March 01, 2015 8:10 PM ET

Electrical Equipment

Company Overview of Regal Beloit Corporation

Company Overview

Regal Beloit Corporation, together with its subsidiaries, designs, manufactures, and sells electric motors and controls, electric generators and controls, low and medium voltage drives and soft starters, and mechanical motion control products in the United States and internationally. The company operates through two segments, Electrical and Mechanical. The Electrical segment offers heating, ventilation, and air conditioning motors; AC and DC commercial and industrial electric motors; electric generators and controls; high-performance drives and controls; and capacitors for various commercial and industrial applications. The Mechanical segment provides gears and gearboxes, marine transmission...

200 State Street

Beloit, WI 53511

United States

Founded in 1955

Phone:

608-364-8800

Key Executives for Regal Beloit Corporation

Chairman of the Board, Chief Executive Officer and President
Age: 53
Total Annual Compensation: $925.0K
Chief Financial Officer and Vice President
Age: 60
Total Annual Compensation: $458.8K
Chief Operating Officer
Age: 48
Total Annual Compensation: $545.0K
Vice President, General Counsel and Secretary
Age: 44
Total Annual Compensation: $379.8K
Vice President of Corporate Human Resources
Age: 58
Total Annual Compensation: $330.0K
Compensation as of Fiscal Year 2013.

Regal Beloit Corporation Key Developments

Regal Beloit Corporation Announces Unaudited Consolidated Financial Results for the Fourth Quarter and Year Ended January 3, 2015; Provides Earnings Guidance for the Year of 2015; Reports Impairment Charges for the Fourth Quarter Ended January 3, 2015

Regal Beloit Corporation announced unaudited consolidated financial results for the fourth quarter and year ended January 3, 2015. For the quarter, the company reported net sales of $775.6 million against $727.3 million a year ago. Loss from operations was $110.6 million against $27.8 million a year ago. Loss before taxes was $116.7 million against $36.5 million a year ago. Net loss attributable to the company was $116.5 million or $2.61 per basic and diluted share against $33.2 million or $0.74 per basic and diluted share a year ago. Net cash provided by operating activities was $71.1 million against $66.5 million a year ago. Additions to property, plant, and equipment were $23.1 million against $17.3 million a year ago. Adjusted loss from operations was $60.2 million against $57.5 million a year ago. Adjusted diluted earnings per share were $0.82 against $0.97 a year ago. Effective tax rate in the fourth quarter was a 0.8% tax benefit. Net debt was $300 million. For the year, the company reported net sales of $3,257.1 million against $3,095.7 million a year ago. Profit from operations was $121.5 million against $208 million a year ago. Income before taxes was $90.3 million against $170.5 million a year ago. Net income attributable to the company was $31 million or $0.69 per basic and diluted share against $120 million or $2.64 per diluted share a year ago. Net cash provided by operating activities was $298.2 million against $305 million a year ago. Additions to property, plant, and equipment were $83.6 million against $82.7 million a year ago. Adjusted loss from operations was $307.3 million against $296.8 million a year ago. Adjusted diluted earnings per share were $4.31 against $4.36 a year ago. The company expects 2015 adjusted diluted earnings per share to be in the range of $5.45 to $5.85, which includes accretion from the PTS acquisition. 2015 GAAP earnings per share expected to be in the range of $4.91 to $5.31. The company expecting an effective tax rate to be 26% in 2015. This includes the tax synergies from the PTS acquisition. Capital expenditures are estimated to be $105 million in 2015. Guidance for 2015 adjusted EPS is an increase of approximately 25% to 35% over 2014 results. Noncash goodwill and long-lived asset impairment charge of $146 million or a $2.50 earnings per share loss. The impairment was the result of the annual impairment analysis conducted during the fourth quarter of 2014. The impairment was primarily related to businesses with exposure to either oil and gas, Venezuela or commodities.

Regal Beloit Corporation Enters into Credit Agreement with JPMorgan Chase Bank, N.A. and Terminates the Credit Agreement Dated June 30, 2011

On January 30, 2015, Regal Beloit Corporation entered into a Credit Agreement among the company, certain of its subsidiaries, JPMorgan Chase Bank, N.A., as Administrative Agent and the lenders named therein, providing for a 5-year unsecured term loan facility for the company in the principal amount of $1.25 billion and a 5-year unsecured multicurrency revolving facility for the company and, if so designated by the company, certain of its subsidiaries, in the principal amount of $500.0 million. The Credit Agreement replaces the company's existing credit agreement dated as of June 30, 2011. The loans under the Term Facility require quarterly amortization at a rate starting at 5.0% per annum, increasing to 7.5% per annum after two years and further increasing to 10.0% per annum for the last two years of the facility. The Credit Agreement requires the company to reduce Term Facility unused commitments and prepay the loans under the Term Facility with 100% of the net cash proceeds received from specified asset sales and in currencies of borrowed money indebtedness, subject to certain exceptions. On January 30, 2015, in connection with entering into the new credit facility, Entry into a Material Definitive Agreement, the company terminated the Credit Agreement dated June 30, 2011, by and among the company, various subsidiaries thereof, various financial institutions, Bank of America, N.A., as Syndication Agent, and Wells Fargo Bank, N.A., U.S. Bank National Association and Fifth Third Bank, as Co-Documentation Agents, JPMorgan Chase Bank, N.A., as Administrative Agent, J.P. Morgan Securities LLC and Merrill Lynch, Pierce, Fenner & Smith Incorporated, as Joint Lead Arrangers and Joint book Managers. The Credit Agreement was to mature on June 30, 2016.

Regal Beloit Corporation Appoints Robert Rehard as Vice President and Corporate Controller

On January 26, 2015, Regal Beloit Corporation appointed Robert Rehard to serve as the company's Vice President and Corporate Controller. Mr. Rehard will serve as the company's principal accounting officer. Prior to joining the company, Mr. Rehard served as Director of Finance for the Cooper Lighting business of Cooper Industries plc from 2007 until Eaton Corporation's acquisition of Cooper Industries plc in 2012.

Similar Private Companies By Industry

Company Name Region
A123 Systems, LLC United States
Brownlee Lighting, Inc. United States
AMVECO Magnetics, Inc. United States
Robin America Inc. United States
CGIT Systems Inc. United States

Recent Private Companies Transactions

Type
Date
Target
Merger/Acquisition
December 15, 2014
Domestic Subsidiaries And Foreign Subsidiaries
Merger/Acquisition
July 1, 2014
Benshaw, Inc.
 

Stock Quotes

Market data is delayed at least 15 minutes.

Company Lookup

Most Searched Private Companies

Company Name Geographic Region
NYC2012, Inc. United States
Lawyers Committee for Civil Rights Under Law United States
Bertelsmann AG Europe
Rush University United States
Greater Houston Partnership United States

Sponsored Financial Commentaries

Sponsored Links

Report Data Issue

To contact Regal Beloit Corporation, please visit www.regal-beloit.com. Company data is provided by Capital IQ. Please use this form to report any data issues.

Please enter your information in the following field(s):
Update Needed*

All data changes require verification from public sources. Please include the correct value or values and a source where we can verify.

Your requested update has been submitted

Our data partners will research the update request and update the information on this page if necessary. Research and follow-up could take several weeks. If you have questions, you can contact them at bwwebmaster@businessweek.com.