|   |
|--------|
|   |

| x       | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934For the quarterly period ended March 31, 2011.                                |
|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|    | OR                                                                                                                                                                        |
| □ | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934For the transition period from ____________________ to _____________________ |

| Michigan(State or Other Jurisdiction ofIncorporation or Organization)         |   | 38-2078923(I.R.S. Employer Identification No.) |
|-------------------------------------------------------------------------------|--------|------------------------------------------------|
|                                                                          |   |                                           |
| 1541 Reynolds RoadCharlotte, Michigan(Address of Principal Executive Offices) |   |  48813(Zip Code)                          |

|   | Yes | X |   | No |   |   |
|--------|-----|---|--------|----|--------|--------|

|   | Yes |   |   | No |   |   |
|--------|-----|--------|--------|----|--------|--------|

| Large accelerated filer | o |   | Accelerated filer         | x |
|-------------------------|---|--------|---------------------------|---|
| Non-accelerated filer   | o |   | Smaller Reporting Company | o |

|   | Yes |   |   | No | X |   |
|--------|-----|--------|--------|----|---|--------|

|  Class                  | Outstanding atApril 30, 2011 |
|------------------------------|------------------------------|
| Common stock, $.01 par value | 33,343,916 shares            |

----

|                                     | Page     |
|------------------------------------------|----------|
|                                     |     |   |
| FORWARD-LOOKING STATEMENTS               | 3        |   |
|                                     |     |   |
| PART I.  FINANCIAL INFORMATION |     |   |
|                                     |     |   |   |   |
|                                     | Item 1.  | Financial Statements: |   |   |
|                                     |     | Condensed Consolidated Balance Sheets – March 31, 2011 (unaudited)     and December 31, 2010 |  4 |   |
|                                     |     |   |   |   |
|                                     |     | Condensed Consolidated Statements of Income -     Three Months Ended March 31, 2011 and 2010 (Unaudited) |  5 |   |
|                                     |     |   |   |   |
|                                     |     | Condensed Consolidated Statements of Cash Flows -     Three Months Ended March 31, 2011 and 2010 (Unaudited) |  6 |   |
|                                     |     |   |   |   |
|                                     |     | Condensed Consolidated Statement of Shareholders’     Equity - Three Months Ended March 31, 2011 (Unaudited) |  7 |   |
|                                     |     |   |   |   |
|                                     |     | Notes to Condensed Consolidated Financial Statements | 8 |   |
|                                     |     |   |   |   |
|                                     | Item 2.  | Management’s Discussion and Analysis of Financial   Condition and Results of Operations |  16 |   |
|                                     |     |   |   |   |
|                                     | Item 3.  | Quantitative and Qualitative Disclosures About Market Risk | 28 |   |
|                                     |     |   |   |   |
|                                     | Item 4.  | Controls and Procedures | 28 |   |
|                                     |     |   |   |   |
| PART II.  OTHER INFORMATION    |     |   |
|                                     |     |   |   |   |
|                                     | Item 1A. | Risk Factors | 29 |   |
|                                     |     |   |   |   |
|                                     | Item 2.  | Unregistered Sales of Equity Securities and Use of Proceeds | 29 |   |
|                                     |     |   |   |   |
|                                     | Item 6.  | Exhibits | 30 |   |
|                                     |     |   |   |   |
| SIGNATURES                               | 31       |   |
|                                     |     |   |   |   |
| EXHIBIT INDEX                            |     |   |

----

| • | Constrained state and municipal budgets may have a negative effect on the Company’s business and its operations.                                                                                                                                                                                                                                                                                                                                                     |
|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| • | The integration of businesses or assets we have acquired or may acquire in the future, and the disposition of businesses or assets we have determined to divest, involves challenges that could disrupt our business and harm our financial condition.                                                                                                                                                                                                                     |
|    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| • | When we introduce new products, we may incur expenses that we did not anticipate, such as recall expenses, resulting in reduced earnings.                                                                                                                                                                                                                                                                                                                                  |
|    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| • | Changes in economic conditions, including changes in interest rates, credit availability, financial market performance and the Company’s industries can have adverse affects on its earnings and financial condition, as well as its customers, dealers and suppliers.  In particular, the Company could be adversely affected by the economic impact to its supply base, including those members of the supply base that support the automobile industry. |
|    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| • | Changes in relationships with major customers and suppliers could significantly affect the Company’s revenues and profits.                                                                                                                                                                                                                                                                                                                                           |
|    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| • | Amendments of the laws and regulations governing our businesses, or the promulgation of new laws and  regulations, could have a material impact on the Company’s operations.                                                                                                                                                                                                                                                                               |
|    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |
| • | We source components from a variety of domestic and global suppliers who may be subject to disruptions from natural or man made causes.  Disruptions in our supply of components could have a material and adverse impact on our results of operations or financial position.                                                                                                                                                                                    |

