May 9, 2001

Gymboree Announces Management Transition

Burlingame, CA, May 9, 2001. The Gymboree Corporation (Nasdaq: GYMB) announced that Chief Operating Officer Alison L. May will take on the added responsibility of Acting Chief Financial Officer following the resignation of Larry Meyer.

Mr. Meyer is resigning to pursue other opportunities. He will remain with Gymboree as an advisor through July to ensure a smooth transition.

"At this time, Alison’s strong operational and finance background fit very well with our strategies to institute operational efficiencies and improve results," said Lisa Harper, Gymboree’s Vice-Chair and Chief Executive Officer. "We thank Larry very much for his financial leadership through our turnaround efforts over the last year and wish him well in his future endeavors."

Ms. May joined Gymboree in March, 2001, and has been responsible for the management of finance, real estate, supply chain and information systems since then. She was Chief Operating Officer and Chief Financial Officer of Esprit de Corp. between 1997 and 2000, and was Chief Financial Officer and President and General Manager of Patagonia, Inc. between 1991 and 1996. Her career before that includes 20 years of banking and international business experience.

The Gymboree Corporation designs, manufactures and retails unique, high-quality apparel and accessories for children. As of April 7, Gymboree operated 579 stores, including 527 stores in the United States, 21 stores in Canada and 31 in Europe, as well as an online store at The company also offers directed parent-child developmental play programs at more than 440 franchised and company-operated centers in the United States and 16 other countries.

The foregoing November and year-to-date sales figures are unaudited and subject to quarter-end and year-end adjustment and could differ materially from those indicated. The foregoing paragraphs contain forward-looking statements relating to Gymboree’s anticipated sales growth and future financial performance. These are forward looking statements for purposes of the safe harbor provisions under the Private Securities Litigation Reform Act of 1995. Actual results could differ materially as a result of a number of factors, including customer reactions to new merchandise and marketing activity, success in meeting our delivery targets, the level of our promotional activity, our ability to maintain appropriate inventory aging, general economic conditions, and competitive market conditions. Other factors that may cause actual results to differ materially include those set forth in the reports that we file from time to time with the Securities and Exchange Commission.