SECURITIES AND EXCHANGE COMMISSION
                       WASHINGTON, D.C. 20549

                             Form 10-Q/A

(MARK ONE)
   (X) QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
         SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 1999

                                  OR

   ( )  TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
        SECURITIES EXCHANGE ACT OF 1934

For the transition period from __________________to_____________________

Commission file number  1-7160

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

              INDIANA                            35-1101097
  (State or other jurisdiction of             (I.R.S. Employer
   incorporation or organization)          Identification number)

              2831 DEXTER DRIVE, ELKHART, INDIANA 46514
         (Address of principal executive offices) (Zip Code)

Registrant's telephone number, including area code          219-262-0123

Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange
Act of 1934 during the preceding 12 months (or for such shorter period
that the registrant was required to file such reports), and (2) has been
subject to such filing requirements for the past 90 days.  Yes X  No _

Indicate the number of shares outstanding of each of the issuer's
classes of common stock, as of the latest practical date:

    At July 31, 1999:

    Common Shares, without par value 16,682,451 shares outstanding
    including an equivalent number of common share purchase rights.

<PAGE> 1
INTRODUCTORY STATEMENT

Coachmen is filing this Form 10-Q/A for the quarterly period ended
June 30, 1999 to restate the financial information as a result of a change
in the Company's method of accounting for costs associated with its self-
insured group medical plan. The restatement had the effect of decreasing
pretax income by $1,000,000 and net income by $655,000, or $0.04 per
common share (basic and diluted), for the three- and six-month periods
ended June 30, 1999. At June 30, 1999 the restatement increased current
deferred income tax assets by $937,000, increased accrued insurance by
$2,718,000 and decreased retained earnings by $1,781,000. The December 31,
1998 consolidated balance sheet amounts were also restated for the effect
of the change on prior years' financial statements, i.e., an increase in
accrued insurance of $1,718,000, an increase in current deferred tax assets
of $592,000 and a decrease in retained earnings of $1,126,000. See Note 2
of Notes to Condensed Consolidated Financial Statements.

<PAGE> 2
                       COACHMEN INDUSTRIES, INC.
                                INDEX
                                                             Page No.
PART I.  FINANCIAL INFORMATION

    Financial Statements:

       Condensed Consolidated Balance Sheets-
       June 30, 1999 and December 31, 1998....................... 4-5

       Condensed Consolidated Statements of Income-
       Three and Six Months Ended June 30, 1999 and 1998.........  6

       Condensed Consolidated Statements of Cash Flows-
       Six Months Ended June 30, 1999 and 1998...................  7

       Notes to Condensed Consolidated Financial Statements...... 8-10

    Management's Discussion and Analysis of Financial
    Condition and Results of Operations..........................11-16

PART II.  OTHER INFORMATION

    Item 4.  Submission of Matters to a Vote of Security Holders.  17
    Item 6.  Exhibits and Reports on Form 8-K....................  17

SIGNATURES.......................................................  18

This Form 10-Q contains certain statements that are "forward-
looking" statements within the meaning of Section 27A of the Securities
Act of 1933 and Section 21E of the Securities Exchange Act of 1934, as
amended.  These forward looking statements involve risks and
uncertainties, and are dependent on factors which may include, but are
not limited to, the availability of gasoline, which can impact sales of
recreational vehicles; availability of chassis, which are used in the
production of many of the Company's recreational vehicle products;
interest rates, which affect the affordability of the Company's
products; government laws and regulations, particularly related to
safety, distribution and franchising, which may affect the way
business is conducted; and also on the state of the recreational vehicle
and modular housing industries in the United States.  Other factors
affecting forward-looking statements include competition in these
industries and the Company's ability to maintain or increase gross
margins which are critical to profitability whether there are or are
not increased sales; and the Company's ability to implement its new
enterprise-wide software or make its software and equipment year 2000
compliant.
At times, the Company's actual performance differs materially from its
projections and estimates regarding the economy, the recreational
vehicle and housing industries and other key performance indicators.
Readers of this Report are cautioned that reliance on any forward-
looking statements involves risks and uncertainties.  Although the
Company believes that the assumptions on which the forward-looking
statements contained herein are reasonable, any of those assumptions
could prove to be inaccurate given the inherent uncertainties as to the
occurrence or nonoccurrence of future events.  There can be no assurance
that the forward-looking statements contained in this Report will prove
to be accurate.  The inclusion of a forward-looking statement herein
should not be regarded as a representation by the Company that the
Company's objectives will be achieved.

