----

----

|   |   | COACHMEN      INDUSTRIES, INC.                              |   |   |
|--------|--------|-------------------------------------------------------------|--------|--------|
|   |   | (Exact      name of registrant as specified in its charter) |   |   |

| Indiana                                       |   | 35-1101097                             |
|-----------------------------------------------|--------|----------------------------------------|
| (State of incorporation or      organization) |   | (IRS      Employer Identification No.) |

| 423      North Main Street, Middlebury, Indiana |   | 46540           |
|-------------------------------------------------|--------|-----------------|
| (Address      of principal executive offices)   |   | (Zip      Code) |

| Registrant's      telephone number, including area code: |   | (574)      825-5821 |
|----------------------------------------------------------|--------|---------------------|

| Large      accelerated filer  ̈ |   | Accelerated      filer x |   | Non-accelerated      filer  ̈ |   | Smaller      reporting company  ̈ |
|------------------------------------------|--------|-------------------------------|--------|-----------------------------------|--------|--------------------------------------------|

----

| FORM      10-Q                                                                                   |
|--------------------------------------------------------------------------------------------------|
|                                                                                             |   |
|                                                                                             |   |
| INDEX                                                                                            |
|                                                                                             |   |
| Part I. Financial      Information                                                     | Page |
|                                                                                             |   |
| Financial      Statements:                                                                       |   |
| Consolidated Balance Sheets at March 31, 2008 and      December 31, 2007                         | 3 |
|                                                                                             |   |
| Consolidated Statements of Operations for      the three months ended March 31, 2008 and 2007    | 4 |
|                                                                                             |   |
| Consolidated Statements of Cash Flows for the      three months ended March 31, 2008 and 2007    | 5 |
|                                                                                             |   |
| Notes to Consolidated Financial    Statements                                                    | 6-13 |
|                                                                                             |   |
| Management’s Discussion and Analysis of Financial Condition      and Results of Operations | 14-19 |
|                                                                                             |   |
| Quantitative and Qualitative Disclosures About Market      Risk                                  | 20 |
|                                                                                             |   |
| Controls and Procedures                                                                          | 20 |
|                                                                                             |   |
| Part II. Other      Information                                                                  |   |
|                                                                                             |   |
| Item 6. Exhibits                                                                                 | 21 |
|                                                                                             |   |
| Signatures                                                                                       | 22 |
|                                                                                             |   |
| Index to Exhibits                                                                                | 23 |

