SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    FORM 8-K

                                 CURRENT REPORT


     PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934


       Date of Report (Date of earliest event reported): February 18, 2004

                          INTERNET PICTURES CORPORATION
                          -----------------------------
             (Exact name of registrant as specified in its charter)


            DELAWARE                     000-26363             52-2213841
            --------                     ---------             ----------
        (State or other                 (Commission           (IRS Employer
  jurisdiction of incorporation)        File Number)      Identification Number)


3160 Crow canyon road, san ramon, california                         94583
-------------------------------------------------------------------------------
(Address of principal executive offices)                           (Zip Code)


Registrant's telephone number, including area code:              (925) 242-4002
---------------------------------------------------              --------------
                                       N/A
          -------------------------------------------------------------
          (Former name or former address, if changed since last report)

<PAGE>

ITEM 7:  FINANCIAL STATEMENTS, PRO FORMA FINANCIAL
         INFORMATION AND EXHIBITS.

         (c)  Exhibits

Exhibit
Number                              Description
-------                             -----------
99.1                       Press Release dated February 18, 2004


ITEM 12: RESULTS OF OPERATIONS AND FINANCIAL CONDITION

The  following  information  is furnished  pursuant to Item 12,  "Disclosure  of
Results of Operations  and Financial  Condition" and shall not be deemed "filed"
for purposes of Section 18 of the Securities  Exchange Act of 1934, nor shall it
be deemed  incorporated  by reference in any filing under the  Securities Act of
1933.

On February 18,  2004,  Internet  Pictures  Corporation  issued a press  release
announcing its financial  results for the fiscal year ended December 31, 2003. A
copy of the press release is attached hereto as Exhibit 99.1 and is incorporated
herein by reference.



<PAGE>


                                   SIGNATURES

Pursuant  to the  requirements  of the  Securities  Exchange  Act of  1934,  the
Registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned hereunto duly authorized.

INTERNET PICTURES CORPORATION

Dated:  March 9, 2004

                                     /s/ Paul Farmer
                               ------------------------------
                               Paul Farmer
                               Chief Financial Officer



<PAGE>

                                  Exhibit Index


Exhibit
Number                               Description
-------                     -------------------------------
99.1                     Press Release dated February 18, 2004


<PAGE>
                                                                   Exhibit 99.1


                                                                    IR Contact:
                                                                    -----------
                                                               Paul Farmer, CFO
                                                                (925) 242- 4002
                                                           paul.farmer@ipix.com
                                                           --------------------


           IPIX REPORTS RESULTS FOR FOURTH QUARTER 2003 AND FULL YEAR


OAK RIDGE, TN/SAN RAMON, CA - February 18, 2004 - Internet Pictures  Corporation
(NASDAQ: IPIX), a leader in mission-critical imaging solutions,  today announced
financial  results for the quarter and year ended  December  31,  2003.  IPIX(R)
reported for the quarter  ended  December 31, 2003 and the  comparable  year-ago
quarter:

     -    Revenue was $9.3 million compared to $5.9 million;

     -    Net income available for common shareholders was $96 thousand compared
          to $36 thousand;

     -    Fully  diluted  earnings  per common  share were one cent  compared to
          zero.

Revenues in the quarter ended  December 31, 2003 include a one-time $8.0 million
license fee for IPIX Rimfire(R)  technology and other services.  As announced in
June 2003,  IPIX and eBay amended their then current  commercial  agreement (see
IPIX's Quarterly Report on Form 10Q for the quarter ended June 30, 2003),  which
was subsequently  extended by eBay to October 31, 2003 for a final $0.45 million
additional  fee. IPIX no longer  provides any products or services to eBay as of
November 1, 2003.  Also  included in the results of  operations  for the quarter
ended December 31, 2003, were expenses for the following:

     -    Impairment of goodwill  associated with the Rimfire  technology  ($3.0
          million; non-cash);

     -    Professional fees associated with the eBay license fee ($0.7 million);
          and

     -    The  recognition of cumulative  currency  translations  from dissolved
          foreign subsidiaries ($0.5 million; non-cash).

"At December 31, 2003,  the Company had $12.3  million in cash,  restricted  and
unrestricted  investments  and long term  restricted  cash and $11.5  million in
shareholders'  equity," said Don  Strickland,  IPIX president and CEO. "We enter
2004  focused  on  launching  our  new  platform  for our  360-degree  panoramic
photography  and movies  business;  investing in our  government  and commercial
video  security  business;  and  identifying  new  customers for and growing our
non-eBay self service on-line and off-line advertising business."

