20 New IHOP Restaurants Scheduled to be Developed
The Canadian division of IHOP Corp.
(NYSE:IHP) announced today that it has landed additional Multi-Store and Single-Store Development Agreements during Q3 2006 for its franchisees to build twenty new IHOP restaurants over the next eight years. These agreements provide for the development of new IHOP restaurants in the states of Georgia, Virginia and Washington, as well as for international development in Ontario, Canada and the U.S. Virgin Islands.
As of the end of Q3 2006, the Company'''s franchise pipeline included signed or optioned commitments for franchisees to develop a total of 388 new IHOP restaurants in the U.S., Mexico and Canada over the next 13 years, with options extending until 2019. Currently, IHOP is finalizing legal agreements for additional franchise development that could add up to 110 more IHOP
restaurants to its development pipeline, which would bring total signed, optioned and pending commitments to as many as 498 restaurants
in the U.S., Canada, U.S. Virgin Islands and Mexico.
The following are details of Multi-Store Development Agreements signed during the third quarter 2006:
• John Khauv has agreed to develop five new IHOP restaurants over the next eight years within Pierce and King counties in the state of Washington. Mr. Khauv has been an IHOP franchisee for six years, and currently operates three IHOP restaurants in California and Washington.
• Aysa Saadat has agreed to develop two new IHOP restaurants over the next three years within Skagit and Whatcom counties in the state of Washington. Mr. Saadat has been an IHOP franchisee for nine years, and currently operates one IHOP restaurant in Washington.
• Pancakes Canada Limited
controlled by the Alfieri Group has agreed to develop three new IHOP restaurants over the next five years in a portion of the region of Niagara, including Niagara Falls and the city of Barrie, Ontario, Canada. Pancakes Canada Limited is a franchisee new to the IHOP system. The Alfieri Group possesses more than 55 years of restaurant operations experience, with successful casual Italian themed, family restaurant operations in Niagara Falls, Ontario.
• Allie Allison Petrus has agreed to develop two new IHOP restaurants over the next five years in the Island of St. Thomas, U.S. Virgin Islands. Mr. Petrus is a franchisee new to the IHOP system, and possesses more than 20 years of experience in the hospitality industry with an expertise in restaurant operations.
IHOP also signed two Single-Store Development Agreements in addition to these Multi-Store agreements, during the third quarter 2006, which the Company expects its franchisees will open in the next 12 to 18 months in the states of Georgia and Virginia. It also amended existing franchise development agreements, adding another six new restaurant commitments to its development pipeline.