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SPX Corporation Announces Restructuring Charge

28 December 1998

SPX Corporation Announces Restructuring Charge

    MUSKEGON, Mich., Dec. 28 -- SPX Corporation today
announced it will take approximately a $210 to $250 million pretax fourth
quarter 1998 charge to restructure the former General Signal operations, to
close the General Signal headquarters facility, and for other items.  The
company expects that approximately $20 million of incremental costs associated
with these restructuring actions will be incurred in 1999.  Components of the
charge include:

    1.  Restructuring of Former General Signal Operations:
         *  The company will close approximately 25 manufacturing, sales and
            administrative locations.
         *  These facility closings, an early retirement program, and other
            actions will result in a workforce reduction of approximately 1000
            employees over the next six months.

    2.  Closure of General Signal Headquarters:
         *  The closure of the former General Signal headquarters in Stamford,
            Connecticut is substantially complete.

    3.  Additional Charges:
         *  SPX is assessing certain other matters that will likely result in
            one-time charges in the fourth quarter of 1998.
         *  The charges include costs related to certain asset valuations, in-
            process technology, and potential environmental costs arising from
            the merger with General Signal.

    Commenting on today's announcement, John B. Blystone, Chairman, President
and Chief Executive Officer said, "With the anticipated savings from these
restructuring actions, which mitigate the current economic trends in our
global markets, we remain confident in our 1999 earnings guidance of $4.85 per
share, excluding any special charges."
    SPX Corporation is a global provider of industrial products and services,
technical products and systems, service solutions and vehicle components.  The
Internet address for SPX Corporation's home page is http://www.spx.com.
    Statements in this press announcement that are not strictly historical are
"forward-looking" statements within the meaning of the Safe Harbor provisions
of the federal securities laws.  Investors are cautioned that such statements
are solely predictions and speak only as of the date of this release.  Actual
results may differ materially due to risks and uncertainties that are
described in the Company's Form 10-K for 1997, the Company's Registration
Statement (Form S-4), and the Company's 1998 Third Quarter Form 10-Q.