shopping center. In 1996, Disney Store opened its flagship location in New York City. A Disney Store location opened next to the El Capitan Theatre in its building in 1998. The first Walt Disney Gallery opened outside of the park next to the Disney Store at Main Place Santa Ana in California on November 4, 1994 and was operated by Disney Store. Doug Murphy was appointed vice president of the Walt Disney Gallery for Disney Store in December 1994. In 2000, its store in Munich was closed. In September 2000, Disney Store remodeled two stores, showing off prototype designs in Costa Mesa and Cherry Hill, N.J. These stores had more space and a high-tech look where theme park tickets could be bought via computer stations. When Disney indicated that this new model would be rolled out to 350 stores, they also indicated the closure of 100 locations worldwide. Analysts had indicated that Disney had overbuilt stores. By April 2001, 20 stores were redone in the high tech style when a new president, Peter Whitford, was hired. In late 2002, two new prototypes were rolled out in Canoga Park and Torrance. In March 2002, Disney Stores Worldwide announced that the chain would be split into two types of stores, Disney Play and Disney Kids at Home. They also continued closing stores to reach 350 by 2005. The Disney Play stores would stock Disney character toys, plush dolls and costumes aimed at young children, while Disney Kids at Home targeted parents looking to purchase home furnishings, clothing and bed & bath products for their children. Some were expected to be a hybrid of both concepts. This roll out of the two store brands was expected to take 3 years. On March 31, 2003, its 16 Australian locations closed. With lackluster films, high-priced and high-margin items, sales dropped while continuing to overly open stores. The company closed hundreds of stores in order to make a slim profit. Whitford left in 2003. Licensed out North American and Japanese operations Even though the Disney Stores maintained strong sales, mounting costs of sales and operation, and the loss of key executives who had driven the Disney Stores to success led The Walt Disney Company to convert the Disney Stores into a licensed operation. The Japanese stores were sold to The Oriental Land Company in 2002, while most North American stores were sold and licensed in November