Regal Rexnord
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SECURITIES  AND  EXCHANGE  COMMISSION
WASHINGTON, D.C. 20549
___________________________________
FORM 10-K

ANNUAL REPORT PURSUANT TO SECTION 13 OR 15 (d)
OF THE SECURITIES EXCHANGE ACT OF 1934

For the fiscal year ended December 31, 1996 Commission file number 1-7283
____________________________________
REGAL-BELOIT CORPORATION
(Exact Name of Registrant as Specified in Its Charter)

WISCONSIN 39-0875718
(State of Incorporation) (I.R.S. Employer Identification No.)
200 State Street
BELOIT, WISCONSIN 53511-6254
(Address of principal executive offices) (Zip Code)

REGISTRANT'S TELEPHONE NUMBER, INCLUDING AREA CODE: (608) 364-8800
====================================================================
SECURITIES REGISTERED PURSUANT TO SECTION 12 (B) OF THE ACT:

NAME OF EACH EXCHANGE ON
TITLE OF EACH CLASS WHICH REGISTERED
_______________________ _________________________________
Common Stock ($.01 Par Value) American Stock Exchange

SECURITIES REGISTERED PURSUANT TO SECTION 12 (G) OF THE
ACT..................................................... NONE
(Title of Class)
=======================================================================
Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act
of 1934 during the preceding 12 months (or for such shorter period that
the registrant was required to file such reports), and (2) has been subject
to such filing requirements for the past 90 days. Yes X No
____ ____

Indicate by check mark if disclosure of delinquent filers pursuant to Item 405
of Regulation S-K is not contained herein, and will not be contained, to the
best of registrant's knowledge, in definitive proxy or information statements
incorporated by reference in Part III of this Form 10-K or any amendment to
this Form 10-K. X
____
The aggregate market value of the voting stock held by non-affiliates of the
registrant as of March 7,1997 was approximately $475,000,000.

On March 7, 1997 the registrant had outstanding 20,799,076 shares of
common stock, $.01 par value, which is registrant's only class of common stock.
===============================================================================
DOCUMENTS INCORPORATED BY REFERENCE

DOCUMENTS FORM 10-K REFERENCE
Annual Report to Shareholders for Year Ended
December 31, 1996..................................... I, II, IV

Proxy Statement for Annual Shareholder Meeting to be
Held on April 24, 1997................................ III


1
REGAL-BELOIT CORPORATION
____________________________
Index to
Annual Report on Form 10-K

For The Year Ended December 31, 1996
PART I                                                              Page
______
Item 1. Business 3
Item 2. Properties 5
Item 3. Legal Proceedings 5
Item 4. Submission of Matters To A Vote of Security Holders 5

PART II

Item 5. Market for the Registrant's Common Equity and Related
Shareholder Matters 6
Item 6. Selected Financial Data 6
Item 7. Management's Discussion and Analysis of Financial
Condition and Results of Operations 6
Item 8. Financial Statements and Supplementary Data 6
Item 9. Changes In and Disagreements with Accountants on
Accounting and Financial Disclosure 6


PART III

Item 10. Directors and Executive Officers of the Registrant 7
Item 11. Executive Compensation 7
Item 12 Security Ownership of Certain Beneficial Owners 7
and Management
Item 13. Certain Relationships and Related Transactions 8


PART IV

Item 14. Financial Statements, Financial Statement Schedule,
Exhibits and Reports on Form 8-K 8


Signatures 9

2
PART  I

ITEM 1. BUSINESS

GENERAL DEVELOPMENT OF BUSINESS
_______________________________
Regal-Beloit Corporation is a Wisconsin corporation founded in 1955.
The Company's initial business was the production of special metalworking
taps. Through 33 acquisitions and internal growth, the Company has become a
prominent manufacturer of a diversified line of power transmission products
and perishable, high-speed steel, rotary cutting tools.

The Company's power transmission products, manufactured by its Power
Transmission Group, include standard and custom gearboxes, transmissions,
rigid forklift axles, custom gearing, gear motors and manual valve actuators.
These products are sold to distributors, original equipment manufacturers and
end users across many industry segments.