----

Index

Coachmen Industries, Inc. and Subsidiaries

|                                                                                                                             |   |   | March      31, |   |   | December      31, |   |
|----------------------------------------------------------------------------------------------------------------------------------|--------|--------|----------------|--------|--------|-------------------|--------|
|                                                                                                                             |   |   | 2008           |   |   | 2007              |   |
| Assets                                                                                                                           |   |   | (Unaudited)    |   |   |              |   |
| CURRENT      ASSETS                                                                                                              |   |   |           |   |   |              |   |
| Cash      and cash equivalents                                                                                                   |   | $      | 2,568          |   | $      | 1,549             |   |
| Trade      receivables, less allowance for doubtful receivables 2008 - $747 and 2007      - $744                                 |   |   | 35,777         |   |   | 9,122             |   |
| Other      receivables                                                                                                           |   |   | 5,218          |   |   | 3,819             |   |
| Refundable      income taxes                                                                                                     |   |   | 1,627          |   |   | 1,628             |   |
| Inventories                                                                                                                      |   |   | 82,255         |   |   | 79,268            |   |
| Prepaid      expenses and other                                                                                                  |   |   | 2,704          |   |   | 3,804             |   |
| Assets      held for sale                                                                                                        |   |   | 5,021          |   |   | -                 |   |
|                                                                                                                             |   |   |           |   |   |              |   |
| Total      current assets                                                                                                        |   |   | 135,170        |   |   | 99,190            |   |
|                                                                                                                             |   |   |           |   |   |              |   |
| Property,      plant and equipment,    net                                                                                       |   |   | 47,231         |   |   | 52,932            |   |
| Goodwill                                                                                                                         |   |   | 12,993         |   |   | 12,993            |   |
| Cash      value of life insurance, net of loans                                                                                  |   |   | 29,531         |   |   | 33,936            |   |
| Other                                                                                                                            |   |   | 8,169          |   |   | 8,617             |   |
|                                                                                                                             |   |   |           |   |   |              |   |
| TOTAL      ASSETS                                                                                                                |   | $      | 233,094        |   | $      | 207,668           |   |
|                                                                                                                             |   |   |           |   |   |              |   |
| Liabilities      and Shareholders' Equity                                                                                        |   |   |           |   |   |              |   |
| CURRENT      LIABILITIES                                                                                                         |   |   |           |   |   |              |   |
| Short-term      borrowings                                                                                                       |   | $      | 33,858         |   | $      | 20,073            |   |
| Accounts      payable, trade                                                                                                     |   |   | 31,173         |   |   | 15,042            |   |
| Accrued      income taxes                                                                                                        |   |   | 510            |   |   | 536               |   |
| Accrued      expenses and other liabilities                                                                                      |   |   | 28,678         |   |   | 33,235            |   |
| Floorplan      notes payable                                                                                                     |   |   | 3,565          |   |   | 4,116             |   |
| Current      maturities of long-term debt                                                                                        |   |   | 832            |   |   | 852               |   |
|                                                                                                                             |   |   |           |   |   |              |   |
| Total      current liabilities                                                                                                   |   |   | 98,616         |   |   | 73,854            |   |
|                                                                                                                             |   |   |           |   |   |              |   |
| Long-term      debt                                                                                                              |   |   | 2,992          |   |   | 3,010             |   |
| Deferred      income taxes                                                                                                       |   |   | 1,990          |   |   | 1,990             |   |
| Postretirement      deferred compensation benefits                                                                               |   |   | 6,854          |   |   | 7,632             |   |
| Other                                                                                                                            |   |   | 72             |   |   | 49                |   |
|                                                                                                                             |   |   |           |   |   |              |   |
| Total      liabilities                                                                                                           |   |   | 110,524        |   |   | 86,535            |   |
|                                                                                                                             |   |   |           |   |   |              |   |
| COMMITMENTS      AND CONTINGENCIES (Note 10)                                                                                |   |   |           |   |   |              |   |
|                                                                                                                             |   |   |           |   |   |              |   |
| SHAREHOLDERS'      EQUITY                                                                                                        |   |   |           |   |   |              |   |
| Common      shares, without par value: authorized 60,000 shares; issued 2008 – 21,185      shares and 2007 - 21,180 shares |   |   | 92,587         |   |   | 92,552            |   |
| Additional      paid-in capital                                                                                                  |   |   | 7,938          |   |   | 7,856             |   |
| Accumulated      other comprehensive loss                                                                                        |   |   | (70            | )      |   | (48               | )      |
| Retained      earnings                                                                                                           |   |   | 81,254         |   |   | 79,927            |   |
| Treasury      shares, at cost, 2008 – 5,399 shares and 2007 - 5,402      shares                                            |   |   | (59,139        | )      |   | (59,154           | )      |
| Total      shareholders' equity                                                                                                  |   |   | 122,570        |   |   | 121,133           |   |
|                                                                                                                             |   |   |           |   |   |              |   |
| TOTAL      LIABILITIES AND SHAREHOLDERS' EQUITY                                                                                  |   | $      | 233,094        |   | $      | 207,668           |   |

Notes to Consolidated FinancialStatements

----

Index

Coachmen Industries, Inc. andSubsidiaries

|                                                                                          |   | Three      Months Ended March 31, |    |
|-----------------------------------------------------------------------------------------------|--------|-----------------------------------|---------|
|                                                                                          |   | 2008                              |    | 2007 |   |
|                                                                                          |   |                              |    |   |   |   |   |
| Net      sales                                                                                |   | $                            | 121,318 |   | $  | 130,244 |   |
| Cost      of sales                                                                            |   |                              | 110,455 |   |   |  128,817 |   |
| Gross      profit                                                                             |   |                              | 10,863  |   |   |  1,427 |   |
| Operating      expenses:                                                                 |   |                              |    |   |   |   |   |
| Selling                                                                                       |   |                              | 4,597   |   |   |  5,813 |   |
| General      and administrative                                                               |   |                              | 4,533   |   |   |  6,235 |   |
| Gain      on sale of assets, net                                                              |   |                              | (208    | )  |   |  (445 | )  |
|                                                                                          |   |                              | 8,922   |   |   |  11,603 |   |
| Operating      income (loss)                                                                  |   |                              | 1,941   |   |   |  (10,176 | )  |
| Nonoperating      (income) expense:                                                      |   |                              |    |   |   |   |   |
|  Interest      expense                                                                   |   |                              | 1,028   |   |   |  842 |   |
|  Investment      income                                                                  |   |                              | (294    | )  |   |  (474 | )  |
|  Other      income, net                                                                  |   |                              | (120    | )  |   |  (95 | )  |
|                                                                                          |   |                              | 614     |   |   |  273 |   |
|  Income      (loss) before income taxes                                                  |   |                              | 1,327   |   |   |  (10,449 | )  |
| Income      taxes (credit)                                                               |   |                              | -       |   |   |  (1 | )  |
| Net      income (loss)                                                                   |   |                              | 1,327   |   |   |  (10,448 | )  |
|                                                                                          |   |                              |    |   |   |   |   |
|                                                                                          |   |                              |    |   |   |   |   |
| Earnings (loss)      per share - Basic & Diluted                                |   | $                            | .08     |   | $  |  (.67 | )  |
|                                                                                          |   |                              |    |   |   |   |   |
| Number      of common shares used in the computation of earnings (loss) per      share:  |   |                              |    |   |   |   |   |
| Basic                                                                                         |   |                              | 15,749  |   |   |  15,700 |   |
| Diluted                                                                                       |   |                              | 15,758  |   |   |  15,700 |   |
|                                                                                          |   |                              |    |   |   |   |   |
| Cash      dividends declared per common share                                            |   | $                            |  - |   | $  | .03  |   |

