UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549
                                 --------------

                                   Form 10-QSB
                                   (Mark One)
                [ X ] QUARTERLY REPORT UNDER SECTION 13 OR 15(d)
                     OF THE SECURITIES EXCHANGE ACT OF 1934

                 For the quarterly period ended October 2, 1999

                                       OR

                 [ ] TRANSITION REPORT UNDER SECTION 13 OR 15(d)
                               OF THE EXCHANGE ACT

             For the transition period from _________ to __________

                         Commission file number 0-11880

                            HYTEK MICROSYSTEMS, INC.
        (Exact name of small business issuer as specified in its charter)

                              California 94-2234140
                (State or other jurisdiction of (I.R.S. Employer
               incorporation or organization) Identification No.)

                 400 Hot Springs Road, Carson City, Nevada 89706
                    (Address of principal executive offices)

                    Issuer's telephone number: (775) 883-0820

Check whether the issuer (1) filed all reports  required to be filed by Section
13 or 15(d) of the Exchange Act during the past 12 months (or for such shorter
period that the registrant was required to file such reports),  and (2) has been
subject to such filing requirements for the past 90 days.

                               Yes __X___ No _____

As of October 30, 1999, the issuer had  outstanding  3,064,758  shares of Common
Stock, no par value.

<PAGE>

                            HYTEK MICROSYSTEMS, INC.
                         QUARTERLY REPORT ON FORM 10-QSB
                      FOR THE QUARTER ENDED OCTOBER 2, 1999

                                      INDEX


                                                                            Page
                                                                          Number

Part I.  FINANCIAL INFORMATION:

Item 1.  Financial Statements:

                  Balance Sheet at October 2, 1999 (unaudited) and
                  January 2, 1999    .  .  .  .  .  .  .  .  .  .  .  .  .  .  3

                  Statement of Operations (unaudited) for the Quarter and Nine
                  Months ended October 2, 1999 and October 3, 1998      .  .   4

                  Statement of Cash Flows (unaudited) for the Quarter and Nine
                  Months ended October 2, 1999 and October 3, 1998    .  .  .  5

                  Notes to Interim Financial Statements (unaudited)   .  .  .  6

Item 2.           Management's Discussion and Analysis of Financial Condition
                  And Results of Operation    .  .  .  .  .  .  .  .  .  .  .  7


Part II. OTHER INFORMATION:


Item 6.  Exhibits and Reports on Form 8-K    .  .  .  .  .  .  .  .  .  .  .  12

Signatures  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  13

Exhibit Index  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  14

<PAGE>

PART 1. - FINANCIAL INFORMATION

Item 1.    Financial Statements.

                            HYTEK MICROSYSTEMS, INC.
                                  BALANCE SHEET
<TABLE>

                                              October 2, 1999    January 2, 1999
        Assets                                  (Unaudited)
                                              ---------------    ---------------
<S>                                            <C>                <C>
Current assets:
  Cash and cash equivalents                    $   2,989,762       $   2,637,182
  Trade accounts receivable - net of
        allowance for doubtful accounts
        of $50,000 at 10/2/99 and 1/2/99             620,237           1,918,265

  Inventories                                      2,438,091           2,481,707
  Prepaid expenses and deposits                       82,173              38,932
                                                   ---------           ---------
     Total current assets                          6,130,263           7,076,086

Deferred income taxes                                200,000             200,000

Plant and equipment, at cost, less
  accumulated depreciation and amortization          743,237             999,027
                                                   ---------           ---------
     Total assets                              $   7,073,500       $   8,275,113
                                                   =========           =========
     Liabilities and Shareholders' Equity

Current liabilities:
  Accounts payable                             $     214,351       $     312,430
  Accrued employee compensation and benefits         162,371             404,284
  Accrued warranty, commissions and other            160,286             193,509
  Customer deposits                                  240,208                   -
  Current portion of long-term debt                   51,459              48,313
  Current obligations under capital leases            52,614              53,850
                                                   ---------           ---------
     Total current liabilities                       881,289           1,012,386

Long-term debt, less current portion                  13,787              52,736
Long-term obligations under capital lease                  -              38,709

Shareholders' equity:
 Common Stock, no par value: 7,500,000 shares
   authorized, 3,064,758 shares and 3,039,758
   shares issued and outstanding at 10/2/99
   and 1/2/99, respectively                        5,016,468           5,007,093
Retained earnings                                  1,161,956           2,164,189
                                                   ---------           ---------
     Total shareholders' equity                    6,178,424           7,171,282
                                                   ---------           ---------
Total liabilities and shareholders equity      $   7,073,500       $   8,275,113
                                                   =========           =========
</TABLE>

                        See accompanying notes.

