Exhibit 99.1

	NEWS RELEASE
	Skyline Corporation 2520 By-Pass Road P.O. Box 743 Elkhart, Indiana 46515-0743 (574) 294-6521
Subject: SECOND QUARTER REPORT	Approved by: JON S. PILARSKI

ELKHART, INDIANA — JANUARY 8, 2010

SKYLINE REPORTS RESULTS FOR SECOND QUARTER AND FIRST HALF

Sales for Skyline’s fiscal 2010 second quarter were $34,246,000 compared to $47,210,000 for the second quarter of fiscal 2009. For the first six months of fiscal 2010, sales were $70,120,000 versus $109,807,000 for fiscal 2009.

Skyline Corporation reported a net loss of $3,808,000 for the second quarter of fiscal 2010 compared to a net loss of $4,098,000 for the second quarter of fiscal 2009. On a per share basis, net loss for the quarter which ended November 30, 2009 was $.45 versus a net loss of $.49 for a year ago.

For the first half of fiscal 2010, net loss was $7,715,000 compared to a net loss of $8,244,000 for a year ago. Net loss per share for the first half of fiscal 2010 was $.92 versus a net loss per share of$.98 for the first half of fiscal 2009.

For Skyline’s manufactured housing group, sales for the second quarter of fiscal 2010 were $24,921,000 compared to $38,310,000 for the second quarter of fiscal 2009. For the first six months of fiscal 2009, sales by the manufactured housing group were $50,703,000 versus the $83,568,000 recorded for the first six months of fiscal 2009.

For the recreational vehicle (RV) group, sales amounted to $9,325,000 for fiscal 2010’s second quarter compared to $8,900,000 for the second quarter of fiscal 2009. For the first six months of fiscal 2010, sales by the RV group were $19,417,000 versus $26,239,000 for the same period a year ago.

As Skyline begins its third quarter, historically the slowest period in its fiscal year, the Corporation continues to maintain its traditionally strong balance sheet with no debt and a healthy position in cash and temporary cash investments. This financial strength, along with a seasoned management team, should help the corporation meet the challenges ahead.

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Bringing America Home. Bringing America Fun.

SKYLINE CORPORATION AND SUBSIDIARY COMPANIES
CONSOLIDATED CONDENSED STATEMENTS OF OPERATIONS

	Three Months Ended						Six Months Ended
	November 30,						November 30,
	(Unaudited)						(Unaudited)
(Dollars in thousands, except share and per share data)	2009			2008			2009			2008
Sales	$	34,246		$	47,210		$	70,120		$	109,807
Loss before income taxes		(6,122	)		(6,626	)		(12,235	)		(13,097	)
Benefit for income taxes		(2,314	)		(2,528	)		(4,520	)		(4,853	)
Net loss	$	(3,808	)	$	(4,098	)	$	(7,715	)	$	(8,244	)
Basic loss per share	$	(.45	)	$	(.49	)	$	(.92	)	$	(.98	)
Number of weighted average common shares outstanding		8,391,244			8,391,244			8,391,244			8,391,244

SKYLINE CORPORATION AND SUBSIDIARY COMPANIES
CONSOLIDATED CONDENSED BALANCE SHEETS

	November 30, (Unaudited)
(Dollars in thousands)	2009			2008
ASSETS
Cash and temporary cash investments	$	82,537		$	103,409
Accounts receivable		5,907			8,351
Inventories		6,131			9,800
Other current assets		18,849			18,454
Total Current Assets		113,424			140,014
Property, Plant and Equipment, net		29,918			31,862
Noncurrent Deferred Tax Assets		9,322			4,702
Other Assets		5,484			5,764
Total Assets	$	158,148		$	182,342
LIABILITIES AND SHAREHOLDERS’ EQUITY
Accounts payable, trade	$	2,476		$	1,744
Accrued liabilities		13,086			16,731
Total Current Liabilities		15,562			18,475
Other Deferred Liabilities		8,580			8,914
Common stock		312			312
Additional paid-in capital		4,928			4,928
Retained earnings		194,510			215,457
Treasury stock, at cost		(65,744	)		(65,744	)
Total Shareholders’ Equity		134,006			154,953
Total Liabilities and Shareholders’ Equity	$	158,148		$	182,342