For the year ended  December 31,  2003,  revenue was $28.8  million  compared to
$22.4 million for the year ended December 31, 2002. Net loss available to common
shareholders  for the year ended December 31, 2003 was $0.4 million  compared to
$2.9 million in 2002. For the year ended  December 31, 2003,  fully diluted loss
per common share was $0.05, compared to $0.43 in 2002.

About IPIX

Internet Pictures Corporation is a leader in mission-critical  imaging solutions
for three core markets:  360-degree panoramic photography and movies; government

<PAGE>

and  commercial   video   security;   and  self  service  on-line  and  off-line
advertising. IPIX's extensive intellectual property covers patents for immersive
imaging,  video and  surveillance  applications.  IPIX is  headquartered  in Oak
Ridge, Tennessee, with co-headquarters in San Ramon, California. www.ipix.com

                                      # # #

IPIX  and  Rimfire  are  trademarks  and  service  marks  of  Internet  Pictures
Corporation.

This press release may contain forward-looking information within the meaning of
Section 27A of the  Securities  Act of 1933 and  Section  21E of the  Securities
Exchange Act of 1934,  and is subject to the safe harbors under those  sections.
In some cases, you can identify  forward-looking  statements by terminology such
as "expect," "believe," "may," "will," "plans" and "anticipate," or the negative
of such terms or comparable  terminology.  Forward-looking  statements appearing
herein include statements concerning operating and profitability plans and goals
and restructuring efforts, and are based on current expectations.

Actual results may differ materially from those projected in the forward-looking
statements based upon a number of factors including:

  (i)     our loss of existing, or an inability to attract new customers,

  (ii)    changes in the demand for our products and services,

  (iii)   our rate of revenue growth,

  (iv)    our ability to control or affect reductions in costs,

  (v)     our ability to design,  manufacture and deliver high quality  products
          in a timely fashion,

  (vi)    uncertainty regarding our ability to continue as a going concern,

  (vii)   our third-party  supplier's ability to deliver high quality components
          to us in a timely fashion,

  (viii)  technological changes,

  (ix)    general economic, financial or market changes or developments and

  (x)     the conversion of our Series B Preferred Stock into common stock.

The matters discussed in this press release also involve risks and uncertainties
described from time to time in documents  filed with the Securities and Exchange
Commission,  including but not limited to Form 10-Ks,  Form 10-K/As,  Form 10-Qs
and Form 8-Ks (www.sec.gov).


<PAGE>

                          INTERNET PICTURES CORPORATION
                 CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

<TABLE>
<S>                                                                          <C>        <C>               <C>         <C>

                                                                             Three months ended           Twelve months ended
                                                                                December 31,                  December 31,
                                                                             -------------------          ---------------------
                                                                               2002       2003              2002        2003
                                                                             --------   --------          ----------  ---------
                                                                                 (unaudited)                    (unaudited)
               (In thousands, except per share data)                        (restated)                    (restated)

Revenue:
Transaction services..................................................       $ 4,623    $ 8,774           $ 16,242    $ 26,245
Immersive still solutions.............................................         1,240        463              6,171       2,321
Immersive video solutions.............................................            --         36                 --         273
                                                                             --------   --------          ----------  ---------
   Total revenue......................................................         5,863      9,273             22,413      28,839

Cost of revenue:
Transaction services..................................................         1,590      1,114              6,828       6,540
Immersive still solutions.............................................           529        377              1,900       1,402
Immersive video solutions.............................................            --         17                 --         178
                                                                             --------   --------          ----------  ---------
   Total cost of revenue..............................................         2,119      1,508              8,728       8,120
                                                                             --------   --------          ---------   ---------

   Gross profit.......................................................         3,744      7,765             13,685      20,719
                                                                             --------   --------          ---------   ---------

Operating expenses:
Sales and marketing...................................................         1,532      1,901              7,607       7,605
Research and development..............................................         1,176        927              4,862       4,553
General and administrative............................................           515        788              2,933       3,452
Impairment of goodwill  ..............................................            --      3,042                 --       3,042
Restructuring ........................................................            --         89                687          89
                                                                             --------   --------          ---------   ---------
   Total operating expenses...........................................         3,223      6,747             16,089      18,741
                                                                             --------   --------          ---------   ---------