<PAGE>

                           HYTEK MICROSYSTEMS, INC.

                             STATEMENT OF OPERATIONS
                                   (Unaudited)
       Quarters and nine months ended October 2, 1999 and October 3, 1998

<TABLE>
                                                   Quarter ended                           Nine months ended
                                                   -------------                           -----------------
                                            10/2/1999          10/3/1998              10/2/1999          10/3/1998
                                            ---------          ---------              ---------          ---------
<S>                                         <C>                <C>                    <C>                <C>
Net revenues                             $  1,014,742       $  3,026,632            $  4,002,746       $ 10,303,720

Costs and expenses:
  Cost of sales                               967,936          1,932,950               3,615,077          6,478,035
  Engineering and development                 200,339            246,213                 646,993            709,755
  Selling, general and
    administrative                            286,294            335,777                 805,823            857,762
                                            ---------          ---------               ---------          ---------
    Total costs and expenses                1,454,569          2,514,940               5,067,893          8,045,552
                                            ---------          ---------               ---------          ---------
Operating income (loss)                      (439,827)           511,692              (1,065,147)         2,258,168

Interest income                                44,583             31,209                  86,745             58,738
Interest expense                               (1,056)           (11,950)                 (8,966)           (21,774)
                                            ---------          ---------               ---------          ---------
Income (loss) before provision
  for income taxes                           (396,300)           530,951                (987,368)         2,295,132
Provision for income taxes                         -             (14,500)                (14,865)           (34,300)
                                            ---------          ---------               ---------          ---------

Net income (loss)                       $    (396,300)      $    516,451            $ (1,002,233)      $  2,260,832
                                            =========          =========               =========          =========

Basic earnings (loss) per share         $       (0.13)      $       0.17            $      (0.33)      $       0.76

Diluted earnings (loss) per share       $       (0.13)      $       0.16            $      (0.33)      $       0.72

Shares used in calculating
  basic earnings (loss) per share           3,064,758          3,034,647               3,059,996          2,989,900

Shares used in calculating
  diluted earnings (loss) per share         3,064,758          3,166,294               3,059,996          3,158,336
</TABLE>


                        See accompanying notes.

<PAGE>

                            HYTEK MICROSYSTEMS, INC.
                       STATEMENT OF CASH FLOWS (unaudited)
      Quarters and Nine Months Ended October 2, 1999 and Ocxtober 3, 1998
                Increase (decrease) in cash and cash equivalentS

<TABLE>
                                                                  Quarter Ended                            Nine Months Ended
                                                                  -------------                            -----------------
                                                     October 2, 1999      October 3, 1998        October 2, 1999     October 3, 1998
                                                     ---------------      ---------------        ---------------     ---------------
<S>                                                  <C>                  <C>                    <C>                 <C>
Cash flows from operating activities:
   Net income (loss)                                 $  (396,300)         $  516,451             $ (1,002,233)       $  2,260,832

   Adjustments to reconcile net income (loss)
   to cash flow provided by (used in) operations:
       Depreciation and amortization                      85,784              75,735                  264,902             177,690
       Accounts receivable                               207,870            (516,287)               1,298,028            (113,495)
       Inventories                                        16,442            (496,748)                  43,616             101,438
       Prepaid expenses and deposits                      (2,305)            (12,183)                 (43,240)            (42,419)
       Accounts payable                                   87,369             346,837                  (98,079)           (421,785)
       Accrued employee compensation and benefits         32,204             112,164                 (241,913)             95,530
       Accrued warranty, commissions and other             1,686              (5,374)                 (33,223)            (44,402)
       Customer deposits                                 240,208             (28,464)                 240,208             (28,464)
                                                         -------             -------                  -------             -------
          Net cash provided by (used in)
          operating activities                           272,958              (7,869)                 428,066           1,984,925

