[Spartan Motors, Inc. letterhead]


                                  [date]

Dear Shareholder:

          In less than three weeks, the annual meeting of shareholders of
Spartan Motors, Inc. will be held to vote on several proposals, which are
described in detail in the 1996 Proxy Statement, previously distributed on
May 1, 1996. We have not yet received your proxy.

          YOUR VOTE IS IMPORTANT, regardless of the number of shares which
you may own. Please take this opportunity to vote on these important
matters. Please sign, date, and return the enclosed proxy card in the
enclosed envelope at your earliest convenience.

          Your Board of Directors recommends that YOU VOTE FOR election of
all nominees as directors; FOR approval of the Restated Articles of
Incorporation; FOR approval of the amendment to the 1988 Nonqualified Stock
Option Plan; and FOR approval of the 1996 Stock Option and Restricted Stock
Plan for Outside Market Advisors.

          Your support is greatly appreciated. On behalf of your Board of
Directors and management, thank you for your continued interest in and
support of Spartan Motors, Inc.

                                        Sincerely,



                                        George W. Sztykiel
                                        Chief Executive Officer and
                                         Chairman of the Board of Directors