<PAGE> 3

                      COACHMEN INDUSTRIES, INC.
                CONDENSED CONSOLIDATED BALANCE SHEETS
                           (in thousands)
                                               JUNE 30,    DECEMBER 31,

                                                 1999          1998
                                              (Restated)    (Restated)
ASSETS
CURRENT ASSETS
  Cash and temporary cash investments         $ 22,975      $ 23,009
  Marketable securities                         32,787        31,279
  Trade receivables, less allowance for
   doubtful receivables 1999 - $1,163
   and 1998 - $768                              37,393        27,585
  Other receivables                              1,797         1,838
  Refundable income taxes                          857         3,741
  Inventories                                  107,451        93,350
  Prepaid expenses and other                     2,379         1,341
  Deferred income taxes                          4,205         3,860

    Total current assets                       209,844       186,003

PROPERTY AND EQUIPMENT, at cost
  Land and improvements                         11,509        11,017
  Buildings and improvements                    57,297        53,761
  Machinery and equipment                       21,963        19,713
  Transportation equipment                      12,094        11,176
  Office furniture and fixtures                 12,638         8,850

                                               115,501       104,517

  Less, Accumulated depreciation                43,425        41,445

    Net property and equipment                  72,076        63,072

OTHER ASSETS
  Real estate held for sale                      2,622         2,622
  Rental properties                              1,344         1,372
  Intangibles, less accumulated amortization
   1999 - $580 and 1998 - $517                   4,490         4,553
  Deferred income taxes                            579           579
  Other                                         11,556        10,867

     Total other assets                         20,601        19,993

TOTAL ASSETS                                  $302,521      $269,068

The accompanying notes are part of the condensed consolidated
financial statements.

<PAGE> 4
                      COACHMEN INDUSTRIES, INC.
            CONDENSED CONSOLIDATED BALANCE SHEETS (CONT'D)
                          (in thousands)
                                               JUNE 30,    DECEMBER 31,
                                                 1999          1998
                                              (Restated)    (Restated)
LIABILITIES AND SHAREHOLDERS' EQUITY
CURRENT LIABILITIES
  Current maturities of long-term debt        $  1,825      $  2,125
  Accounts payable, trade                       38,482        18,997
  Accrued wages, salaries and commissions        5,220         4,358
  Accrued dealer incentives                      2,471         3,784
  Accrued warranty expense                       6,227         6,138
  Accrued income taxes                             881         1,509
  Accrued insurance                              3,743         3,581
  Other liabilities                              8,505         6,944

    Total current liabilities                   67,084        47,436

LONG-TERM DEBT                                   8,966        10,191

OTHER                                            6,568         7,109

    Total liabilities                           82,618        64,736

SHAREHOLDERS' EQUITY
  Common shares, without par value: authorized
   60,000 shares; issued 1999 - 20,931
   shares and 1998 - 20,843 shares              90,009        89,105
  Additional paid-in capital                     3,935         3,867
  Retained earnings                            159,057       144,488
  Treasury shares, at cost, 1999 - 4,254
   shares and 1998 - 4,258 shares              (33,098)      (33,128)

    Total shareholders' equity                 219,903       204,332

TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY    $302,521      $269,068

The accompanying notes are part of the condensed consolidated
financial statements.