Notes to Consolidated Financial Statements

----

Index

Coachmen Industries, Inc. andSubsidiaries

|                                                                                                              |   | Three      Months Ended March 31, |          |
|-------------------------------------------------------------------------------------------------------------------|--------|-----------------------------------|---------------|
|                                                                                                              |   | 2008                              |          | 2007 |   |
| CASH      FLOWS FROM OPERATING ACTIVITIES:                                                                        |   |                              |          |   |   |   |   |
| Net      income (loss)                                                                                            |   | $                                 | 1,327         |   | $ | (10,448 | )  |
| Adjustments      to reconcile net income (loss) to net cash provided by (used      in) operating activities: |   |                              |          |   |   |   |   |
| Depreciation                                                                                                      |   |                              | 1,377         |   |   | 1,506 |   |
| Provision      for doubtful receivables, net of recoveries                                                        |   |                              | 5             |   |   | 30 |   |
| Net      realized and unrealized losses on derivatives                                                            |   |                              | (22           | )  |   | (4) |   |
| Gains      on sale of properties and other assets, net                                                            |   |                              | (208          | ) |   | (445 | ) |
| Increase      in cash surrender value of life insurance policies                                                  |   |                              | 132           |   |   | (301 | ) |
| Other                                                                                                             |   |                              | (658          | )  |   | 599 |   |
| Changes      in certain assets and liabilities:                                                                   |   |                              |          |   |   |   |   |
| Trade      receivables                                                                                            |   |                              | (28,059       | )  |   | (11,449 | )  |
| Inventories                                                                                                       |   |                              | (2,987        | ) |   | (2,676 | ) |
| Prepaid      expenses and other                                                                                   |   |                              | 1,100         |   |   | 1,500 |   |
| Accounts      payable, trade                                                                                      |   |                              | 16,131        |   |   | 18,064 |   |
| Income      taxes - accrued and refundable                                                                        |   |                              | (25           | )  |   | 6,646 |   |
| Accrued      expenses and other liabilities                                                                       |   |                              | (4,557        | )  |   | 1,096 |   |
| Net      cash provided by (used in) operating activities                                                          |   |                              | (16,444       | )  |   | 4,118 |   |
|                                                                                                              |   |                              |          |   |   |   |   |
| CASH      FLOWS FROM INVESTING ACTIVITIES:                                                                        |   |                              |          |   |   |   |   |
| Proceeds      from sale of properties and other assets                                                            |   |                              | 240           |   |   | 746 |   |
| Investments      in life insurance policies                                                                       |   |                              | (1,727        | ) |   | (1,776 | ) |
| Purchases      of property and equipment                                                                          |   |                              | (552          | ) |   | (391 | ) |
| Other                                                                                                             |   |                              | 271           |   |   | 330 |   |
| Net      cash used in investing activities                                                                        |   |                              | (1,768        | )  |   | (1,091 | )  |
|                                                                                                              |   |                              |          |   |   |   |   |
| CASH      FLOWS FROM FINANCING ACTIVITIES:                                                                        |   |                              |          |   |   |   |   |
| Proceeds      from short-term borrowings                                                                          |   |                              | 13,801        |   |   | 3,866 |   |
| Payments      of short-term borrowings                                                                            |   |                              | (567          | ) |   | (5,373 | ) |
| Proceeds      from borrowings on cash value of life insurance    policies                                         |   |                              | 10,000        |   |   | - |   |
| Payments      of borrowings on cash value of life insurance    policies                                           |   |                              | (4,000        | ) |   | - |   |
| Payments      of long-term debt                                                                                   |   |                              | (38           | ) |   | (77 | ) |
| Issuance      of common shares under stock incentive plans                                                        |   |                              | 35            |   |   | 46 |   |
| Cash      dividends paid                                                                                          |   |                              | -             |   |   | (471 | ) |
| Net      cash provided by (used in) financing activities                                                     |   |                              | 19,231        |   |   | (2,009 | ) |
|                                                                                                              |   |                              |          |   |   |   |   |
| Increase      in cash and cash equivalents                                                                        |   |                              | 1,019         |   |   | 1,018 |   |
| CASH      AND CASH EQUIVALENTS:                                                                                   |   |                              |          |   |   |   |   |
| Beginning      of period                                                                                          |   |                              | 1,549         |   |   | 2,651 |   |
| End      of period                                                                                                |   | $                                 | 2,568         |   | $ | 3,669 |   |
|                                                                                                              |   |                              |          |   |   |   |   |
| Supplemental      disclosures of cash flow information:                                                      |   |                              |          |   |   |   |   |
| Operating      cash received during the quarter related to insurance      settlement                              |   | $                            | 600,000  |   | $  |  - |   |

