Sales for the fourth quarter of 2001 were $56.7 million, up $5.2 million or 9.9% from the fourth quarter of 2000. A provision for inventory to be returned from a terminated distributor reduced sales in the fourth quarter of 2000 by $4 million. Excluding the effect of this return provision, sales in the fourth quarter of 2001 were up $1.2 million or 2.2% over 2000.

Net earnings in the fourth quarter of 2001 were $0.7 million. Charges for expenses related to a major distributor transition and the margin effect of the related inventory return provision reduced net earnings in the fourth quarter of 2000 by $6.0 million.

Income per share was $.09 in the fourth quarter of 2001 compared with loss per share of $.69 in the fourth quarter of 2000.

Sales for 2001 were $223.3 million, a decrease of 0.6% from the $224.6 million reported in 2000. The net loss in 2001 was $1.6 million compared with a net loss of $8.1 million in 2000, which included the $6 million after-tax effect of the distributor transition.