<DOCUMENT>
<TYPE>13F-HR
<SEQUENCE>1
<FILENAME>blum13f0903.txt
<TEXT>
<TABLE>
                                                                  FORM 13F INFORMATION TABLE
                                                           VALUE   SHARES/  SH/ PUT/ INVSTMT    OTHER          VOTING AUTHORITY
        NAME OF ISSUER          TITLE OF CLASS    CUSIP   (x$1000) PRN AMT  PRN CALL DSCRETN   MANAGERS     SOLE    SHARED    NONE
------------------------------ ---------------- --------- -------- -------- --- ---- ------- ------------ -------- -------- --------
<S>                            <C>              <C>       <C>      <C>      <C> <C>  <C>     <C>          <C>      <C>      <C>
CONVERGYS CORPORATION          COM              212485106    69888  3810700 SH       SOLE                  3810700
FAIR ISAAC & COMPANY INC       COM              303250104    37674   638969 SH       SOLE                   638969
HAEMONETICS CORP               COM              405024100    33658  1425600 SH       SOLE                  1425600
IMPATH, INC.                   COM              45255G101     3251  1912505 SH       SOLE                  1912505
NCR CORP.                      COM              62886E108    77435  2443500 SH       SOLE                  2443500
PEGASUS SOLUTIONS INC          COM              705906105    43055  3117700 SH       SOLE                  3117700
PERINI CORPORATION             COM              713839108    39949  5823397 SH       SOLE                  5823397
PLAYTEX PRODUCTS               COM              72813P100    60500 10150992 SH       SOLE                 10150992
PRG-SCHULTZ INTERNATIONAL      COM              69357C107    53543  9426548 SH       SOLE                  9426548
PRG-SCHULTZ INTERNATIONAL      NOTE 4.75% 11/06 69357CAA5    40952  5167960 SH       SOLE                  5167960
RENAL CARE GROUP, INC.         COM              759930100    62211  1821700 SH       SOLE                  1821700
SYNOPSYS INC                   COM              871607107   231967  7504600 SH       SOLE                  7504600
URS CORP                       COM              903236107   134482  6932064 SH       SOLE                  6932064
</TABLE>

</TEXT>
</DOCUMENT>