----

| Item 1. | Financial Statements |
|---------|----------------------|

|                                                                   |   | March 31,   |    |   |         |   |
|------------------------------------------------------------------------|--------|-------------|---------|--------|--------------|--------|
|                                                                   |   | 2011        |    |   | December 31, |   |
|                                                                   |   | (Unaudited) |    |   | 2010         |   |
| ASSETS                                                                 |   |        |    |   |         |   |
| Current assets:                                                        |   |        |    |   |         |   |
| Cash and cash equivalents                                              |   | $           | 24,993  |   |         | $      | 14,507 |   |
| Accounts receivable, less allowance of $758 and $996                   |   |        | 41,605  |   |         |   | 52,542 |   |
| Inventories                                                            |   |        | 61,436  |   |         |   | 60,161 |   |
| Deferred income tax assets                                             |   |        | 6,218   |   |         |   | 6,218 |   |
| Income taxes receivable                                                |   |        | 3,203   |   |         |   | 2,890 |   |
| Other current assets                                                   |   |        | 3,365   |   |         |   | 3,636 |   |
| Total current assets                                                   |   |        | 140,820 |   |         |   | 139,954 |   |
|                                                                   |   |        |    |   |         |   |   |   |
| Property, plant and equipment, net                                     |   |        | 70,369  |   |         |   | 71,268 |   |
| Goodwill                                                               |   |        | 18,418  |   |         |   | 18,418 |   |
| Intangible assets, net                                                 |   |        | 10,817  |   |         |   | 10,946 |   |
| Other assets                                                           |   |        | 5,766   |   |         |   | 1,163 |   |
| TOTAL ASSETS                                                           |   | $           | 246,190 |   |         | $      | 241,749 |   |
|                                                                   |   |        |    |   |         |   |   |   |
| LIABILITIES AND SHAREHOLDERS' EQUITY                                   |   |        |    |   |         |   |   |   |
|                                                                   |   |        |    |   |         |   |   |   |
| Current liabilities:                                                   |   |        |    |   |         |   |   |   |
| Accounts payable                                                       |   | $           | 24,769  |   |         | $      | 17,970 |   |
| Accrued warranty                                                       |   |        | 5,897   |   |         |   | 5,702 |   |
| Accrued customer rebates                                               |   |        | 1,230   |   |         |   | 1,205 |   |
| Accrued compensation and related taxes                                 |   |        | 3,856   |   |         |   | 3,680 |   |
| Accrued vacation                                                       |   |        | 1,821   |   |         |   | 1,635 |   |
| Deposits from customers                                                |   |        | 2,778   |   |         |   | 3,902 |   |
| Other current liabilities and accrued expenses                         |   |        | 5,880   |   |         |   | 7,528 |   |
| Current portion of long-term debt                                      |   |        | 92      |   |         |   | 102 |   |
| Total current liabilities                                              |   |        | 46,323  |   |         |   | 41,724 |   |
|                                                                   |   |        |    |   |         |   |   |   |
| Other non-current liabilities                                          |   |        | 4,553   |   |         |   | 4,284 |   |
| Long-term debt, less current portion                                   |   |        | 5,124   |   |         |   | 5,122 |   |
| Deferred income tax liabilities                                        |   |        | 7,640   |   |         |   | 7,640 |   |
|                                                                   |   |        |    |   |         |   |   |   |
| Shareholders' equity:                                                  |   |        |    |   |         |   |   |   |
| Preferred stock, no par value: 2,000                                   |   |        |    |   |         |   |   |   |
| shares authorized (none issued)                                        |   |        | -       |   |         |   | - |   |
| Common stock, $0.01 par value; 40,000 shares                           |   |        |    |   |         |   |   |   |
| authorized; 33,248 and 33,215 outstanding                              |   |        | 332     |   |         |   | 332 |   |
| Additional paid in capital                                             |   |        | 69,184  |   |         |   | 68,715 |   |
| Retained earnings                                                      |   |        | 113,034 |   |         |   | 113,932 |   |
| Total shareholders' equity                                             |   |        | 182,550 |   |         |   | 182,979 |   |
| TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY                             |   | $           | 246,190 |   |         | $      | 241,749 |   |
|                                                                   |   |        |    |   |         |   |   |   |
| See Accompanying Notes to Condensed Consolidated Financial Statements. |   |        |    |   |         |