Notes to Consolidated Financial Statements

----

Index

Coachmen Industries, Inc. and Subsidiaries

|                        |   |                   |   |   |                 | Fair Value Measurements at Reporting Date      Using |
|-----------------------------|--------|------------------------|--------|--------|----------------------|------------------------------------------------------|
|                        |   |                   |   |   |                 |                                                 |
|                        |   |                   |   |   |                 | Quoted      Prices in                                |   |   |   |   |   |   |   |   |
|                        |   |                   |   |   |                 | Active      Markets                                  |   | Significant |   | Significant |
|                        |   |                   |   |   |                 | For      Identical                                   |   | Other      Observable |   | Unobservable |
|                        |   |                   |   |   |                 | Assets                                               |   | Inputs |   | Inputs |
|                        |   | Total      as of  |   |   |                 |                                                 |   |   |   |   |   |   |   |   |   |
| Description                 |   | March      31, 2008    |   |   | (Level      1)  |                                                 |   | (Level      2)  |   |   | (Level      3)  |   |
|                        |   |                   |   |   |                 |                                                 |   |   |   |   |   |   |   |   |   |   |
| Cash                        |   | $                      | 2,568  |   |                 | $                                                    | 2,568 |   |   | $ | - |   |   | $ | - |   |
|                        |   |                   |   |   |                 |                                                 |   |   |   |   |   |   |   |   |   |   |
| Interest      Rate Swap (1) |   |                   | (70    | )      |                 |                                                 | - |   |   |   | (70 | ) |   |   | - |   |
|                        |   |                   |   |   |                 |                                                 |   |   |   |   |   |   |   |   |   |   |
| Net                         |   | $                      | 2,498  |   |                 | $                                                    | 2,568 |   |   | $ | (70 | ) |   | $ | - |   |

----

Index

2.    SEGMENT INFORMATION.

|                       |   | Three      Months Ended March 31, |
|----------------------------|--------|-----------------------------------|
|                       |   | 2008                              |   | 2007 |   |   |
| Net      sales             |   |                              |   |   |   |   |   |   |
| Recreational      vehicles |   | $                                 | 90,479 |   | $ | 104,152 |   |   |
| Housing                    |   |                              | 30,839 |   |   | 26,092 |   |   |
| Consolidated      total    |   | $                                 | 121,318 |   | $ | 130,244 |   |   |
|                       |   |                              |   |   |   |   |   |   |
| Gross      profit          |   |                              |   |   |   |   |   |   |
| Recreational      vehicles |   | $                                 | 5,192 |   | $ | (866 | )  |   |
| Housing                    |   |                              | 5,671 |   |   | 2,293 |   |   |
| Consolidated      total    |   | $                                 | 10,863 |   | $ | 1,427 |   |   |

|                         |   |                 |        |                    |   |    |    |   |
|------------------------------|--------|----------------------|-------------|-------------------------|--------|---------|---------|--------|
| Operating      expenses      |   |                 |        |                    |   |    |    |   |
| Recreational      vehicles   |   | $                    | 6,284       |                    | $      | 7,072   |    |   |
| Housing                      |   |                 | 4,291       |                    |   | 5,022   |    |   |
| Other      reconciling items |   |                 | (1,653      | )                       |   | (491    | )       |   |
| Consolidated      total      |   | $                    | 8,922       |                    | $      | 11,603  |    |   |
|                         |   |                 |        |                    |   |    |    |   |
| Operating      income (loss) |   |                 |        |                    |   |    |    |   |
| Recreational      vehicles   |   | $                    | (1,092      | )                       | $      | (7,938  | )       |   |
| Housing                      |   |                 | 1,380       |                    |   | (2,729  | )  |   |
| Other      reconciling items |   |                 |  1,653 |                    |   | 491     |    |   |
| Consolidated      total      |   | $                    | 1,941       |                    | $      | (10,176 | )  |   |
|                         |   |                 |        |                    |   |    |    |   |
| Pre-tax      income (loss)   |   |                 |        |                    |   |    |    |   |
| Recreational      vehicles   |   | $                    | (1,057      | )                       | $      | (8,044  | )       |   |
| Housing                      |   |                 | 1,358       |                    |   | (2,677  | )  |   |
| Other      reconciling items |   |                 | 1,026       |                    |   | 272     |    |   |
| Consolidated      total      |   | $                    | 1,327       |                    | $      | (10,449 | )  |   |
|                         |   |                 |        |                    |   |    |    |   |
|                         |   |  March      31, |        |  December      31, |   |    |
|                         |   |  2008           |        |  2007              |   |    |
| Total      assets            |   |                 |        |                    |   |    |    |   |
| Recreational      vehicles   |   | $                    | 99,754      |                    | $      | 86,816  |    |   |
| Housing                      |   |                 | 70,288      |                    |   | 54,601  |    |   |
| Other      reconciling items |   |                 | 63,052      |                    |   | 66,251  |    |   |
| Consolidated      total      |   | $                    | 233,094     |                    | $      | 207,668 |    |   |