<PAGE> 5
                      COACHMEN INDUSTRIES, INC.
             CONDENSED CONSOLIDATED STATEMENTS OF INCOME
                (in thousands, except per share data)

                                    THREE MONTHS         SIX MONTHS
                                    ENDED JUNE 30,      ENDED JUNE 30,
                                   1999      1998      1999      1998
                                (Restated)          (Restated)

Net sales                        $203,199  $201,069  $414,224  $376,707

Cost of goods sold                175,191   170,874   358,643   323,136

    Gross profit                   28,008    30,195    55,281    53,571

Operating expenses:
  Selling and delivery              9,721     8,823    19,841    17,890
  General and administrative        7,032     8,035    14,004    14,810

    Total operating expenses       16,753    16,858    33,845    32,700

    Operating income               11,255    13,337    21,736    20,871

Nonoperating income (expense):
  Interest expense                   (543)     (338)     (977)     (803)
  Investment income                   937     1,305     1,284     2,433
  Gain (loss) on sale of
     properties, net                1,392       (49)    1,395       (44)
  Other income, net                   717        61     1,049       935

    Total nonoperating income       2,503       979     2,751     2,521

    Income before income taxes     13,758    14,316    24,487    23,392

Income taxes                        4,744     4,993     8,256     7,770

    Net income                   $  9,014  $  9,323  $ 16,231  $ 15,622

Earnings per common share:
    Basic                        $    .54  $    .54  $    .98  $    .90
    Diluted                      $    .54  $    .53  $    .97  $    .89

Number of common shares used in
 the computation of earnings
 per share:
    Basic                          16,665    17,401    16,645    17,370
    Diluted                        16,744    17,568    16,711    17,536

Cash dividends per common share  $    .05  $    .05  $    .10  $    .10

The accompanying notes are part of the condensed consolidated
financial statements.

<PAGE> 6
                      COACHMEN INDUSTRIES, INC.
           CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
                         (in thousands)
                                                     SIX MONTHS
                                                   ENDED JUNE 30,
                                                 1999          1998

CASH FLOWS FROM OPERATING ACTIVITIES
  Net cash provided by operating activities    $ 16,402      $ 13,752

CASH FLOWS FROM INVESTING ACTIVITIES
  Proceeds from:
   Sale of marketable securities                 91,322        68,129
   Sale of properties                             1,872         1,650
  Acquisitions of:
   Marketable securities                        (93,860)      (73,622)
   Property and equipment                       (13,296)      (10,679)
   Businesses                                         -        (9,002)
   Other                                           (549)          343

    Net cash (used in) investing activities     (14,511)      (23,181)

CASH FLOWS FROM FINANCING ACTIVITIES
  Payments of long-term debt                     (1,525)       (1,925)
  Issuance of common shares under stock
   option and stock purchase plans                  904         1,201
  Tax benefit from stock options exercised          358           687
  Cash dividends paid                            (1,662)       (1,737)

    Net cash (used in) financing activities      (1,925)       (1,774)

Decrease in cash and temporary
    cash investments                                (34)      (11,203)

CASH AND TEMPORARY CASH INVESTMENTS
  Beginning of period                            23,009        71,428
  End of period                                $ 22,975      $ 60,225

Noncash investing and financing
 activities:
  Liabilities assumed in acquisitions
   of businesses                                $     -      $    795

The accompanying notes are part of the condensed consolidated
financial statements.

<PAGE> 7
                   COACHMEN INDUSTRIES, INC.
         NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

1.  The consolidated balance sheet data at December 31, 1998 was
    derived from audited financial statements, but does not include all
    disclosures required by generally accepted accounting principles.

2.  In the fourth quarter of 1999, the Company changed its method of
    accounting for costs associated with its self-insured group medical
    plan. Previously, the Company accounted for costs associated with its
    self-insured group medical plan on a "pay-as-you-go" basis and
    capitalized advances to the medical trust when additional Company
    contributions were required to fund claims in excess of expected
    levels. This accounting method was not in accordance with generally
    accepted accounting principles ("GAAP"), although the variance from
    GAAP was not material to the Company's consolidated financial
    statements. With the issuance of Securities and Exchange Commission's
    Staff Accounting Bulletin No. 99 on materiality, the Company elected
    to change its accounting method to conform with GAAP. In connection
    with this accounting change, the Company restated retained earnings
    as of January 1, 1998, and the effect of the adjustment was to decrease
    retained earnings by $1,126,000. The restatement had no significant
    effect on previously reported results of operations or cash flows for
    the year ended December 31, 1998, since the unrecorded accrual for
    incurred but not reported claims and the amount advanced to the medical
    trust had remained relatively constant in 1998. The accounting change
    also results in a restatement of the Company's second quarter
    consolidated financial statements to expense a $1,000,000 contribution
    to the medical trust in the second quarter which was capitalized under
    the previous accounting method. The effect of the restatement for the
    three- and six-month periods ended June 30, 1999 was to recognize
    $1,000,000 of insurance expense (increase cost of goods sold $700,000,
    increase selling and delivery expense $200,000 and increase general and
    administrative expense $100,000), decrease income taxes by $345,000 and
    decrease net income by $655,000. The following summarizes the impact
    of the restatement on the assets, liabilities and shareholders' equity
    at June 30, 1999 and on the results of operations for the three- and
    six-month ended June 30, 1999:

