Principal Amount of New Money Offering:

Up to $60,000,000

Issue Type:

Convertible Senior Notes due 2011

Note Issue Price:

77.5% (of Par) ; $775 per Note

Closing Common Stock Price (4/25/2007):

$6.40

Trade Date:

4/26/2007 (Thursday)

Settlement Date:

5/01/2007 (Tuesday)

Coupon:

3.50%

Interest Payment Date:

Semi-annually—April 15 and October 15

First Coupon:

October 15, 2007

Conversion Price:

$13.50

Note Conversion Ratio:

74.0471

Conversion Premium:

110.9%

Cash Take-over Protection:

Yes

Dividend Protection:

Yes

Call Protection:

3 years Automatic Conversion at 130% ($17.55) at Company option (Automatic Conversion can occur anytime OSCI closing price is above 130% of the conversion price then in effect for 20 out of 30 consecutive trading days)

Make-whole Provision:

3 years coupons less any coupons paid (upon automatic conversion within the first 3 years); payable in cash or stock, at Company option

Voluntary Conversion Provision:

3 years coupons less any coupons paid (upon any voluntary conversion within the first 3 years); payable in cash or stock, at Company option

Company Redemption:

Anytime after 5/10/2010

Note Final Maturity:

4/15/2011

Registration:

Registered; Registration Statements Effective 4/25/2007

Registered CUSIP:

68812R AC9

Placement Agent:

Piper Jaffray

    5.0% Promissory Notes due 2009

Of the $22,310,000 of principal amount of existing 2009 Notes, $9,043,000 were tendered. These notes and the accrued interest on these notes will be exchanged for $13,568,000 principal amount of 3.50% Convertible Senior Notes due 2011.

    3 ¹/2% Senior Convertible Notes due 2011

Of the $152,750,000 of principal amount of existing 2011 Notes, $151,921,000 were tendered. These notes will be exchanged for $151,921,000 principal amount of 3.50% Convertible Senior Notes due 2011.

on an actual basis;

on an as adjusted basis to give effect to the issuance of $165,489,000 aggregate principal amount of new notes in the exchange offers;

on an as adjusted basis to give effect to the issuance for cash of an aggregate principal amount of $60.0 million of new notes, at an issue price of 77.5% of the principal amount on December 31, 2006; and

as adjusted to reflect a net gain of approximately $30.5 million on the assumed early extinguishment of all outstanding existing notes on December 31, 2006. This extinguishment of debt will result in recognition of gain in our statement of operations in the period in which the exchange offer is consummated.

Long-term debt:

Existing 3 ¹/2% Senior Convertible Notes due 2011

Existing 5% Convertible Notes due 2009

3.50% Convertible Senior Notes due 2011

Revenue Interest Assignment

Senior Secured Note

Other liabilities

Total long-term debt

Shareholders’ Equity:

Series B restricted common stock, $0.10 par value—Authorized—625,000 shares, Issued and Outstanding—None

Common stock, $0.10 par value—Authorized 175,000,000 shares, Issued and Outstanding—13,558,867 shares at December 31, 2006

Additional paid-in capital

Accumulated deficit

Total Shareholders’ (deficit) equity

Total capitalization

⁽¹⁾

Excludes accrued interest of $1,143.

⁽²⁾

Excludes accrued interest of $3,440.

⁽³⁾

If we elect to automatically convert, or a holder elects to voluntarily convert, some or all of the new notes into our common shares prior to four years after the Commitment Date, we will make an additional payment equal to the aggregate amount of interest payments that would have been payable on the new notes through and including May 10, 2010, less any interest payments already paid on the new notes. This additional payment is payable in cash or, at our option, in our common shares, or a combination of cash and our common shares. If paid in our common shares, the shares will have a fixed value equivalent to 90% of the automatic conversion price. This additional interest payment feature is considered to be an embedded derivative and will be recorded on the balance sheet at fair value as a current liability. We will be required to recognize changes in the derivative’s fair value from period to period in other income (expense) in our statements of operations. This additional interest payment that may be settled in shares is considered to be a conversion and will result in recognizing as expense any amounts paid by share settlement upon conversion under the additional interest payment.