----

|                                                                   |   | Three Months Ended March 31, |   |
|------------------------------------------------------------------------|--------|------------------------------|--------|
|                                                                   |   | 2011                         |   |   | 2010 |   |
|                                                                   |   |                         |   |   |   |   |
| Sales                                                                  |   | $                            | 95,133 |   |   | $ | 117,636 |   |
| Cost of products sold                                                  |   |                         | 82,171 |   |   |   | 100,795 |   |
| Gross profit                                                           |   |                         | 12,962 |   |   |   | 16,841 |   |
|                                                                   |   |                         |   |   |   |   |   |   |
| Operating expenses:                                                    |   |                         |   |   |   |   |   |   |
| Research and development                                               |   |                         | 3,548  |   |   |   | 5,012 |   |
| Selling, general and administrative                                    |   |                         | 10,743 |   |   |   | 11,162 |   |
| Total operating expenses                                               |   |                         | 14,291 |   |   |   | 16,174 |   |
|                                                                   |   |                         |   |   |   |   |   |   |
| Operating income (loss)                                                |   |                         | (1,329 | ) |   |   | 667 |   |
|                                                                   |   |                         |   |   |   |   |   |   |
| Other income (expense):                                                |   |                         |   |   |   |   |   |   |
| Interest expense                                                       |   |                         | (95    | ) |   |   | (318 | ) |
| Interest and other income                                              |   |                         | 84     |   |   |   | 66 |   |
| Total other income (expense)                                           |   |                         | (11    | ) |   |   | (252 | ) |
|                                                                   |   |                         |   |   |   |   |   |   |
| Earnings (loss) before taxes                                           |   |                         | (1,340 | ) |   |   | 415 |   |
|                                                                   |   |                         |   |   |   |   |   |   |
| Taxes                                                                  |   |                         | (442   | ) |   |   | 145 |   |
|                                                                   |   |                         |   |   |   |   |   |   |
| Net earnings (loss) from continuing operations                         |   |                         | (898   | ) |   |   | 270 |   |
|                                                                   |   |                         |   |   |   |   |   |   |
| Net loss from discontinued operations                                  |   |                         | -      |   |   |   | (267 | ) |
|                                                                   |   |                         |   |   |   |   |   |   |
| Net earnings (loss)                                                    |   | $                            | (898   | ) |   | $ | 3 |   |
|                                                                   |   |                         |   |   |   |   |   |   |
| Basic net earnings (loss) per share                                    |   |                         |   |   |   |   |   |   |
| Earnings (loss) from continuing operations                             |   | $                            | (0.03  | ) |   | $ | 0.01 |   |
| Loss from discontinued operations                                      |   |                         | -      |   |   |   | (0.01 | ) |
|                                                                   |   | $                            | (0.03  | ) |   | $ | 0.00 |   |
|                                                                   |   |                         |   |   |   |   |   |   |
| Diluted net earnings (loss) per share                                  |   |                         |   |   |   |   |   |   |
| Earnings (loss) from continuing operations                             |   | $                            | (0.03  | ) |   | $ | 0.01 |   |
| Loss from discontinued operations                                      |   |                         | -      |   |   |   | (0.01 | ) |
|                                                                   |   | $                            | (0.03  | ) |   | $ | 0.00 |   |
|                                                                   |   |                         |   |   |   |   |   |   |
| Basic weighted average common shares outstanding                       |   |                         | 32,652 |   |   |   | 32,905 |   |
|                                                                   |   |                         |   |   |   |   |   |   |
| Diluted weighted average common shares outstanding                     |   |                         | 32,652 |   |   |   | 33,069 |   |
|                                                                   |   |                         |   |   |   |   |   |   |
|                                                                   |   |                         |   |   |   |   |   |   |
| See Accompanying Notes to Condensed Consolidated Financial Statements. |   |                         |   |   |   |

