A rotary hammer incorporating both a reciprocating drive for generating a first hammering action transmittable to a tool bit and ratcheting mechanism for generating a second hammering action transmittable to the tool bit. The first hammering action and the second hammering actions differing in frequency and force of the impacts transmitted to the tool bit. Furthermore, the reciprocating drive and ratcheting mechanism are selectably engageable so that the first hammering action and the second hammering action may be selectably transmitted to the tool bit individually or in combination depending on the desired mode operation.