<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, 1998 AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. </LEGEND> <MULTIPLIER> 1,000 <PERIOD-TYPE> 3-MOS <FISCAL-YEAR-END> OCT-31-1998 <PERIOD-END> JAN-31-1998 <CASH> 0 <SECURITIES> 0 <RECEIVABLES> 16869 <ALLOWANCES> 6709 <INVENTORY> 1040 <CURRENT-ASSETS> 18807 <PP&E> 1238 <DEPRECIATION> 4236 <TOTAL-ASSETS> 27183 <CURRENT-LIABILITIES> 25677 <BONDS> 3050 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 64 <OTHER-SE> (2267) <TOTAL-LIABILITY-AND-EQUITY> 27183 <SALES> 7203 <TOTAL-REVENUES> 7203 <CGS> 1590 <TOTAL-COSTS> 1590 <OTHER-EXPENSES> 8130 <LOSS-PROVISION> 75 <INTEREST-EXPENSE> 384 <INCOME-PRETAX> (2901) <INCOME-TAX> 0 <INCOME-CONTINUING> (2901) <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (2901) <EPS-PRIMARY> (0.45) <EPS-DILUTED> (0.45)