Cash flows from investing activities:
       Cash purchases of equipment                        (6,911)           (293,643)                  (9,112)           (460,059)
                                                         -------             -------                  -------             -------
         Net cash used in investing activities            (6,911)           (293,643)                  (9,112)           (460,059)

Cash flows from financing activities:
      Principal payments on long-term debt               (12,218)            (13,961)                 (35,804)            (31,855)
      Payment of capital lease obligations               (13,607)            (58,834)                 (39,945)           (109,099)
      Proceeds from exercise of stock options                 -                8,200                    9,375              32,417
                                                         -------             -------                  -------             -------
         Net cash used in financing activities           (25,825)            (64,595)                 (66,374)           (108,537)

Net increase (decrease) in cash and cash equivalents     240,222            (366,107)                 352,580           1,416,329
Cash and cash equivalents at beginning of period       2,749,540           2,971,955                2,637,182           1,189,519
                                                       ---------           ---------                ---------           ---------
Cash and cash equivalents at end of period          $  2,989,762        $  2,605,848             $  2,989,762        $  2,605,848
                                                       =========           =========                =========           =========
</TABLE>

See accompanying notes.

<PAGE>

                            HYTEK MICROSYSTEMS, INC.
                      NOTES TO INTERIM FINANCIAL STATEMENTS
                                 OCTOBER 2, 1999
                                   (Unaudited)

1. In the opinion of management, the accompanying unaudited financial statements
include all adjustments  (consisting of only normal recurring  adjustments) that
are necessary in order to make the  financial  statements  contained  herein not
misleading.  These  financial  statements,  notes and analyses should be read in
conjunction  with the financial  statements for the fiscal year ended January 2,
1999, and notes thereto,  which are contained in the Company's  Annual Report on
Form 10-KSB for such fiscal year.  The results for the quarter  ended October 2,
1999 are not necessarily  indicative of the results that may be expected for the
entire year ending January 1, 2000. The Company  operates on a 52/53 week fiscal
year, which approximates the calendar year.

2. The Company  leases its main Carson City  facility  pursuant to a  continuing
lease  expiring in 2005. It also leases a small amount of office space  pursuant
to a  lease  expiring  in  March  2000.  The  aggregate  future  minimum  rental
commitments as of October 2, 1999 for these leases were:


                    1999                    $  44,418
                    2000                      173,747
                    2001 - 2005               828,678
                                            ---------
                                           $1,046,843
                                            ---------

3. Inventories are stated at the lower of cost  (determined  using the first-in,
first-out method) or market. Inventories consisted of:

                                                10-2-99                 1-2-99

                  Raw Material                $1,274,984              $1,285,543
                  Work-In-Process                828,336               1,031,896
                  Finished Goods                 334,771                 164,268
                                             -----------            ------------
                                             $ 2,438,091              $2,481,707
                                             -----------              ----------

4. Plant and equipment  are stated at cost and  depreciated  on a  straight-line
basis over the  estimated  useful life of the assets,  generally  three to seven
years.

<PAGE>

Item 2.
                Management's Discussion and Analysis of Financial
                       Condition and Results of Operation

         For the purposes of the following discussion,  dollar amounts have been
rounded to the  nearest  $1,000  and all  percentages  have been  rounded to the
nearest 1%.

         This interim  report on Form 10-QSB  contains  certain  forward-looking
statements  within the meaning of Section 27A of the  Securities Act of 1933 and
Section 21E of the Securities  Exchange Act of 1934. Actual results could differ
materially from those projected in the forward-looking statements as a result of
various  factors,  including  the  factors  set forth  below  and under  "Future
Outlook" and  elsewhere in this  section.  The Company has attempted to identify
forward-looking  statements  by placing an asterisk  immediately  following  the
sentence or phrase containing the forward-looking  statement(s).  All statements
made herein are made as of the date of filing of this Form  10-QSB.  The Company
disclaims  any duty to update such  statements  after the date of filing of this
Form 10-QSB, except as required by law.

