SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
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FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934
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Date of Report
(Date of earliest
event reported): February 1, 2002
Regal-Beloit Corporation
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(Exact name of registrant as specified in its charter)
Wisconsin 1-7283 39-0875718
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(State or other (Commission File (IRS Employer
jurisdiction of Number) Identification No.)
incorporation)
200 State Street, Beloit, Wisconsin 53511-6254
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(Address of principal executive offices, including zip code)
(608) 364-8800
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(Registrant's telephone number)
Item 5. Other Events.
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On or about February 1, 2002, an action was filed in the United
States District Court for the Central District of Illinois against Regal-Beloit
Corporation (the "Company") and its Ohio Gear division ("Ohio Gear"). The
plaintiffs in the litigation allege that in 1998 and 1999 Ohio Gear supplied
defective differential assemblies that were used in transaxles manufactured by
the plaintiffs. The alleged defect relates to a component part that Ohio Gear
had sourced from a third party supplier. The plaintiffs allege that they have
incurred damages in excess of $3.2 million, including repair and replacement
costs, lost profits, and loss of goodwill. The plaintiffs seek recovery of $3.2
million plus fees and expenses.
The Company believes it has both the right to recover costs that
it incurs in the litigation from the third party supplier of the defective
component part and defenses to the bulk of the plaintiffs' claims. The Company
intends to defend its position vigorously in the litigation and to pursue
recovery from the third party supplier to the extent that the Company incurs
costs in connection with this matter. Given the preliminary stage of the
process, the Company cannot currently predict the ultimate outcome of the
litigation.
Item 7. Financial Statements and Exhibits.
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(a) Not applicable.
(b) Not applicable.
(c) Exhibits. None.
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SIGNATURES
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Pursuant to the requirements of the Securities Exchange Act of
1934, the registrant has duly caused this report to be signed on its behalf by
the undersigned hereunto duly authorized.
REGAL-BELOIT CORPORATION
Date: February 11, 2002 By:/s/ Kenneth F. Kaplan
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Kenneth F. Kaplan
Vice President, Chief Financial Officer
and Secretary
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