FORM 10-Q

               SECURITIES AND EXCHANGE COMMISSION

                     Washington, D.C.  20549

           Quarterly Report Under Section 13 or 15(d)
             of the Securities Exchange Act of 1934


                 For Quarter Ended July 31, 1999
                 Commission file number 2-31520


                               KIT MANUFACTURING COMPANY
     (Exact name of registrant as specified in its charter)




        California                                95-1525261
(State or other jurisdiction of               (I.R.S.Employer
incorporation or organization)              Identification No.)


530 East Wardlow Road, P.O. Box 848, Long Beach,California  90801
    (Address of principal executive offices)           (Zip Code)

Registrant's telephone number, including area code (562)595-7451


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       .

             APPLICABLE ONLY TO CORPORATE ISSUERS:

Indicate the number of shares outstanding of each of the issuer's
classes of common stock, as of the close of the period covered by
this  report.   Common  Stock (no par  value),  1,110,934  shares
outstanding as of July 31, 1999.




                   Index to Exhibits - Page 12

                         1 of 12 Pages
<PAGE>










                            PART I


                     FINANCIAL INFORMATION


















































                              - 2 -
<PAGE>





<TABLE>
                       KIT MANUFACTURING COMPANY
                   CONDENSED STATEMENT OF OPERATIONS
            (Dollars in Thousands Except Per Share Amounts)
                              (Unaudited)
<CAPTION>
                                  Three Months Ended     Nine Months
Ended
                                      July 31,              July 31,
                                   1999       1998         1999
1998

<S>                               <C>       <C>       <C>        <C>
Sales                              $16,411   $15,328   $45,239    $45,979

Costs and expenses:
   Cost of sales                    14,468    13,727    40,234     41,962
   Selling, general and
   administrative expenses           1,650     1,485     4,284      4,097
                                    16,118    15,212    44,518     46,059
Operating income (loss)                293       116       721       (80)

Other
  Interest income                       18        29       117         91
  Interest expense                     (16)      (29)     (101)       (70)
  Equity in loss of retail sales
     partnership                       (13)      -         (42)       -
Income (loss) before income taxes      282       116       695        (59)
Provision (benefit) for income         170        42       311        (38)
taxes
    (Note A)

Net income (loss)                  $   112   $    74   $   384    $   (21)

Net income (loss) per share-
 basic and diluted                 $  0.10   $  0.07   $  0.35    $ (0.02)
    (Note B)

Weighted-average shares           1,110,934  1,110,934  1,110,934  1,110,934
outstanding-
 basic and diluted
(Note B)

Dividends per share                $  -      $  -      $  -       $  -


<FN>
   <F1>The accompanying notes are an integral part of these financial
statements. </FN>
                                  -3-
</TABLE>
<PAGE>














<TABLE>
                       KIT MANUFACTURING COMPANY
                            BALANCE SHEETS
                        (Dollars in thousands)
                              (Unaudited)
<CAPTION>
                                                    July 31    October 31,
                                                     1999         1998

<S>                                         <C>          <C>
ASSETS

   Cash and cash investments                 $  4,268     $  3,230
   Accounts receivable, net                     4,640        4,041
   Inventories:
     Raw materials                              1,785        1,758
     Work in process                              628          685
     Finished goods                               385        2,378
       Total inventories                        2,798        4,821
   Prepaids and income tax refunds              1,191        1,372
    receivable
       Total current assets                    12,897       13,464
   Property, plant and equipment, net           6,676        6,735
   Other assets                                   121          152
      Total assets                           $ 19,694     $ 20,351

LIABILITIES AND SHAREHOLDERS' EQUITY
   Accounts payable                          $  2,407     $  2,688
   Accrued payroll and related items              927        1,587
   Accrued marketing programs                     442          718
   Accrued expenses                             1,289        1,610
   Income taxes payable                           496          -
      Total current liabilities                 5,561        6,603
   Deferred income taxes                        1,480        1,480
      Total liabilities                         7,041        8,083

   Commitments and contingencies

   Shareholders'equity
   Common stock and additional paid-in
    capital,
       Issued and outstanding 1,110,934         1,592        1,592
    shares
   Retained earnings:
       Balance at beginning of period          10,677       11,033
       Net income (loss) for period               384         (357)
       Balance at end of period                11,061       10,676
          Total shareholders' equity           12,653       12,268
   Total liabilities and shareholders'       $ 19,694     $ 20,351
    equity


