SPX : Q4 and Full Year 2020 SPX Corporation Earnings Presentation

Q4 2020

Earnings Presentation

February 23, 2021

SPX Corporation 2019 Investor Event - New York

•  Certain statements contained in this presentation that are not historical facts, including any statements as to future market conditions, results of operations, products introductions, and financial projections, are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and are subject to safe harbor created thereby. These forward- looking statements are subject to risks, uncertainties, and other factors which could cause actual results to differ materially from future express or implied results. Although SPX believes that the expectations reflected in its forward-looking statements are reasonable, it can give no assurance that such expectations will prove to be correct. In addition, forward-looking statements are based on the company's existing operations and complement of businesses, which are subject to change.

•  Particular risks facing SPX include risks relating to economic, business and other risks stemming from changes in the economy, including changes resulting from the impact of the COVID-19 pandemic; market specific cycles and weather related fluctuations; legal and regulatory risks; cost of raw materials; pricing pressures; our reliance on U.S. revenues and international operations; our ability to successfully resolve various claims and disputes associated with our large power projects in South Africa; legacy liabilities (including asbestos, environmental and pension); liabilities retained in connection with dispositions; integration of acquisitions and achievement of anticipated synergies; our 2015 spin-off transaction; the effectiveness, success, and timing of restructuring plans; and other risks and uncertainties arising from impact of the COVID-19 pandemic or related government responses on SPX's businesses and the businesses of its customers and vendors, including whether SPX's businesses and those of its customers and vendors will continue to be treated as "essential" operations under government orders restricting business activities or, even if so treated, whether health and safety concerns might otherwise require certain operations to be halted for some period of time. More information regarding such risks can be found in SPX's most recent Annual Report on Form 10-K, most recent quarterly report on Form 10-Q and other SEC filings.

•  Statements in this presentation are only as of the time made, and SPX disclaims any responsibility to update or revise such statements except as required by regulatory authorities.

•  This presentation includes non-GAAP financial measures. Reconciliations of the non-GAAP financial measures with the most comparable measures calculated and presented in accordance with GAAP are available in the appendix to this presentation. We believe that these non-GAAP measures are useful to investors in evaluating our operating performance and our management of business from period to period.

2

Introductory Comments

Gene Lowe

Executive Summary - 2020 Results and 2021 Outlook

•  Solid performance in 2020

  •  Growth in revenue, segment income and Adjusted EPS

•  Targeting double-digit earnings growth in 2021

•  Focused on value creation initiatives

  •  Continuous improvement, digital, and acquisitions

    Well-Positioned to Continue Value Creation Journey in 2021+

4

Adjusted Q4 and 2020 Year/Year Summary

 Modest Q4 revenue increase

•  Acquisitions more than offset softer non-resi HVAC sales and timing impact of project sales in Detection & Measurement

 Segment Income and Margin resilient in Q4

•  Acquisitions support segment income

•  Less favorable mix impact on margin

Q4

Adjusted Revenue

Adjusted Segment Income Margin

Full-Year

($ millions)

$1,527

$1,556

Q4 2019

Q4 2020

FY 2019

FY 2020

Solid Performance in Challenging Year

Note: Adjusted results are non-GAAP financial measures that exclude, among other items, the results of the South African operations categorized as "Other" in the company's reporting structure. Reconciliations from US GAAP financial measures are available in the Appendix of the presentation.

5

Value Creation Framework

Organic Growth

SPX Business System

•	New products	•	Policy deployment
•	Channel expansion	•	Operational excellence
•	Adjacent markets	•	Due diligence/integration

Inorganic Growth

• • Focus in HVAC and D&M

• • Significant capital to deploy

• • Large target pipeline

Culture & Values

• • Integrity

• • Results/accountability

• • Diversity & Inclusion

• • Employee development

2021+ Initiatives

Revenue & Margin Enhancement - Tools & Drivers

Q4 Financial Review

Jamie Harris

Adjusted Earnings Per Share

Q4 2019	Q4 2020	2019	2020
GAAP EPS from continuing operations	$0.76	$0.58	$1.71	$2.20
Other segment (South Africa)	$0.00	$0.06	$0.79	$0.31
Acquisition-related	$0.01	$0.05	$0.09	$0.06
Non-service pension items & other	$0.14	$0.11	$0.02	$0.00
Amortization	$0.05	$0.09	$0.15	$0.23
Adj EPS from continuing operations	$0.96	$0.89	$2.76	$2.80

Q4/2020 Adjusted EPS of $0.89/$2.80

Note: Adjusted results are non-GAAP financial measures that exclude, among other items, the results of the South African operations categorized as "Other" in the company's reporting structure. Reconciliations from US GAAP financial measures are available in the Appendix of the presentation.

