NEW YORK (Standard&Poor's) Sept. 29, 2004--Standard&Poor's Ratings Services said today that Cleco Corp.'s (BBB/Negative/--) announcement that it had received a notice of default from Calpine Corp. (B/Negative/--) related to the two companies' joint venture, Acadia Power Partners LLC, would not immediately affect the rating on Cleco. Cleco delayed a planned common stock issuance as a result of Calpine's action. Reduction or loss of cash flow from the Acadia venture would detract from Cleco's credit quality, which remains stressed due to the troubled merchant strategy. Calpine holds a tolling agreement for the output of the 1,160 MW Acadia plant and claims that transmission capacity constraints prevent selling the plant's full output. The default notice alleges that Cleco