Typical applications for the Company's power transmission products include
material handling systems such as conveyors, palletizers and packaging
equipment; off-highway vehicular equipment such as street pavers, graders,
airport/fire/crash/rescue equipment; farm implements; center pivot irrigation
systems; gas and liquid pipeline transmission systems; civic water and waste
treatment facilities; open-pit mining; paper making machinery;
high-performance, after-market automotive transmissions and ring/pinion sets;
and transmissions for luxury inboard powered craft.

Effective January 1, 1995, the Company acquired selected net assets of the
Marine and Industrial Transmission Division of Borg-Warner Automotive
Transmission and Engine Components Corporation for approximately $9,192,000.
This acquisition has been renamed the Velvet Drive Transmission Division of
Regal-Beloit Corporation. This Division produces both marine and industrial
transmissions.

The Company's perishable, high-speed steel, rotary cutting tool products are
manufactured by its Cutting Tool Group. Principal cutting tool products
include taps, drills, end mills, reamers and gages in thousands of standard
and popular non-standard styles and sizes, as well as a wide range of
specially designed products. Cutting tool products are sold to distributors
on both open line and select bases and to select end users throughout the
United States. Standard and most special items are shipped promptly, generally
within 24 hours to a few days of receipt of orders. These products are
mostly used in industrial metalworking applications where it is necessary to
remove metal to shape product into finished form or to prepare a metal
workpiece to receive a fastening device.

Regal-Beloit believes its consistent ability to provide products on a shorter
delivery schedule than other manufacturers gives it a competitive selling
advantage and that its extensive use of modern, up-to-date equipment which
is best suited for the job, along with its continued product redesign and
effective plant layout, often gives it a competitive cost advantage in both
power transmission products and cutting tools.
MARKETING AND SALES
___________________
Power transmission products are sold to select distributors, original equipment
manufacturers and end users through field sales personnel and manufacturers'
representatives.

The Company's cutting tool products are sold through three distribution
channels. The Regal Cutting Tools Division's products are sold on a
non-exclusive, open line basis through independent industrial distributors
nationwide. The Company is the only significant producer of cutting tools
to employ the open line method of distribution. The balance of the cutting
tools are sold to select distributors and end users through the National
Twist Drill and New York Twist Drill Divisions, respectively.

3

Export sales accounted for approximately 3% of the Company sales in 1996, 1995
and 1994. No material part of the Company's business is dependent upon a single
customer or a group of customers. In fiscal 1996, 1995 and 1994, no single
customer accounted for as much as 5% of Company sales. Although the
Company's sales are predominantly not seasonal, they tend to vary with
general economic conditions and with the rate of industrial production, and
are affected by business climates in the many markets in which the Company
sells. However, because the Company's products are sold to many different
markets, the effects of weaker markets are frequently offset by strengths in
other markets.

Working capital requirements to properly serve the Company's customers are
generally typical of capital goods manufacturers. Accounts receivable and
inventory are generally not seasonal or at unusual levels by industry standards.

COMPETITION
___________
Competition in the power transmission equipment industry has historically been
from old line and captive manufacturers. In recent years, competition, in
general (including from foreign manufacturers), has intensified. Over the
past several years, niche product market opportunities have become more
prevalent due to changing market conditions described above and decisions by
larger manufacturers not to compete in lower volume or specialized markets.
Additionally, smaller companies have been sold due to lack of capital to
invest in more modern productive equipment. Many captive producers have
chosen, for economic reasons, to outsource their requirements to specialized
manufacturers like Regal-Beloit who can produce more cost effectively. The
Company has capitalized on this competitive climate by making acquisitions and
increasing its manufacturing efficiencies. Some of these acquisitions have
created new opportunities for the Company because the Company is now in new
markets in which it was not previously involved. The Company has also
continued to upgrade its manufacturing equipment and processes, including
increasing its use of computer aided manufacturing systems and redesigning
products to take full advantage of the more productive equipment along with
redoing plant layout to improve product flow. In practice, the Company has
sought out specific niche markets concentrating on a wide diversity of
customers and applications. Because of this approach, the Company is often
not the largest supplier in any specific market. The Company believes it
competes primarily on the basis of the promptness of delivery, price and
quality. Dominant domestic competitors in the power transmission equipment
industry include Sundstrand Corporation (Falk), Emerson Electric, Reliance
Electric, Winsmith, and IMO. Dominant foreign competitors would include SEW
Eurodrive, Flender, Sumitomo and Zahnrad Fabrik.
The markets for most of the Company's cutting tool products are highly
competitive. The domestic cutting tool industry is a mature industry which
has been characterized for the past 10 to 15 years by excess capacity and
declining sales. Selling price increases have been minimal and the Company
believes that some additional but less severe contraction of the industry is
likely in the years ahead. Despite a mature market, the Company has been
able to minimize the effect this contraction has had on the Company,
primarily by eliminating the production of unprofitable products, developing
new products, adding new channels of distribution, improving manufacturing
capability and efficiency and providing fast product delivery.

