Ihop Seeks to Eat Up Applebee's for $1.9b

Summary


GLENDALE, Calif. (AP) - IHOP Corp., best known for its blue- roofed pancake restaurants, said Monday it has agreed to buy the bar- and-grill chain Applebee's International Inc. for about $1.9 billion in cash.

The move comes as Wall Street analysts are expecting a difficult second-quarter earnings season in the restaurant sector as soaring commodity costs are hurting restaurant profits and consumers facing high gas prices are thinking twice about going out for a meal.

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Ihop Seeks to Eat Up Applebee's for $1.9b

IHOP Chief Executive Julia Stewart, a former Applebee's executive, said once the deal closes, IHOP would revive the Applebee's brand and plans to turn it into primarily a franchisor by sel...

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