----

Index

|                       |   | March      31, |   | December      31, |   |
|----------------------------|--------|----------------|--------|-------------------|--------|
|                       |   | 2008           |   | 2007              |   |
| Raw      materials         |   |           |   |              |   |   |   |
| Recreational      vehicles |   | $              | 14,606 |              | $      | 11,789 |   |
| Housing                    |   |           | 6,355  |              |   | 5,989 |   |
| Consolidated      total    |   |           | 20,961 |              |   | 17,778 |   |
|                       |   |           |   |              |   |   |   |
| Work      in process       |   |           |   |              |   |   |   |
| Recreational      vehicles |   |           | 13,514 |              |   | 12,913 |   |
| Housing                    |   |           | 4,211  |              |   | 2,941 |   |
| Consolidated      total    |   |           | 17,725 |              |   | 15,854 |   |
|                       |   |           |   |              |   |   |   |
| Improved      lots         |   |           |   |              |   |   |   |
| Housing                    |   |           | 670    |              |   | 645 |   |
| Consolidated      total    |   |           | 670    |              |   | 645 |   |
|                       |   |           |   |              |   |   |   |
| Finished      goods        |   |           |   |              |   |   |   |
| Recreational      vehicles |   |           | 29,714 |              |   | 34,038 |   |
| Housing                    |   |           | 13,185 |              |   | 10,953 |   |
| Consolidated      total    |   |           | 42,899 |              |   | 44,991 |   |
|                       |   |           |   |              |   |   |   |
| Consolidated      total    |   | $              | 82,255 |              | $      | 79,268 |   |

|                                    |   | March      31,2008 |    | December      31,2007 |   |
|-----------------------------------------|--------|--------------------|---------|-----------------------|--------|
|                                    |   |               |    |                  |   |
| Land      and improvements              |   | $                  | 10,823  |                  | $      | 11,452 |   |
| Buildings      and improvements         |   |               | 53,745  |                  |   | 59,765 |   |
| Machinery      and equipment            |   |               | 24,537  |                  |   | 24,429 |   |
| Transportation      equipment           |   |               | 13,957  |                  |   | 14,654 |   |
| Office      furniture and fixtures      |   |               | 17,193  |                  |   | 17,274 |   |
|                                    |   |               |    |                  |   |   |   |
| Total                                   |   |               | 120,255 |                  |   | 127,574 |   |
| Less,      accumulated depreciation     |   |               | 73,024  |                  |   | 74,642 |   |
|                                    |   |               |    |                  |   |   |   |
| Property,      plant and equipment, net |   | $                  | 47,231  |                  | $      | 52,932 |   |

----

Index

|                                                                                                                             |   | March      31,2008 |        | December      31,2007 |   |
|----------------------------------------------------------------------------------------------------------------------------------|--------|--------------------|-------------|-----------------------|--------|
|                                                                                                                             |   |               |        |                  |   |
| Wages,      salaries, bonuses and commissions                                                                                    |   | $                  | 2,585       |                  | $      | 2,432 |   |
| Dealer      incentives, including volume bonuses, dealer trips, interest      reimbursement, co-op advertising and other rebates |   |               | 1,174       |                  |   | 1,577 |   |
| Warranty                                                                                                                         |   |               | 7,277       |                  |   | 8,123 |   |
| Insurance-products      and general liability, workers compensation, group health and      other                                 |   |               | 7,074       |                  |   | 8,519 |   |
| Customer      deposits and unearned revenues                                                                                     |   |               | 2,856       |                  |   | 4,208 |   |
| Litigation                                                                                                                       |   |               | 825         |                  |   | 930 |   |
| Interest                                                                                                                         |   |               | 720         |                  |   | 751 |   |
| Sales      and property taxes                                                                                                    |   |               |  1,964 |                  |   | 1,837 |   |
| Deferred      gain on sale of real estate                                                                                        |   |               | 1,145       |                  |   | 1,145 |   |
| Other      current liabilities                                                                                                   |   |               | 3,058       |                  |   | 3,713 |   |
|                                                                                                                             |   |               |        |                  |   |   |   |
| Total                                                                                                                            |   | $                  | 28,678      |                  | $      | 33,235 |   |