Adjusted Q4 and 2020 Year/Year Results

Q4 Adjusted Results:

•  2.5% year-over-year increase in Adjusted Revenue:

  Adjusted Operating Income Margin

  •  4.5% acquisition impact (ULC Robotics and PK)

  •  (2.4%) organic* decrease*due to lower volumes in HVAC Cooling

  •  0.4% currency impact

•  $9.4m charge caused decline in Q4 and Full-year Adjusted Operating Income and Margin

Q4

Full-Year

Adjusted Revenue

Q4 2019

Q4 2020

FY 2019

For Full-Year 2020, Acquisitions and Solid Operational Performance Largely Offset COVID-Impact

($ millions)

Note: Adjusted results are non-GAAP financial measures that exclude, among other items, the results of the South African operations categorized as "Other" in the company's reporting structure. *Non-GAAP financial measure. Reconciliations from US GAAP financial measures are available in the Appendix of the presentation.

$1,556

FY 2020

10

Summary of Q4 and 2020 Adjusted Segment Results

Q4'2020

2020

Y/Y %	Y/Y Change	Y/Y %	Y/Y Change
Change	in Adjusted	Change	in Adjusted
Segment	in Revenue	Segment Margin*	in Revenue	Segment Margin*
HVAC	(4.4)%	(130) bps	(0.4)%	10 bps
Detection & Measurement	17.5%	(160) bps	0.6%	(280) Bps
Engineered Solutions	1.3%	(40) bps	5.2%	270 bps
Total Adjusted SPX	2.5%	(90) bps	1.9%	20 bps

Note: Adjusted results are non-GAAP financial measures that exclude, among other items, the results of the South African operations categorized as "Other" in the company's reporting structure. Reconciliations from US GAAP financial measures are available in the Appendix of the presentation.

HVAC Q4 and 2020 Year/Year Results

Q4 Revenue:



(4.4%) year-over-year decrease:

•  3.0% acquisition impact from P-K

•  (7.9%) organic decrease* due to lower Cooling and Heating volumes

•  0.5% currency impact

Q4 Adjusted Segment Income and Margin:

•  $4.1m decrease in Adjusted Segment Income*

•  130 basis points of margin decline driven largely by lower Cooling volumes

Q4

Full-Year

($ millions)

Q4 2019

Q4 2020

FY 2019

FY 2020

Performance Largely as Anticipated; Seeing Early Signals of Recovering Non-Resi Activity

*Non-GAAP financial measure. Reconciliations from US GAAP financial measures are available in the Appendix of the presentation.

Detection & Measurement Q4 and 2020 Year/Year Results

Q4 Revenue:



17.5% year-over-year increase:

•  2.6% organic increase* due primarily to strong year-end shipments in Radiodetection, CUES and Flash

•  13.9% acquisition impact (ULC Robotics and Sensors & Software)

•  1.0% currency impact

Q4 Adjusted Segment Income and Margin:

•  $2.3m increase in Adjusted Segment Income*

•  160 basis points of margin decline primarily due to a lower mix of high margin project sales

Revenue

Q4

Full-Year

($ millions)

$385

$387

Adjusted Segment Income Margin*

$118

Q4 2019

Q4 2020

FY 2019

FY 2020

Favorable Impact of Acquisitions; Some Project Sales Shifted into 2021

*Non-GAAP financial measure. Reconciliations from US GAAP financial measures are available in the Appendix of the presentation.