RESULTS OF OPERATIONS

         Net revenues  for the quarter  ended  October 2, 1999  decreased by 66%
from net revenues for the quarter  ended  October 3, 1998.  Net revenues for the
quarter ended October 2, 1999 were $1,015,000, as compared to $3,027,000 for the
quarter ended October 3, 1998. Net revenues for the nine months ended October 2,
1999  decreased  61% to  $4,003,000  from net revenues for the nine months ended
October 3, 1998 of $10,304,000.  The decrease in revenues during the quarter and
nine-month period is the result of the production and shipment hold initiated by
Chesapeake Sciences Corp. in mid-February 1999. Shipments to Chesapeake Sciences
Corp.  accounted  for  approximately  $6.8 million in the prior year  nine-month
period versus approximately $400,000 for the current nine-month period.

         During the  quarter  ended  October 2, 1999  Chesapeake  cancelled  its
existing  orders valued at $4.8 million and signed a definitive  contract (Final
Settlement  Agreement)  with Hytek in the amount of $2.3 million.  This contract
provides for payments of principal and interest over a twelve-month  period that
will fully reimburse Hytek for all inventory and other costs associated with the
Chesapeake  program.  The periodic  principal payments made over the term of the
Final Settlement Agreement will be accounted for as customer deposits during the
term and  converted  to sales  revenue as  shipments  occur.  This  contract  is
attached hereto as Exhibit 10.1.

         The Company's  backlog of customer  orders was $3,802,000 at October 2,
1999, as compared to $8,525,000 at October 3, 1998, and $9,390,000 at January 2,
1999. The current  backlog does not include any  Chesapeake  product (see Future
Outlook).  Because  customers  may place  orders for  delivery at various  times
throughout the year, and due to the possibility of customer  changes in delivery
schedules  (which have been  experienced in the past), or cancellation of orders
with little or no penalty,  the Company's  backlog as of any particular date may
not be indicative of actual future sales.*

         Cost of sales was  $968,000,  or 95% of net  revenues,  for the quarter
ended October 2, 1999, as compared to  $1,933,000,  or 64% of net revenues,  for

<PAGE>

the  quarter  ended  October 3, 1998.  Cost of sales for the nine  months  ended
October  2,  1999  was  $3,615,000,  or 90%  of net  revenues,  as  compared  to
$6,478,000,  or 63% of net revenues,  for the nine months ended October 3, 1999.
The increase in cost of sales as a percentage of net revenues results  primarily
from the  spreading  of fixed  costs over a  significantly  lower  revenue  base
combined with inefficiencies inherent in lower production volumes.

         Engineering  and  development  expenses  were  $200,000,  or 20% of net
revenues,  for the quarter ended October 2, 1999, as compared to $246,000, or 8%
of net  revenues,  for the  quarter  ended  October  3,  1998.  Engineering  and
development expenses for the nine months ended October 2, 1999 were $647,000, or
16% of net revenues,  as compared to $710,000,  or 7% of net  revenues,  for the
nine months ended October 3, 1998. The Company has only made small reductions in
engineering and development  expenditures,  as it believes that future growth is
dependent on maintaining its full technical capability.

         Selling,  general and administrative  expenses were $286,000, or 28% of
net revenues, for the quarter ended October 2, 1999, as compared to $336,000, or
11% of net revenues in the quarter ended October 3, 1998.  Selling,  general and
administrative expenses for the nine months ended October 2, 1999 were $806,000,
or 20% of net revenues, as compared to $858,000, or 8% of net revenues,  for the
nine  months  ended  October 3, 1998.  The  decrease  in  selling,  general  and
administrative  expenses results from cost reduction measures,  primarily salary
reductions, implemented as a result of the Chesapeake shipment hold.

         The large increases in engineering and development expense and selling,
general and  administrative  expense as a percentage of net revenue  result from
spreading these expenses over a significantly smaller revenue base.

         The Company had an  operating  loss of $440,000  for the quarter  ended
October 2, 1999, as compared to an operating  profit of $512,000 for the quarter
ended  October 3, 1998.  As a result of a 61% decrease in revenues,  the Company
had an operating  loss of $1,065,000  for the nine months ended October 2, 1999,
as compared  to an  operating  profit of  $2,258,000  for the nine months  ended
October 3, 1998.

         Net  interest  income  increased  to $78,000 for the nine months  ended
October 2, 1999 as  compared  to $37,000  for the prior  nine-month  period as a
result of larger  average  monthly cash balances in  interest-bearing  accounts,
reduced  interest  expense and  interest  payments  received  on the  Chesapeake
contract.