Income (loss) from operations.........................................           521      1,018             (2,404)      1,978
Patent infringement award ............................................            --         --              1,000          --
Loss on foreign currency .............................................            --       (491)                --        (491)
Interest income (expense) and other...................................           (35)         2                261        (101)
                                                                             --------   --------          ---------   ---------
Net income (loss).....................................................           486        529             (1,143)      1,386
Preferred stock dividends (restated for 2002).........................          (450)      (433)            (1,784)     (1,778)
                                                                             --------   --------          ---------   ---------

Net income (loss) available to common stockholders (restated for 2002)       $    36    $    96           $ (2,927)   $   (392)
                                                                             ========   ========          =========   =========

Income (loss) per common share, basic and diluted (restated for 2002).       $  0.00    $  0.01           $  (0.43)   $  (0.05)
Weighted average common shares, basic and diluted.....................        17,075      8,014              6,794       7,365
</TABLE>

<PAGE>


                          INTERNET PICTURES CORPORATION
                           CONSOLIDATED BALANCE SHEETS

<TABLE>
<S>                                                                              <C>              <C>

                                                                                 December 31,     December 31,
                                                                                     2002             2003
                                                                                 ------------     ------------
                                                                                      (1)          (unaudited)
(In thousands, except share and per share data)

 ASSETS
 CURRENT ASSETS:
 Cash and cash equivalents......................................................    $3,020            $10,241
 Restricted cash and short term investments.....................................     2,972              1,100
 Short term investments.........................................................        --                331
 Accounts receivable, net of allowance for doubtful accounts of
        $208 in 2002 and $0 in 2003.............................................     3,535                261
 Inventory, net of reserve for obsolescence of $160 in 2002 and
        $148 in 2003............................................................       181                398
 Prepaid expenses and other current assets......................................       984              1,523
                                                                                    ------             ------
       Total current assets.....................................................    10,692             13,854

 Computer hardware, software and other, net.....................................     4,631              1,578
 Restricted cash and other long term assets.....................................        70                852
 Goodwill.......................................................................     3,042                 --
                                                                                    ------             ------

          Total assets..........................................................   $18,435            $16,284
                                                                                   =======            =======
 LIABILITIES AND STOCKHOLDERS' EQUITY
 CURRENT LIABILITIES:
 Accounts payable...............................................................      $360               $612
 Accrued liabilities............................................................     5,426              3,342
 Deferred revenue...............................................................        85                 76
 Current portion of obligations under capital leases............................     2,403                608
                                                                                    ------             ------
           Total current liabilities............................................     8,274              4,638
 Obligations under capital leases, net of current portion.......................     1,459                 --
 Other long term liabilities....................................................       310                181
                                                                                    ------             ------

          Total liabilities.....................................................    10,043              4,819
                                                                                    ------             ------
 STOCKHOLDERS' EQUITY:
 Preferred Stock, $0.001 par value: ............................................         1                  1
      Authorized:   5,001,100 shares in 2002 and 2003
      Issued and outstanding:   1,115,080 in 2002 and 1,003,830 in 2003
      (Aggregate liquidation value:  $24,560 in 2002 and $23,716 in 2003)
 Common stock, $0.001 par value: ...............................................         7                  9
      Authorized:  50,000,000 in 2002 and 2003
      Issued and outstanding:   6,795,007 in 2002 and 8,678,730 in 2003
 Class B common stock, $0.0001 par value: ......................................        --                 --
      Authorized:  7,421,536 shares in 2002 and 2003
      Issued and outstanding:  17,948 shares in 2002 and 14,000 shares in 2003
 Additional paid-in capital.....................................................   513,995            515,186
 Accumulated deficit............................................................  (505,117)          (503,731)
 Accumulated other comprehensive loss...........................................      (494)                --
                                                                                      -----               ---
         Total stockholders' equity.............................................     8,392             11,465
                                                                                     -----             ------

         Total liabilities and stockholders' equity.............................   $18,435          $  16,284
                                                                                   =======          =========
</TABLE>


