CALIFORNIA		94-2549086
(State or other jurisdiction of incorporation or organization)		(I.R.S. Employer Identification No.)
425 Encinal Street, Santa Cruz, California		95060
(Address of principal executive office)		(Zip Code)

Part I.		Financial Information
		Item 1.		Financial Statements		Page
				a)       Condensed Consolidated Statements of Operations            for the three months and nine months ended June 30, 2002 and 2001		3
				b)      Condensed Consolidated Balance Sheets,          as of June 30, 2002 and September 30, 2001		4
				c)       Condensed Consolidated Statements of Cash Flows          for the nine months ended June 30, 2002 and 2001		5
				d)      Notes to Condensed Consolidated Financial Statements		7
		Item 2.		Management’s Discussion and Analysis of Financial Condition and Results of Operations		15
		Item 3.		Quantitative and Qualitative Disclosures about Market Risk		23
Part II.		Other Information
		Item 6.		Exhibits		23
Signatures						24

		Three Months Ended June 30,								Nine Months Ended June 30,
		2002				2001				2002				2001
		(Unaudited)								(Unaudited)
Net revenues:
Licenses		$	2,940			$	7,753			$	9,224			$	54,779
Services			710				1,084				1,590				7,864
Total net revenues			3,650				8,837				10,814				62,643
Cost of revenues:
Licenses			127				1,042				356				8,033
Services			360				1,434				867				8,655
Total cost of revenues			487				2,476				1,223				16,688
Gross margin			3,163				6,361				9,591				45,955
Operating expenses:
Research and development			1,322				3,593				4,375				16,543
Selling, general and administrative			4,642				14,856				15,733				56,634
Restructuring charge			—				—				1,718				1,133
Total operating expenses			5,964				18,449				21,826				74,310
Operating loss			(2,801	)			(12,088	)			(12,235	)			(28,355	)
Gain/(loss) on Caldera transaction			445				53,267				(2,593	)			53,267
Equity losses in Caldera			—				—				(4,010	)			—
Interest income, net			36				98				477				788
Other income (expense), net			3,585				(3,036	)			3,597				621
Income (loss) before income taxes			1,265				38,241				(14,764	)			26,321
Income tax provision (benefit)			—				154				(760	)			(47	)
Net income (loss)			1,265				38,087				(14,004	)			26,368
Other comprehensive income (loss):
Unrealized gain (loss) on available for sale securities			5				(1,417	)			70				(5,413	)
Foreign currency translation adjustment			8				(204	)			24				25
Total other comprehensive income (loss)			13				(1,621	)			94				(5,388	)
Comprehensive income (loss)		$	1,278			$	36,466			$	(13,910	)		$	20,980
Earnings (loss) per share:
Basic		$	0.03			$	0.95			$	(0.35	)		$	0.66
Diluted		$	0.03			$	0.95			$	(0.35	)		$	0.66
Shares used in earnings (loss) per share calculation:
Basic			40,572				40,030				40,346				39,734
Diluted			42,738				40,200				40,346				40,027

		June 30, 2002				September 30, 2001
(In thousands)		(Unaudited)
Assets
Current assets:
Cash and cash equivalents		$	6,889			$	12,100
Short-term investments			—				2,000
Receivables, net of allowance for doubtful accounts of $0.8 million and $2.3 million, respectively			2,644				4,098
Available-for-sale equity securities			172				101
Note receivable from Caldera			—				1,846
Other receivables—Caldera			3,068				1,274
Other receivables			238				384
Prepaids and other current assets			989				1,163
Total current assets			14,000				22,966
Property and equipment, net			1,378				2,232
Long-term portion of note receivable from Caldera			—				5,260
Equity investment in Caldera			—				4,010
Other assets			1,226				1,123
Total assets		$	16,604			$	35,591
Liabilities and shareholders’ equity
Current liabilities:
Trade accounts payable		$	588			$	802
Royalties payable			454				733
Income taxes payable			215				374
Accrued restructuring charges			472				344
Other payables—Caldera			—				657
Accrued expenses and other current liabilities			4,990				8,849
Deferred revenues			1,135				1,185
Total current liabilities			7,854				12,944
Long-term lease obligations			—				2
Long-term deferred revenues			39				91
Other long-term liabilities			1,000				1,760