<ARTICLE> 5 <MULTIPLIER> 1000 <PERIOD-TYPE> YEAR <FISCAL-YEAR-END> DEC-31-1998 <PERIOD-START> JAN-01-1998 <PERIOD-END> DEC-31-1998 <CASH> 8125 <SECURITIES> 0 <RECEIVABLES> 13508 <ALLOWANCES> (500) <INVENTORY> 5338 <CURRENT-ASSETS> 26850 <PP&E> 25902 <DEPRECIATION> (21243) <TOTAL-ASSETS> 31827 <CURRENT-LIABILITIES> 11051 <BONDS> 0 <COMMON> 99849 <PREFERRED-MANDATORY> 773 <PREFERRED> 0 <OTHER-SE> (79896) <TOTAL-LIABILITY-AND-EQUITY> 31827 <SALES> 32431 <TOTAL-REVENUES> 32431 <CGS> 24201 <TOTAL-COSTS> (59944) <OTHER-EXPENSES> (86) <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 0 <INCOME-PRETAX> (27599) <INCOME-TAX> 1 <INCOME-CONTINUING> (27600) <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (29503) <EPS-PRIMARY> (1.71) <EPS-DILUTED> (1.71) <FN> <F1> Deemed dividends on preferred stock = (1903)