----

|                                                                                        |   | Three Months Ended March 31, |   |
|---------------------------------------------------------------------------------------------|--------|------------------------------|--------|
|                                                                                        |   | 2011                         |   |   | 2010 |   |
| Cash flows from operating activites:                                                        |   |                         |   |   |   |   |
| Net earnings (loss)                                                                         |   | $                            | (898   | ) |   | $ | 3 |   |
| Adjust for loss from discontinued operations                                                |   |                         | -      |   |   |   | 267 |   |
| Net earnings (loss) from continuing operations                                              |   |                         | (898   | ) |   |   | 270 |   |
| Adjustments to reconcile net earnings (loss) from continuing                                |   |                         |   |   |   |
| operations to net cash provided by (used in) operating activities:                          |   |                         |   |   |   |
| Depreciation and amortization                                                               |   |                         | 2,397  |   |   |   | 2,776 |   |
| (Gain)/loss on disposal of assets                                                           |   |                         | 72     |   |   |   | (11 | ) |
| Tax expense related to stock incentive plan transactions                                    |   |                         | (14    | ) |   |   | - |   |
| Stock based compensation related to stock awards                                            |   |                         | 437    |   |   |   | 497 |   |
| Decrease (increase) in operating assets:                                                    |   |                         |   |   |   |   |   |   |
| Accounts receivable                                                                         |   |                         | 10,937 |   |   |   | 457 |   |
| Inventories                                                                                 |   |                         | (1,275 | ) |   |   | 2,358 |   |
| Income taxes receivable                                                                     |   |                         | (313   | ) |   |   | 36 |   |
| Other current assets                                                                        |   |                         | 271    |   |   |   | (385 | ) |
| Other assets                                                                                |   |                         | -      |   |   |   | - |   |
| Increase (decrease) in operating liabilities:                                               |   |                         |   |   |   |   |   |   |
| Accounts payable                                                                            |   |                         | 6,799  |   |   |   | 7,821 |   |
| Accrued warranty                                                                            |   |                         | 195    |   |   |   | 264 |   |
| Accrued customer rebates                                                                    |   |                         | 25     |   |   |   | 79 |   |
| Accrued compensation and related taxes                                                      |   |                         | 176    |   |   |   | (1,341 | ) |
| Accrued vacation                                                                            |   |                         | 186    |   |   |   | 190 |   |
| Deposits from customers                                                                     |   |                         | (1,124 | ) |   |   | (3,462 | ) |
| Other current liabilites and accrued expenses                                               |   |                         | (1,648 | ) |   |   | (551 | ) |
| Taxes on income                                                                             |   |                         | 300    |   |   |   | 245 |   |
| Total adjustments                                                                           |   |                         | 17,421 |   |   |   | 8,973 |   |
| Net cash provided by operating activities                                                   |   |                         | 16,523 |   |   |   | 9,243 |   |
|                                                                                        |   |                         |   |   |   |   |   |   |
| Cash flows from investing activities:                                                       |   |                         |   |   |   |   |   |   |
| Purchases of property, plant and equipment                                                  |   |                         | (1,440 | ) |   |   | (1,239 | ) |
| Proceeds from sale of property, plant and equipment                                         |   |                         | -      |   |   |   | 13 |   |
| Cash advanced for acquisition of business                                                   |   |                         | (4,685 | ) |   |   | - |   |
| Acquisition of business, net of cash acquired                                               |   |                         | -      |   |   |   | (13 | ) |
| Net cash used in investing activities                                                       |   |                         | (6,125 | ) |   |   | (1,239 | ) |
|                                                                                        |   |                         |   |   |   |   |   |   |
| Cash flows from financing activities:                                                       |   |                         |   |   |   |   |   |   |
| Proceeds from long-term debt                                                                |   |                         | 81     |   |   |   | 17,024 |   |
| Payments on long-term debt                                                                  |   |                         | (25    | ) |   |   | (40,042 | ) |
| Proceeds (use) of cash from the exercise, vesting or cancellation of stock incentive awards |   |                         | 18     |   |   |   | (1 | ) |
| Cash retained related to tax impact of stock incentive plan transactions                    |   |                         | 14     |   |   |   | - |   |
| Net cash provided by (used in) financing activities                                         |   |                         | 88     |   |   |   | (23,019 | ) |
|                                                                                        |   |                         |   |   |   |   |   |   |
| Cash flows from discontinued operations:                                                    |   |                         |   |   |   |   |   |   |
| Operating activities                                                                        |   |                         | -      |   |   |   | 923 |   |
| Investing activities                                                                        |   |                         | -      |   |   |   | (4 | ) |
| Net cash provided by discontinued operations                                                |   |                         | -      |   |   |   | 919 |   |
|                                                                                        |   |                         |   |   |   |   |   |   |
| Net increase (decrease) in cash and cash equivalents                                        |   |                         | 10,486 |   |   |   | (14,096 | ) |
| Cash and cash equivalents at beginning of period                                            |   |                         | 14,507 |   |   |   | 18,475 |   |
| Cash and cash equivalents at end of period                                                  |   | $                            | 24,993 |   |   | $ | 4,379 |   |
|                                                                                        |   |                         |   |   |   |   |   |   |
| See Accompanying Notes to Condensed Consolidated Financial Statements                       |   |                         |   |   |   |

----

|                                                      |   | Number of |   |   | Common |   |   | Additional      |   |   | Retained |   |   | Total Shareholders' |    |
|-----------------------------------------------------------|--------|-----------|--------|--------|--------|--------|--------|-----------------|--------|--------|----------|--------|--------|---------------------|---------|
|                                                      |   | Shares    |   |   | Stock  |   |   | Paid In Capital |   |   | Earnings |   |   | Equity              |    |
| Balance at December 31, 2010                              |   |      | 33,215 |   |   | $      | 332    |            |   | $      | 68,715   |   |   | $                   | 113,932 |   |   | $ | 182,979 |   |
|                                                      |   |      |   |   |   |   |   |            |   |   |     |   |   |                |    |   |   |   |   |   |
| Issuance of common stock and the tax                      |   |      |   |   |   |   |   |            |   |   |     |   |   |                |    |   |   |   |   |   |
| impact of stock incentive plan transactions               |   |      | 19     |   |   |   | -      |            |   |   | 32       |   |   |                | -       |   |   |   | 32 |   |
|                                                      |   |      |   |   |   |   |   |            |   |   |     |   |   |                |    |   |   |   |   |   |
| Issuance of restricted stock, net of                      |   |      |   |   |   |   |   |            |   |   |     |   |   |                |    |   |   |   |   |   |
|     cancellation                      |   |      | 14     |   |   |   | -      |            |   |   | -        |   |   |                | -       |   |   |   | - |   |
|                                                      |   |      |   |   |   |   |   |            |   |   |     |   |   |                |    |   |   |   |   |   |
| Stock based compensation expense related                  |   |      |   |   |   |   |   |            |   |   |     |   |   |                |    |   |   |   |   |   |
| to restricted stock                                       |   |      | -      |   |   |   | -      |            |   |   | 437      |   |   |                | -       |   |   |   | 437 |   |
|                                                      |   |      |   |   |   |   |   |            |   |   |     |   |   |                |    |   |   |   |   |   |
| Comprehensive income (loss):                              |   |      |   |   |   |   |   |            |   |   |     |   |   |                |    |   |   |   |   |   |
|                                                      |   |      |   |   |   |   |   |            |   |   |     |   |   |                |    |   |   |   |   |   |
|     Net loss                          |   |      | -      |   |   |   | -      |            |   |   | -        |   |   |                | (898    | ) |   |   | (898 | ) |
|                                                      |   |      |   |   |   |   |   |            |   |   |     |   |   |                |    |   |   |   |   |   |
|     Total comprehensive income (loss) |   |      |   |   |   |   |   |            |   |   |     |   |   |                |    |   |   |   | (898 | ) |
| Balance at March  31, 2011                      |   |      | 33,248 |   |   | $      | 332    |            |   | $      | 69,184   |   |   | $                   | 113,034 |   |   | $ | 182,550 |   |

