BELOIT, Wis., June 3 /PRNewswire-FirstCall/ -- REGAL-BELOIT CORPORATION
(NYSE: RBC) announced today that the Company and General Electric Company
("GE") have agreed to amend their Shareholder Agreement executed in
conjunction with the Company's acquisition of GE's Heating, Ventilation and
Air Conditioning (HVAC)/Refrigeration Motors and Capacitors operations. The
parties have agreed to extend by 90 days certain key dates in the Shareholder
Agreement, including the date by which the Company must use its commercially
reasonable best efforts to complete an offering of a portion of GE's shares of
the Company's stock. The Company and GE intend to assess general market
conditions as well as the Company's stock price and other relevant factors in
determining whether to proceed with an offering during this initial 90-day
extension or consider additional extensions or other modifications to the
Shareholder Agreement.
Henry W. Knueppel, President and CEO of REGAL-BELOIT CORPORATION,
commented, "After assessing market conditions, REGAL-BELOIT and GE mutually
agreed to amend certain dates in the Shareholder Agreement to better achieve
our desired goals. We intend to work closely together in assessing
alternatives for GE under the Shareholder Agreement."
About REGAL-BELOIT CORPORATION:
REGAL-BELOIT CORPORATION (NYSE: RBC) is a leading manufacturer of
mechanical and electrical motion control and power generation products serving
markets throughout the world. REGAL-BELOIT is headquartered in Beloit,
Wisconsin, and has manufacturing, sales, and service facilities throughout the
United States and Canada, as well as in Mexico, India, China and Europe. For
more information, visit the company's website at http://www.regal-beloit.com .
CAUTIONARY STATEMENT
The following is a cautionary statement made under the Private Securities
Litigation Reform Act of 1995: With the exception of historical facts, the
statements contained in this press release may be forward looking statements.
Forward-looking statements represent our management's judgment regarding
future events. We cannot guarantee the accuracy of the forward-looking
statements, and you should be aware that results and events could differ
materially and adversely from those contained in the forward-looking
statements due to a number of factors, including: unexpected issues and costs
arising from the integration of acquired companies and businesses, such as our
recent acquisitions of the HVAC motors and capacitors businesses and the
Commercial AC motors business from GE; marketplace acceptance of our recent
acquisitions, including the loss of, or a decline in business from, any
significant customers; unanticipated fluctuations in commodity prices and raw
material costs and issues affecting our ability to pass increased costs on to
our customers; cyclical downturns affecting the markets for capital goods;
substantial increases in interest rates that impact the cost of our
outstanding debt; unanticipated costs associated with litigation matters; the
success of our management in increasing sales and maintaining or improving the
operating margins of our businesses; actions taken by our competitors;
difficulties in staffing and managing foreign operations; our ability to
satisfy various covenant requirements under our credit facility; and other
risks and uncertainties described from time to time in our reports filed with
U.S. Securities and Exchange Commission. All subsequent written and oral
forward-looking statements attributable to us or to persons acting on our
behalf are expressly qualified in their entirety by the applicable cautionary
statements. The forward-looking statements included in this press release are
made only as of the date of this release, and we undertake no obligation to
update these statements to reflect subsequent events or circumstances.
SOURCE REGAL-BELOIT CORPORATION
 back to top
Related links:
http://www.regal-beloit.com
CONTACT:
Media, Fritz Hollenbach, V.P. Administration
& Human Resources, +1-608-364-8808, X107,
fhollenbach@regal-beloit.com ; or Financial, Dave Barta, Chief
Financial Officer, +1-608-364-8808, X106, dbarta@regal-beloit.com
|