Cutting tools produced abroad and imported, according to recent government
statistics, are estimated to represent less than 15% of the domestic
industrial market; however, that share is growing slightly. Most imported
tools are non-industrial quality and most are not sold in the commercial
markets in which the Company sells.

Competition in the cutting tool industry is primarily on the basis of price,
product quality and promptness of delivery. The Company competes primarily
on the basis of promptness of delivery and quality including its expertise
in assisting customers to solve specific cutting tool problems. The Company
believes it is unique among the larger cutting tool manufacturers in its
ability to ship orders promptly, generally within 24 hours to a few days of
receipt of orders for standard and most special products. The Company is number
two of the two leading domestic full line manufacturers in terms of dollar
value of shipments of taps, end mills, reamers, gages and drills in total.
The other competitor in the category is Greenfield Industries, which is
larger than Regal-Beloit Corporation. The Company also has competition from
other manufacturers; however, these companies are typically regional in sales
and usually produce one or two types of products as opposed to a full line.


4

For further segment information required by Item 101 of Regulation S-K,
reference is made to Note 10 of the Notes to Consolidated Financial
Statements on page 14 of the Annual Report to Shareholders for the year
ended December 31, 1996, and such information is incorporated herein by
reference.

BACKLOG
________
As of December 31, 1996, the amount of the Company's power transmission backlog
believed to be firm was approximately $41,100,000 compared to approximately
$48,400,000 on December 31, 1995. Average delivery time for orders of the
Company's power transmission equipment (except for large, specially designed
products) varies from three days to two months. The Company believes that
virtually all of the backlog is shippable in 1997.

Because the Company ships cutting tool orders promptly, generally within a few
days of receiving the order, there are no material backlogs for cutting tools.
TRADEMARKS AND LICENSES
_______________________
Regal-Beloit utilizes various registered and unregistered trademarks and the
Company believes these trademarks are significant in the marketing of most of
its products. However, the Company believes the successful manufacture and
sale of its products generally depends more upon its technological,
manufacturing and marketing skills. In addition, the Company believes its
engineering, test and development capabilities are significant factors in the
success of its business.

EMPLOYEES
__________
As of December 31, 1996, the Company employed approximately 2,450 persons, of
which approximately 23% are covered by collective bargaining agreements.
The Company considers its employee relations to be very good.

RAW MATERIALS
_____________
Base materials for the Company's products consist primarily of steel in various
types and sizes, castings, bearings and weldments. The Company purchases its
raw materials from many suppliers and is not dependent on any single supplier
for any of its base materials.

ENVIRONMENTAL MATTERS
______________________
The Company is subject to Federal, State and local environmental regulations.
The Company is currently involved with environmental cleanup proceedings
related to certain of its facilities. Based on available information, it is
believed that the outcome of these proceedings and future known environmental
compliance costs will not have a material adverse effect on the Company's
financial position or results of operations.

ITEM 2. PROPERTIES

The Company currently operates a corporate office and 20 manufacturing and
service/distribution facilities. Three each are located in Illinois and
Wisconsin; two each are located in Indiana, South Carolina and South
Dakota; and one each located in California, Massachusetts, New York,
North Carolina, Pennsylvania, Texas, Newbury (England), Neu Anspach (Germany)
and Legnano (Italy). The Company's present operating facilities contain a
total of approximately 1,510,000 square feet of space of which approximately
147,000 square feet are leased. The Company believes its equipment and
facilities are well maintained and adequate for its present needs. The
Company currently owns one manufacturing facility with a total of 53,000 square
feet that it intends to sell.

ITEM 3. LEGAL PROCEEDINGS

The Company is not involved in any material legal proceedings.

ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS

There were no matters submitted to a vote of security holders during the
quarter ended December 31, 1996.

5
PART II


ITEM 5. MARKET FOR THE REGISTRANT'S COMMON EQUITY AND RELATED STOCKHOLDER
MATTERS

Certain information required by Item 201 of Regulation S-K is set forth on
page 4 and the inside back cover of the Annual Report to Shareholders for
the year ended December 31, 1996, and such information is incorporated
herein by reference.


ITEM 6. SELECTED FINANCIAL DATA

Information required by Item 301 of Regulation S-K is set forth on page 4 of
the Annual Report to Shareholders for the year ended December 31, 1996, and
such information is incorporated herein by reference.



ITEM 7. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS

Information required by Item 303 of Regulation S-K is set forth on pages
5 and 6 of the Annual Report to Shareholders for the year ended
December 31, 1996, and such information is incorporated herein by reference.


ITEM 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA

In the Annual Report to Shareholders for the year ended December 31, 1996,
there are set forth on pages 7 through 15, financial statements meeting the
requirements of Regulation S-X and information specified by Item 302 of
Regulation S-K and such financial statements are incorporated herein by
reference.


ITEM 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND
FINANCIAL DISCLOSURE

The Company has had no disagreements with its accountants subject to disclosure
by Item 304 of Regulation S-K nor has it had a change of accountants within the
last two fiscal years.

6

PART III


ITEM 10. DIRECTORS AND EXECUTIVE OFFICERS OF THE REGISTRANT

Information required by Item 401 of Regulation S-K is set forth on pages 3
through 5 of the definitive proxy statement for the Annual Meeting of
Shareholders to be held on April 24, 1997, a copy of which has been filed
within 120 days following the close of the fiscal year, and such information
is incorporated herein by reference.
The names, ages, and positions of all of the executive officers of the Company
as of March 7, 1997, are listed below along with their business
experience during the past five years. Officers are elected annually by the
Board of Directors at the Meeting of Directors immediately following the
Annual Meeting of Shareholders in April. There are no family relationships
among these officers, nor any arrangements of understanding between any
officer and any other persons pursuant to which the officer was selected.

<TABLE>
<CAPTION>

NAME, AGE AND POSITION BUSINESS EXPERIENCE DURING THE PAST 5 YEARS
_____________________ _______________________________________
<S> <C>
James L. Packard, 54 -Elected Chairman in 1986; Chief Executive Officer
Chairman, President and since 1984; President since 1980.
Chief Executive Officer

Henry W. Knueppel, 48 -Elected Executive Vice President-Operations in 1987,
Executive Vice President - prior to which he was Vice President-Operations
Operations since 1985.

Robert C. Burress, 58 -Elected Secretary in 1996; Vice President - Chief Financial
Vice President - Treasurer, Officer 1994 - 1996; Vice President - Treasurer since
Secretary 1980.


Kenneth F. Kaplan, 51 -Joined Company in September, 1996. Elected Vice
Vice President - Chief President - Chief Financial Officer in October, 1996.
Financial Officer Previously he was employed by Gehl Company, West
Bend, Wisconsin, as Vice President - Finance and
Treasurer from 1987.
</TABLE>

ITEM 11. EXECUTIVE COMPENSATION

Information required by Item 402 of Regulation S-K is set forth on pages 6
through 9 of the definitive proxy statement for the Annual Meeting of
Shareholders to be held on April 24, 1997, a copy of which has been filed
within 120 days following the close of the fiscal year, and such information
is incorporated herein by reference.


ITEM 12. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT

Information required pursuant to Item 403 of Regulation S-K is set forth on
pages 2, 3, 4, 5, 9 and 10 of the definitive proxy statement for the Annual
Meeting of Shareholders to be held on April 24, 1997, a copy of which has
been filed within 120 days following the close of the fiscal year, and such
information is incorporated herein by reference.

7
ITEM 13.  CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS

Information required pursuant to Item 404 of Regulation S-K is set forth on
pages 5 and 7 of the definitive proxy statement for the Annual Meeting of
Shareholders to be held on April 24, 1997, a copy of which has been filed
within 120 days following the close of the fiscal year, and such information
is incorporated herein by reference.




