UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): June 14, 2004
CALPINE CORPORATION
(A Delaware Corporation)
Commission File Number: 001-12079
I.R.S. Employer Identification No. 77-0212977
50 West San Fernando Street
San Jose, California 95113
Telephone: (408) 995-5115
ITEM 5. OTHER EVENTS
NEWS RELEASE CONTACTS: 408-995-5115
Media Relations: Katherine Potter, Ext. 1168
Investor Relations: Karen Bunton, Ext. 1121
Calpine Announces Pricing of its Rocky Mountain
and Riverside Secured Term Loans
(SAN JOSE, Calif.) /PR Newswire - First Call/ June 14, 2004 - Calpine
Corporation [NYSE:CPN] today announced that its wholly owned subsidiaries, Rocky
Mountain Energy Center, LLC and Riverside Energy Center, LLC, have priced new
secured institutional term loans for the refinancing of its Rocky Mountain (Weld
County, Colo.) and Riverside (Beloit, Wisc.) Energy Centers. Both of the
approximately 600-megawatt natural gas-fired power plants recently entered
commercial operations. The refinancing, which is expected to close on June 22,
2004, consists of $661.5 million of floating rate secured institutional term
loans due 2011, priced at LIBOR plus 425 basis points and issued at a discount
to par of 99.5%.
Net proceeds from the loans, after transaction costs and fees, will be used
to pay final construction costs and refinance amounts outstanding under the $250
million non-recourse project financing for the Rocky Mountain facility, and the
$230 million non-recourse project financing for the Riverside facility. The
balance of approximately $160 million, will be returned to Calpine and will be
used for general corporate purposes. In addition, approximately $40 million in
cash and $55 million in letters of credit will be returned to Calpine as the
result of the elimination of certain reserves and letters of credit associated
with the original non-recourse project financings.
The institutional term loans are secured by the power plants, and the
lenders' recourse is limited to such security. None of the indebtedness will be
guaranteed by Calpine Corporation.
The secured institutional term loans will be placed in the institutional
term loan market. The refinancing is subject to certain conditions, including
the execution of definitive documentation.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
CALPINE CORPORATION
By: /s/ Charles B. Clark, Jr.
-------------------------
Charles B. Clark, Jr.
Senior Vice President and Controller
Chief Accounting Officer
Date: June 15, 2004