                                          June 30, 1999
    Balance sheet                    As reported    As restated

    Current deferred income
     tax asset                        $  3,268       $  4,205
    Total current assets               208,907        207,907
    Total assets                       301,584        302,521
    Accrued insurance                      755          3,473
    Total current liabilities           64,366         67,084
    Total liabilities                   79,900         82,618
    Retained earnings                  160,838        159,057
    Total shareholders' equity         221,684        219,903
    Total liabilities and
     shareholders' equity              301,584        302,521

<PAGE>8
                             Three months ended       Six months ended
                               June 30, 1999            June 30, 1999

    Income statement      As reported As restated  As reported As restated

    Cost of goods sold      $174,491    $175,191     $357,943    $358,643
    Gross profit              28,708      28,008       56,281      55,281
    Selling and delivery       9,521       9,721       19,641      19,841
    General and
     administrative            6,932       7,032       13,904      14,004
    Total operating
     expenses                 16,453      16,753       33,545      33,845
    Operating income          12,255      11,255       22,736      21,736
    Income before
     income taxes             14,758      13,758       25,487      24,487
    Income taxes               5,089       4,744        8,601       8,256
    Net income                 9,669       9,014       16,886      16,231
    Basic EPS                    .58         .54         1.01         .98
    Diluted EPS                  .58         .54         1.01         .97

3.  In the opinion of management, the information furnished herein
    includes all adjustments of a normal and recurring nature necessary
    to reflect a fair statement of the interim periods reported.  The
    results of operations for the three and six months ended June 30,
    1999 are not necessarily indicative of the results to be expected
    for the full year.

4.  Inventories consist of the following (in thousands):

                                   June 30,            December 31,
                                     1999                  1998

    Raw material                  $ 39,937              $ 29,692
    Work-in-process                 21,471                11,512
    Finished goods                  46,043                52,146

    Total                         $107,451              $ 93,350

5.  The Company was contingently liable at June 30, 1999 to banks
    and other financial institutions on repurchase agreements in
    connection with financing provided by such institutions to most of
    the Company's independent dealers in connection with their purchase
    of the Company's recreational vehicle products.  These agreements
    provide for the Company to repurchase its products from the
    financing institution in the event that they have repossessed them
    upon a dealer's default.  The risk of loss resulting from these
    agreements is spread over the Company's numerous dealers and is
    further reduced by the resale value of the products repurchased.
    The Company is involved in various legal proceedings which are
    ordinary litigations incidental to the industry and which are
    covered in whole or in part by insurance. Management believes that
    any liability which may result from these proceedings will not be
    significant.

<PAGE> 9
6.  In 1998, the Company adopted SFAS No. 131, "Disclosures about
    Segments of an Enterprise and Related Information." The Company
    has determined that its reportable segments are those that are based
    on the Company's method of internal reporting, which disaggregates
    its business by product category. The Company's two reportable
    segments are: Vehicles (recreational, vans and specialized),
    including related parts and supplies, and Housing (modular). The
    Company evaluates the performance of its segments and allocates
    resources to them based on pretax income. Differences between
    reported segment amounts and corresponding consolidated totals
    represent corporate expenses for administrative functions and costs
    or expenses relating to property and equipment that are not
    allocated to segments.