          Income tax expense of $0 and $15,000 was recognized in the quarter and
nine months ended October 2, 1999, respectively. Income tax expense in the prior
periods was $15,000 and $34,000,  respectively. The Company has remaining future
tax credit  carryforwards  for federal income tax purposes at January 2, 1999 of
approximately $134,000. These carryforwards will not expire.

<PAGE>

LIQUIDITY AND CAPITAL RESOURCES

         The Company had  $2,990,000 in cash and cash  equivalents at October 2,
1999, as compared to  $2,637,000  at January 2, 1999.  This increase of $353,000
from  year  end is  comprised  of  $428,000  provided  by  operating  activities
(primarily  collection of receivables)  partially  offset by $9,000 used for the
purchase  of  capital  equipment  and  $66,000  used  in  financing   activities
(primarily repayment of long-term debt and capital lease obligations).

         Accounts  receivable  were  $620,000 at October 2, 1999, as compared to
$1,918,000 at January 2, 1999. This decrease  results from the severe  reduction
in sales.

         Inventories  were  $2,438,000  at  October  2,  1999,  as  compared  to
$2,482,000 at January 2, 1999.  Inventory  levels have remained high as a result
of the Chesapeake  cancellation;  however, all Chesapeake inventory will be paid
for under the terms of the Final Settlement Agreement previously mentioned.

         Prepaid  expenses  and  deposits  were  $82,000  at  October 2, 1999 as
compared to $39,000 at January 2, 1999.  This increase  reflects  normal ongoing
business transactions that are affected by fiscal month ending dates.

         Property, plant and equipment, net, decreased to $743,000 at October 2,
1999,  as compared to $999,000 at 1998 fiscal year end.  This  decrease  results
from  increased   depreciation   charges   resulting  from  prior  year  capital
expenditures  together with  significantly  reduced capital  spending during the
current year.

         Accounts  payable  were  $214,000  at October 2, 1999,  as  compared to
$312,000  at January 2,  1999.  This  decrease  is  primarily  the result of the
significantly lower level of business activity.

         Accrued employee  compensation and benefits were $162,000 at October 2,
1999, as compared to $404,000 at January 2, 1999. This decrease is the result of
lower  employment  levels and the  absence of profit  sharing  accruals  for the
current year.

         Accrued  warranty,  commissions  and  other  accrued  liabilities  were
$160,000 at October 2, 1999,  as  compared to $194,000 at January 2, 1999.  This
reduction reflects normal recurring accruals and transactions.

         Customer deposits were $240,000 at October 2, 1999 as compared to $0 at
January 2, 1999.  This  amount  consists  of a $58,000  order  prepayment  and a
$182,000 principal payment received from Chesapeake Sciences Corp. in accordance
with the Final Settlement Agreement.

         At October 2, 1999,  the  Company  had both  short-term  and  long-term
obligations  under  loan and  capital  lease  agreements  with  Bank of the West
(formerly SierraWest Bank) in an aggregate of $118,000. This is a reduction from
$194,000  outstanding  at  January  2,  1999,  as a result of the  repayment  of
long-term  debt and lease  obligations.  The  Company  uses these loan and lease
agreements to finance certain purchases of capital equipment.

         At October 2, 1999, the Company also maintained a $1,000,000  revolving
line of credit with Bank of the West (formerly  SierraWest  Bank). At such date,
the Company was in compliance  with all  covenants of the loan  agreement and no
amounts were outstanding. Interest on this line of credit is at the prime rate.

<PAGE>

INFORMATION AND DATA PROCESSING SYSTEMS ( YEAR 2000 )

         The  Company  relies on an  internal  computer  network for much of its
day-to day operating and financial information. The software for this network is
a commercial  `off-the-shelf'  package  provided and  maintained  by a reputable
supplier.  As of the date of this  filing,  the  supplier  has  installed at the
Company  software  revisions  that  were  represented  by the  supplier  to have
eliminated any anticipated potential problems with the Year 2000.

         Further,  the Company  has over 40  individual  computer  work-stations
attached to the network, all of which have been individually tested and found to
be Year 2000  compliant.  The Company  has also  initiated a survey of its major
material suppliers regarding their state of preparation and action to avert Year
2000  problems.  As of the  date  of this  filing,  approximately  80% of  these
suppliers have  responded to this survey and all  respondents  are  anticipating
timely Year 2000 compliance.

