  Selected new results from the H1 and ZEUS collaborations on $ep$ interactions
at 300 - 318 GeV centre-of-mass energy are presented. The full pre-upgrade
integrated luminosity of HERA of 110 pb$^{-1}$ is used. Charm cross sections
are measured up to high values of $x_B$ and $Q^2$ and are found to be well
described by NLO QCD in the 3 flavour scheme. Orbitally excited $D$ mesons are
observed; radial excitations are searched for, but are not seen. The first $b$
cross section measurement is confirmed with a lifetime based method,
establishing the excess over NLO QCD.
