<ARTICLE> 5 <MULTIPLIER> 1,000 <PERIOD-TYPE> YEAR <FISCAL-YEAR-END> JUL-31-1996 <PERIOD-START> AUG-01-1995 <PERIOD-END> JUL-31-1996 <CASH> 17793 <SECURITIES> 0 <RECEIVABLES> 20886 <ALLOWANCES> 5398 <INVENTORY> 1811 <CURRENT-ASSETS> 35914 <PP&E> 7797 <DEPRECIATION> 4691 <TOTAL-ASSETS> 62838 <CURRENT-LIABILITIES> 6463 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 216 <OTHER-SE> 83450 <TOTAL-LIABILITY-AND-EQUITY> 62838 <SALES> 34490 <TOTAL-REVENUES> 34490 <CGS> 15440 <TOTAL-COSTS> 13883 <OTHER-EXPENSES> 7613<F2> <LOSS-PROVISION> 6703 <INTEREST-EXPENSE> (1640)<F1> <INCOME-PRETAX> (7508) <INCOME-TAX> 199 <INCOME-CONTINUING> (7708) <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (7708) <EPS-PRIMARY> (0.34) <EPS-DILUTED> 0.00 <FN> <F1>INTEREST INCOME - NET <F2>INCLUDES WRITEDOWN OF LEASEHOLD INTEREST & RELATED COSTS </FN>