Delaware		77-0521878
(State or other jurisdiction of incorporation or organization)		(IRS Employer Identification No.)

Class		Outstanding at November __, 2002
Common Stock, $0.001 par value		__________

PART I		FINANCIAL INFORMATION
Item 1.		Financial Statements
		Condensed Consolidated Balance Sheets as of September 30, 2002 and December 31, 2001 (unaudited)		3
		Condensed Consolidated Statements of Operations and Comprehensive Income for the Three and Nine Month Periods Ended September 30, 2002 and 2001 (unaudited)		4
		Condensed Consolidated Statements of Cash Flows for the Nine Month Periods Ended September 30, 2002 and 2001 (unaudited)		5
		Notes to Condensed Consolidated Financial Statements (unaudited)		6
Item 2.		Management’s Discussion and Analysis of Financial Condition and Results of Operations		10
Item 3.		Quantitative and Qualitative Disclosures about Market Risk		20
Item 4.		Controls and Procedures		20
PART II		OTHER INFORMATION
Item 1.		Legal Proceedings		21
Item 2.		Changes in Securities and Use of Proceeds		21
Item 3.		Defaults Upon Senior Securities		21
Item 4.		Submission of Matters to a Vote of Security Holders		21
Item 5.		Other Information		21
Item 6.		Exhibits and Reports on Form 8-K		21
Signatures				23

		September 30, 2002				December 31, 2001
ASSETS
Current assets:
Cash and cash equivalents		$	43,872			$	54,522
Short-term investments			4,990				—
Accounts receivable, (net of allowance for doubtful accounts of $682 and $1,701 at September 30, 2002 and December 31, 2001)			36,894				43,275
Inventories, net			32,430				30,009
Deferred tax asset, current portion			4,617				4,857
Other current assets			3,354				2,879
Total current assets			126,157				135,542
Property and equipment, net			9,101				8,687
Deferred tax asset, net of current portion			12,759				14,300
Other assets			2,339				1,060
Intangible assets			16,951				17,493
Total assets		$	167,307			$	177,082
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable		$	21,930			$	29,694
Accrued compensation			1,344				2,401
Other accrued liabilities			1,890				3,202
Deferred revenue			4,596				4,550
Income taxes payable			—				5,219
Total current liabilities			29,760				45,066
Stockholders’ equity:
Common stock			49				49
Additional paid in capital			72,640				71,929
Unearned stock-based compensation			(15	)			(71	)
Accumulated other comprehensive loss			(125	)			(73	)
Retained earnings			64,998				60,182
Total stockholders’ equity			137,547				132,016
Total liabilities and stockholders’ equity		$	167,307			$	177,082

		Three Months Ended September 30,								Nine Months Ended September 30,
		2002				2001				2002				2001
Net revenue		$	50,495			$	54,973			$	154,713			$	162,885
Cost of net revenue			34,560				36,035				103,731				110,257
Gross profit			15,935				18,938				50,982				52,628
Operating expenses:
Sales and marketing			9,309				6,070				24,940				18,292
General and administrative			6,358				5,969				18,456				15,884
Amortization of intangible assets			127				350				381				1,050
Total operating expenses			15,794				12,389				43,777				35,226
Income from operations			141				6,549				7,205				17,402
Interest and other income, net			181				461				889				1,438
Income before income taxes			322				7,010				8,094				18,840
Income tax provision			130				2,979				3,278				8,007
Net income			192				4,031				4,816				10,833
Other comprehensive income (loss), net of tax:
Foreign currency translation adjustment			10				(36	)			(58	)			(17	)
Unrealized gain (loss) on investments			(11	)			—				6				—
Comprehensive income		$	191			$	3,995			$	4,764			$	10,816
Net income per share—basic		$	0.00			$	0.08			$	0.10			$	0.22
Weighted average shares—basic			48,695				48,274				48,630				48,243
Net income per share—diluted		$	0.00			$	0.08			$	0.10			$	0.22
Weighted average shares—diluted			48,920				48,486				49,532				48,458

		Nine Months Ended September 30,
		2002				2001
Cash flows from operating activities:
Net income		$	4,816			$	10,833
Adjustments to reconcile net income to net cash (used in) provided by operating activities:
Depreciation and amortization			3,744				3,590
Provision for doubtful accounts			(1,019	)			648
Provision for excess and obsolete inventories			308				2,172
Deferred tax provision			1,216				918
Amortization of stock-based compensation			56				356
Non-cash gain on disposition of assets			(93	)			—
Forgiveness of loans to officers			224				65
Changes in operating assets and liabilities:
Accounts receivable			7,400				(3,839	)
Inventories			(2,729	)			4,508
Other current and non-current assets			(653	)			(261	)
Accounts payable			(7,764	)			1,049
Accrued compensation			(1,057	)			(217	)
Deferred revenue