter Amendment No. 1

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THE BANK OF NOVA SCOTIA
By:		/s/ John Mathews
Name:		John Mathews
Title:		Director : Corporate Banking
DEUTSCHE BANK AG NEW YORK BRANCH
By:		/s/ Ross Levitsky
Name:		Ross Levitsky
Title:		Managing Director
By:		/s/ Philippe Sandmeier
Name:		Philippe Sandmeier
Title:		Managing Director
GOLDMAN SACHS BANK USA
By:		/s/ Lauren Day
Name:		Lauren Day
Title:		Authorized Signatory
U.S. BANK NATIONAL ASSOCIATION
By:		/s/ Conan Schleicher
Name:		Conan Schleicher
Title:		Vice President
SUMITOMO MITSUI BANKING CORPORATION
By:		/s/ William M. Ginn
Name:		William M. Ginn
Title:		Executive Officer
BANK OF THE WEST
By:		/s/ William A. Pope
Name:		William A. Pope
Title:		Vice President

Gap Letter Amendment No. 1

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FIFTH THIRD BANK
By:		/s/ Gary S. Losey
Name:		Gary S. Losey
Title:		Vice President : Corporate Banking
ROYAL BANK OF CANADA
By:		/s/ Jennifer Lee-You
Name:		Jennifer Lee-You
Title:		Attorney In Fact
ROYAL BANK OF CANADA (NEW YORK)
By:		/s/ Dustin Craven
Name:		Dustin Craven
Title:		Attorney-In-Fact
ROYAL BANK OF CANADA (LONDON)
By:		/s/ Michael Atherton
Name:		Michael Atherton
Title:		Managing Director, Corporate Banking

Gap Letter Amendment No. 1