13

Engineered Solutions Q4 and 2020 Year/Year Results

Q4 Revenue:



1.3% year-over-year increase:

•  Due to improved volumes in Transformers and Process Cooling

Q4 Segment Income and Margin:

•  $0.3m decrease in Segment Income

•  40 basis points of margin decline

  •  Strong performance in Transformers more than offset by less favorable mix in Process Cooling

Q4

Full-Year

($ millions)

$578

Revenue

Segment Income Margin

$151

$153

Q4 2019

Q4 2020

FY 2019

FY 2020

Continued Strong Operational Execution

Financial Position and Liquidity Review

Jamie Harris

Financial Position - Capital Structure & Liquidity Update

($millions)

Q3 2020

Q4 2020

Short-term debt $108 $101

Current maturities of long-term debt Long-term debt

Total Debt

Less: Cash on hand Net Debt

6 7 350 304

Leverage Ratios*

2.16x1.85x

1.95x1.65x

$464 (71) $393

$412 (68) $344

Q3 2020

Gross Leverage

Q4 2020

Bank Net Leverage

Solid Balance Sheet: Well Positioned for Growth Initiatives

* Calculated as defined by SPX's credit facility agreement.

2021 Guidance

Adjusted Operating Income Margin of ~12%;

Adjusted EPS in a Range of $3.00-3.20

Note: Adjusted results are non-GAAP financial measures that exclude, among other items, the results of the South African operations categorized as "Other" in the company's reporting structure. Reconciliations of guidance measures to US GAAP financial measures are not predictable and accordingly are not included in the Appendix of the presentation.

17

End Market Overview and Closing Remarks

Gene Lowe

Market Commentary

Market	Comments
HVAC	 Cooling: Non-residential activity showing early signs of improvement  Heating: solid recent demand trends; weather influenced seasonal demand
Detection & Measurement	 Locator demand continues solid recovery  Healthy frontlog of projects; delivery timing remains key driver
Engineered Solutions	 Solid utility customer behavior  Preference for "Made in USA" increasing

Drivers Support 2021 Growth Expectations

Executive Summary

•  Solid 2020 performance in challenging environment

•  Anticipate double-digit earnings growth in 2021

•  Focused on growth accelerators

•  Strong balance sheet and liquidity

Well-Positioned to Continue Value Creation Journey in 2021+

20

QuestionsAppendix

Modeling Considerations - Full Year 2021

Metric	Considerations
Corporate Expense	$46-49m
Long-term incentive comp	~$14-15m
Restructuring costs	$1-2m
Interest cost	$13-14m
Equity earnings in JV, Other income/(expense), and Non-service pension benefit/(expense)	$3-5m
Tax rate	~21-23%
Capex	~$20m
Cash cost of pension + OPEB	$13-14m
D&A	~$45-47m
Share count	~46.3-46.6m
Currency effect	Topline sensitivity to USD-GBP rate

Adjusted Segment Income Phasing and Reconciliations

($ millions)

34%

32%

Q1

Q2

Q3

Q4

20192020

Q1 Q2 Q3 Q4 2020

GAAP Exclude "Other" 46.6 (4.5) 47.6 (4.2) 44.4 (5.3) 65.1 203.7 (5.3) (19.3) Exclude: One time acquisition related costs Exclude: Intangible amortization Adjusted % of full-year (0.1) (2.6) 53.8 23% (2.4) 54.2 23% (3.3) 53.0 22% (1.2) (1.3) (5.7) (14.0) 77.3 238.3 32% 100%

Q1 Q2 Q3 Q4 2019

GAAP Exclude "Other" 22.1 (21.3) 41.7 43.2 (9.7) (5.4) 69.5 176.5 (7.2) (43.6) Exclude: One time acquisition related costs Exclude: Intangible amortization Adjusted % of full-year (1.3) (1.6) 46.3 20% (0.9) - (2.4) (2.0) 54.7 24% 50.6 22% 0.2 (2.0) (2.9) (8.9) 79.4 231.0 34% 100%

Other Segment Results - 2019 and 2020 by Quarter

Q1	Q2	Q3	Q4	2019
Revenue	(10.0)	0.1	5.5	(1.7)	(6.1)
Segment Income	(21.3)	(9.7)	(5.4)	(7.2)	(43.6)
Q1	Q2	Q3	Q4	2020
Revenue	2.1	0.7	0.5	0.7	4.0
Segment Income	(4.5)	(4.2)	(5.3)	(5.3)	(19.3)

($ millions)

Q4 2020 U.S. GAAP to Adjusted EPS Reconciliation

($ millions)

GAAP

AdjustmentsAdjusted

Segment income (1)

$

65.1 $

12.2 $ 77.3

Corporate expense (2)

(14.7)

0.8 (13.9)

Long-term incentive compensation expense

(3.8)

- (3.8)

Impairment of intangible assets (3)

(0.7)

0.7

-

Special charges, net (4)

(1.6)

0.6 (1.0)

Other operating expense Operating income

(9.4)

- (9.4)

34.9

14.3 49.2

Other expense, net (5)

(6.7)

3.9 (2.8)

Interest expense, net

(4.4)

- (4.4)

Income from continuing operations before income taxes

23.8

18.2 42.0

Income tax (provision) benefit (6)

3.1

(3.8) (0.7)

Income from continuing operations

26.9

14.4 41.3

Dilutive shares outstanding

46.151 46.151

Earnings per share from continuing operations

$

0.58 $ 0.89

(1) Adjustment represents the removal of (i) operating losses associated with the South Africa business ($5.3), (ii) amortization expense associated with acquired intangible assets ($5.7), (iii) one-time acquisitions costs of ($0.9), and (iv) inventory step-up charges related to the Sensors & Software acquisition of ($0.3).

• (2) Adjustment represents the removal of acquisition related expenses incurred during the period.

• (3) Adjustment represents removal of non-cash charges related to the impairment of certain intangible assets.

• (4) Adjustment represents removal of restructuring charges associated with the South Africa business.

(5)Adjustment primarily represents the removal of non-service pension and postretirement charges ($7.1), foreign currency gains associated with the South Africa business ($2.0), and a gain on equity security associated with a fair value adjustment ($1.2).

26

Q4 2019 U.S. GAAP to Adjusted EPS Reconciliation

GAAP

Adjustments

Adjusted

($ millions)

Segment income (1) Corporate expense (2)

$

69.5

$

9.9 $ 79.4

(13.8)

0.6 (13.2)

Long-term incentive compensation expense Special charges, net (3)

(3.5)

- (3.5)

(0.6)

0.5 (0.1)

Operating income

51.6

11.0 62.6

Other expense, net (4)

(15.0)

11.2 (3.8)

Interest expense, net (5)

(4.9)

(0.1) (5.0)

Loss on amendment/refinancing of senior credit agreement (6)

(0.6)

0.6

-

Income from continuing operations before income taxes

31.1

22.7 53.8

Income tax provision (7)

(2.0)

(8.3) (10.3)

Income from continuing operations

29.1

14.4 43.5

Less: Net loss attributable to redeemable noncontrolling interest

-

Net income from continuing operations attributable to SPX Corporation common

29.1

- 14.4

- 43.5

Adjustment related to redeemable noncontrolling interest (8)

5.6

(5.6)

-

Net income from continuing operations attributable to SPX Corporation common shareholders after adjustment to redeemable noncontrolling interest

$

34.7

$

8.8

$

43.5

Dilutive shares outstanding

45.491 45.491

Earnings per share from continuing operations

$

0.76 $ 0.96

• (1) Adjustment primarily represents the removal of (i) operating losses associated with the South Africa business ($7.2) and (ii) amortization expense associated with acquired intangible assets ($2.9).

• (2) Adjustment represents the removal of acquisition related expenses incurred during the period.

• (3) Adjustment represents removal of restructuring charges associated with the South Africa business.

• (4) Adjustment represents the removal of non-service pension and postretirement charges ($11.0) and foreign currency losses ($0.2) associated with the South Africa business.

• (5) Represents removal of interest income associated with the South Africa business.

• (6) Adjustment represents the removal of a non-cash charge associated with an amendment to our senior credit agreement.

• (7) Adjustment represents the tax impact of items (1) through (6) above and the removal of certain income tax benefits that are considered non-recurring.

• (8) Adjustment represents removal of noncontrolling interest amounts associated with our South Africa subsidiary.

27

2020 U.S. GAAP to Adjusted EPS Reconciliation

Segment income (1)

Corporate expense (2)

Long-term incentive compensation expense

Impairment of intangible assets (3)

Special charges (4)

Other operating expenses (5)

Operating income

Other income, net (6) Interest expense, net

Income from continuing operations before income taxes

Income tax provision (7)

Income from continuing operations

Dilutive shares outstanding

Earnings per share from continuing operations

GAAP

$

203.7 $

(44.8)

(14.0)

(0.7)

(3.2)

(9.0)

132.0

2.7

(18.2)

116.5

(15.8)

Adjustments

Adjusted

34.6 $ 238.3

1.7 (43.1)

- (14.0)

0.7

-0.8 (2.4)

(0.4) (9.4)

37.4 169.4

(2.7)

-- (18.2)

34.7 151.2

(7.4) (23.2)

100.7

27.3 128.0

45.766 45.766

$

2.20 $ 2.80

($ millions)

(1) Adjustment represents the removal of (i) operating losses associated with the South Africa business ($19.3), (ii) amortization expense associated with acquired intangible assets ($14.0), (iii) one-time acquisitions costs of ($1.0), and (iv) inventory step-up charges related to the Sensors & Software acquisition of ($0.3).

• (2) Adjustment represents the removal of acquisition related expenses incurred during the period.

• (3) Adjustment represents removal of non-cash charges related to the impairment of certain intangible assets.

• (4) Adjustment primarily represents removal of restructuring charges associated with the South Africa business.

• (5) Adjustment represents the removal of income associated with revisions to estimates of certain liabilities retained in connection with the 2016 sale of the dry cooling business.

• (6) Adjustment primarily represents the removal of non-service pension and postretirement charges ($7.8), foreign currency gains associated with the South Africa business ($1.9), and a gain on equity security associated with a fair value adjustment ($8.6).

28

2019 U.S. GAAP to Adjusted EPS Reconciliation

($ millions)

GAAP

Adjustments

Adjusted

Segment income (1)

$

176.5

$

54.5 $ 231.0

Corporate expense (2)

(46.7)

2.6 (44.1)

Long-term incentive compensation expense

(13.6)

- (13.6)

Special charges, net (3)

(4.4)

3.4 (1.0)

Other operating expenses (4)

(1.8)

1.8

-

Operating income

110.0

62.3 172.3

Other income (expense), net (5)

(5.2)

6.7 1.5

Interest expense, net (6)

(19.2)

(0.1) (19.3)

Loss on amendment/refinancing of senior credit agreement (7)

(0.6)

0.6

-

Income from continuing operations before income taxes

85.0

69.5 154.5

Income tax provision (8)

(13.9)

(16.5) (30.4)

Income from continuing operations

71.1

53.0 124.1

Less: Net loss attributable to redeemable noncontrolling interest

Net income from continuing operations attributable to SPX Corporation common shareholders

- 71.1

- 53.0

- 124.1

Adjustment related to redeemable noncontrolling interest (9)

5.6

(5.6)

-

Net income from continuing operations attributable to SPX Corporation common shareholders after adjustment to redeemable noncontrolling interest

$

76.7

$

47.4

$

124.1

Dilutive shares outstanding

44.957 44.957

Earnings per share from continuing operations

$

1.71 $ 2.76

(1) Adjustment represents the removal of (i) operating losses associated with the South Africa businesses ($43.6), (ii) amortization expense associated with acquired intangible assets ($8.9), and (iii) inventory step-up charges related to the Sabik and Cues acquisitions of ($2.0) .

• (2) Adjustment represents the removal of acquisition related expenses incurred during the period.

• (3) Adjustment primarily represents removal of restructuring charges associated with the South Africa business.

• (4) Adjustment represents removal of charges associated with revisions to estimates of certain liabilities retained in connection with the 2016 sale of the dry cooling business.

• (5) Adjustment primarily represents the removal of non-service pension and postretirement charges ($14.0), foreign currency losses associated with the South Africa business ($0.6), and a gain on equity security associated with a fair value adjustment ($7.9).

• (6) Represents removal of interest income associated with the South Africa business.

• (7) Adjustment represents the removal of a non-cash charge associated with an amendment to our senior credit agreement.

• (8) Adjustment represents the tax impact of items (1) through (7) above and the removal of certain income tax benefits that are considered non-recurring.

• (9) Adjustment represents removal of non-controlling interest amounts associated with our South Africa business.

Q4 and FY 2020 and 2019 U.S. GAAP to Adjusted Operating Income Reconciliation

($ millions)

Three months ended

Twelve months endedDecember 31, 2020

December 31, 2019

December 31, 2020

December 31, 2019

Operating income Exclude:

$

34.9

$

51.6

$

132.0 $ 110.0

Aggregate operating loss of the South Africa business (1) One-time acquisition related costs (2)

(5.9)

(7.7)

(20.1) (46.8)

(2.0)

(0.4)

(3.0) (4.8)

Other operating income/expense (3) Amortization expense (4) Impairment of intangible assets Adjusted operating income as a percent of adjusted revenues (5)

-

-

0.4 (1.8)

(5.7)

(2.9)

(14.0) (8.9)

(0.7)

-$

49.2

$

62.6

$

10.8 %

14.1 %

(0.7) 169.4 10.9 %

$

- 172.3 11.3 %

(1) Represents the removal of the operating results of our South Africa business, inclusive of "special charges" of $0.6 and $0.5 during the three months ended December 31, 2020 and 2019, respectively, and $0.8 and $3.2 during the twelve months ended December 31, 2020 and 2019, respectively.

(2) Represents one-time acquisition related costs during the three months ended December 31, 2020 and December 31, 2019 associated with (i) inventory step-up of $0.3 and $(0.2), respectively, and (ii) integration and transaction costs of $1.7 and $0.6, respectively, and one-time acquisition related costs during the twelve months ended December 31, 2020 and December 31, 2019 associated with (i) inventory step-up of $0.3 and $2.0, respectively, and (ii) integration and transaction costs of $2.7 and $2.8.

(3) Represents income/expense associated with revisions to estimates of certain liabilities retained in connection with the 2016 sale of the dry cooling business for the twelve months ended December 31,

2020 and 2019.

• (4) Represents amortization expense associated with acquired intangible assets.

• (5) See "Results of Reportable Segments and Other Operating Segment" for applicable percentages based on GAAP results.

Q4 2020 Non-GAAP Reconciliation - Organic Revenue

Three months ended December 31, 2020

Net Revenue Growth (Decline)	(4.4) %
Exclude: Foreign Currency	0.5 %
Exclude: Acquisitions	3.0 %
Organic Revenue Growth/(Decline)	(7.9) %

Detection &
HVAC	Measurement	SPX Corporation
17.5 %	1.3 %	2.5 %
1.0 %	- %	0.4 %
13.9 %	- %	4.5 %
2.6 %	1.3 %	(2.4) %

Engineered Solutions

Q4 and FY 2020 and 2019 U.S. GAAP to Adjusted Revenue and Adjusted Segment Income Reconciliation

($ millions)

CONSOLIDATED SPX:

Three months ended

Twelve months ended

December 31, 2020	December 31, 2019	December 31, 2020	December 31, 2019
Consolidated revenue	$	456.8	$	443.4	$	1,559.5	1,520.9
Exclude: "Other" operating segment (1)	0.7	(1.7)	4.0	(6.1)
Adjusted consolidated revenue	$	456.1	$	445.1	$	1,555.5	1,527.0
Total segment income	$	65.1	$	69.5	$	203.7	176.5
Exclude: "Other" operating segment (1)	(5.3)	(7.2)	(19.3)	(43.6)
Exclude: One-time acquisition related costs (2)	(1.2)	0.2	(1.3)	(2.0)
Exclude: Amortization expense (3)	(5.7)	(2.9)	(14.0)	(8.9)
Adjusted segment income	$	77.3	$	79.4	$	238.3	231.0
as a percent of adjusted revenues (4)	16.9 %	17.8 %	15.3 %	15.1 %

$

$ $

$

(1) Represents the removal of the financial results of our South Africa business. Note: This business is being reported as an "Other" operating segment for U.S. GAAP purposes due to certain wind-down activities that are occurring within this business.

(2) Primarily represents one-time acquisition costs related to the HVAC and Detection & Measurement reportable segments during the three and twelve months ended December 31, 2020 and additional "Cost of products sold" recorded during the three and twelve months ended December 31, 2020 related to the step-up of inventory (to fair value) acquired in connection with the Sensors & Software acquisition and the three and twelve months ended December 31, 2019 related to the step-up of inventory (to fair value) acquired in connection with the Sabik and Cues acquisitions.