<FN>
<F1>The accompanying notes are an integral part of these financial
statements.
</FN>
                                  -4-
</TABLE>
<PAGE>






<TABLE>
                       KIT MANUFACTURING COMPANY
                       STATEMENTS OF CASH FLOWS
                        (Dollars in Thousands)
                              (Unaudited)
<CAPTION>

                                               For the nine months ended
                                                         July 31,
                                                       1999      1998
<S>                                             <C>        <C>
Cash flow from operating activities:
   Cash received from customers                  $ 44,641   $ 46,228
   Interest received                                  117         91

   Cash paid to suppliers and employees            43,631     47,662
   Interest paid                                      101         70
   Income taxes received                             (438)    (1,266)

Net cash provided by (used in) operating            1,464       (147)
activities

Cash flow from investing activities:
   Purchase of property, plant and equipment         (476)    (1,126)
   Disposal of property, plant and equipment          103        333
     Changes in other current and non-current         (54)       215
assets
Net cash used in investing activities                (427)      (578)

Cash flow from financing activities:
   Proceeds from line-of-credit borrowings         14,355     12,428
   Principal payments on line-of-credit           (14,355)   (11,042)
borrowings
Net cash provided by financing activities               0      1,386

Net increase in cash                                1,038        661
Cash at beginning of year                           3,230      3,673
Cash at end of period                            $  4,268   $  4,334

Reconciliation of net income (loss) to net cash
Used in operating activities:
Net income (loss)                                $   384    $   (21)

Adjustments to reconcile net income (loss) to
Net cash used in operating activities:
Depreciation                                         444        471
(Increase) decrease in accounts receivable          (599)       249
Decrease (Increase) in inventories                 2,023       (302)
Decrease in accounts payable and accrued          (1,537)    (1,771)
liabilities
Increase in income taxes payable                     749      1,227
Net cash provided by (used in) operating         $ 1,464    $  (147)
activities


<FN>
   <F1>The accompanying notes are an integral part of these financial
statements.
</FN>
                                  -5-
</TABLE>
<PAGE>






                       KIT MANUFACTURING COMPANY
                NOTES TO CONDENSED FINANCIAL STATEMENTS
                              (Unaudited)

Note A -  The provision or benefit for income taxes is calculated using
the Company's estimated annual effective tax rate.

Note B -  Per share amounts are based on the weighted average number of
common shares outstanding.  Options have not been included in the
computations because their effect would not be dilutive.

Note C -  In the opinion of management, all material adjustments which
are necessary for a fair statement of financial position, results of
operations and cash flows have been included in these financial
statements.

Note D -  The results of the period are not necessarily indicative of
annual results due to seasonality of the business.

Note E -  Financial information contained herein is unaudited.

Note F -  The Company is contingently liable to various financial
institutions on repurchase agreements in connection with wholesale
inventory financing.  In general, inventory is repurchased by the
Company upon default by a dealer with a financing institution and then
resold through normal distribution channels.  In addition, the Company
is contingently liable to financial institutions for letters of credit
which were established to satisfy the self-insured workers'
compensation regulations of the states in which the Company conducted
manufacturing operations.

Management does not expect that losses, if any, from the contingencies
described above will be of material importance to the financial
condition or earnings of the Company.

Note G -  The Financial Accounting Standards Board (FASB) has issued
Statement of Financial Accounting Standards (FAS) 131, "Disclosures
about Segments of an Enterprise and Related Information".  Management
does not anticipate that the adoption of this standard will have a
significant effect on earnings or the financial position of the
Company.

Note H - Registrant leases general executive and administrative
offices in Long Beach, California. The lease has been renewed on these
facilities through March 14, 2001. At that time, per the lease
agreement, the lease may be renewed for another two years.











                                -  6 -
     <PAGE>





                       KIT MANUFACTURING COMPANY
      Management's Discussion and Analysis of Financial Condition
                       and Results of Operations

   FINANCIAL CONDITION - JULY 31, 1999 COMPARED TO OCTOBER 31, 1998

Under third quarter market conditions, the Company liquidated its  line
of  credit  through  sales of finished goods.   The  Company's  working
capital  increased $475,000 due to the increase in cash and decline  in
trade payables as result of the liquidation of inventories. The current
ratio  improved to 2.3:1 at July 31, 1999 compared to 2.0:1 at  October
31, 1998. The current ratio is the result of dividing current assets by
current  liabilities.  It  is a financial measure  that  indicates  the
ability  of  a company to pay its current obligations with its  current
assets.