PART IV

ITEM 14. FINANCIAL STATEMENTS, FINANCIAL STATEMENT SCHEDULE, EXHIBITS AND
REPORTS ON FORM 8-K

(a) 1. AND 2. FINANCIAL STATEMENTS AND FINANCIAL STATEMENT SCHEDULE

Reference is made to the separate index to the Company's Consolidated
Financial Statements and Schedule contained on Page 10 hereof.

3. EXHIBITS
Reference is made to the separate exhibit index contained on Page 13
hereof.


(b) REPORTS ON FORM 8-K

There were no reports filed on Form 8-K by the Company during the
quarter ended December 31,1996.


8

SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange
Act of 1934, the registrant has duly caused this report to be signed on its
behalf by the undersigned, thereunto duly authorized.


REGAL-BELOIT CORPORATION



By: Robert C. Burress
_________________
Robert C. Burress
Secretary



March 7, 1997
Pursuant to the requirements of the Securities Exchange Act of 1934, this
report has been signed below by the following persons on behalf of the
registrant and in the capacities and on the dates indicated:


James L. Packard
__________________Chairman, President, Chief March 7, 1997
James L. Packard Executive Officer and Director



Kenneth F. Kaplan
_________________ Vice President - CFO March 7, 1997
Kenneth F. Kaplan (Principal Accounting & Financial Officer)


Henry W. Knueppel
________________ Executive Vice President March 7, 1997
Henry W. Knueppel and Director


John A. McKay
_______________ Director March 7, 1997
John A. McKay


John M. Eldred
_______________ Director March 7, 1997
John M. Eldred


J. Reed Coleman
______________ Director March 7, 1997
J. Reed Coleman


Frank Bauchiero
_______________ Director March 7, 1997
Frank Bauchiero



9
REGAL-BELOIT CORPORATION

INDEX TO FINANCIAL STATEMENTS
AND FINANCIAL STATEMENT SCHEDULE
Page(s) In
Annual Report *
__________
The following documents are filed as part of this report:

(1) Financial Statements:
Consolidated Statements of Income for the three years
ended December 31, 1996 7
Consolidated Balance Sheets at December 31, 1996 and 1995 8
Consolidated Statements of Shareholders' Investment for
the three years ended December 31, 1996 9
Consolidated Statements of Cash Flows for the three years
ended December 31, 1996 10
Notes to Consolidated Financial Statements 11 - 14
Report of Independent Public Accountants 15


* Incorporated by reference from the indicated pages of the Regal-Beloit
Corporation 1996 Annual Report to Shareholders


Page In
Form 10-K
___________

(2) Financial Statement Schedule:
Report of Independent Public Accountants on Financial
Statement Schedule 11
Consent of Independent Public Accountants 11
For the three years ended December 31, 1996,
Schedule II - Valuation and Qualifying Accounts 12



All other schedules are omitted because they are not applicable or the required
information is shown in the financial statements or notes thereto.

10
REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS

To Regal-Beloit Corporation:

We have audited, in accordance with generally accepted auditing standards, the
financial statements included in Regal-Beloit Corporation's Annual Report to
Shareholders, incorporated by reference in this Form 10-K, and have issued
our report thereon dated January 29, 1997. Our audit was made for the
purpose of forming an opinion on those statements taken as a whole. The
schedule listed in the index to financial statements is the responsibility of
the Company's management and is presented for purposes of complying with the
Securities and Exchange Commission's rules and is not part of the basic
financial statements. This schedule has been subjected to the auditing
procedures applied in the audit of the basic financial statements and,
in our opinion, fairly states in all material respects the financial data
required to be set forth therein in relation to the basic financial
statements taken as a whole.



ARTHUR ANDERSEN LLP


Milwaukee, Wisconsin,
January 29, 1997


Exhibit 23

CONSENT OF INDEPENDENT PUBLIC ACCOUNTANTS


To Regal-Beloit Corporation:

As independent public accountants, we hereby consent to the incorporation of
our reports, included and incorporated by reference in this Form 10-K, into
Regal-Beloit Corporation's previously filed Registration Statements, File
Nos. 33-25480, 33-25233, 33-82076 and 33-8934.



