Word enclosed in {}

I downloaded phpicalendar and I'm trying to follow the code. One template has several words enclosed in {}. For example,

<td align="left" width="490" class="title"><h1>{DISPLAY_DATE}</h1><span class="V9G">{CALENDAR_NAME} {L_CALENDAR}</span></td>

What are they?
horaliaAsked:
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Aamir SaeedConnect With a Mentor Commented:
I think this is Smarty Templates variable parsing.
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horaliaAuthor Commented:
What is that?
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Aamir SaeedCommented:
Its an engine which handles code and design separately. For example, you will be making two files
1; .php
2; .tpl ( HTML )

developer will work on .php files and designer can independently work on .tpl files.

So to make the developer and designer work independent from each other, we use this engine.

http://smarty.php.net/
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horaliaAuthor Commented:
Thanks!
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Aamir SaeedCommented:
Thanks for Grade and Points.
Cheers!
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