The  Company's  liquidity position as reflected in  the  current  ratio
described  above, capital resources, including excess  plant  capacity,
working  capital,  and  unused line of credit,  are  considered  to  be
adequate to provide for near term cash needs.

RESULTS OF OPERATIONS - QUARTER ENDED JULY 31, 1999 COMPARED TO QUARTER
                         ENDED JULY 31,  1998

Total sales for the quarter ended July 31, 1999 were $16,411,000, a  7%
increase  from sales of $15,328,000 for the same quarter of  the  prior
year.  The increase consisted of a 21% increase in manufactured housing
sales   and   a  3%  decrease  in  recreational  vehicle  (RV)   sales.
Manufactured  housing  sales  increased  due  to  increased   marketing
efforts, more competitive product pricing, and continued offerings of a
wide range of products.  The RV modest sales decline was due to the the
model year changeover.

Cost of sales for the quarter ended July 31, 1999 was $14,468,000, a 5%
increase from $13,727,000 for the same quarter of the prior year, and a
1%  decrease  as a percent of sales . The resulting increase  in  gross
profit  margins compared to the third quarter of fiscal 1998 is chiefly
attributed to the material and labor cost containments associated  with
the   controls  over  recreational  vehicle  and  manufactured  housing
production.

Selling,  general and administrative expenses increased 12% during  the
quarter to $1,663,000 compared to $1,485,000 for the same period of the
prior year. The increase was a result of the increase in sales as these
expenses for the comparable quarters remained at approximately  10%  of
sales.  This was due primarily to the continued controls over marketing
and overhead costs.

Interest income for the current quarter was $18,000 compared to $29,000
in  the  same quarter of the prior year. This was due to a decrease  in
average short-term investments in conjunction with lower average  rates
of  return.  Interest  expense  for the  current  quarter  was  $16,000
compared to $29,000 in the same quarter of the prior year. This  change
was the result of a decrease in average borrowings.

The  net  income for the three months ended July 31, 1999 was $112,000,
or  $0.10  per share, compared to net income of $74,000, or  $0.07  per
share, for the same quarter of the prior year.



                                  -7-
<PAGE>



                    KIT MANUFACTURING COMPANY
   Management's Discussion and Analysis of Financial Condition
                    and Results of Operations

RESULTS  OF  OPERATIONS  - NINE MONTHS ENDED  JULY  31,  1999  COMPARED
TO NINE MONTHS ENDED JULY 31, 1998

Total   sales   for  the  nine  months  ended  July   31,   1999   were
$45,239,000,  a  2%  decrease from sales of $45,979,000  for  the  same
period   of  the  prior  year.  The  decrease  consisted   of   a   21%
increase  in  manufactured  housing  sales  and  an  18%  decrease   in
recreational   vehicle   (RV)   sales.   Manufactured   housing   sales
increased   due  to  increased  marketing  efforts,  more   competitive
product   pricing,  and  continued  offerings  of  a  wide   range   of
products.   RV  sales  decreased due to the continued  shift  to  sales
of   lower  priced  entry  level  products  and  the  closure  of   the
Kansas RV plant in April 1998.

Cost   of  sales  for  the  nine  months  ended  July  31,  1999   were
$40,234,000,  a  4%  decrease  from  $41,962,000  for  the  same   nine
months  of  the  prior  year,  and  a  2%  decrease  as  a  percent  of
sales.  This  was  due primarily to the decline in  sales  volume.  The
resulting  increase  in  gross profit margins  compared  to  the  prior
year   is  chiefly  attributed  to  the  cost  containments  associated
with  the  successful  introduction of  the  Company's  new  RV  models
for the entry level market.

Selling,  general  and  administrative expenses  for  the  nine  months
ended   July   31,  1999  increased  5%  to  $4,284,000   compared   to
$4,097,000  for  the  same period of the prior year,  and  remained  at
approximately   9%   of   sales.  This  was  due   primarily   to   the
continued planned controls in marketing costs and overhead costs.

