UNITED STATES SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

FORM 5

ANNUAL STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP

( ) Check this box if no longer subject to Section 16

Form 4 or Form 5 obligations may continue. See Instructions 1(b)


1. Name and Address of Reporting Person
   Lawrence Bestor
   ATI Networks, Inc.
   460 Cedar Street, 
   Fond du Lac, WI  54935
   US


2. Issuer Name and Ticker or Trading Symbol
   ATI NETWORKS, INC.


3. IRS or Social Security Number of Reporting Person (Voluntary)
  

4. Statement for Month/Year

   July 1, 1998


5. If Amendment, Date of Original (Month/Year)

  
6. Relationship of Reporting Person(s) to Issuer (Check all applicable)

   (X) Director (X) 10% Owner (X) Officer (give title below) ( ) Other

   (specify below)

   Chairman, CEO and 10% Owner 


7. Individual or Joint/Group Filing (Check Applicable Line)
   (X) Form filed by One Reporting Person
   ( ) Form filed by More than One Reporting Person

<TABLE>
<CAPTION>
________________________________________________________________________________
__________________________________________________
 Table I -- Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned                                                 
__________________________________________________________________________________________________________________________________
1. Title of Security       |2.    |3.    |4.Securities Acquired (A)         |5.Amount of        |      |7.Nature of Indirect       
                           | Transaction |  or Disposed of (D)              |  Securities       |6.Dir |  Beneficial Ownership     
                           |      |      |                                  |  Beneficially     |ect   |                           
                           |      |    | |                  |   |           |  Owned at End     |(D)or |                           
                           |      |    | |                  | A/|           |  of Issuer's      |Indir |                           
                           | Date |Code|V|    Amount        | D |    Price  |  Fiscal Year      |ect(I)|                           
__________________________________________________________________________________________________________________________________
<S>                        <C>    <C>  <C><C>               <C> <C>         <C>                 <C>    <C>
COMMON STOCK (voting)      |07/1/ |D   | |1,356,640***      |A  |$5.00      |1,356,640          |D     |N/A
                           |98    |    | |                  |   |           |                   |      |                         
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__________________________________________________________________________________________________________________________________
<CAPTION>
__________________________________________________________________________________________________________________________________
 Table II -- Derivative Securitites Acquired, Disposed of, or Beneficially Owned                                                   
___________________________________________________________________________________________________________________________________|
1.Title of Derivative |2.Con-  |3.   |4.    |5.Number of De |6.Date Exer|7.Title and Amount  |8.Price|9.Number    |10.|11.Nature of
  Security            |version |Transaction | rivative Secu |cisable and|  of Underlying     |of Deri|of Deriva   |Dir|Indirect    
                      |or Exer |     |      | rities Acqui  |Expiration |  Securities        |vative |tive        |ect|Beneficial  
                      |cise    |     |      | red(A) or Dis |Date(Month/|                    |Secu   |Securities  |(D)|Ownership   
                      |Price of|     |      | posed of(D)   |Day/Year)  |                    |rity   |Benefi      |or |            
                      |Deriva- |     |      |               |Date |Expir|                    |       |ficially    |Ind|            
                      |tive    |     |      |           | A/|Exer-|ation|   Title and Number |       |Owned at    |ire|            
                      |Secu-   |     |    | |           | D |cisa-|Date |   of Shares        |       |End of      |ct |            
                      |rity    |Date |Code|V|  Amount   |   |ble  |     |                    |       |Year        |(I)|            
___________________________________________________________________________________________________________________________________
<S>                   <C>      <C>   <C>  <C><C>        <C> <C>   <C>   <C>          <C>     <C>     <C>          <C> <C
                      |        |     |    | |           |   |     |     |            |       |       |            |   |            
                      |        |     |    | |           |   |     |     |            |       |       |            |   |            
-----------------------------------------------------------------------------------------------------------------------------------
                      |        |     |    | |           |   |     |     |            |       |       |            |   |            
___________________________________________________________________________________________________________________________________
</TABLE>

Explanation of Responses


*** These shares were acquired in a transaction of equity swap or instrument
    with similar characteristics at a price of $5.00 per share.

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SIGNATURE OF REPORTING PERSON

/s/ LAWRENCE BESTOR

DATE

JULY 1, 1998