         The cost of the Company's preparations for Year 2000 computer readiness
have  been  minimal  thus  far  and  as  of  this  filing  are  estimated  to be
approximately  $25,000.  All costs have been funded through operating cash flow.
Future costs are not expected to be material at this time.

         In  addition,  the  Company  believes  that  its  major  customers  and
financial  institutions  have  taken,  or  are in  process  of  taking,  actions
sufficient to protect the Company from adverse effects of the Year 2000 in their
own internal systems.

      Management of the Company believes it has established an effective program
to  resolve  any major  Year 2000  issues at this  time.  In the event  that the
Company and its third parties have not resolved all Year 2000 issues in a timely
manner, or that its remediation efforts do not resolve the anticipated problems,
disruptions  in the  Company's  day-to-day  operations  may occur.  In addition,
disruptions in the economy in general resulting from Year 2000 issues could also
materially  adversely affect the Company.  The amount of potential liability and
lost revenue cannot be reasonably estimated at this time.

         At the present  time,  the Company  does not have a formal  contingency
plan, as it believes its internal efforts will have proved sufficient.

FUTURE OUTLOOK

         The Chesapeake "Hold", and subsequent cancellation, of major orders has
had a serious negative impact on operating  results for the first nine months of
1999. However, on the positive side, the Final Settlement  Agreement  (contract)
between the Company and  Chesapeake  protects the Company  from major  inventory
write-downs  and  allows  for  shipment  of  product  at  full  sales  price  if
Chesapeake's  demand for the  products  arises.  Subsequent  to October 2, 1999,
Chesapeake  has placed an order for  delivery  of 5,300 units over the next four
months with a projected sales value of approximately $800,000.  While this event
should improve  operating  results for the fourth  quarter of 1999,  there is no
assurance at this time that  shipments to  Chesapeake  will return to historical
levels during the ensuing year.*

<PAGE>

         During the past nine  months the Company  has put  considerable  effort
into  expanding its sales and marketing  resources.  We have doubled our outside
sales representative  force,  created and distributed new promotional  materials
and begun a program of  participation  in industry  specific  trade  shows.  The
Company believes that continuing  efforts in this regard will provide  potential
opportunities for future growth.*

         The  Company's  cash  position  remains  strong at October 2, 1999,  at
approximately  three  million  dollars.  We  believe  that this  cash  position,
together with our line of credit, will provide sufficient cash to meet operating
needs for the next twelve months.*

         The foregoing  discussion contains statements that are forward-looking.
Actual results could differ  materially.  The primary factors that could cause a
material  difference in actual  results  include  failure to expand the customer
base,  customer  cancellation  or  rescheduling  of orders,  problems  affecting
delivery of  vendor-supplied  raw materials  and  components or the inability to
attract and retain qualified personnel sufficient to meet customer requirements.
The  Company  disclaims  any   responsibility  to  update  the   forward-looking
statements contained herein, except as may be required by law.

<PAGE>
                           PART II - OTHER INFORMATION


Item 6.       Exhibits and Reports on Form 8-K.

              (a)   Exhibits.

                    10.1  Final Settlement Agreement dated as of August 17, 1999
                          between the Registrant and Chesapeake Sciences Corp.

                    27.1  Financial Data Schedule.


              (b)   Reports on Form 8-K.

                    No Reports on Form 8-K were filed  during the quarter  ended
                    October 2, 1999.

<PAGE>

                                   SIGNATURES

         In accordance with the requirements of the Exchange Act, the Registrant
caused this report to be signed on its behalf by the undersigned, thereunto duly
authorized.


                                                        HYTEK MICROSYSTEMS, INC.
                                                                    (Registrant)



Date:  November 8, 1999                                By:  /s/ Sally B. Chapman
                                                            --------------------
                                                                Sally B. Chapman
                                                         Chief Financial Officer
                                                        (Principal Financial and
                                                             Accounting Officer)

<PAGE>

                            HYTEK MICROSYSTEMS, INC.


                         Quarterly Report on Form 10-QSB
                      for the Quarter ended October 2, 1999


                                  EXHIBIT INDEX

Exhibit
Number                    Exhibit Description


10.1                      Final Settlement Agreement dated as of August 17, 1999
                          between the Registrant and Chesapeake Sciences Corp.


27.1                      Financial Data Schedule.