<ARTICLE> 5 <MULTIPLIER> 1,000 <PERIOD-TYPE> 3-MOS <FISCAL-YEAR-END> DEC-31-1998 <PERIOD-START> APR-01-1998 <PERIOD-END> JUN-30-1998 <CASH> 5,590 <SECURITIES> 888 <RECEIVABLES> 15,215 <ALLOWANCES> 513 <INVENTORY> 7,828 <CURRENT-ASSETS> 29,913 <PP&E> 9,673 <DEPRECIATION> 2,989 <TOTAL-ASSETS> 54,301 <CURRENT-LIABILITIES> 16,564 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 53 <COMMON> 243 <OTHER-SE> 37,341 <TOTAL-LIABILITY-AND-EQUITY> 54,301 <SALES> 7,071 <TOTAL-REVENUES> 7,071 <CGS> 4,827 <TOTAL-COSTS> 4,827 <OTHER-EXPENSES> 6,266 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> (1,088) <INCOME-PRETAX> (5,048) <INCOME-TAX> 14 <INCOME-CONTINUING> (5,062) <DISCONTINUED> (97) <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (5,159) <EPS-PRIMARY> (.23) <EPS-DILUTED> (.23)