ARTHUR ANDERSEN LLP

Milwaukee, Wisconsin,
March 13, 1997
11
SCHEDULE II




REGAL-BELOIT CORPORATION

VALUATION AND QUALIFYING ACCOUNTS



ALLOWANCE FOR DOUBTFUL ACCOUNTS:
<TABLE>
<CAPTION>

(In Thousands Of Dollars)
________________________________________________________
Balance Additions Write-offs, Balance
Beginning Charged To Net Of End
Of Year Net Income Recoveries Of Year
_________ __________ ___________ ________
<S> <C> <C> <C> <C>
Year Ended December 31, 1996 $ 1,140 $ 125 $ (75) $ 1,190
========= ========== =========== ========


Year Ended December 31, 1995 $ 1,161 $ 62 $ (83) $ 1,140
========= ========== =========== =========


Year Ended December 31, 1994 $ 1,077 $ 191 $ (107) $ 1,161
========= ========== ============ ==========

</TABLE>







12
EXHIBITS INDEX

The following exhibits are required to be filed by Item 601 of Regulation S-K.
<TABLE>
<CAPTION>
Exhibit
Number Description Incorporated by Reference Herein
_______ ____________ __________________________________
<S> <C> <C>
2 Agreement and Plan of Merger by Filed as Exhibit A to Annual Meeting Proxy
and between the Registrant and Statement of Regal-Beloit Corporation
Regal-Beloit Corporation, dated as dated March 11, 1994
of April 18, 1994

3.1 Articles of Incorporation of the Filed as Exhibit B to the 1994 Proxy Statement
Registrant

3.2 Bylaws of the Registrant Filed as Exhibit C to the 1994 Proxy Statement

4 Articles of Incorporation and Bylaws Filed as Exhibits 3.1 and 3.2 hereto
of the Registrant

10.1 Short-Term Incentive Compensation Filed as Exhibit 10.1 to Regal-Beloit Corporation's
Plan, as amended Annual Report on Form 10-K dated
March 29, 1993

10.2 1982 Incentive Stock Option Plan Filed as Exhibit 10.4 to 1986 S-1

10.3 1987 Stock Option Plan Filed as Exhibit 10.3 to 1988 S-1

10-4 1991 Flexible Stock Incentive Plan Filed as Exhibit 10.4 to Regal-Beloit Corporation's
Annual Report on Form 10-K dated
March 29, 1993 (1994 S-8 Registration
No. 33-82076)

10.5 Change In Control Agreement Filed as Exhibit 10.6 to Regal-Beloit Corporation's
Annual Report on Form 10-K dated
March 29, 1993

10.6 Disability Insurance Agreement Filed as Exhibit 10.6 to Regal-Beloit Corporation's
between Regal-Beloit Corporation Annual Report on Form 10-K dated
and Continental Casualty Company March 29, 1993
13        Annual Report to Shareholders           Regal-Beloit Corporation's Annual
for the year ended December 31, Report on Form 10-K dated March 7, 1997.
1996 (Filed herewith)

21 Subsidiaries of Regal-Beloit Regal-Beloit Corporation's Annual
Corporation Report on Form 10-K dated March 7, 1997.
(Filed herewith)

23 Consent of Independent Public Regal-Beloit Corporation's Annual
Accountants Report on Form 10-K dated March 7, 1997.
(Filed herewith)

99 Annual Meeting Proxy Statement of
Regal-Beloit Corporation dated
March 17, 1997
</TABLE>

13
EXHIBIT 21
SUBSIDIARIES OF REGAL-BELOIT CORPORATION

Regal-Beloit International Sales Corporation, a Delaware Corporation
200 State Street
Beloit, Wisconsin
Acquired - May, 1979

Regal-Beloit Corporation FSC, a Virgin Islands Corporation
200 State Street
Beloit, Wisconsin
Acquired - December, 1984

New York Twist Drill, Inc., a Delaware Corporation
30 Montauk Boulevard, Suite B
Oakdale, NY 11769
Acquired - March, 1988

Opperman Mastergear Limited
Hambridge Road
Newbury, Berkshire, United Kingdom (England)
Acquired - July, 1991

Mastergear GmbH
SiemensstraBe 16
Neu Anspach, Germany
Acquired - July, 1991

Hub City, Inc.
2914 Industrial Drive
Aberdeen, South Dakota
Acquired - April, 1992

Costruzioni Meccaniche Legnanesi S.r.L.
Via San Bernardino 129
Legnano, Italy
Acquired - December, 1994

27