(1)  The December  31, 2002  balances  were  derived from the audited  financial
     statements.
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{"company-data": {"conformed-name": "INTERNET PICTURES CORP", "cik": "0001088022", "assigned-sic": "7389", "irs-number": "522213841", "state-of-incorporation": "DE", "fiscal-year-end": "1231"}, "filing-values": {"form-type": "8-K", "act": "34", "file-number": "000-26363", "film-number": "04656999"}, "business-address": {"street1": "1009 COMMERCE PARK DR", "street2": "SUITE 400", "city": "OAK RIDGE", "state": "TN", "zip": "37830", "phone": "8654823000"}, "mail-address": {"street1": "1009 COMMERCE PARK DR", "street2": "SUITE 400", "city": "OAK RIDGE", "state": "TN", "zip": "37830"}, "former-company": {"former-conformed-name": "BAMBOO COM INC", "date-changed": "19990604"}}
SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    FORM 8-K

                                 CURRENT REPORT

     PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

       Date of Report (Date of earliest event reported): February 18, 2004

                          INTERNET PICTURES CORPORATION
                          -----------------------------
             (Exact name of registrant as specified in its charter)

            DELAWARE                     000-26363             52-2213841
            --------                     ---------             ----------
        (State or other                 (Commission           (IRS Employer
  jurisdiction of incorporation)        File Number)      Identification Number)

3160 Crow canyon road, san ramon, california                         94583
-------------------------------------------------------------------------------
(Address of principal executive offices)                           (Zip Code)

Registrant's telephone number, including area code:              (925) 242-4002
---------------------------------------------------              --------------
                                       N/A
          -------------------------------------------------------------
          (Former name or former address, if changed since last report)
ITEM 7:  FINANCIAL STATEMENTS, PRO FORMA FINANCIAL
         INFORMATION AND EXHIBITS.

         (c)  Exhibits

Exhibit
Number                              Description
-------                             -----------
99.1                       Press Release dated February 18, 2004

ITEM 12: RESULTS OF OPERATIONS AND FINANCIAL CONDITION

The  following  information  is furnished  pursuant to Item 12,  "Disclosure  of
Results of Operations  and Financial  Condition" and shall not be deemed "filed"
for purposes of Section 18 of the Securities  Exchange Act of 1934, nor shall it
be deemed  incorporated  by reference in any filing under the  Securities Act of
1933.

On February 18,  2004,  Internet  Pictures  Corporation  issued a press  release
announcing its financial  results for the fiscal year ended December 31, 2003. A
copy of the press release is attached hereto as Exhibit 99.1 and is incorporated
herein by reference.
SIGNATURES

Pursuant  to the  requirements  of the  Securities  Exchange  Act of  1934,  the
Registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned hereunto duly authorized.

INTERNET PICTURES CORPORATION

Dated:  March 9, 2004

                                     /s/ Paul Farmer
                               ------------------------------
                               Paul Farmer
                               Chief Financial Officer
Exhibit Index

Exhibit
Number                               Description
-------                     -------------------------------
99.1                     Press Release dated February 18, 2004
Exhibit 99.1

                                                                    IR Contact:
                                                                    -----------
                                                               Paul Farmer, CFO
                                                                (925) 242- 4002
                                                           paul.farmer@ipix.com
                                                           --------------------

           IPIX REPORTS RESULTS FOR FOURTH QUARTER 2003 AND FULL YEAR

OAK RIDGE, TN/SAN RAMON, CA - February 18, 2004 - Internet Pictures  Corporation
(NASDAQ: IPIX), a leader in mission-critical imaging solutions,  today announced
financial  results for the quarter and year ended  December  31,  2003.  IPIX(R)
reported for the quarter  ended  December 31, 2003 and the  comparable  year-ago
quarter:

     -    Revenue was $9.3 million compared to $5.9 million;

     -    Net income available for common shareholders was $96 thousand compared
          to $36 thousand;

     -    Fully  diluted  earnings  per common  share were one cent  compared to
          zero.

Revenues in the quarter ended  December 31, 2003 include a one-time $8.0 million
license fee for IPIX Rimfire(R)  technology and other services.  As announced in
June 2003,  IPIX and eBay amended their then current  commercial  agreement (see
IPIX's Quarterly Report on Form 10Q for the quarter ended June 30, 2003),  which
was subsequently  extended by eBay to October 31, 2003 for a final $0.45 million
additional  fee. IPIX no longer  provides any products or services to eBay as of
November 1, 2003.  Also  included in the results of  operations  for the quarter
ended December 31, 2003, were expenses for the following:

     -    Impairment of goodwill  associated with the Rimfire  technology  ($3.0
          million; non-cash);

     -    Professional fees associated with the eBay license fee ($0.7 million);
          and

     -    The  recognition of cumulative  currency  translations  from dissolved
          foreign subsidiaries ($0.5 million; non-cash).

