Standard&Poor's noted that Cleco Corp.'s (BBB+/Stable/A-2) announcement that it will purchase Mirant Corp.'s 50% interest in the 725 megawatt Perryville power plant will not have an immediate effect on Cleco's credit quality. This transaction, expected to close during the second quarter of 2002, will result in Cleco owning 100% of the power plant and Mirant still contracting for 100% of the output under a long-term power agreement. Cleco plans to finance the transaction with a combination of new common stock and debt. Ratings stability for Cleco is predicated on equity issuance for the Perryville purchase, successful commercial operation and permanent financing of the Acadia power station (targeted for July/August 2002) together with a reduction in overall debt levels,
