Calpine
Encyclopedia
Calpine Corporation is a Fortune 500 power company founded in 1984 in San Jose, California
.
Calpine's headquarters were permanently moved from San Jose to Houston, Texas
in 2009. The company's stock was traded on the New York Stock Exchange
under the symbol
CPN until it was delisted on December 5, 2005 due to low share price. On 1/31/08, Calpine emerged from bankruptcy and now trades on the NYSE under the ticker symbol CPN. The company is headquartered in the Calpine Center
in Downtown Houston
.
and the 1979 energy crisis
, much legislation was passed that made domestic energy production an attractive enterprise. In 1984, Peter Cartwright and four of his co-workers, the Guy F. Atkinson Construction Company of South San Francisco
, and the Electrowatt corporation struck an investment arrangement and Calpine was born with initial capital of US$
1 million. It was essentially a Silicon Valley startup company. The name "Calpine" is derived from the company's California location and alpine, a reference to the Zürich
home base of Electrowatt. Calpine is the world's largest provider of geothermal energy, and largest natural gas fueled power producer in North America.
As of 2006, the directors of Calpine are Kenneth T. Derr
, Glenn H. Hiner, William J. Keese, Robert P. May, David C. Merritt, Walter L. Revell, George J. Stathakis, and Susan Wang.
In 2004, the directors of Calpine Canada Energy Finance Ulc were Charles B. Clark Jr., Kenneth T. Derr
, Jeffery E. Garten, Gerald Greenwald, Susan Schwab
, George J. Stathakis, Susan Wang, and John O. Wilson.
San Jose, California
San Jose is the third-largest city in California, the tenth-largest in the U.S., and the county seat of Santa Clara County which is located at the southern end of San Francisco Bay...
.
Calpine's headquarters were permanently moved from San Jose to Houston, Texas
Houston, Texas
Houston is the fourth-largest city in the United States, and the largest city in the state of Texas. According to the 2010 U.S. Census, the city had a population of 2.1 million people within an area of . Houston is the seat of Harris County and the economic center of , which is the ...
in 2009. The company's stock was traded on the New York Stock Exchange
New York Stock Exchange
The New York Stock Exchange is a stock exchange located at 11 Wall Street in Lower Manhattan, New York City, USA. It is by far the world's largest stock exchange by market capitalization of its listed companies at 13.39 trillion as of Dec 2010...
under the symbol
Ticker symbol
A stock symbol or ticker symbol is a short abbreviation used to uniquely identify publicly traded shares of a particular stock on a particular stock market. A stock symbol may consist of letters, numbers or a combination of both. "Ticker symbol" refers to the symbols that were printed on the ticker...
CPN until it was delisted on December 5, 2005 due to low share price. On 1/31/08, Calpine emerged from bankruptcy and now trades on the NYSE under the ticker symbol CPN. The company is headquartered in the Calpine Center
Calpine Center
The Calpine Center is a 453 ft tall postmodern skyscraper in Downtown Houston, Texas. The building has 33 floors of Class A office space. It is the 30th tallest building in the city. The building has the world headquarters of Calpine Corporation. Hines and Prime Asset Management jointly...
in Downtown Houston
Downtown Houston
Downtown Houston is the largest business district of Houston, Texas, United States. Downtown Houston, the city's central business district, contains the headquarters of many prominent companies. There is an extensive network of pedestrian tunnels and skywalks connecting the buildings of the district...
.
History
In response to the 1973 oil crisis1973 oil crisis
The 1973 oil crisis started in October 1973, when the members of Organization of Arab Petroleum Exporting Countries or the OAPEC proclaimed an oil embargo. This was "in response to the U.S. decision to re-supply the Israeli military" during the Yom Kippur war. It lasted until March 1974. With the...
and the 1979 energy crisis
1979 energy crisis
The 1979 oil crisis in the United States occurred in the wake of the Iranian Revolution. Amid massive protests, the Shah of Iran, Mohammad Reza Pahlavi, fled his country in early 1979 and the Ayatollah Khomeini soon became the new leader of Iran. Protests severely disrupted the Iranian oil...
