LOS ANGELES Feb 9 IHOP Corp. IHP.N said on
Friday it would delay completion of its corporate refinancing
while it resolves issues related to the lapsing of some of its
federal trademark and service mark registrations.
In a statement, the pancake restaurant chain said it is in
the process of obtaining new registrations for the affected
trademarks and service marks. It has not yet determined the
financial impact of these measures, but said they would not
have a material impact on its business or franchisees.
Because of the lapse, the company must revise its Uniform
Franchise Offering Circular (UFOC), a format franchisors use to
provide information to prospective franchisees.
Only certain franchise agreements were affected by the
trademark registration issues, IHOP said, adding that it had
temporarily stopped offering franchises pending the revisions
to the UFOC.
It anticipates being able to resume offering franchises in
most states "very shortly."
IHOP's planned refinancing calls for the Glendale,
California, company to issue up to $200 million of notes.
Procees will be used to pay down debt and buy back shares.