Skyline Champion (SKY) 8-K Skyline Reports Third Quarter and Nine Months Results

Exhibit 99.1

NEWS RELEASE

Skyline Corporation
2520 By-Pass Road
P.O. Box 743
Elkhart, Indiana 46515-0743
(574) 294-6521

Subject: THIRD QUARTER REPORT Approved by: JAMES R. WEIGAND

ELKHART, INDIANA — APRIL 6, 2007

SKYLINE REPORTS THIRD QUARTER AND NINE MONTHS RESULTS

     Sales for the third quarter of Skyline Corporation’s 2007 fiscal year were $66,345,000 compared to $117,491,000 last year. Net loss for the three-month period was $2,175,000, equal to $0.26 per share, compared to net earnings of $2,290,000, or $0.27 per share, for the same period a year ago.

     Sales for the first nine months of fiscal 2007 were $276,937,000 compared to $372,324,000 for the first nine months of fiscal 2006. For the first nine months of fiscal 2007, net earnings were $346,000, or $0.04 per share, compared to $9,139,000, or $1.09 per share, for the first nine months of fiscal 2006. Net earnings per share for the first nine months of fiscal 2006 included a gain on the sale of vacant land of $0.03.

     Sales of Skyline’s manufactured housing group for the third quarter of fiscal 2007 were $51,247,000 compared to the $83,199,000 of a year ago. For the first nine months of fiscal 2007, sales by the manufactured housing group were $208,348,000 compared to the $279,006,000 recorded for the first nine months of fiscal 2006.

     For the recreational vehicle (RV) group, sales for the third quarter of fiscal 2007 were $15,098,000 compared to the $34,292,000 of the third quarter of fiscal 2006. For the first nine months of fiscal 2007, sales by the RV group were $68,589,000 compared to the $93,318,000 of the same period a year ago.

     Skyline continues to maintain its traditionally strong balance sheet with no long-term debt and a healthy position in cash and temporary cash investments. This financial strength, along with a seasoned management team, should help the company meet the challenges ahead.

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Bringing America Home. Bringing America Fun.

SKYLINE CORPORATION AND SUBSIDIARY COMPANIES
CONSOLIDATED STATEMENTS OF EARNINGS

(Dollars in thousands except per share)
	Three Months Ended					Nine Months Ended
	February 28,					February 28,
	(Unaudited)					(Unaudited)
	2007			2006		2007		2006
Sales	$	66,345		$	117,491	$	276,937	$	327,324
(Loss) earnings before income taxes		(3,519	)		3,792		533		14,914
(Benefit) provision for income taxes		(1,344	)		1,502		187		5,775
Net (loss) earnings	$	(2,175	)	$	2,290	$	346	$	9,139
Basic (loss) earnings per share	$	(.26	)	$	.27	$	.04	$	1.09	(A)
Number of weighted average common
shares outstanding		8,391,244			8,391,244		8,391,244		8,391,244

(A) Includes an after-tax gain on sale of vacant land of $.03 per share.

SKYLINE CORPORATION AND SUBSIDIARY COMPANIES
CONSOLIDATED BALANCE SHEETS

(Dollars in thousands)

	February 28, (Unaudited)
	2007			2006
ASSETS
Cash and temporary investments	$	125,549		$	150,519
Accounts receivable		21,418			28,470
Inventories		12,076			11,825
Other current assets		11,412			10,718
Total Current Assets		170,455			201,532
Property, Plant and Equipment, net		35,643			34,316
Other Assets		10,353			9,726
	$	216,451		$	245,574
LIABILITIES AND SHAREHOLDERS’ EQUITY
Accounts payable, trade	$	3,917		$	7,207
Accrued liabilities		25,199			33,603
Total Current Liabilities		29,116			40,810
Other Deferred Liabilities		10,549			10,653
Common stock		312			312
Additional paid-in capital		4,928			4,928
Retained earnings		237,290			254,615
Treasury stock, at cost, 2,825,900 shares in 2007 and 2006		(65,744	)		(65,744	)
Total Shareholders’ Equity		176,786			194,111
	$	216,451		$	245,574