----

----

|                                   | March 31, |   |    | December 31, |   |
|----------------------------------------|-----------|--------|---------|--------------|--------|
|                                   | 2011      |   |    | 2010         |   |
|                                   |      |   |    |         |   |   |   |
| Finished goods                         | $         | 14,293 |    |         | $      | 16,453 |   |
| Work in process                        |      | 13,249 |    |         |   | 9,528 |   |
| Raw materials and purchased components |      | 37,287 |    |         |   | 37,867 |   |
| Reserve for slow-moving inventory      |      | (3,393 | )  |         |   | (3,687 | )  |
|                                   |      |   |    |         |   |   |   |
|                                   | $         | 61,436 |    |         | $      | 60,161 |   |

----

|                                                 |   | 2011   |   |   | 2010   |   |
|------------------------------------------------------|--------|--------|--------|--------|--------|--------|
| Balance of accrued warranty at January 1        |   | $      | 5,702  |   |   | $      | 6,296 |   |
| Warranties issued during the period                  |   |   | 685    |   |   |   | 971 |   |
| Cash settlements made during the period              |   |   | (911   | )      |   |   | (1,603 | ) |
| Changes in liability for pre-existing warranties     |   |   |   |   |   |   |   |   |
|   during the period, including expirations |   |   | 421    |   |   |   | 896 |   |
| Balance of accrued warranty at March 31              |   | $      | 5,897  |   |   | $      | 6,560 |   |

----

| Sales                        |   |   | $          4,882 |   |
|------------------------------|--------|--------|---------------------------------------------------------------|--------|
| Pre-tax loss from operations |   |   | (454                                                          | )      |
| Net loss                     |   |   | (267                                                          | )      |

|                                               |   | Three Months Ended March 31, |   |
|----------------------------------------------------|--------|------------------------------|--------|
|                                               |   | 2011                         |   |   | 2010 |   |
| Basic weighted average common shares outstanding   |   |                         | 32,652 |   |   |   | 32,905 |   |
|                                               |   |                         |   |   |   |   |   |   |
| Effect of dilutive stock options                   |   |                         | -      |   |   |   | 164 |   |
| Diluted weighted average common shares outstanding |   |                         | 32,652 |   |   |   | 33,069 |   |
|                                               |   |                         |   |   |   |   |   |   |
| Anti-dilutive stock awards:                        |   |                         |   |   |   |   |   |   |
|      Restricted stock     |   |                         | 593    |   |   |   | - |   |
|      SARs                 |   |                         | 164    |   |   |   | - |   |
|      Stock options        |   |                         | 163    |   |   |   | 41 |   |
| Total                                              |   |                         | 920    |   |   |   | 41 |   |

----

|                                                                                                                                                                                          |   | March 31,2011 |   |   | December 31,2010 |   |
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------|--------|--------|-----------------------|--------|
| Note payable to Prudential Investment Management, Inc.                                                                                                                                        |   |          |   |   |                  |   |
|     Principal due December 1, 2016 with quarterly interest         only payments of $68 at 5.46%.  Unsecured debt. |   | $             | 5,000  |   |                  | $      | 5,000 |   |
| Line of credit revolver with JP Morgan Chase Bank (1)                                                                                                                                         |   |          | --     |   |                  |   | -- |   |
| Capital lease obligations (2)                                                                                                                                                                 |   |          | 216    |   |                  |   | 224 |   |
|     Total debt                                                                                                                                                            |   |          | 5,216  |   |                  |   | 5,224 |   |
|     Less current portion of long-term debt                                                                                                                                |   |          | (92    | )      |                  |   | (102 | ) |
|     Total long-term debt                                                                                                                                                  |   | $             | 5,124  |   |                  | $      | 5,122 |   |

|   | (1) | The Company’s primary line of credit is a $70,000 unsecured revolving line with JPMorgan Chase Bank and Wells Fargo Bank, expiring on November 30, 2012. Both lending institutions equally share this commitment. This line carries an interest rate equal to the Eurodollar rate plus an applicable margin.  The Company is subject to certain covenants under this credit line regarding leverage ratios, interest coverage and tangible net worth. |
|--------|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (2) | The Company leases certain office equipment, computer hardware and material handling equipment classified as capital leases.  Future minimum lease payments required under these leases having initial or remaining non cancelable lease terms in excess of one year amount to:  $80 in 2011, $52 in 2012, $56 in 2013 and $28 in 2014. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

