Question-and-Answer Session
Operator
(Operator Instructions) Your first question comes from Aaron Schwartz - Ladenburg.
Aaron Schwartz - Ladenburg
I had a question on the maintenance line. If I look at your maintenance taking out the open platform business, it looks like a pretty strong number this quarter and up nicely on a sequential basis and I just want to reconcile that with the guidance you provided in terms of Q4, why total revenue would be flat to down.
Do you expect licensed actually trend lower in the Q4 that would seem in a very different from prior years or is there a one time component maintenance that you don’t expect to repeat in Q4?
Dana Russell
No, Aaron I think we’ve seen maintenance fee strong throughout the year and we continue to be quite good at renewing the maintenance contracts that we’ve had in place. We have had a weakness throughout the years as you’ve seen in licensing and also we have suggest the services will also be down a bit.
So the invoicing that we’ve had is obviously impacting our ability to recognize revenues here as we go forward and will have some impact in the maintenance line, but overall that the major impact with this being flat to slightly down in the fourth quarter would be a result of our licenses and our services revenue.
Aaron Schwartz - Ladenburg
Then taking a look at cash flow historically Q4 has been a good cash flow quarter for you. Is there anything to suggest that cash flow shouldn’t be up directionally on a sequential basis and I know it’s hard to talk on just quarterly basis but, directionally can you provide any look into Q4 on cash flow?
Dana Russell
The same pattern where we’ve had strong cash flows in the fourth quarter will continue I think as we model this out, we’ll continue to see the expense structure being relatively consistent with the expense structure that we saw in the third quarter and we’ll continue to see good cash flows in the fourth quarter.
Aaron Schwartz - Ladenburg
I think the first can release was early or in the early part of the summer of ?06 and you had a number of three year agreements within, I believe. Can you talk anything about those three year renewals is they come up are those renewing for this year or is there any change in duration on the three years that started to renew?
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