<ARTICLE> 5 <LEGEND> THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE CONSOLIDATED BALANCE SHEETS AND CONSOLIDATED STATEMENTS OF INCOME FOUND IN THE COMPANY'S FORM 10-Q FOR THE QUARTER ENDED JANUARY 31, 1999 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH </LEGEND> <RESTATED> <MULTIPLIER> 1000 <PERIOD-TYPE> 3-MOS <FISCAL-YEAR-END> OCT-31-1999 <PERIOD-END> JAN-31-1999 <CASH> 399 <SECURITIES> 0 <RECEIVABLES> 13205 <ALLOWANCES> 979 <INVENTORY> 656 <CURRENT-ASSETS> 15161 <PP&E> 1194 <DEPRECIATION> 3355 <TOTAL-ASSETS> 23964 <CURRENT-LIABILITIES> 14979 <BONDS> 3050 <PREFERRED-MANDATORY> 3358 <PREFERRED> 0 <COMMON> 64 <OTHER-SE> 2043 <TOTAL-LIABILITY-AND-EQUITY> 23964 <SALES> 5661 <TOTAL-REVENUES> 5661 <CGS> 961 <TOTAL-COSTS> 961 <OTHER-EXPENSES> 6931 <LOSS-PROVISION> 312 <INTEREST-EXPENSE> 615 <INCOME-PRETAX> (2846) <INCOME-TAX> 0 <INCOME-CONTINUING> (2846) <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (2846) <EPS-BASIC> (0.44) <EPS-DILUTED> (0.44)