, much legislation was passed that made domestic energy production an attractive enterprise. In 1984, Peter Cartwright and four of his co-workers, the Guy F. Atkinson Construction Company of South San Francisco
South San Francisco, California
South San Francisco is a city in San Mateo County, California, United States, located on the San Francisco Peninsula in the San Francisco Bay Area...
, and the Electrowatt corporation struck an investment arrangement and Calpine was born with initial capital of US$
United States dollar
The United States dollar , also referred to as the American dollar, is the official currency of the United States of America. It is divided into 100 smaller units called cents or pennies....
1 million. It was essentially a Silicon Valley startup company. The name "Calpine" is derived from the company's California location and alpine, a reference to the Zürich
Zürich
Zurich is the largest city in Switzerland and the capital of the canton of Zurich. It is located in central Switzerland at the northwestern tip of Lake Zurich...
home base of Electrowatt. Calpine is the world's largest provider of geothermal energy, and largest natural gas fueled power producer in North America.
As of 2006, the directors of Calpine are Kenneth T. Derr
Kenneth T. Derr
Kenneth T. Derr is a member of the board of directors of the Halliburton Company. He is a retired Chairman of the Board, Chevron Corporation . He served as Chevron's Chairman and Chief Executive Officer from Jan. 1, 1989, to Dec. 31, 1999, when he was succeeded by David J. O'Reilly...
, Glenn H. Hiner, William J. Keese, Robert P. May, David C. Merritt, Walter L. Revell, George J. Stathakis, and Susan Wang.
In 2004, the directors of Calpine Canada Energy Finance Ulc were Charles B. Clark Jr., Kenneth T. Derr
Kenneth T. Derr
Kenneth T. Derr is a member of the board of directors of the Halliburton Company. He is a retired Chairman of the Board, Chevron Corporation . He served as Chevron's Chairman and Chief Executive Officer from Jan. 1, 1989, to Dec. 31, 1999, when he was succeeded by David J. O'Reilly...
, Jeffery E. Garten, Gerald Greenwald, Susan Schwab
Susan Schwab
Susan C. Schwab is an American politician, who served as United States Trade Representative from June, 2006 to January, 2009....
, George J. Stathakis, Susan Wang, and John O. Wilson.
- 1984: provider of management services for independent energy companies
- 1988: first power production
- 1992: assets of US $21 billion
- 1994: 141 MW capacity
- 1996: largest IPOInitial public offeringAn initial public offering or stock market launch, is the first sale of stock by a private company to the public. It can be used by either small or large companies to raise expansion capital and become publicly traded enterprises...
ever for an independent energy company - 1997: purchase of Montis Niger natural gasNatural gasNatural gas is a naturally occurring gas mixture consisting primarily of methane, typically with 0–20% higher hydrocarbons . It is found associated with other hydrocarbon fuel, in coal beds, as methane clathrates, and is an important fuel source and a major feedstock for fertilizers.Most natural...
fields and pipelines in the Sacramento ValleySacramento ValleyThe Sacramento Valley is the portion of the California Central Valley that lies to the north of the San Joaquin-Sacramento Delta in the U.S. state of California. It encompasses all or parts of ten counties.-Geography:... - 1998: purchased 45 gas turbine power plants
- 1999: purchased 18 gas turbine power plants
- 1999: purchase of HoustonHouston, TexasHouston is the fourth-largest city in the United States, and the largest city in the state of Texas. According to the 2010 U.S. Census, the city had a population of 2.1 million people within an area of . Houston is the seat of Harris County and the economic center of , which is the ...
's Sheridan Energy, a gas exploration and production company - 1999: acquired PG&EPacific Gas and Electric CompanyThe Pacific Gas and Electric Company , commonly known as PG&E, is the utility that provides natural gas and electricity to most of the northern two-thirds of California, from Bakersfield almost to the Oregon border...
