This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

DineEquity Sells 17 Applebee's Restaurants

GLENDALE, Calif. ( TheStreet) -- DineEquity (DIN - Get Report) agreed to sell 17 company-operated Applebee's restaurants as part of its ongoing effort to turn around the bar-and-grill chain through refranchising and other methods.

DineEquity, the parent company of Applebee's Neighborhood Grill & Bar and IHOP restaurant chains, said Thursday it would sell the 17 restaurants in the mid-South region to Apple Investors Group for $15.9 million.

Apple Investors already own and operate 27 Applebee's restaurants in New Mexico and Virginia.

The deal is expected to close in the first quarter, reducing DineEquity's sale-leaseback-related financing obligations by $11.3 million.

DineEquity already has sold 259 Applebee's restaurants after acquiring the chain in 2007.

In August, DineEquity posted weaker-than-expected second-quarter earnings of $348,000, down 97.5% year over year, as IHOP restaurant sales dragged, overshadowing its Applebee's turnaround. Revenue fell 21.1% to $268.3 million, also missing expectations.

Investors were pleased with DineEquity's news of the Applebee's sale, and bid the stock up 4.3% to $42.96 in afternoon trading Thursday. Still, the stock remains nearly 14% lower this year.


-- Written by Miriam Marcus Reimer in New York.



>To contact the writer of this article, click here: Miriam Reimer.

>To follow the writer on Twitter, go to @miriamsmarket.

READERS ALSO LIKE:








>>See our new stock quote page.

Disclosure: TheStreet's editorial policy prohibits staff editors and reporters from holding positions in any individual stocks.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
DIN $103.05 0.00%
GOOG $565.06 0.00%
FB $81.53 0.00%
YHOO $44.52 0.00%
TSLA $218.42 0.00%

Markets

DOW 18,080.14 +21.45 0.12%
S&P 500 2,117.69 +4.76 0.23%
NASDAQ 5,092.0850 +36.0220 0.71%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs