The paper puts forward a two-stage model of state prognosis based upon measured vibration monitoring information to date. First the two-stage operating process of equipment is described. Secondly, the modelling method and process of the two-stage state prognosis model is given. At the same time, the estimation method of unknown parameters in model is also given. Last the model is applied to predict the residual life of a set of rolling element bearings based on their vibration monitoring information.