Interest   income  for  the  nine  months  ended  July  31,  1999   was
$117,000  compared  to  $91,000  for  the  same  nine  months  of   the
prior  year.  Interest  expense for the  nine  months  ended  July  31,
1999  was  $101,000  compared to $70,000 for the  same  period  of  the
prior   year.   This   was  a  result  of  an   increase   in   average
short-term  investments  during  the  current  period  along  with   an
increase in average borrowings.

Net  income  for  the  nine months ended July 31,  1999  was  $384,000,
or  $0.35  per  share,  compared to a net loss  of  $21,000,  or  $0.02
per share, for the same nine months of the prior year.

The   Company  has  instituted  a  program  to  determine  whether  its
computer  information  systems  are  able  to  interpret  dates  beyond
the   year   1999  (the  "Year  2000  Compliance  Program")   and   has
implemented  programming  modifications to  its  main  operational  and
financial  reporting  systems  that  will  address  these  issues.  All
modified   programming   is   currently   operational.   The    Company
believes   that  its  present  computer  information  systems  software
and   hardware   is   Year  2000  compliant  and  intends   to   obtain
certification   of   such   for  any  future  purchases   of   computer
software and hardware.

The  Company  has  evaluated  its non-information  technology  systems,
which   would  include  telephone  equipment,  time-keeping   equipment
and  surveillance  equipment. The Company  has  determined  that  these
systems are Year 2000 compliant.

                               -8-
<PAGE>


The  Company  is  in  the process of contacting  its  major  suppliers,
service  vendors  and  customers regarding  Year  2000  compliance  and
anticipates that
this  phase  of  the  Year 2000 Compliance Program  will  be  completed
in fiscal 1999.

The   total   cost  of  the  Year  2000  Compliance  Program   is   not
expected  to  be  material  to  the  Company's  financial  position  or
results  of  operations.  To  date, the Company  has  spent  less  than
$25,000  on  Year  2000  compliance.  The  Company  believes  that  the
cost  of  ensuring  Year 2000 compliance for its  own  operational  and
financial systems will be less than $50,000.

Although  management  believes the Company  has  an  adequate  plan  to
be   Year  2000  compliant,  there  can  be  no  assurance  that   this
program  will  ultimately  be successful.  The  Company  believes  that
it   has   sufficient   resources  to  implement   new   and   modified
computer  systems  and  programming to address  the  Year  2000  issue,
and,  accordingly,  has  not  to  date  identified  the  need  for  any
contingency   planning.  However,  the  Company's  ongoing   assessment
of   its   financial   and  operations  systems   and   non-information
technology  systems  may  reveal  the  need  for  contingency  planning
in the future.

To   date,   based  on  the  progress  of  the  Year  2000   Compliance
Program,   management  believes  the  Company's  computer   information
systems  will  be  capable  of  interpreting  dates  beyond  the   year
1999  before  fiscal  year end. Also, management  does  not  anticipate
any   Year   2000   problems  within  its  non-information   technology
systems   or   from  its  suppliers,  service  vendors  and   customers
based  on  the  data  gathered during the compliance  program  testwork
completed.

In  the  unlikely  event  that  the Year  2000  Compliance  Program  is
unsuccessful  on  some  level  (hardware or  software),  the  Company's
personal
computer   system  (which  has  been  tested  and  proven   Year   2000
compliant)  can  assume  all of the necessary  duties  to  ensure  that
the  records  and  the  computerized  activitiy  of  the  Company  will
continue unobstructed.




















                               -9-



<PAGE>
                                       PART II

                        OTHER INFORMATION


                           Item 6 (a).

                See Index to Exhibits on page 10.


                           Item 6 (b).

 Form 8-K was not required to be filed during the quarter ended
                         July 31, 1999.



































                             - 10 -
<PAGE>






Pursuant to the requirements of the Securities Exchange Act of

1934, the registrant has duly caused this report to be signed on

its behalf by the undersigned thereunto duly authorized.



                              KIT MANUFACTURING COMPANY
(Registrant)



DATE 7/31/99             /s/ Dan Pocapalia
                         Dan Pocapalia
                         Chairman of the Board,
                         Chief Executive Officer and President
                         (Principal Executive Officer)



DATE 7/31/99             /s/ Bruce K. Skinner
                         Bruce K. Skinner
                         Vice President and Treasurer
                         (Principal Financial and Accounting
                         Officer)

























                              -11 -
<PAGE>









                            KIT MANUFACTURING COMPANY
                                INDEX TO EXHIBITS


Item:

     (27) Financial Data Schedule










































                                - 12 -
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