AMENDMENT NO. 3 TO THE WILLIAM D. GEHL/GEHL COMPANY
                    AMENDED AND RESTATED EMPLOYMENT AGREEMENT
                          DATED AS OF DECEMBER 19, 1997

          THIS AMENDMENT to the Amended and Restated Employment Agreement, dated
as of December 19, 1997, as amended on December 18, 1998 and April 19, 2000 (as
so amended, the "Employment Agreement"), by and between Gehl Company ("GEHL"), a
Wisconsin corporation with its principal place of business in West Bend,
Wisconsin, and William D. Gehl ("Executive"), is made as of June 13, 2001.


                                    RECITALS

          WHEREAS, GEHL and Executive have previously entered into the
Employment Agreement and wish to enter into this Amendment to amend the
Employment Agreement as provided herein.

          NOW, THEREFORE, in consideration of the mutual promises and agreements
set forth herein, the parties agree as follows:

          Section 2 of the Employment Agreement shall be deleted in its entirety
and replaced with the following:

          Executive's "term of employment," as this phrase is used
          throughout this Agreement, shall be for a period commencing
          on January 1, 1999 and ending on June 13, 2004 unless
          Executive's employment is terminated earlier with the
          consequences described herein in which event the term of
          employment shall extend through the date of such
          termination.

          Section 5 of the Employment Agreement shall be revised by adding the
following new paragraph after subsection (e) and prior to the paragraph
beginning "In addition":

          Executive shall also receive, at the expense of GEHL,
          outplacement services, on an individualized basis at a level
          of service commensurate with Executive's most senior status
          with GEHL during the 180-day period prior to the date of the
          Change in Control, provided by a nationally recognized
          senior executive placement firm selected by GEHL with the
          consent of Executive, provided that the cost to GEHL of such
          services shall not exceed 20% of Executive's Current Base
          Salary. In the alternative, Executive, at his election, may
          choose to receive the net amount of these services, up to a
          maximum of $15,000, to be paid as a lump sum within 30 days
          of the Termination Date as outlined above.
<PAGE>

          Section 5 of the Employment Agreement shall be further revised by
adding the following new subsection (vii) to the definition (the "Definition")
of "Good Reason":

          (vii) Any voluntary termination of employment by Executive
          for any reason where the notice of termination is delivered
          by Executive to GEHL at any time within ninety (90) days
          following the six-month anniversary of the Change in
          Control.

          Section 5 of the Employment Agreement shall be further revised by
deleting the word "or" from the end of subsection (v) to the Definition and by
deleting the period (".") from the end of subsection (vi) to the Definition and
replacing it with a semicolon followed by the word "or" ("; or").

          The following new Section 18 shall be added to the Employment
Agreement:

          Section 18. Expenses and Interest. If (i) a dispute arises
          with respect to the enforcement of Executive's rights under
          this Agreement, (ii) any legal or arbitration proceeding
          shall be brought to enforce or interpret any provision
          contained herein or to recover damages for breach hereof, or
          (iii) any tax audit or proceeding is commenced that is
          attributable in part to the application of Section 4999 of
          the Code, in any case so long as Executive is not acting in
          bad faith, then GEHL shall reimburse Executive for any
          reasonable attorney's fees and necessary costs and
          disbursements incurred as a result of such dispute, legal or
          arbitration proceeding or tax audit or proceeding
          ("Expenses"), and prejudgment interest on any money judgment
          or arbitration award obtained by Executive calculated at the
          rate of interest announced by M&I Bank, Milwaukee,
          Wisconsin, from time to time as its prime or base lending
          rate from the date that payments to Executive should have
          been made under this Agreement. Within ten days after
          Executive's written request therefor, GEHL shall pay to
          Executive, or such person or entity as Executive may
          designate in writing to GEHL, Executive's reasonable
          Expenses in advance of the final disposition or conclusion
          of any such dispute, legal or arbitration proceeding.

          IN WITNESS WHEREOF, GEHL has caused this Amendment to be executed by
its duly authorized officer, and Executive has hereunto set his hand, all as of
the date set forth above.

GEHL COMPANY                              EXECUTIVE

By: /s/ Fred M. Butler                    /s/ William D. Gehl
   -----------------------------------    -----------------------------------
Name:        Fred M. Butler               William D. Gehl
     ---------------------------------
Title:       Director
      --------------------------------



                                       2