    The table below presents information about segments used by the
    Chief operating decision maker of the Company for the six months
    ended June 30, 1999 and 1998 (in thousands):

                                      1999            1998
                                   (Restated)      (Restated)
         Net sales:
           Vehicles                $342,851         $317,955
           Housing                   71,373           58,752

             Consolidated total    $414,224         $376,707

         Pretax income:
           Vehicles                $ 16,080         $ 18,209
           Housing                    7,482            4,230
           Other reconciling items      925              953

             Consolidated total    $ 24,487         $ 23,392

         Total assets:
           Vehicles                $171,557         $135,675
           Housing                   41,902           38,398
           Other reconciling items   89,061          103,221

             Consolidated total    $302,521         $277,294

7.  Change in Accounting Principle

    Effective January 1, 1999, the Company adopted SOP 98-1, Accounting
    for Costs of Computer Software.  For years beginning after December
    15, 1998, SOP 98-1 requires internal and external costs incurred to
    develop internal-use computer software during the application
    development stage  to be capitalized and amortized over the
    software's useful life.  During the quarter and six months ended
    June 30, 1999, the Company capitalized $881,000 and $1,663,000,
    respectively, of internal costs which previously would have been
    expensed under generally accepted accounting principles.  These
    capitalized internal costs are related to the Company's new
    enterprise computer system which is currently being implemented.
    The effect of this change in accounting principle for the quarter
    and six months ended June 30, 1999 was to increase net income by
    approximately $577,000 and $1,103,000, respectively, or $.03 per
    share (basic and diluted) for the quarter and $.07 per share (basic
    and diluted) for the six months.

<PAGE> 10
                      COACHMEN INDUSTRIES, INC.
                 MANAGEMENT'S DISCUSSION AND ANALYSIS
           OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

The following is management's discussion and analysis of certain
significant factors which have affected the Company's financial
condition, results of operations and cash flows during the periods
included in the accompanying condensed consolidated financial
statements.

A summary of the changes in the principal items included in the
condensed consolidated statements of income is shown below.

                                             Comparison of
                                  Three Months          Six Months
                                    Ended June 30, 1999 and 1998
                                           ($ in thousands)
                                         Increases (Decreases)
                                     (Restated)         (Restated)

Net sales                        $ 2,130    1.1%      $37,517    10.0%

Cost of goods sold                 4,317    2.5        35,507    11.0

Selling and
     delivery expenses               898   10.2         1,951    10.9

General and
     administrative expenses      (1,003) (12.5)         (806)   (5.4)

Interest expense                     205   60.7           174    21.7

Investment income                   (368) (28.2)       (1,149)  (47.2)

Gain (loss) on sale of
     properties, net               1,441     *          1,439      *

Other income, net                    656     *            114    12.2

Income before income taxes          (558)  (3.9)        1,095     4.7

Income taxes                        (249)  (5.0)          486     6.3

Net income                          (309)  (3.3)          609     3.9


* Not meaningful

<PAGE> 11
NET SALES

Consolidated net sales for the quarter ended June 30, 1999 were
$203.2 million, an increase of 1.1% over the $201.1 million reported for
the corresponding quarter last year.  Net sales for the six months were
$414.2 million, representing an increase of 10% over the $376.7 million
reported for the same period in 1998. The Company's vehicle segment
experienced a net sales decrease of 7.1% for the quarter and a sales
increase of 5.0% for the six months. The sales decrease for the quarter
is principally due to problems with the implementation of a new
enterprise-wide software system in several of the Company's operations,
including the largest. This software implementation, together with
unrelated supplier problems, delayed the Company's ability to complete
and ship a significant number of vehicles which is reflected in the
significant amount of work-in-process inventories at June 30, 1999. The
increase in net sales for the six months is attributed to the overall
increases in the recreational vehicle market. The Company's housing
segment had a net sales increase for the 1999 quarter of 19.7% and 21.5%
for the six months with growing demand for the Company's modular housing
products and also as the result of increased capacity.

