It's called GIMPshop, and can be found over at www.GIMPshop.com. It's a free download, and does most everything that Photoshop and the other big guys does, but just costs infinitely less (as in: nothing!).
I've been using it for a while now to make icons and other small pictures, and thus far it's worked out well for me. Lemme know how you all like it.