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Debt and Bank Credit Facilities
 12 Months Ended
Dec. 31, 2025
Debt Disclosure [Abstract]  
Debt and Bank Credit Facilities Debt and Bank Credit Facilities
The Company's indebtedness as of December 31, 2025 and December 31, 2024 was as follows:
December 31, 2025December 31, 2024
Senior Notes$4,700.0 $4,700.0 
Term Facility— 665.0 
Multicurrency Revolving Facility— 40.0 
Altra Notes18.1 18.1 
Finance Leases93.8 70.1 
Other7.2 6.6 
Less: Debt Issuance Costs(30.4)(42.1)
Total4,788.7 5,457.7 
Less: Current Maturities24.1 5.0 
Non-Current Portion$4,764.6 $5,452.7 

Credit Agreement
On March 28, 2022, the Company entered into a Second Amended and Restated Credit Agreement (the “2022 Credit Agreement”) with JPMorgan Chase Bank, N.A. as Administrative Agent and the lenders named therein, which was subsequently amended on November 17, 2022 and November 30, 2022. The Credit Agreement provides for an unsecured term loan facility of $1,390.0 million (the "Term Facility") and an unsecured revolving loan of $1,570.0 million (the "Multicurrency Revolving Facility"). The Company repaid the outstanding Term Loan amount of $665.0 million in 2025.

On November 21, 2025, Regal Rexnord Corporation entered into a Third Amended and Restated Credit Agreement (the “2025 Credit Agreement”) with JPMorgan Chase Bank, N.A., as Administrative Agent and the lenders named therein. The 2025 Credit Agreement amends and restates in its entirety the 2022 Credit Agreement and consists of the following:

i.an unsecured Delayed Draw Term Loan in an aggregate principal amount of up to $850.0 million, maturing on February 21, 2029 (“2025 Term Facility”) and,
ii.an unsecured revolving line of credit in Dollars or various other currencies in an aggregate principal amount of up to $1,500.0 million, maturing on November 21, 2030 (“2025 Revolving Facility”).

There was no amount outstanding under the 2025 Term Facility as of December 31, 2025. The Company borrowed $850.0 million under the 2025 Term Facility on February 12, 2026 and used the proceeds to refinance the 2026 Senior Notes.

Per the terms of the 2025 Credit Agreement, prepayments can be made without penalty. Borrowings under the 2025 Credit Agreement bear interest at floating rates based upon indices determined by the currency of the borrowing (SOFR or an alternative base rate for US Dollar borrowings) or at an alternative base rate, in each case, plus an applicable margin.

As of December 31, 2025 the Company had no standby letters of credit issued under the 2025 Revolving Facility and $1,500.0 million of available borrowing capacity. The average daily balance in borrowings under the Multicurrency Revolving Facility was $80.6 million and $72.0 million for the years ended December 31, 2025 and December 31, 2024, respectively. The average daily balance in borrowings under the 2025 Revolving Facility was $20.6 million for the year ended December 31, 2025. The Company paid a non-use fee of 0.15% as of December 31, 2025 on the aggregate unused amount of the 2025 Revolving Facility at a rate determined by reference to its consolidated funded debt to consolidated EBITDA ratio.
Weighted average interest rates on the Term Facility, Multicurrency Revolving Facility and the 2025 Revolving Facility are as follows:
Year Ended
December 31, 2025December 31, 2024
Term Facility6.2 %7.0 %
Multicurrency Revolving Facility6.1 %7.0 %
2025 Revolving Facility
5.2 %0.0 %

Senior Notes

On January 24, 2023, the Company issued $1,100.0 million aggregate principal amount of its 6.05% senior notes due 2026 (the “2026 Senior Notes”), $1,250.0 million aggregate principal amount of its 6.05% senior notes due 2028 (the “2028 Senior Notes”), $1,100.0 million aggregate principal amount of its 6.30% senior notes due 2030 (the “2030 Senior Notes”) and $1,250.0 million aggregate principal amount of its 6.40% senior notes due 2033 (the “2033 Senior Notes” and, together with the 2026 Senior Notes, 2028 Senior Notes and 2030 Senior Notes, collectively, the “Senior Notes”). The 2026 Senior Notes matured on February 15, 2026 and were refinanced with the proceeds from the 2025 Term Facility. The 2028 Senior Notes are scheduled to mature on April 15, 2028, the 2030 Senior Notes are scheduled to mature on February 15, 2030, and the 2033 Senior Notes are scheduled to mature on April 15, 2033.