COST OF GOODS SOLD

Cost of goods sold increased 2.5% or $4.3 million for the three months
and 11.0% or $35.5 million for the six months ended June 30, 1999.  The
increase for both periods is higher than the increase in net sales. As a
percentage of net sales, cost of goods sold increased 1.2% and .8% for
the quarter and six months, respectively, from the comparable prior year
periods.  While the housing segment experienced a decrease in the
percentage of cost of goods sold to net sales, the overall percentage
increases are attributable to the RV segment. These percentages reflect
the impact of the software implementation and material shortage
problems, as well as, the costs associated with the start-up of a new
Class A production facility in Indiana.

OPERATING EXPENSES

As a percentage of net sales, operating expenses, which include selling,
delivery, general and administrative expenses, were 8.2% for both the
1999 quarter and six months and 8.4% for the 1998 quarter and 8.7% for
the 1998 six months. Selling and delivery expenses, as a percentage of
net sales, increased by .4% for the quarter and by .1% for the 1999
six months. The increase for the quarter is primarily due to an
overall increase in dealer trip incentives, as well as increased dealer
volume sales incentives attributable to significantly increased sales in
the housing group. General and administrative expenses were 3.5% of net
sales for the second quarter compared to 4.0% for the 1998 corresponding
quarter and 3.4% of net sales for the six-month period compared to 3.9%
for 1998.  These decreases in both the quarter and six-month periods
reflect the capitalization of compensation and related costs with the
implementation the new enterprise-wide software system. (see Note 6 of
Notes to Consolidated Financial Statements regarding Change in
Accounting Principle).

INTEREST EXPENSE

Interest expense was $543,000 and $977,000 for the three and six-month
periods in 1999 compared to $338,000 and $803,000 in the same periods
last year. Interest expense varies with the amount of long-term debt and
the increase in cash surrender value for the Company's investment in
life insurance contracts.  These life insurance contracts were purchased

<PAGE> 12
to fund obligations under deferred compensation agreements with
executives and other key employees.  The interest costs associated with
deferred compensation obligations and with the borrowings against the
cash value of the insurance policies are partially offset by the
increases in cash surrender values.

INVESTMENT INCOME

Investment income decreased $368,000 and $1,149,000 respectively, for
the 1999 three and six-month periods. This decrease in investment income
is principally due to the reduction in interest income as the result of
less funds being invested in the 1999 periods.

GAIN (LOSS) ON THE SALE OF PROPERTIES, NET

There was a net gain on the sale of properties for the second quarter of
1999 of $1,392,000 compared with a loss of $49,000 in the same quarter
of 1998.  The net gain (loss) on the sale of properties for the first
six months was $1,395,000 and $(44,000) for 1999 and 1998, respectively.
The gain for the 1999 periods was substantially due to the sale of real
estate in Indiana, including the corporate administrative building.
Assets are continually analyzed and every effort is made to sell or
dispose of properties that are determined to be unproductive.

OTHER INCOME, NET

Other income, net, represents income of $717,000 for the second quarter
and $1,049,000 for the six months compared to income of $61,000 and
$935,000 for the 1998 second quarter and six months, respectively. The
most significant item of income for the quarter was from the sale of a
Company-owned dealership in the state of Georgia. The larger amount in
the 1998 six-month period is principally attributed to the receipt of
nontaxable income realized from corporate owned life insurance proceeds.

INCOME TAXES

For the second quarter ended June 30, 1999, the effective tax rate was
34.5% and a year-to-date rate of 33.7% compared with a 1998 second
quarter and year-to-date effective tax rate of 34.9% and 33.2%,
respectively. The Company's effective tax rate fluctuates based upon the
states where sales occur, with the level of export sales and also with
the level of nontaxable income recognized from investing activities.

