News Release

GLENDALE, Calif.--(BUSINESS WIRE)--Oct. 12, 2006--IHOP Corp. (NYSE:IHP) today announced that its system-wide same-store sales increased 1.3% for the quarter ended September 30, 2006. For the nine months ended September 30, 2006, system-wide same-store sales increased 3.1%.

Julia A. Stewart, IHOP's Chairman and Chief Executive Officer, said, "Given the difficult consumer environment and the more challenging comparisons to the same quarter last year, we are pleased with our same-store sales performance of 1.3% in the third quarter 2006, particularly as this growth was entirely driven by increased guest traffic. Our appealing limited-time offers featured during the quarter - Funnel Cake Carnival and French Toast Fantasy - helped drive increased traffic into IHOP restaurants nationwide. Continued pricing moderation on the part of franchisees led to slightly decreased check average during the quarter as we aggressively competed for market share and guests took advantage of IHOP's attractive promotional price points.

"Year-to-date, our same-store sales increase of 3.1% is in line with our annual sales growth expectations of a 2% to 4% for fiscal 2006. With a strong line up of promotional products, a system-wide menu update and enhanced holiday gift card program expected throughout the balance of the year, we remain confident of meeting this guidance," Stewart commented.

IHOP will release full third quarter 2006 results on Wednesday, October 25, 2006 before the market opens. The Company will host an investor conference call to discuss its third quarter 2006 results on Wednesday, October 25, 2006 at 11:00 a.m. Eastern Time (8:00 a.m. Pacific Time). To participate on the call, please dial 888-396-2384 and reference pass code 87528595. A live webcast of the call will be available on IHOP's Web site at www.ihop.com, and may be accessed by visiting Conference Calls & Presentations under the site's Investor Information section. Participants should allow approximately ten minutes prior to the call's start time to visit the site and download any streaming media software needed to listen to the webcast.

About IHOP Corp.

The IHOP family restaurant chain has been serving a wide variety of breakfast, lunch and dinner selections for more than 45 years. Offering 14 types of pancakes as well as omelettes, breakfast specialties, burgers, sandwiches, chicken and steaks, IHOP's diverse menu appeals to people of all ages. IHOP restaurants are franchised and operated by Glendale, California-based IHOP Corp. As of September 30, 2006, the end of IHOP's third quarter, there were 1,278 IHOP restaurants in 49 states and Canada. IHOP Corp. common stock is listed and traded on the NYSE under the symbol "IHP." For more information, call the Company's headquarters at (818) 240-6055 or visit the Company's Web site located at www.ihop.com.

Forward-Looking Statements

There are forward-looking statements contained in this news release. They use such words as "may," "will," "expect," "believe," "anticipate," "plan," or other similar terminology. These statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results to be materially different than those expressed or implied in such statements. These factors include, but are not limited to: risks associated with the implementation of the Company's strategic growth plan, the availability of suitable locations and terms of the sites designated for development; the ability of franchise developers to fulfill their commitments to build new IHOP restaurants in the numbers and time frames covered by their development agreements; the ability of the Company to franchise its remaining Company-operated restaurants; legislation and government regulation including the ability to obtain satisfactory regulatory approvals; conditions beyond the Company's control such as weather, natural disasters or acts of war or terrorism; availability and cost of materials and labor; cost and availability of capital; competition; continuing acceptance of the International House of Pancakes brand and concepts by guests and franchisees; the Company's overall marketing, operational and financial performance; economic and political conditions; adoption of new, or changes in, accounting policies and practices; and other factors discussed from time to time in the Company's filings with the Securities and Exchange Commission. Forward-looking information is provided by IHOP pursuant to the safe harbor established under the Private Securities Litigation Reform Act of 1995 and should be evaluated in the context of these factors. In addition, the Company disclaims any intent or obligation to update these forward-looking statements.

    CONTACT: IHOP Corp.
             Stacy Roughan, Director, Investor Relations, 818-637-3632

    SOURCE: IHOP Corp.