FOR IMMEDIATE RELEASE

Investor Contact:
Carol DiRaimo, (913) 967-4109

Media Contact:
Laurie Ellison, (913) 967-2718

               Applebee's International Announces Breeden Capital
                   Refuses Company's Offer of Two Board Seats

OVERLAND  PARK,   KAN.,   March  9,  2007  -  Applebee's   International,   Inc.
(Nasdaq:APPB) today announced that negotiations with activist hedge fund Breeden
Capital have failed to produce an agreement after Breeden rejected the company's
offer of two board seats.

Breeden  Capital,  a  5-percent  shareholder,  is  seeking  four  seats  on  the
Applebee's board of directors.

Applebee's  said that over the past eight  months,  board  members  and  company
representatives have held numerous conversations with representatives of Breeden
Capital,  including  Richard  C.  Breeden.  The  company  said it  continues  to
thoughtfully   consider  Breeden  Capital's   comments  regarding  its  business
strategies.

On March 2, CEO Dave Goebel and members of the Strategy Committee of independent
directors overseeing the strategic alternatives process met with Mr. Breeden and
offered  one of  Breeden's  nominees,  founding  partner  Steven J.  Quamme,  an
immediate  seat on both the  Applebee's  board  and the  Strategy  Committee  of
independent  directors.  He also was offered a seat on the company's  Governance
Committee. In exchange, Breeden Capital would withdraw its other nominees.

The company said that Mr.  Quamme,  the only  nominee on the Breeden  slate with
both restaurant industry and transaction experience, was the clear choice to add
to Applebee's four  highly-qualified  incumbent  directors who will be nominated
for re-election.

Unfortunately, this offer was rejected by Mr. Breeden on March 2.

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March 9, 2007
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The  Applebee's  board of directors  then made a second offer to Mr.  Breeden on
March 8.  This  offer  was in  addition  to the  board  seat and the seat on the
Strategy and Governance  committees for Mr.  Quamme.  The board offered  Breeden
Capital a second,  immediate seat on the company's board of directors for either
of Breeden's other two nominees:  Raymond G.H. Seitz or Laurence E. Harris.  The
board believed that offering the seats to the one member of Breeden  Capital who
is best qualified and to one of its independent nominees was a fair and balanced
approach.

In response,  Mr. Breeden  rejected the offer of having two of his nominees join
the board amicably, apparently preferring to continue with his proxy fight.

The board had  planned to expand  from 12 to 14 seats to  accommodate  these new
members.

"Despite  our good  faith  attempts  to reach  out to Mr.  Breeden  and his firm
throughout this process, and our offer of two immediate board seats and seats at
the  table  of the  Strategy  and  Governance  committees,  he has  consistently
rejected our overtures," Mr. Goebel said, "Mr. Breeden  initially  approached us
claiming he wanted a constructive dialogue with the company and the board. It is
difficult to reconcile this objective with his refusals to our proposals."

Speaking  on  behalf of the  board,  Jack  Helms,  co-chairman  of the  Strategy
Committee,  said,  "The company's  first choice was to negotiate a settlement to
avoid a contentious,  costly and  time-consuming  proxy fight. Every shareholder
understands  that would be in the best  interests of the  company.  While we are
moving forward with our strategic  review process and business plan, we continue
to hope that Mr.  Breeden  will work with us, and not against  us, in  improving
shareholder value."

Applebee's International,  Inc., headquartered in Overland Park, Kan., develops,
franchises and operates  restaurants under the Applebee's  Neighborhood  Grill &
Bar brand,  the largest casual dining  concept in the world.  As of February 25,
2007,  there were  1,942  Applebee's  restaurants  operating  system-wide  in 49
states,  16  international  countries,   and  one  U.S.  territory.   Additional
information on Applebee's  International  can be found at the company's  website
(www.applebees.com).

IMPORTANT INFORMATION

Applebee's  International,  Inc.  ("Applebee's")  plans to file with the SEC and
mail to its  stockholders a Proxy  Statement in connection  with its 2007 Annual
Meeting,  and advises its security holders to read the proxy statement and other
documents  relating  to the 2007  Annual  Meeting  when they  become  available,
because they will contain important  information.  Security holders may obtain a
free copy of the proxy statement and other documents (when available) that

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March 9, 2007
Page 3


Applebee's  files with the SEC at the SEC's web site at  www.sec.gov.  The proxy
statement  and  these  other  documents  may  also be  obtained  for  free  from
Applebee's  by  directing  a  request  to our  Corporate  Secretary,  Applebee's
International, Inc., 4551 West 107th Street, Overland Park, KS 66207.

CERTAIN INFORMATION CONCERNING PARTICIPANTS

Applebee's,  its  directors  and named  executive  officers  may be deemed to be
participants in the  solicitation of Applebee's  security  holders in connection
with its 2007 Annual Meeting.  Security holders may obtain information regarding
the names,  affiliations and interests of such individuals in Applebee's  Annual
Report  on Form  10-K  for the year  ended  December  31,  2006,  and its  proxy
statement  dated  April 11,  2006,  each of which is filed with the SEC.  To the
extent holders of Applebee's  securities have changed from the amounts disclosed
in the proxy statement, such changes have been reflected on Statements of Change
in Ownership on Form 4 filed with the SEC. These documents are available free of
charge at the SEC's website at www.sec.gov.

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