<ARTICLE> 5 <MULTIPLIER> 1,000 <PERIOD-TYPE> 9-MOS <FISCAL-YEAR-END> DEC-31-1998 <PERIOD-START> JAN-01-1998 <PERIOD-END> SEP-30-1998 <CASH> 0 <SECURITIES> 729 <RECEIVABLES> 10,462 <ALLOWANCES> 4,560 <INVENTORY> 8,146 <CURRENT-ASSETS> 15,398 <PP&E> 10,114 <DEPRECIATION> 3,428 <TOTAL-ASSETS> 32,476 <CURRENT-LIABILITIES> 19,712 <BONDS> 0 <PREFERRED-MANDATORY> 0 <PREFERRED> 43 <COMMON> 281 <OTHER-SE> 12,316 <TOTAL-LIABILITY-AND-EQUITY> 32,476 <SALES> 13,130 <TOTAL-REVENUES> 13,130 <CGS> 9,379 <TOTAL-COSTS> 12,949 <OTHER-EXPENSES> 32,462 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> (3,208) <INCOME-PRETAX> (35,674) <INCOME-TAX> 36 <INCOME-CONTINUING> (35,710) <DISCONTINUED> (262) <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (35,787) <EPS-PRIMARY> (1.52) <EPS-DILUTED> (1.52)