|                                                                                               |   | Three      Months Ended March 31, |   |
|----------------------------------------------------------------------------------------------------|--------|-----------------------------------|--------|
|                                                                                               |   | 2008                              |   | 2007 |   |
|                                                                                               |   |                              |   |   |   |
| Balance      of accrued warranty at beginning of period                                            |   | $                                 | 8,123  |   | $ | 11,099 |   |
| Warranties      issued during the period and changes in liability for pre-existing      warranties |   |                              | 2,976  |   |   | 5,363 |   |
| Settlements      made during the period                                                            |   |                              | (3,822 | ) |   | (6,330 | ) |
|                                                                                               |   |                              |   |   |   |   |   |
| Balance      of accrued warranty at March 31                                                       |   | $                                 | 7,277  |   | $ | 10,132 |   |

|                                                     |   | Three      Months Ended March 31, |   |
|----------------------------------------------------------|--------|-----------------------------------|--------|
|                                                     |   |  2008                        |   |  2007 |   |
|                                                     |   |                              |   |   |   |   |   |
| Net      income (loss)                                   |   | $                                 | 1,327  |   | $ | (10,448 | )  |
| Unrealized      losses on cash flow hedges, net of taxes |   |                              | (22    | ) |   | (4 | ) |
|                                                     |   |                              |   |   |   |   |   |
| Comprehensive      income (loss)                         |   | $                                 | 1,305  |   | $ | (10,452 | )  |

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|                                                              |   | Three      Months Ended March 31, |
|-------------------------------------------------------------------|--------|-----------------------------------|
|                                                              |   | 2008                              |   | 2007 |   |
| Numerator:                                                        |   |                              |   |   |   |   |   |
| Net      income (loss) available to common stockholders           |   | $                                 | 1,327 |   | $ | (10,448 | )  |
| Denominator:                                                      |   |                              |   |   |   |   |   |
| Number      of shares outstanding, end of period:                 |   |                              |   |   |   |   |   |
| Weighted      average number of common shares used in basic EPS   |   |                              | 15,749 |   |   | 15,700 |   |
| Effect      of dilutive securities                                |   |                              |  9 |   |   |  - |   |
| Weighted      average number of common shares used in diluted EPS |   |                              | 15,758 |   |   | 15,700 |   |

8.    INCOME TAXES.

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10.  STOCK-BASED COMPENSATION.

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Coachmen Industries, Inc. and Subsidiaries

|                                         |  Three      Months |    |           |   | Three      Months |    |           | Percentage      Change |
|----------------------------------------------|-------------------------|---------|----------------|--------|-------------------|---------|----------------|------------------------|
|                                         |  Ended             |    | Percentage     |   | Ended             |    | Percentage     |                   |   | 2008 |   |
|                                         |  March      31,    |    | of             |   | March      31,    |    | of             |                   |   | to |   |
|                                         |  2008              |    | Net      Sales |   | 2007              |    | Net      Sales |                   |   | 2007 |   |
| Net      sales:                         |                    |    |           |   |              |    |           |                   |   |   |   |   |   |
| Recreational      vehicles                   |  $                 | 90,479  |           | 74.6   | %            | $  | 104,152        |                   | 80.0 | %  |   | (13.1 | )% |
| Housing                                      |                    | 30,839  |           | 25.4   |              |    | 26,092         |                   | 20.0 |   |   | 18.2 |   |
| Consolidated      total                      |                    | 121,318 |           | 100.0  |              |    | 130,244        |                   | 100.0 |   |   | (6.9 | ) |
|                                         |                    |    |           |   |              |    |           |                   |   |   |   |   |   |
| Gross      profit:                      |                    |    |           |   |              |    |           |                   |   |   |   |   |   |
| Recreational      vehicles                   |                    | 5,192   |           | 4.3    |              |    | (866           | )                      | (0.7 | ) |   | 699.5 |   |
| Housing                                      |                    | 5,671   |           | 4.7    |              |    | 2,293          |                   | 1.8 |   |   | 147.3 |   |
| Consolidated      total                      |                    | 10,863  |           | 9.0    |              |    | 1,427          |                   | 1.1 |   |   | 661.2 |   |
|                                         |                    |    |           |   |              |    |           |                   |   |   |   |   |   |
| Operating      expenses:                |                    |    |           |   |              |    |           |                   |   |   |   |   |   |
| Selling                                 |                    | 4,597   |           | 3.8    |              |    | 5,813          |                   | 4.4 |   |   | (20.9 | )  |
| General      and administrative         |                    | 4,533   |           | 3.7    |              |    | 6,235          |                   | 4.8 |   |   | (27.3 | )  |
| Gain      on sale of assets, net        |                    | (208    | )              | (0.1   | )                 |    | (445           | )                      | (0.3 | ) |   | 53.3 |   |
| Consolidated      total                      |                    | 8,922   |           | 7.4    |              |    | 11,603         |                   | 8.9 |   |   | (23.1 | )  |
|                                         |                    |    |           |   |              |    |           |                   |   |   |   |   |   |
| Nonoperating      expense               |                    | 614     |           | 0.5    |              |    | 273            |                   | 0.2 |   |   | 124.9 |   |
|                                         |                    |    |           |   |              |    |           |                   |   |   |   |   |   |
| Income      (loss) before income taxes  |                    | 1,327   |           | 1.1    |              |    | (10,449        | )                      | (8.0 | ) |   | 112.7 |   |
|                                         |                    |    |           |   |              |    |           |                   |   |   |   |   |   |
| Income      taxes (credit)              |                    | -       |           | -      |              |    | (1             | )                      | - |   |   | 100.0 |   |
|                                         |                    |    |           |   |              |    |           |                   |   |   |   |   |   |
| Net      income (loss)                  |  $                 | 1,327   |           | 1.1    | %                 | $       | (10,448        | )                      | (8.0 | )% |   | 112.7 | % |
|                                         |                    |    |           |   |              |    |           |                   |   |   |   |   |   |
|        n/m - not meaningful             |                    |    |           |   |              |    |           |                   |   |   |   |   |   |