LIQUIDITY AND CAPITAL RESOURCES

The Company generally relies on funds from operations as its primary
source of liquidity.  In addition, the Company maintains an unsecured
committed line of credit, which totaled $30 million at June 30, 1999, to
meet its seasonal working capital needs.  At June 30, 1999, there were
no borrowings against this line of credit. For the six months ended June
30, 1999, the major source of cash was from operating activities. The
significant items in operating activities were net income, depreciation
and an increase in trade accounts payable. The positive cash flow from
these items was partially offset by increases in trade receivables
and inventories. Investing activities reflected a net cash use of $14.5
million. The principal use of cash in investing activities was the
acquisition of property and equipment, including the acquisition of a
new corporate administration facility in Indiana, a new addition and
remodeling costs at an RV manufacturing facility in Georgia and the
acquisition of machinery and equipment for the Company's parts & supply
group. Software and additional hardware requirements in connection with

<PAGE> 13
the Company's implementation of a new enterprise-wide computer system
were also significant uses of cash for investing activities. The
negative cash flow from financing activities was primarily for cash
dividends and repayment of long-term debt.

At June 30, 1999, working capital increased to $142.8 million from
$121.3 million at December 31, 1998. The $23.8 million increase in
current assets at June 30, 1999 versus December 31, 1998, was primarily
due to increased trade receivables and inventories. The $19.6 million
increase in current liabilities was substantially due to increased trade
accounts payable. The increases in trade receivables, inventories and
trade accounts payable are directly related to the increased sales
activity and in part are attributable to the implementation of the new
enterprise-wide software system.

Year 2000

The Year 2000 issue relates to the way computer systems, software and
some equipment define calendar dates; they could fail or make
miscalculations due to interpreting a date including "00" to mean 1900,
not 2000.  In 1997, the Company determined that certain of its computer
software was originally programmed using two digits rather than four to
define the applicable year.  As a result, this software could have been
unable to process transactions beyond December 31, 1999. If correction
or replacement of the software was not completed in a timely manner, the
Year 2000 issue could have a material impact on the Company's operations
and could result in an interruption in, or failure of, certain normal
business activities or operations.

The assessment phase of the Company's software, systems and equipment
began in 1997.  It was initially determined that the systems most likely
to be affected by the Year 2000 issue were the general accounting
systems and payroll.   To remedy the Year 2000 issue with regard to
these areas, the Company began devoting significant resources to replace
the affected software with a new enterprise computer system.  It was
decided that this enterprise computer system should also be implemented
for the manufacturing processes.  The implementation of the general
accounting systems and payroll is complete as of June, 1999.  As of
this date, the implementation status for manufacturing processes is
estimated to be approximately 90% complete for the vehicle segment and
approximately 80% complete for the housing segment. Full testing and
implementation of the new computer system for all divisions of the
Company is occurring on an ongoing basis throughout 1999 and is expected
to be complete in adequate time to enable proper processing of
transactions throughout the Company before January 1, 2000.

The Company also initiated a senior management focus team in 1998 to
identify and review other possible business system failures that could
occur and to assess the need for contingency plans.  The focus team is
in the process of determining if the Company's equipment with embedded
systems is Year 2000 compliant.  The focus team does not believe the
Company's equipment is, for the most part, calendar-date sensitive.
Nonetheless, it has initiated an inventory of all such equipment,
including telecommunications equipment and facilities.  Those business
systems considered most critical to continued operations are being given
the highest priority.

The Company believes the key risk factors associated with Year 2000 are
those from outside the Company that it cannot directly control, such as
the readiness of its key material suppliers, dealers, customers,
financial institutions and public infrastructure suppliers. The Company

<PAGE> 14
relies on third parties to provide goods and services necessary for the
manufacture and distribution of its products.  The focus team is in the
process of identifying and communicating with third-party suppliers
about the status of their compliance with Year 2000. As of June 30,
1999, the Company has received responses from approximately 85% of its
critical component third-party suppliers and has received responses from
approximately 60% of its non-critical component suppliers.  The Company
is currently determining the status of their readiness by analyzing
these responses. The Company sells its products to numerous independent
dealers. Management believes the risk associated with Year 2000
compliance by the dealers is minimized since the risk is spread among
the dealers.  Due to the uncertainty of the Year 2000 readiness of the
remaining critical and non-critical third parties, the Company is
currently unable to determine whether the consequences of Year 2000
failures of third parties will have a material impact on the Company's
operations.  While the Company is working diligently to obtain assurance
from its mission critical third parties that they will be compliant,
there can be no assurance that the systems of any third party on which
the Company's operations rely will be timely compliant.  Nevertheless,
the Company does not anticipate a material impact on its operations from
direct interfaces with third parties. The focus team is in the process
of assessing the risk and the need to develop contingency plans to
address potential disruptions that could be caused by third parties.
The Company believes the worst case scenario for Year 2000 issues would
be the disruption or unavailability of utility services.  This could
hinder or stop the performance of normal business functions, such as
manufacturing and selling, and might disrupt retail demand. However, due
to the multiple business locations of the Company, its manufacturing
facilities, and its owned and independent retail outlets, normal
business functions could continue at those locations where utility
disruptions or unavailability did not occur. If they do occur, it is
expected they will be temporary, and some utility services may be
available from remote locations, as through electric grids.  The focus
team is in the process of determining whether a contingency plan is
feasible to mitigate worst case disruptions.

