Question-and-Answer Session
Operator
(Operator Instructions) Your first question comes from James West - Lehman Brothers.
James West - Lehman Brothers
On the FireFly project that's upcoming, you mentioned it was multi-client. Could you let us know who the oil companies are that will be using the data?
Robert P. Peebler
I can't at the moment mainly because we are in the process of putting that project completely together. We do have one major underwriter, but we don't want to expose it until the thing's completely papered. There's a lot of people play in that world.
James West - Lehman Brothers
At this point you guys are generating a significant amount of cash. You've talked about the funding of the data library is kind of trending down as we go throughout the year which would suggest that cash would continue to build. What's the most appropriate use of cash in your mind? Are there technology M&A opportunities out there?
Brian Hansen
James, when we look at the cash, I think it's important to sort of recognize that our business in the next couple or few quarters is going to be fairly cash intensive because of the build in inventories and also the build in consequential receivables as we ramp up commercialized FireFly, so I'm not sure that that will be an issue for us in 2008 but it's probably something we'll revisit in '09.
Robert P. Peebler
James, I think just on M&A, obviously that's something that we are constantly looking at. We hardly go a month or a week that someone doesn't serve up some kind of an idea. For me, it's just as simple as we look at bills and we look at our strategy. And obviously if we find something that fits, then we'll get serious about it. But we're not really building the business through an M&A approach. But that doesn't say we don't constantly look at opportunities, and as we grow in both scope and size, we're presented with those kinds of ideas.
James West - Lehman Brothers
Any update on what your competitors are doing relative to the FireFly technology?
Robert P. Peebler
I don't think there's any real change. I think the ones that are out there, the ones we know about and I think that they're at various, certainly at various stages - but there's really no visible change that we're aware of.
Operator
Your next question comes from Terese Fabian - Sidoti & Company.
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