<ARTICLE> 5 <LEGEND> THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE BALANCE SHEET AND STATEMENT OF OPERATIONS OF SPINE-TECH, INC., FOR THE SIX MONTHS ENDED JUNE 30, 1996 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. </LEGEND> <CIK> 0000889842 <NAME> SPINE-TECH, INC. <PERIOD-TYPE> 6-MOS <FISCAL-YEAR-END> DEC-31-1996 <PERIOD-START> JAN-01-1996 <PERIOD-END> JUN-30-1996 <CASH> 494,209 <SECURITIES> 22,431,362 <RECEIVABLES> 920,851 <ALLOWANCES> 60,583 <INVENTORY> 5,045,096 <CURRENT-ASSETS> 25,315,747 <PP&E> 2,735,239 <DEPRECIATION> 355,874 <TOTAL-ASSETS> 31,887,904 <CURRENT-LIABILITIES> 576,065 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 98,711 <OTHER-SE> 31,213,128 <TOTAL-LIABILITY-AND-EQUITY> 31,887,904 <SALES> 2,947,469 <TOTAL-REVENUES> 2,947,469 <CGS> 1,129,131 <TOTAL-COSTS> 1,129,131 <OTHER-EXPENSES> 3,537,670 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 0 <INCOME-PRETAX> (940,461) <INCOME-TAX> 0 <INCOME-CONTINUING> (940,461) <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (940,461) <EPS-PRIMARY> (.10) <EPS-DILUTED> (.10)