The worst case scenario could include halting of production due to the
inability of a single source supplier to deliver a critical product or
component.  The Company is implementing a contingency plan to identify
replacement suppliers if a key supplier is unable to adequately assure
the Company that it will be compliant, and to closely monitor inventory
levels of critical components.  The largest exposure appears to be the
Company's interface with chassis manufacturers for order processing.
The Company believes these order processing systems to be Year 2000
compliant based on statements from representatives of the companies
involved.  The chassis suppliers have also advised the Company that the
chassis are Year 2000 compliant.

Based on a review of its products by segment, vehicles and housing, the
Company has determined that the products it has sold and will continue
to sell should not require remediation to be Year 2000 compliant.
Accordingly, the Company does not believe that the Year 2000 presents a
material exposure as it relates to the Company's products.

The objective of the Company and each of its operating subsidiaries is
to have all of their significant business systems, including those that
affect facilities and manufacturing activities, functioning properly
with respect to Year 2000, before January 1, 2000. The total cost is
currently estimated to be in excess of $7.5 million, of which
approximately $6.9 million has been incurred as of June 30, 1999.
Of the amount incurred, $1.1 million has been expensed and $5.8 million

<PAGE> 15
has been capitalized for new systems and equipment.  All costs are being
funded through operating cash flows.  These costs do not include any
costs associated with the implementation of contingency plans. If
determined to be feasible, the Company intends to create its contingency
plans by September 1999.

<PAGE> 16
                    PART II. OTHER INFORMATION

Item 4.  Submission of Matters to a Vote of Security Holders

     a)  The annual meeting of the shareholders of Coachmen Industries,
         Inc. was held on April 29, 1999.

     b)  The following nominees were elected Directors for a one-year
         term:

            Claire C. Skinner
            Thomas H. Corson
            Keith D. Corson
            Fredrick M. Miller
            William P. Johnson
            Philip G. Lux
            Edwin W. Miller
            Robert J. Deputy

     c)  The tabulation of votes for each Director nominee was as
         follows:

                                           For         Withheld
         Election of Directors:
            Claire C. Skinner          15,973,203       218,568
            Thomas H. Corson           15,970,660       221,111
            Keith D. Corson            15,973,824       217,947
            Fredrick M. Miller         15,969,128       222,643
            William P. Johnson         15,975,081       216,690
            Philip G. Lux              15,965,527       226,244
            Edwin W. Miller            15,973,481       218,290
            Robert J. Deputy           15,969,128       222,643


Item 6.  Exhibits and Reports on Form 8-K

     (a)  Exhibits

             Exhibit 27 - Restated Financial Data Schedule

     (b)  Reports on Form 8-K

             None

<PAGE> 17
                              SIGNATURES

Pursuant to the requirements of the Securities and Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by
the undersigned thereunto duly authorized.




                                       COACHMEN INDUSTRIES, INC.
                                             (Registrant)




Date: March 30, 2000                   /s/ CLAIRE C. SKINNER
                                   _______________________________
                                   Claire C. Skinner, Chairman of
                                    The Board & Chief Executive Officer





Date: March 30, 2000                   /s/ WILLIAM M. ANGELO
                                   _______________________________
                                   William M. Angelo, Vice President
                                    & Chief Accounting Officer

<PAGE> 18