<ARTICLE> 5 <PERIOD-TYPE> 3-MOS <FISCAL-YEAR-END> JUL-31-2000 <PERIOD-START> NOV-01-1999 <PERIOD-END> JAN-31-2000 <CASH> 1,600,000 <SECURITIES> 18,132,000 <RECEIVABLES> 10,349,000 <ALLOWANCES> 4,716,000 <INVENTORY> 10,309,000 <CURRENT-ASSETS> 42,116,000 <PP&E> 13,670,000 <DEPRECIATION> 3,435,000 <TOTAL-ASSETS> 53,340,000 <CURRENT-LIABILITIES> 22,724,000 <BONDS> 8,500,000 <PREFERRED-MANDATORY> 0 <PREFERRED> 0 <COMMON> 114,000 <OTHER-SE> 32,614,000 <TOTAL-LIABILITY-AND-EQUITY> 53,340,000 <SALES> 16,327,000 <TOTAL-REVENUES> 16,327,000 <CGS> 12,521,000 <TOTAL-COSTS> 12,521,000 <OTHER-EXPENSES> 7,950,000 <LOSS-PROVISION> 0 <INTEREST-EXPENSE> 0 <INCOME-PRETAX> (3,872,000) <INCOME-TAX> (1,191,000) <INCOME-CONTINUING> 0 <DISCONTINUED> 0 <EXTRAORDINARY> 0 <CHANGES> 0 <NET-INCOME> (2,681,000) <EPS-BASIC> (.24) <EPS-DILUTED> (.24)