Collins Industries, Inc. Announces Filing of Form 10-K and Declaration of Quarterly Dividend

HUTCHINSON, Kan., Aug. 4, 2005 -- Collins Industries, Inc. , today announced it has filed with the Securities and Exchange Commission its Form 10-K for the fiscal year ended October 31, 2004. This filing reflects the results of an audit committee investigation of practices and procedures used to record self-insured workers' compensation accruals in two states. The filing revises previously reported 2004 operating results and restates Collins financial statements for fiscal years 2002 and 2003. Today Collins also filed Forms 10-Q for the first two fiscal quarters of 2005.

Donald Lynn Collins, President and CEO said, "We appreciate the efforts of our Directors and our new CFO, Cletus Glasener, to thoroughly investigate this matter." He further stated, "We are pleased to return our focus to the future and to bringing quality specialty vehicles to our market place."

The Company also announced that its Board of Directors has declared a quarterly cash dividend of $.04 per share for holders of record on September 8, 2005, payable September 15, 2005. The ex-dividend date will be September 2, 2005. The Company has paid a quarterly cash dividend for the past 34 consecutive quarters, exclusive of special dividends paid in 1998, 2000 and 2001.

The Board of Directors has indicated it would not immediately take steps to re-list Collins' common stock on the NASDAQ National Market System. The common stock of the Company will continue to trade on the Pink Sheets under the symbol "COLL.PK." The Board of Directors is reviewing the current and future benefits and burdens of the Company's status as reporting company under the Exchange Act of 1934, including the alternatives for the trading of its common stock.

Collins Industries, Inc. is a leading manufacturer of ambulances (including medical attack vehicles, rescue vehicles and fire emergency vehicles), North America's largest producer of Type "A" small school buses, the nation's second largest manufacturer of terminal trucks and a leader in the road construction and industrial sweeper markets. Since 1971, the Company has grown to approximately 1,000 employees in six plants comprising over one million combined square feet of manufacturing space. The Company sells its products throughout the United States and abroad.

This press release contains historical and forward-looking information. The forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The Company believes the assumptions underlying these forward-looking statements are reasonable; however, any of the assumptions could be inaccurate, and therefore, actual results may differ materially from those projected in the forward-looking statements due to certain risks and uncertainties, including, but not limited to, the availability of key raw materials, components and chassis, changes in funds budgeted by Federal, state and local governments, changes in competition, various inventory risks due to changes in market conditions, changes in product demand, substantial dependence on third parties for product quality, interest rate fluctuations, adequate direct labor pools, development of new products, changes in tax and other governmental rules and regulations applicable to the Company, reliability and timely fulfillment of orders and other risks as indicated in the Company's filings with the Securities and Exchange Commission. The Company undertakes no obligation to publicly release any revisions to any forward-looking statements contained herein to reflect events or circumstances occurring after the date released or to reflect the occurrence of unanticipated events.