"At December 31, 2003,  the Company had $12.3  million in cash,  restricted  and
unrestricted  investments  and long term  restricted  cash and $11.5  million in
shareholders'  equity," said Don  Strickland,  IPIX president and CEO. "We enter
2004  focused  on  launching  our  new  platform  for our  360-degree  panoramic
photography  and movies  business;  investing in our  government  and commercial
video  security  business;  and  identifying  new  customers for and growing our
non-eBay self service on-line and off-line advertising business."

For the year ended  December 31,  2003,  revenue was $28.8  million  compared to
$22.4 million for the year ended December 31, 2002. Net loss available to common
shareholders  for the year ended December 31, 2003 was $0.4 million  compared to
$2.9 million in 2002. For the year ended  December 31, 2003,  fully diluted loss
per common share was $0.05, compared to $0.43 in 2002.

About IPIX

Internet Pictures Corporation is a leader in mission-critical  imaging solutions
for three core markets:  360-degree panoramic photography and movies; government
and  commercial   video   security;   and  self  service  on-line  and  off-line
advertising. IPIX's extensive intellectual property covers patents for immersive
imaging,  video and  surveillance  applications.  IPIX is  headquartered  in Oak
Ridge, Tennessee, with co-headquarters in San Ramon, California. www.ipix.com

                                      # # #

IPIX  and  Rimfire  are  trademarks  and  service  marks  of  Internet  Pictures
Corporation.

This press release may contain forward-looking information within the meaning of
Section 27A of the  Securities  Act of 1933 and  Section  21E of the  Securities
Exchange Act of 1934,  and is subject to the safe harbors under those  sections.
In some cases, you can identify  forward-looking  statements by terminology such
as "expect," "believe," "may," "will," "plans" and "anticipate," or the negative
of such terms or comparable  terminology.  Forward-looking  statements appearing
herein include statements concerning operating and profitability plans and goals
and restructuring efforts, and are based on current expectations.

Actual results may differ materially from those projected in the forward-looking
statements based upon a number of factors including:

  (i)     our loss of existing, or an inability to attract new customers,

  (ii)    changes in the demand for our products and services,

  (iii)   our rate of revenue growth,

  (iv)    our ability to control or affect reductions in costs,

  (v)     our ability to design,  manufacture and deliver high quality  products
          in a timely fashion,

  (vi)    uncertainty regarding our ability to continue as a going concern,

  (vii)   our third-party  supplier's ability to deliver high quality components
          to us in a timely fashion,

  (viii)  technological changes,

  (ix)    general economic, financial or market changes or developments and

  (x)     the conversion of our Series B Preferred Stock into common stock.

The matters discussed in this press release also involve risks and uncertainties
described from time to time in documents  filed with the Securities and Exchange
Commission,  including but not limited to Form 10-Ks,  Form 10-K/As,  Form 10-Qs
and Form 8-Ks (www.sec.gov).
INTERNET PICTURES CORPORATION
                 CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
Three months ended           Twelve months ended
                                                                                December 31,                  December 31,
                                                                             -------------------          ---------------------
                                                                               2002       2003              2002        2003
                                                                             --------   --------          ----------  ---------
                                                                                 (unaudited)                    (unaudited)
               (In thousands, except per share data)                        (restated)                    (restated)

Revenue:
Transaction services..................................................       $ 4,623    $ 8,774           $ 16,242    $ 26,245
Immersive still solutions.............................................         1,240        463              6,171       2,321
Immersive video solutions.............................................            --         36                 --         273
                                                                             --------   --------          ----------  ---------
   Total revenue......................................................         5,863      9,273             22,413      28,839

Cost of revenue:
Transaction services..................................................         1,590      1,114              6,828       6,540
Immersive still solutions.............................................           529        377              1,900       1,402
Immersive video solutions.............................................            --         17                 --         178
                                                                             --------   --------          ----------  ---------
   Total cost of revenue..............................................         2,119      1,508              8,728       8,120
                                                                             --------   --------          ---------   ---------

   Gross profit.......................................................         3,744      7,765             13,685      20,719
                                                                             --------   --------          ---------   ---------