(3) Represents amortization expense associated with acquired intangible assets.

(4) See "Results of Reportable Segments and Other Operating Segment" for applicable percentages based on GAAP results.

Q4 and FY 2020 and 2019 U.S. GAAP to Adjusted Segment Income Reconciliations

($ millions)

HVAC REPORTABLESEGMENT:

HVAC segment income

Exclude: One-time acquisition related costs (1)

Exclude: Amortization expense (2)

HVAC adjusted segment income

as a percent of HVAC segment revenues (3)

Three months endedDecember 31, 2020

$

33.9

(0.5)

(0.7)

$

35.1

December 31, 2019

$

38.1

-

(1.1)

$

39.2

Twelve months ended

18.9 %

20.2 %

$

$

December 31, 2020	December 31, 2019
93.4	$	95.4
(0.6)	-
(2.9)	(1.4)
96.9	$	96.8
16.4 %	16.3 %

DETECTION & MEASUREMENT REPORTABLE SEGMENT:

Detection & Measurement segment income

Exclude: One-time acquisition related costs (1)

Exclude: Amortization expense (2)

Detection & Measurement adjusted segment income

as a percent of Detection & Measurement segment revenues (3)

Three months endedDecember 31, 2020

$

20.7

(0.7)

(5.0)

$

26.4

December 31, 2019

$

22.5

0.2

(1.8)

$

24.1

Twelve months endedDecember 31, 2020

December 31, 2019

$

69.1 $ 81.7

(0.7) (2.0)

(11.1) (7.5)

$

80.9

$

91.2

22.4 %

24.0 %

20.9 %

23.7 %

(1) Primarily represents one-time acquisition costs related to the HVAC and Detection & Measurement reportable segments during the three and twelve months ended December 31, 2020 and additional "Cost of products sold" recorded during the three and twelve months ended December 31, 2020 related to the step-up of inventory (to fair value) acquired in connection with the Sensors & Software acquisition and the three and twelve months ended December 31, 2019 related to the step-up of inventory (to fair value) acquired in connection with the Sabik and Cues acquisitions.

(2) Represents amortization expense associated with acquired intangible assets.

(3) See "Results of Reportable Segments and Other Operating Segment" for applicable percentages based on GAAP results.

Q4 2020 Debt Reconciliation

Q4 2020

Short-term debt 101.2

Current maturities of long-term debt 7.2

Long-term debt(1) 305.4

Gross debt 413.8

plus: adjustment associated with acquistions 25.5

less: purchase card program and extended payables (1.7)

Adjusted gross debt 437.6

less: cash and equivalents (67.7)Adjusted net debt

1) Excludes unamortized debt issuance costs associated with term loan of $1.4m. Note: Adjusted net debt as defined by SPX's current credit facility agreement.

$

369.9

($ millions)

2020 Consolidated Adjusted EBITDA* Reconciliation

($ millions)

FY 2020

Net Income attributable to SPX Corporation common shareholders

$ 97.2

Income tax provision 15.8

Interest expense 18.4

Income before interest and taxes 131.4

Depreciation and amoritization 41.7

EBITDA 173.1

Adjustments:

Non-cash compensation 24.1

Pension adjustments 3.0

Extraordinary non-recurring, non-cash charges (gains), net 6.6

Extraordinary non-recurring cash charges, net 3.8

Material acquisition / disposition related fees, costs, or expenses, net 2.1

Pro forma effect of acquisitions and divestitures, and other 12.1

Ajusted EBITDA

$ 224.8

* Adjusted EBITDA includes pro-forma impact related to acquisitions closed during the year. Note: Adjusted consolidated EBITDA as defined by SPX's current credit facility agreement.

35

2020 Adjusted Free Cash Flow Reconciliation

2020

Operating cash flow from continuing operations 131.1

Capital expenditures (21.5)

Free cash flow from continuing operations 109.6

Adjustments*

Adjusted free cash flow

13.7

$

123.3

($ millions)

* Adjustments align with our reconciliation of GAAP to Adjusted EPS for the full-year 2019