|   |                                    |   | Three      Months |   | Three      Months |   |
|--------|-----------------------------------------|--------|-------------------|--------|-------------------|--------|
|   |                                    |   | Ended             |   | Ended             |   |
|   |                                    |   | March      31,    |   | March      31,    |   |
|   |                                    |   | 2008              |   |  2007        |   |
|   |                                    |   |              |   |              |   |   |   |
|   | Gain      on sale of assets             |   | $                 | (208   | )                 | $      | (445 | ) |
|   |                                    |   |              |   |              |   |   |   |
|   | Legal/Insurance      expense recoveries |   | $                 | (950   | )            | $      | - |   |
|   |                                    |   |              |   |              |   |   |   |

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Note 2

Note8

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| • | the      ability of the management team to achieve desired  results;                                                                                                                                                                                                                   |
|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| • | interest      rates, which affect the affordability of the Company's      products;                                                                                                                                                                                                    |
| • | consumer      confidence and the availability of credit;                                                                                                                                                                                                                               |
| • | the      Company’s ability to utilize manufacturing resources      efficiently;                                                                                                                                                                                                  |
| • | the      Company’s ability to introduce new models that achieve consumer      acceptance;                                                                                                                                                                                        |
| • | the      margins associated with the mix of products the Company sells in a      particular period;                                                                                                                                                                                    |
| • | the      availability of floorplan financing for the Company's recreational vehicle      dealers and corresponding availability of cash to the    Company;                                                                                                                             |
| • | oil      supplies and the availability and price of gasoline and diesel fuel, which      can impact the sale of recreational vehicles;                                                                                                                                                 |
| • | the      Company's dependence on chassis and other suppliers;                                                                                                                                                                                                                          |
| • | potential      liabilities under repurchase agreements and guarantees;                                                                                                                                                                                                                 |
| • | consolidation      of distribution channels in the recreational vehicle    industry;                                                                                                                                                                                                   |
| • | legislation      governing the relationships of the Company with its recreational vehicle      dealers, which may affect the Company’s options and liabilities in the      event of a general economic downturn;                                                                 |
| • | the      price volatility of materials used in production and the ability to pass      on rapidly increasing costs of product components and raw materials to end      buyers;                                                                                                         |
| • | the      availability and cost of real estate for residential    housing;                                                                                                                                                                                                              |
| • | the      increased size and scope of work of military housing projects, and other      major projects, as compared to the Company's traditional single-family      homes business, with increased reliance on third parties for performance      which could impact the Company;  |
| • | the      ability to perform in new market segments or geographic areas where it has      limited experience;                                                                                                                                                                           |
| • | the      impact of performance on the valuation of intangible    assets;                                                                                                                                                                                                               |
| • | the      supply of existing homes within the Company’s markets;                                                                                                                                                                                                                  |
| • | the      impact of home values on housing demand;                                                                                                                                                                                                                                      |
| • | uncertainties      and timing with respect to sales resulting from recovery efforts in the      Gulf Coast;                                                                                                                                                                            |
| • | adverse      weather conditions affecting home deliveries;                                                                                                                                                                                                                             |
| • | changing      government regulations, including those covering accounting      standards;                                                                                                                                                                                              |
| • | environmental      matters or product warranties and recalls, which may affect costs of      operations, revenues, product acceptance and  profitability;                                                                                                                              |
| • | the      state of the recreational vehicle and housing industries in the United      States;                                                                                                                                                                                           |
| • | changes      in property taxes and energy costs;                                                                                                                                                                                                                                       |
| • | changes      in federal income tax laws and federal mortgage financing      programs;                                                                                                                                                                                                  |
| • | competition      in the industries in which the Company operates;                                                                                                                                                                                                                      |
| • | further      developments in the war on terrorism and related international      crises;                                                                                                                                                                                               |
| • | uncertainties      of matters in litigation and other risks and  uncertainties;                                                                                                                                                                                                        |
| • | the      ability of the Company to generate taxable income in future years to      utilize deferred tax assets and net operating loss carryforwards that are      available;                                                                                                           |
| • | the      availability of financing under the Company’s line of    credit;                                                                                                                                                                                                        |
| • | the      Company’s ability to increase gross margins which are critical whether or      not there are increased sales;                                                                                                                                                           |
| • | the      Company’s use of incentives at either the wholesale or retail      level;                                                                                                                                                                                               |
| • | the      impact of sub-prime lending on the availability of credit for the broader      housing market;                                                                                                                                                                                |
| • | the      dependence on key customers within certain product  types;                                                                                                                                                                                                                    |
| • | the      potential fluctuation in the Company’s operating  results;                                                                                                                                                                                                              |
| • | uncertainties      regarding the impact of the disclosed restructuring steps in both the      Recreational Vehicle and HousingSegments.                                                                                                                                                |

