The ratings on electricity generator Calpine Corp. reflects financial performance in 2008 that was in line with our expectations and expectations for stable cash flows for 2009-2010 given that Calpine has substantially hedged its commodity exposure for those two years. Calpine has no large near-term debt maturities and no significant capital expenditure plans, either for new projects or for environmental reasons. The recovery rating on Calpine's $6 billion first-lien term loan B and $1 billion first-lien revolving credit facility is '2', indicating Standard&Poor's Ratings Services' expectations of substantial recovery of principal (70-90%) in the event of a payment default. The outlook is stable. Calpine owns 76 plants with 24,187 megawatts (MW) of generating capacity, with 7,246 MW in