Operating expenses:
Sales and marketing...................................................         1,532      1,901              7,607       7,605
Research and development..............................................         1,176        927              4,862       4,553
General and administrative............................................           515        788              2,933       3,452
Impairment of goodwill  ..............................................            --      3,042                 --       3,042
Restructuring ........................................................            --         89                687          89
                                                                             --------   --------          ---------   ---------
   Total operating expenses...........................................         3,223      6,747             16,089      18,741
                                                                             --------   --------          ---------   ---------

Income (loss) from operations.........................................           521      1,018             (2,404)      1,978
Patent infringement award ............................................            --         --              1,000          --
Loss on foreign currency .............................................            --       (491)                --        (491)
Interest income (expense) and other...................................           (35)         2                261        (101)
                                                                             --------   --------          ---------   ---------
Net income (loss).....................................................           486        529             (1,143)      1,386
Preferred stock dividends (restated for 2002).........................          (450)      (433)            (1,784)     (1,778)
                                                                             --------   --------          ---------   ---------

Net income (loss) available to common stockholders (restated for 2002)       $    36    $    96           $ (2,927)   $   (392)
                                                                             ========   ========          =========   =========

Income (loss) per common share, basic and diluted (restated for 2002).       $  0.00    $  0.01           $  (0.43)   $  (0.05)
Weighted average common shares, basic and diluted.....................        17,075      8,014              6,794       7,365
INTERNET PICTURES CORPORATION
                           CONSOLIDATED BALANCE SHEETS
December 31,     December 31,
                                                                                     2002             2003
                                                                                 ------------     ------------
                                                                                      (1)          (unaudited)
(In thousands, except share and per share data)

 ASSETS
 CURRENT ASSETS:
 Cash and cash equivalents......................................................    $3,020            $10,241
 Restricted cash and short term investments.....................................     2,972              1,100
 Short term investments.........................................................        --                331
 Accounts receivable, net of allowance for doubtful accounts of
        $208 in 2002 and $0 in 2003.............................................     3,535                261
 Inventory, net of reserve for obsolescence of $160 in 2002 and
        $148 in 2003............................................................       181                398
 Prepaid expenses and other current assets......................................       984              1,523
                                                                                    ------             ------
       Total current assets.....................................................    10,692             13,854

 Computer hardware, software and other, net.....................................     4,631              1,578
 Restricted cash and other long term assets.....................................        70                852
 Goodwill.......................................................................     3,042                 --
                                                                                    ------             ------

          Total assets..........................................................   $18,435            $16,284
                                                                                   =======            =======
 LIABILITIES AND STOCKHOLDERS' EQUITY
 CURRENT LIABILITIES:
 Accounts payable...............................................................      $360               $612
 Accrued liabilities............................................................     5,426              3,342
 Deferred revenue...............................................................        85                 76
 Current portion of obligations under capital leases............................     2,403                608
                                                                                    ------             ------
           Total current liabilities............................................     8,274              4,638
 Obligations under capital leases, net of current portion.......................     1,459                 --
 Other long term liabilities....................................................       310                181
                                                                                    ------             ------

          Total liabilities.....................................................    10,043              4,819
                                                                                    ------             ------
 STOCKHOLDERS' EQUITY:
 Preferred Stock, $0.001 par value: ............................................         1                  1
      Authorized:   5,001,100 shares in 2002 and 2003
      Issued and outstanding:   1,115,080 in 2002 and 1,003,830 in 2003
      (Aggregate liquidation value:  $24,560 in 2002 and $23,716 in 2003)
 Common stock, $0.001 par value: ...............................................         7                  9
      Authorized:  50,000,000 in 2002 and 2003
      Issued and outstanding:   6,795,007 in 2002 and 8,678,730 in 2003
 Class B common stock, $0.0001 par value: ......................................        --                 --
      Authorized:  7,421,536 shares in 2002 and 2003
      Issued and outstanding:  17,948 shares in 2002 and 14,000 shares in 2003
 Additional paid-in capital.....................................................   513,995            515,186
 Accumulated deficit............................................................  (505,117)          (503,731)
 Accumulated other comprehensive loss...........................................      (494)                --
                                                                                      -----               ---
         Total stockholders' equity.............................................     8,392             11,465
                                                                                     -----             ------

         Total liabilities and stockholders' equity.............................   $18,435          $  16,284
                                                                                   =======          =========
(1)  The December  31, 2002  balances  were  derived from the audited  financial
     statements.