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Part I — FINANCIAL INFORMATION
		Item 1.		Consolidated Financial Statements (unaudited)
				Consolidated Statements of Operations:
				Three Months Ended September 30, 2002 and 2001		3
				Nine Months Ended September 30, 2002 and 2001		3
				Consolidated Balance Sheets as of September 30, 2002 and December 31, 2001		4
				Consolidated Statements of Cash Flows:
				Nine Months Ended September 30, 2002 and 2001		5
				Notes to Consolidated Financial Statements		6
		Item 2.		Management’s Discussion and Analysis of Results of Operations and Financial Condition		9
		Item 3.		Quantitative and Qualitative Disclosure About Market Risk		16
		Item 4.		Controls and Procedures		16
Part II — OTHER INFORMATION
		Item 1.		Legal Proceedings		17
		Item 2.		Changes in Securities		17
		Item 3.		Defaults Upon Senior Securities		17
		Item 4.		Submission of Matters to a Vote of Security Holders		17
		Item 5.		Other Information		17
		Item 6.		Exhibits and Reports on Form 8-K		17
		Signatures				18
		Certifications				19

		Three Months Ended September 30,								Nine Months Ended September 30,
		2002				2001				2002				2001
Revenue:
Product revenue		$	3,309,196			$	6,262,823			$	14,048,001			$	18,106,391
Other revenue (note 8)			2,736,000				—				2,736,000				—
Total revenue			6,045,196				6,262,823				16,784,001				18,106,391
Cost of revenue			4,345,148				4,557,001				12,303,924				13,411,014
Gross profit			1,700,048				1,705,822				4,480,077				4,695,377
Operating expenses:
Research and development			1,200,329				1,292,495				3,720,861				3,764,062
Selling, general and administrative			1,361,426				1,254,939				3,890,474				3,810,157
Restructuring and other charges			198,556				—				886,744				—
Total operating expenses			2,760,311				2,547,434				8,498,079				7,574,219
Operating loss			(1,060,263	)			(841,612	)			(4,018,002	)			(2,878,842	)
Other expense, net			(114,925	)			(82,979	)			(346,765	)			(200,600	)
Net loss		$	(1,175,188	)		$	(924,591	)		$	(4,364,767	)		$	(3,079,442	)
Basic and diluted net loss per common share		$	(0.04	)		$	(0.03	)		$	(0.16	)		$	(0.12	)
Weighted average number of common shares outstanding			26,819,165				26,785,271				26,812,283				26,748,316

		September 30, 2002				December 31, 2001
ASSETS
Current assets:
Cash and cash equivalents		$	3,637,716			$	7,654,845
Marketable securities			—				749,141
Accounts receivable			4,794,046				4,556,865
Inventories			4,382,426				4,066,964
Prepaid expenses and other current assets			370,900				247,286
Total current assets			13,185,088				17,275,101
Property and equipment			23,832,925				22,900,450
Less accumulated depreciation and amortization			(19,114,555	)			(16,721,645	)
			4,718,370				6,178,805
Other assets			6,700				6,700
		$	17,910,158			$	23,460,606
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Accounts payable		$	1,565,778			$	1,562,569
Accrued expenses			2,121,910				1,796,390
Convertible senior secured fixed rate notes			7,300,000				—
Other current liabilities			349,421				2,039,686
Total current liabilities			11,337,109				5,398,645
Long-term liabilities:
Long-term liabilities, excluding current portion			189,110				7,572,752
Other liabilities			960,300				960,300
Total liabilities			12,486,519				13,931,697
Shareholders' equity:
Common stock, $.01 par value: 45,000,000 authorized 27,141,061 and 26,802,687 shares issued and outstanding			271,411				268,027
Additional paid-in capital			148,427,904				147,517,078
Accumulated deficit			(140,252,237	)			(135,887,470	)
Deferred compensation			(718,461	)			—
Accumulated other comprehensive loss			(2,304,978	)			(2,368,726	)
Total shareholders' equity			5,423,639				9,528,909
		$	17,910,158			$	23,460,606

		Nine Months Ended September 30,
		2002				2001
Cash flows from operating activities:
Net loss		$	(4,364,767	)		$	(3,079,442	)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Depreciation and amortization			1,651,428				1,831,225
Other noncash charges			619,845				1,506
Changes in operating assets and liabilities:
Accounts receivable			(237,181	)			1,651,278
Inventories			(315,462	)			26,257
Prepaid expenses and other current assets			(123,614	)			46,499
Accounts payable			3,209				(924,366	)
Accrued expenses			325,520				(557,597	)
Deferred credits and revenue			(1,583,333	)			1,303,585
Net cash provided by (used in) operating activities			(4,024,355	)			298,945
Cash flows from investing activities:
Purchases of property and equipment			(589,944	)			(928,035	)
Purchases of marketable securities			—				(3,569,950	)
Proceeds from maturities of marketable securities			749,141				9,851,711
Other			6,500				(1,100	)
Net cash provided by investing activities			165,697				5,352,626
Cash flows from financing activities:
Principal payments on borrowin