Abstract: The specification discloses an apparatus and process for beading the projecting ends of heat exchange tubes to a header or tube sheet of a water heater. The apparatus comprises an expandable mandrel having outwardly movable jaws supported around the forward end of a spindle. The mandrel is adapted to be inserted into a tube and to be expanded outward to tightly grip the inside of the tube near the header and to expand the tube against the header. An annular beading head having an annular beading groove is supported around the spindle rearward of the jaws and is adapted to be moved forward to engage the groove with the projecting end of the tube to force the end of the tube radially outward and against the side of the header.