Let an n x n -matrix A have m < n (m ? 2) different eigenvalues ?j of the
algebraic multiplicity ?j (j = 1,..., m). It is proved that there are ?j x
?j-matrices Aj, each of which has a unique eigenvalue ?j, such that A is
similar to the block-diagonal matrix ?D = diag (A1,A2,..., Am). I.e. there
is an invertible matrix T, such that T-1AT = ?D. Besides, a sharp bound for
the number kT := ||T||||T-1|| is derived. As applications of these results we
obtain norm estimates for matrix functions non-regular on the convex hull of
the spectra. These estimates generalize and refine the previously published
results. In addition, a new bound for the spectral variation of matrices is
derived. In the appropriate situations it refines the well known bounds.