<ARTICLE> 5 <PERIOD-TYPE> 3-MOS <FISCAL-YEAR-END> OCT-31-1998 <PERIOD-START> NOV-01-1997 <PERIOD-END> JUL-31-1998 <CASH> 96,916 <SECURITIES> 0 <RECEIVABLES> 461,019 <ALLOWANCES> 12,000 <INVENTORY> 109,770 <CURRENT-ASSETS> 1,680,090 <PP&E> 2,684,792 <DEPRECIATION> 704,721 <TOTAL-ASSETS> 5,157,925 <CURRENT-LIABILITIES> 2,292,028 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 1,353,726 <COMMON> 13,403,147 <OTHER-SE> 0 <TOTAL-LIABILITY-AND-EQUITY> 5,157,925 <SALES> 643,243 <TOTAL-REVENUES> 643,243 <CGS> 634,183 <TOTAL-COSTS> 0 <OTHER-EXPENSES> 0 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 66,802 <INCOME-PRETAX> 0 <INCOME-TAX> 0 <INCOME-CONTINUING> 0 <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (963,295) <EPS-PRIMARY> (.24) <EPS-DILUTED> (.24)