2014 Regal-Beloit Proxy

As shown in the following charts, in fiscal 2014, 61% of the CEO’s target compensation and, on average, 62% of the other NEOs’ target compensation was at‐risk. For purposes of this disclosure, target compensation includes base salary, target annual incentive awards, grant date fair value of equity awards, change in pension value and all other compensation.

Chief Executive Officer 2014 Target Compensation Distribution

Equity Grants 48%

Salary 11%

At-risk based on performance (61%): Equity Grants and SVA Cash Incentive Not at-risk (39%): Salary, Retirement and All Other Compensation

All Other Compensation 1%

SVA Cash Incentive 13%

Retirement 27%

Other Named Executive Officers 2014 Target Compensation Distribution

Equity Grants 44%

Salary 27%

At-risk based on performance (62%): Equity Grants and SVA Cash Incentive Not at-risk (38%): Salary, Retirement and All Other Compensation

All Other Compensation 1%

Retirement 10%

SVA Cash Incentive 18%

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