Fleetwood is one of the nation’s leaders in producing both recreational vehicles and manufactured housing. The RV Group sold 54,574 and 50,746 recreational vehicles in fiscal 2006 and 2005, respectively. In calendar 2005, we had a 12.5 percent share of the overall recreational vehicle retail market, consisting of a 17.5 percent share of the motor home market, an 8.7 percent share of the travel trailer market and a 38 percent share of the folding trailer market. The Housing Group produced and shipped 22,681 and
23,962 manufactured homes in fiscal 2006 and 2005, respectively, and was the second largest producer of HUD-Code homes in the United States in terms of units sold, including intercompany sales. The Supply Group operates three supply companies that provide components for our manufactured housing and recreational vehicle operations, while also generating outside sales.

Our business began in 1950 producing travel trailers and quickly evolved to what are now termed manufactured homes. We re-entered the recreational vehicle business with the acquisition of a travel trailer operation in 1964. Our manufacturing activities are conducted in 16 states within the U.S., and to a much lesser extent in Canada. We distribute our manufactured products primarily through a network of independent dealers throughout the United States and Canada. In fiscal 1999, we entered the manufactured housing retail business through a combination of acquisitions and internal development of new retail sales centers. We later established a financial services subsidiary to provide finance and insurance products to customers of the retail operation. In March 2005, we announced our intention to sell the retail and finance businesses so that we could focus on our core businesses of RV and housing manufacturing and in July and August 2005, the majority of the assets of these businesses were sold. The retail and finance businesses are presented as discontinued operations throughout this annual report.