Our 'B+' rating on the largest U.S. independent power producer, Calpine Corp., reflects a "fair" business risk profile based on a diversified portfolio of competitive electric generation plants that have significant revenue exposure to volatile merchant power market dispatch and prices, combined with a "highly leveraged" financial risk profile that is partially offset by favorable liquidity. Based on our view of the market and Calpine's current financial position, we do not envision any changes to Calpine's business or financial risk profile over the next two to three years, thusour outlook for Calpine's ratings isstable. Houston-based Calpine and its mostly U.S.-based subsidiaries service debt mainly by selling energy, capacity, and related services from 28,000 megawatts (MW) of power plants fueled mostly
