Regal Beloit Corp. announced today that the company has reached a definitive agreement for the sale of the Illinois Gear open gear division to Overton Gear & Tool Corp. The sale is expected to close in the second quarter of 2005. "The sale of this business demonstrates our ongoing strategy to continuously refine our product portfolio, said James L. Packard president and CEO of Regal-Beloit, in the press release. "We are pleased to have found a strategic buyer for the business and feel this is a positive transaction for both parties." The sale of the business will reduce sales for the company by approximately $7 million on an annual basis and have a neglible impact on earnings. The sale price was not announced, however, the transaction is not expected to impact earnings in the second quarter.