The rate of interest on each series of the Senior Notes is subject to an increase of up to 2.00% in the event of certain downgrades in the debt rating of the Senior Notes. Interest on the 2026 Senior Notes and the 2030 Senior Notes is payable semi-annually on February 15 and August 15 of each year, beginning on August 15, 2023. Interest on the 2028 Senior Notes and the 2033 Senior Notes is payable semi-annually on April 15 and October 15 of each year, beginning on April 15, 2023.

The Company received $4,647.0 million in net proceeds from the sale of the Senior Notes, after deducting the initial purchasers’ discounts and offering expenses. The Company used a portion of the net proceeds to repay the Company’s $500.0 million 3.90% notes originally issued on April 7, 2022 and used the remaining net proceeds, together with the incremental term loan commitments under the Term Facility and cash on hand, to fund the consideration for the Altra Transaction, repay certain of Altra’s outstanding indebtedness, and pay certain fees and expenses.

Prior to the consummation of the Altra Transaction, the Company used a portion of the proceeds to repay the outstanding borrowings under the Multicurrency Revolving Facility in January 2023 and invested the remaining net proceeds of approximately $3,600.0 million in interest bearing accounts. The Company recognized $29.4 million in Interest Income from the investment in interest bearing accounts prior to the close of the Altra Transaction.

The Senior Notes were issued and sold in a private offering to persons reasonably believed to be qualified institutional buyers pursuant to Rule 144A under the Securities Act of 1933, as amended (the “Securities Act”) and persons outside the United States in accordance with Regulation S under the Securities Act. Pursuant to a registration rights agreement, the Company agreed to exchange the Senior Notes with registered notes with terms substantially identical to those of the Senior Notes of the corresponding series (the “New Notes”) within 540 days from the date of issuance. The Company and certain subsidiaries that guarantee the Senior Notes filed a registration statement on Form S-4 with the SEC on March 26, 2024, registering an offer to exchange the Senior Notes validly tendered for New Notes of the corresponding series (the “Exchange Offer”). In May 2024, the Company and the guarantor subsidiaries completed the Exchange Offer, exchanging approximately $4,697.1 million in aggregate principal amount of Senior Notes for approximately $4,697.1 million in aggregate principal amount of New Notes of the corresponding series. The aggregate principal amount of Senior Notes not exchanged, approximately $2.9 million, remained outstanding across the four series of Senior Notes. The New Notes consist of approximately $1,099.0 million aggregate principal amount of 6.050% senior notes due 2026, $1,249.4 million aggregate principal amount of 6.050% senior notes due 2028, $1,099.4 million aggregate principal amount of 6.300% senior notes due 2030 and $1,249.3 million aggregate principal amount of 6.400% senior notes due 2033.

The Senior Notes are included in Long-Term Debt on the Consolidated Balance Sheet as of December 31, 2025.

Altra Notes

On March 27, 2023, in connection with the Altra Transaction, the Company assumed $18.1 million aggregate principal amount of 6.125% senior notes due 2026 (the “Altra Notes”).
The Altra Notes will mature on October 1, 2026 and are presented in Current Maturities of Long-Term Debt in the Consolidated Balance Sheets. The Altra Notes may be redeemed at the option of the issuer on or after October 1, 2023. The Notes are guaranteed on a senior unsecured basis by certain of the Company's domestic subsidiaries.

Compliance with Financial Covenants

The 2025 Credit Agreement requires the Company to meet specified financial ratios and to satisfy certain financial condition tests. The Company was in compliance with all financial covenants as of December 31, 2025.

Finance Leases

See Note 9 - Leases for the weighted average discount rate associated with the Company's finance leases in 2025 and 2024.

Other Disclosures

The fair value of the Senior Notes is based on rates for instruments with comparable maturities and credit quality, which is considered a Level 2 fair value measurement (see also Note 14 – Fair Value). The approximate fair value of the Senior Notes was $4,903.4 million and $4,795.2 million as of December 31, 2025 and December 31, 2024, respectively, compared to a carrying value of $4,700.0 million as of December 31, 2025 and December 31, 2024. The Company believes that the fair value of all other debt instruments approximates their carrying value.

Maturities of long-term debt outstanding as of December 31, 2025, excluding debt issuance costs, are as follows:
YearAmount of Maturity
2026$1,124.1 
20275.1 
20281,261.3 
20293.8 
20301,103.9 
Thereafter1,320.9 
Total$4,819.1 
Included in the 2026 amount above is $1,100.0 million of the 2026 Senior Notes which were contractually due in February 2026. However, the 2026 Senior Notes are included in Long-Term Debt on the Consolidated Balance Sheet as of December 31, 2025 as they were refinanced with the proceeds from the 2025 Term Facility in February 2026.