's plants at The GeysersThe GeysersThe Geysers is a complex of 22 geothermal power plants, drawing steam from more than 350 wells, located in the Mayacamas Mountains north of San Francisco, California.The largest in the world, the Geysers has...
, making Calpine the world's largest geothermalGeothermal powerGeothermal energy is thermal energy generated and stored in the Earth. Thermal energy is the energy that determines the temperature of matter. Earth's geothermal energy originates from the original formation of the planet and from radioactive decay of minerals...
provider - 2000: 3,355 MW capacity from 58 facilities
- 2001: Established Canadian headquarters offices in Calgary, Alberta Canada.
- 2001: purchase of first European facility in the United KingdomUnited KingdomThe United Kingdom of Great Britain and Northern IrelandIn the United Kingdom and Dependencies, other languages have been officially recognised as legitimate autochthonous languages under the European Charter for Regional or Minority Languages...
- 2001: world's ninth largest electricity producer
- 2001: stock price exceeds US$50.00 per share
- 2001: the California electricity crisisCalifornia electricity crisisThe California electricity crisis, also known as the Western U.S. Energy Crisis of 2000 and 2001 was a situation in which California had a shortage of electricity caused by market manipulations and illegal shutdowns of pipelines by Texas energy consortiums...
- 2001: collapse of Enron Corporation
- 2001: a US$17 billion four-year growth drive with about 50% financing scaled back in face of economic downturn
- 2002: 13,000 MW capacity
- 2003: Calgary Energy Centre in Calgary, Alberta Canada goes online.
- 2004: 22,000 MW capacity; 89 energy centers in 21 states, CanadaCanadaCanada is a North American country consisting of ten provinces and three territories. Located in the northern part of the continent, it extends from the Atlantic Ocean in the east to the Pacific Ocean in the west, and northward into the Arctic Ocean...
, and the UK - 2004: Investment bank Lehman BrothersLehman BrothersLehman Brothers Holdings Inc. was a global financial services firm. Before declaring bankruptcy in 2008, Lehman was the fourth largest investment bank in the USA , doing business in investment banking, equity and fixed-income sales and trading Lehman Brothers Holdings Inc. (former NYSE ticker...
begins shorting Calpine, with researcher Christine Daley lacking confidence in the Calpine Chief Financial OfficerChief financial officerThe chief financial officer or Chief financial and operating officer is a corporate officer primarily responsible for managing the financial risks of the corporation. This officer is also responsible for financial planning and record-keeping, as well as financial reporting to higher management...
, the accounting, and the high debt. This information spreads to clients of Lehman. By the time Calpine goes bankrupt in 2005, Lehman will profit roughly $100,000,000 from the short. - 2005: November: CEO Peter Cartwright and CFO Bob Kelly are fired.
- 2005: December 20: Calpine files bankruptcy, US$22 billion in debt. Calpine's aggressive leveraged expansion plan was unsupportable in the economic environment formed by the 2000-2001 California energy crisis and the collapse of EnronEnronEnron Corporation was an American energy, commodities, and services company based in Houston, Texas. Before its bankruptcy on December 2, 2001, Enron employed approximately 22,000 staff and was one of the world's leading electricity, natural gas, communications, and pulp and paper companies, with...
. Stock price dropped to less than US$0.30 per share. Delisted from NYSE. - 2008: On 1/31/08, Calpine emerges from bankruptcy. Previous stock was exchanged for warrants. New Calpine stock will trade on the NYSE under the ticker symbol "CPN."
- 2009: Moved corporate headquarters from San Jose, CaliforniaSan Jose, CaliforniaSan Jose is the third-largest city in California, the tenth-largest in the U.S., and the county seat of Santa Clara County which is located at the southern end of San Francisco Bay...
to Houston, TexasHouston, TexasHouston is the fourth-largest city in the United States, and the largest city in the state of Texas. According to the 2010 U.S. Census, the city had a population of 2.1 million people within an area of . Houston is the seat of Harris County and the economic center of , which is the ...
