normalization codes for database?

hi What do the following codes ؟

function kvalue=compute_kvalue(data)
    v=6.1;
    var = (max(data)-min(data))'(max(data)-min(data))/v;
    kvalue=zeros(size(data,1),size(data,1),size(data,2));
    for i=1:size(data,1)
        for j=i:size(data,1)
            kvalue(i,j,:)=exp(-(data(i,:)-data(j,:)'(data(i,:)-data(j,:))./var);
            kvalue(j,i,:)=kvalue(i,j,:);
        end
    end    
end

its looks that do normalization but How does it work?

[ChristianW]

Edit the code, syntax |)'(| isn't possible.