| Three Months Ended March 31, 2011                  |   |               |    |   |                          |   |   |   |   |   |
|----------------------------------------------------|--------|--------------------|---------|--------|-------------------------------|--------|--------|--------|--------|--------|
|                                               |   | Business Segments  |    |   |                          |   |   |   |   |
|                                               |   | Specialty Vehicles |    |   | Service and Delivery Vehicles |   |   | Other  |   |   | Consolidated |   |
|                                               |   |               |    |   |                          |   |   |   |   |   |   |   |
| Fire truck chassis sales                           |   | $                  | 30,617  |   |                          | $      | -      |   |   | $      | - |   |   | $ | 30,617 |   |
| Fire truck body sales                              |   |               | 7,945   |   |                          |   | -      |   |   |   | - |   |   |   | 7,945 |   |
| Motor home chassis sales                           |   |               | 19,033  |   |                          |   | -      |   |   |   | - |   |   |   | 19,033 |   |
| Utilimaster product sales                          |   |               | -       |   |                          |   | 19,339 |   |   |   | - |   |   |   | 19,339 |   |
| Other product sales:                               |   |               |    |   |                          |   |   |   |   |   |   |   |   |   |   |   |
|    Vehicles                         |   |               | 4,463   |   |                          |   | -      |   |   |   | - |   |   |   | 4,463 |   |
|    Aftermarket parts and assemblies |   |               | 9,428   |   |                          |   | 4,308  |   |   |   | - |   |   |   | 13,736 |   |
|                                               |   |               |    |   |                          |   |   |   |   |   |   |   |   |   |   |   |
| Sales                                              |   | $                  | 71,486  |   |                          | $      | 23,647 |   |   | $      | - |   |   | $ | 95,133 |   |
|                                               |   |               |    |   |                          |   |   |   |   |   |   |   |   |   |   |   |
| Interest expense                                   |   | $                  | 5       |   |                          | $      | 90     |   |   | $      | - |   |   | $ | 95 |   |
| Depreciation and amortization expense              |   |               | 1,239   |   |                          |   | 572    |   |   |   | 586 |   |   |   | 2,397 |   |
| Taxes (credit) on income                           |   |               | 416     |   |                          |   | (425   | )      |   |   | (433 | ) |   |   | (442 | ) |
| Net earnings (loss) from continuing operations     |   |               | 673     |   |                          |   | (863   | )      |   |   | (708 | ) |   |   | (898 | ) |
| Segment assets                                     |   |               | 105,214 |   |                          |   | 67,035 |   |   |   | 73,941 |   |   |   | 246,190 |   |

----

| Three Months Ended March 31, 2010                                                                   |   |                  |    |   |                          |   |   |   |   |   |
|-----------------------------------------------------------------------------------------------------|--------|-----------------------|---------|--------|-------------------------------|--------|--------|--------|--------|--------|
|                                                                                                |   | Business Segments (1) |    |   |                          |   |   |   |   |
|                                                                                                |   | Specialty Vehicles    |    |   | Service and Delivery Vehicles |   |   | Other  |   |   | Consolidated |   |
|                                                                                                |   |                  |    |   |                          |   |   |   |   |   |   |   |
| Fire truck chassis sales                                                                            |   | $                     | 37,692  |   |                          | $      | -      |   |   | $      | - |   |   | $ | 37,692 |   |
| Fire truck body sales                                                                               |   |                  | 15,439  |   |                          |   | -      |   |   |   | - |   |   |   | 15,439 |   |
| Motor home chassis sales                                                                            |   |                  | 27,512  |   |                          |   | -      |   |   |   | - |   |   |   | 27,512 |   |
| Utilimaster product sales                                                                           |   |                  | -       |   |                          |   | 20,504 |   |   |   | - |   |   |   | 20,504 |   |
| Other product sales:                                                                                |   |                  |    |   |                          |   |   |   |   |   |   |   |   |   |   |   |
|    Vehicles                                                                          |   |                  | 1,326   |   |                          |   | -      |   |   |   | - |   |   |   | 1,326 |   |
|    Aftermarket parts and assemblies                                                  |   |                  | 11,921  |   |                          |   | 3,241  |   |   |   | - |   |   |   | 15,162 |   |
|                                                                                                |   |                  |    |   |                          |   |   |   |   |   |   |   |   |   |   |   |
| Sales                                                                                               |   | $                     | 93,890  |   |                          | $      | 23,745 |   |   | $      | - |   |   | $ | 117,635 |   |
|                                                                                                |   |                  |    |   |                          |   |   |   |   |   |   |   |   |   |   |   |
| Interest expense                                                                                    |   | $                     | 375     |   |                          |   | 47     |   |   | $      | (104 | ) |   | $ | 318 |   |
| Depreciation and amortization expense                                                               |   |                  | 1,229   |   |                          |   | 953    |   |   |   | 594 |   |   |   | 2,776 |   |
| Taxes (credit) on income                                                                            |   |                  | 924     |   |                          |   | (501   | )      |   |   | (278 | ) |   |   | 145 |   |
| Net earnings (loss) from continuing operations                                                      |   |                  | 2,245   |   |                          |   | (929   | )      |   |   | (1,046 | ) |   |   | 270 |   |
| Segment assets                                                                                      |   |                  | 147,936 |   |                          |   | 65,655 |   |   |   | 61,015 |   |   |   | 274,606 |   |
|                                                                                                |   |                  |    |   |                          |   |   |   |   |   |   |   |   |   |   |   |
| (1) Amounts restated retrospectively for segment reclassification and discontinued operations. |   |