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ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKETRISK

ITEM 4. CONTROLS AND PROCEDURES

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Item 6. Exhibits

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SIGNATURES

| Date:      April 30, 2008 | By:    | /s/      Richard M. Lavers                      |
|---------------------------|--------|-------------------------------------------------|
|                      |   | Richard      M. Lavers, Chief Executive Officer |
|                      |   |                                            |
|                      |   |                                            |
|                      |   |                                            |
|                      |   |                                            |
| Date:      April 30, 2008 | By:    | /s/      Colleen A. Zuhl                        |
|                      |   | Colleen      A. Zuhl, Chief Financial Officer   |
|                      |   |                                            |
|                      |   |                                            |
|                      |   |                                            |
|                      |   |                                            |
| Date:      April 30, 2008 | By:    | /s/      Stephen L. Patterson                   |
|                      |   | Stephen      L. Patterson, Corporate Controller |
|                      |   |                                            |

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INDEX TO EXHIBITS

| Number      AssignedIn      RegulationS-K,      Item 601 | Description      of Exhibit                                                                                                                                                                                             |
|----------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|                                                     |                                                                                                                                                                                                                    |
| (3)(a)(i)                                                | Articles      of Incorporation of the Company as amended on May 30, 1995 (incorporated      by reference to Exhibit 3(i) to the Company's Annual Report on Form 10-K      for the fiscal year ended December 31, 1995). |
|                                                     |                                                                                                                                                                                                                    |
| (3)(a)(ii)                                               | Articles      of Amendment to Articles of Incorporation (incorporated by reference to      Exhibit 4.2 to the Company's Form S-3 Registration Statement, File No.      333-14579).                                      |
|                                                     |                                                                                                                                                                                                                    |
| (3)(b)                                                   | By-Laws as modified through August 22,      2007.                                                                                                                                                                       |
|                                                     |                                                                                                                                                                                                                    |
| (10)(a)                                                  | Entry      into a Material Definitive Contract for production of Modular Units for      Ft. Carson (incorporated by reference to the Company’s Form 8-K filed      January 25, 2008).                             |
|                                                     |                                                                                                                                                                                                                    |
| (10)(b)                                                  | 2008      Annual Executive Incentive Compensation Plan (incorporated by reference to      the Company’s Form 8-K filed February 11, 2008).                                                                        |
|                                                     |                                                                                                                                                                                                                    |
| (10)(c)                                                  | Entry into a Material Definitive Agreement with      ARBOC Mobility, LLC to produce ADA compliant low floor accessible      buses.                                                                                 |
|                                                     |                                                                                                                                                                                                                    |
| (31.1)                                                   | Rule 13a-14(a) Certification of Chief Executive      Officer.                                                                                                                                                           |
|                                                     |                                                                                                                                                                                                                    |
| (31.2)                                                   | Rule 13a-14(a) Certification of Chief Financial      Officer.                                                                                                                                                           |
|                                                     |                                                                                                                                                                                                                    |
| (32.1)                                                   | Section 1350 Certification of Chief Executive      Officer.                                                                                                                                                             |
|                                                     |                                                                                                                                                                                                                    |
| (32.2)                                                   | Section 1350 Certification of Chief Financial      Officer.                                                                                                                                                             |

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