<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, 1997 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. </LEGEND> <PERIOD-TYPE> 6-MOS <FISCAL-YEAR-END> DEC-31-1997 <PERIOD-START> JAN-01-1997 <PERIOD-END> JUN-30-1997 <CASH> 1,970,537 <SECURITIES> 19,396,505 <RECEIVABLES> 7,408,558 <ALLOWANCES> 161,862 <INVENTORY> 5,627,447 <CURRENT-ASSETS> 33,659,863 <PP&E> 7,408,447 <DEPRECIATION> 710,680 <TOTAL-ASSETS> 41,557,630 <CURRENT-LIABILITIES> 4,496,051 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 101,036 <OTHER-SE> 36,960,543 <TOTAL-LIABILITY-AND-EQUITY> 41,557,630 <SALES> 23,642,941 <TOTAL-REVENUES> 23,642,941 <CGS> 5,400,636 <TOTAL-COSTS> 5,400,636 <OTHER-EXPENSES> 11,744,871 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 0 <INCOME-PRETAX> 6,902,315 <INCOME-TAX> 2,763,000 <INCOME-CONTINUING> 4,139,315 <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> 4,139,315 <EPS-PRIMARY> .35 <EPS-DILUTED> .35