----

| Item 2. | Management’s Discussion and Analysis of Financial Condition and Results of Operations. |
|---------|----------------------------------------------------------------------------------------------|

----

----

|   | · | The relocation of the Company’s Crimson Aerials operations into a more efficiently designed facility that will improve operating performance and allow expansion into the major apparatus refurbishment business.                                                                                                                                                                                                                                                   |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
|   | · | The introduction of our newest cab and chassis, the “Spartan Force”, which offers custom features, such as improved performance, spacious cab and lifetime frame warranty, all at an aggressive market-penetrating price.                                                                                                                                                                                                                                     |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
|   | · | The introduction of the Secondary Power System (SPS), for the emergency response market by Spartan Chassis, which delivers significant improvements in fuel consumption, exhaust emissions and noise pollution, while enhancing main engine service life and maintenance needs.                                                                                                                                                                                           |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
|   | · | The introduction of the 75 foot “Legend” aerial, which expands the Legend product line and introduces a very cost competitive truck in the large “75 foot” segment of the aerial market.                                                                                                                                                                                                                                                          |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
|   | · | The ReachTM, a commercial van offering up to 35% better fuel economy, which debuted at the 2011 National Truck Equipment Association’s “The Work Truck Show" in March.  This compelling product establishes a new benchmark for safety, performance and cost-effectiveness and further solidifies Utilimaster’s technical leadership in the service and delivery market.                                                                 |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
|   | · | A broadened reach into new market niches as demonstrated by our alliance with Isuzu for  assembly of the N-Gas chassis.  We continue to explore opportunities to leverage our existing assembly capacity and expertise in order to increase volumes and utilize capacity.                                                                                                                                                                             |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
|   | · | The expansion of the Crimson Fire product portfolio with the addition of the Classic Series, as a result of our acquisition of Classic Fire.  Consisting of eight new product offerings, this product line complements the Legend and Star Series.  The Classic Series offers high performance and is already known for durability and unparalleled quality at affordable prices – a critical market position given current economic realities. |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
|   | · | The addition of proprietary pump modules and tankers, featuring the most durable aluminum extruded body structures in the industry, that are now available as a result of our acquisition of Classic Fire.                                                                                                                                                                                                                                                                |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
|   | · | The growing strength of the Spartan brands, including Spartan, Crimson Fire and Utilimaster.                                                                                                                                                                                                                                                                                                                                                                              |

----

|                                                  | Three Months Ended March 31,                                                                 |
|-------------------------------------------------------|---------------------------------------------------------------------------------------------------|
|                                                  | 2011                                                                                              |   | 2010 |
| Sales                                                 |            100.0                           |   |            100.0 |
| Cost of products sold                                 |              86.4                |   |              85.7 |
| Gross profit                                          |              13.6                |   |              14.3 |
| Operating expenses:                                   |                                                                                              |   |   |
|    Research and development            |                3.7     |   |                4.3 |
|    Selling, general and administrative |              11.3                |   |                9.5 |
| Operating income (loss)                               |              (1.4)               |   |                0.5 |
| Other expense, net                                    | 0.0                                                                                               |   |              (0.2) |
| Earnings (loss) before taxes on income                |              (1.4)               |   |                0.3 |
| Taxes                                                 |              (0.5)               |   |                0.1 |
| Net earnings (loss) from continuing operations        |              (0.9)               |   |                0.2 |
|                                                  |                                                                                              |   |   |
| Loss from discontinued operations                     |                 - |   |              (0.2) |
|                                                  |                                                                                              |   |   |
| Net earnings (loss)                                   |              (0.9)               |   |                0.0 |

----

----

| Income Statement Data  |                                  |                                                                        |   |   |                                  |
|------------------------|---------------------------------------|-----------------------------------------------------------------------------|--------|--------|---------------------------------------|
| (Dollars in thousands) |                                  |                                                                        |   |   |                                  |   |
|                   |                                  | Three Months Ended March 31,                                                |
|                   |                                  | 2011                                                                        |   | 2010   |
|                   |                                  | Amount                                                                      |   | %      |                                  | Amount |   | % |
| Sales                  |                                  |  $    71,486                                       |   | 100.0% |                                  |  $    93,890 |   | 100.0% |
|                   |                                  |                                                                        |   |   |                                  |   |   |   |
| Net earnings           |                                  |             673 |   | 0.9%   |                                  |          2,245 |   | 2.4% |
|                   |                                  |                                                                        |   |   |                                  |   |   |   |
| Segment assets         |      105,214 |                                                                        |   |   |      147,936 |   |   |

