RISE - Menu Monitor

IHOP Corp. reported for the second quarter ended June 30 same-store sales increased 2.5%. For the first six months of fiscal
2007, systemwide same-store sales grew 1.6%. (Company Release 7/12/07)
IHOP Corp. entered into an interest-rate swap with Lehman Brothers Special Financing Inc. to avoid interest payments on
asset-backed notes that are expected to be issued under a securitization program to finance IHOP’s purchase of Applebee’s
International Inc. IHOP would be the fixed rate payer and Lehman Brothers Special Financing Inc. would be the floating rate
payer. (Company Release 7/16/07)
IHOP is returning to its traditional A-frame building design for newly constructed units nationwide. The slanted blue roof is a
point of distinction for the chain, but restaurants changed to a more contemporary look with the company’s transition from
International House of Pancakes to IHOP. There are currently 1,319 franchised and company owned locations nationwide.
(NRN Daily NewsFax 7/24/07)
IHOP CEO Julia Stewart plans to rejuvenate the Applebee’s chain, which IHOP recently purchased. Stewart plans to sell most
of Applebee’s company-owned locations to franchisees and revamp the company’s look and menu to make it stand out. The
process of revamping the brand could take until 2010. (Associated Press 9/27/07)
IHOP Corp. reported for the third quarter ended September 30 same-store sales increased 2% over the same quarter of 2006.
The increase marks the company’s 19th consecutive quarter of same-store sales growth. (Company Release 10/11/07)
IHOP plans to sell most of Applebee’s company-owned stores to franchisees after completing its $2.1 billion acquisition of the
bar-and-grill chain in late October. It also will make menu changes and update décor. (Yahoo! Finance 9/27/07)
IHOP Corp. reported for the third quarter ended September 30 a loss of $11.6 million compared to a profit of $11.3 million for
the same period last year. Revenues rose 3.8% to $91.4 million. Same-store sales increased 2.0%. (NRN Daily NewsFax
10/24/07)
Applebee’s International Inc. stockholders have voted to accept a merger agreement between the company and IHOP Corp.
The announcement comes after a special stockholder meeting held October 30 in which more than 70% of shares voted in
favor of the merger agreement. The transaction is expected to close by November 29. (Applebee’s International Inc. Press
Release 10/30/07)
IHOP Corp. has completed its acquisition of Applebee’s International Inc. for $25.50 per share in cash, or about $1.9 billion.
The total value of the transaction comes to about $2.3 billion because of the assumption of Applebee’s debt and the
transaction fees IHOP will pay. IHOP plans to sell most of Applebee’s company-run restaurants to franchisees, cut costs and
complete sale-leaseback transactions on corporately owned real estate assets. IHOP also detailed for the first time that it
planned to sell 475 of Applebee’s 510 corporate locations by the end of 2010. Select markets could be sold by early next year.
(NRN.com 11/29/07)
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