----

| Income Statement Data  |                           |                                                  |   |   |   |
|------------------------|--------------------------------|-------------------------------------------------------|--------|--------|--------|
| (Dollars in thousands) |                           |                                                  |   |   |   |   |   |
|                   |                           | Three Months Ended March 31,                          |
|                   |                           | 2011                                                  |   |   | 2010   |
|                   |                           | Amount                                                |   | %      |   |   | Amount |   | % |
| Sales                  |                           |  $ 23,647                                        |   | 100.0% |   |   |  $ 23,745 |   | 100.0% |
|                   |                           |                                                  |   |   |   |   |   |   |   |
| Net loss               |                           |         (863) |   | -3.6%  |   |   |         (929) |   | -3.9% |
|                   |                           |                                                  |   |   |   |   |   |   |   |
| Segment assets         |     67,035 |                                                  |   |   |   |     65,655 |   |   |

----

| Working Capital     |   |                                                                                        |   |                                                                            |   |                                                                                                                                           |
|---------------------|--------|---------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------|--------|------------------------------------------------------------------------------------------------------------------------------------------------|
| (In thousands)      |   |                                                                                        |   |   December 31,                                                             |   |                                                                                                                                           |
|                |   |  March 31, 2011                                                                        |   | 2010                                                                            |   |  Change                                                                                                                                   |
|                |   |                                                                                        |   |                                                                            |   |                                                                                                                                           |
| Current assets      |   |  $           140,820            |   |  $         139,954            |   |  $                      866 |
|                |   |                                                                                        |   |                                                                            |   |                                                                                                                                           |
| Current liabilities |   | 46,323                                                                                      |   | 41,724                                                                          |   |  $                   4,599                 |
|                |   |                                                                                        |   |                                                                            |   |                                                                                                                                           |
| Working capital     |   |  $             94,497 |   |  $           98,230 |   |     $                 (3,733)              |

----

----

| ·   | On November 30, 2010, we retired our 4.93% Series A Senior notes in the amount of $10.0 million issued under our private shelf agreement with Prudential Investment Management, Inc. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | In July 2010, the outstanding balance against our revolving credit facility with lenders, JPMorgan Chase Bank, N.A. and Wells Fargo Bank, N.A. was paid in full. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | In June 2010, we retired a mortgage note of $1.0 million that was due on July 1, 2010. |
|--------------------|----------------------------------------------------------------------------------------|

----

----

----

| Item 3. | Quantitative and Qualitative Disclosures About Market Risk. |
|---------|-------------------------------------------------------------|

| Item 4. | Controls and Procedures. |
|---------|--------------------------|

----

| Item 1A. | Risk Factors |
|----------|--------------|

| Item 2. | Unregistered Sales of Equity Securities and Use of Proceeds |
|---------|-------------------------------------------------------------|

|     Period |  TotalNumber ofSharesPurchased |   AveragePrice Paidper Share | Total Number ofShares Purchasedas Part of PubliclyAnnounced Plans orPrograms |  Number of Shares thatMay Yet Be PurchasedUnder the Plans orPrograms |
|--------------------------------|-------------------------------------|----------------------------------------|------------------------------------------------------------------------------|---------------------------------------------------------------------------|
| January 1 to January 31        | --                                  |                                   | --                                                                           | --                                                                        | 1,000,000        |
| February 1 to February 28      | --                                  |                                   | --                                                                           | --                                                                        | 1,000,000        |
| March 1 to March 31            | --                                  |                                   | --                                                                           | --                                                                        | 1,000,000        |
| Total                          | --                                  |                                   | --                                                                           | --                                                                        | 1,000,000        |

----

| Item 6. | Exhibits. |
|---------|-----------|

|   | (a)      Exhibits.  The following documents are filed as exhibits to this report on Form 10-Q: |
|--------|-------------------------------------------------------------------------------------------------------------------------|
|   |                                                                                                                    |   |   |
|   | Exhibit No.                                                                                                             |   | Document |
|   |                                                                                                                    |   |   |
|   | 31.1                                                                                                                    |   | Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act. |
|   |                                                                                                                    |   |   |
|   | 31.2                                                                                                                    |   | Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act. |
|   |                                                                                                                    |   |   |
|   | 32                                                                                                                      |   | Certification of Chief Executive Officer and Chief Financial Officer pursuant to 18 U.S.C. § 1350. |

----

| Date:  May 6, 2011 | SPARTAN MOTORS, INC. |
|------------------------------|----------------------|
|                         |                 |
|                         |                 |
|                         |                 |
|                         | By                   | /s/ Joseph M. Nowicki |
|                         |                 | Joseph M. NowickiChief Financial Officer and Treasurer, andChief/Corporate Compliance Officer(Principal Financial and Accounting Officer) |

----

| Exhibit No. |   | Document                                                                                                     |
|-------------|--------|--------------------------------------------------------------------------------------------------------------|
|        |   |                                                                                                         |
| 31.1        |   | Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act.             |
|        |   |                                                                                                         |
| 31.2        |   | Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act.             |
|        |   |                                                                                                         |
| 32          |   | Certification of Chief Executive Officer and Chief Financial Officer pursuant to 18 U.S.C. § 1350. |