. - 2010: Acquired Conectiv Energy (generation) from Pepco HoldingsPepco HoldingsPepco Holdings, Inc. is a holding company incorporated in February of 2001 for the purpose of effecting the acquisition of Conectiv Power Delivery by Potomac Electric Power Company . The acquisition was completed on August 1, 2002 at which time Pepco and Conectiv became wholly owned subsidiaries...
Power plants
This is a partial or incomplete list.- York Energy Center — a 565 megawatt natural gas fired power plant located in Peach Bottom Township, York CountyYork County, PennsylvaniaYork County is a county in the U.S. state of Pennsylvania. As of 2010, the population was 434,972. It is in the Susquehanna Valley, a large fertile agricultural region in South Central Pennsylvania....
, PennsylvaniaPennsylvaniaThe Commonwealth of Pennsylvania is a U.S. state that is located in the Northeastern and Mid-Atlantic regions of the United States. The state borders Delaware and Maryland to the south, West Virginia to the southwest, Ohio to the west, New York and Ontario, Canada, to the north, and New Jersey to... - Metcalf Energy CenterMetcalf Energy CenterThe Metcalf Energy Center is a 600 megawatt combined cycle power plant located in South San Jose, California in an area known as Coyote Valley. The power plant is owned by Calpine and powered by natural gas...
— a 600 megawatt natural gas fired power plant located in San JoseSan Jose, CaliforniaSan Jose is the third-largest city in California, the tenth-largest in the U.S., and the county seat of Santa Clara County which is located at the southern end of San Francisco Bay...
. - The GeysersThe GeysersThe Geysers is a complex of 22 geothermal power plants, drawing steam from more than 350 wells, located in the Mayacamas Mountains north of San Francisco, California.The largest in the world, the Geysers has...
— 19 of the 21 geothermal plants. Entire complex has 1360 MW installed capacity, 1000 MW net. - RockGen Energy CenterRockGen Energy CenterRockGen Energy Center is a 460 megawatt natural gas fired peaking power plant located near Rockdale, Wisconsin. According to Calpine, it was the largest peaking plant in Wisconsin at the time it was constructed.-Construction:...
, a 460 megawatt natural gas fired peaking power plantPeaking power plantPeaking power plants, also known as peaker plants, and occasionally just "peakers," are power plants that generally run only when there is a high demand, known as peak demand, for electricity.-Peak hours:...
in the Town of ChristianaChristiana, Dane County, WisconsinChristiana is a town in Dane County, Wisconsin, United States. The population was 1,313 at the 2000 census. The unincorporated community of Utica is located within the town.-Geography:...
, Dane CountyDane County, WisconsinAs of the census of 2000, there were 426,526 people, 173,484 households, and 100,794 families residing in the county. The population density was 355 people per square mile . There were 180,398 housing units at an average density of 150 per square mile...
, WisconsinWisconsinWisconsin is a U.S. state located in the north-central United States and is part of the Midwest. It is bordered by Minnesota to the west, Iowa to the southwest, Illinois to the south, Lake Michigan to the east, Michigan to the northeast, and Lake Superior to the north. Wisconsin's capital is... - Riverside Energy CenterRiverside Energy CenterRiverside Energy Center is an electrical power station located north of Beloit, Wisconsin in the town of Beloit at 1401 W B R Townline Road just west of the Rock River...
, a 600 megawatt natural gas fired base load power plantBase load power plantBaseload is the minimum amount of power that a utility or distribution company must make available to its customers, or the amount of power required to meet minimum demands based on reasonable expectations of customer requirements...
located in Town of BeloitBeloit (town), WisconsinBeloit is a town in Rock County, Wisconsin, United States. The population was 7,038 at the 2000 census. The City of Beloit is located partially within the town...
, Rock CountyRock County, Wisconsin-Unincorporated communities:-Further reading:* . Chicago: Western Historical Company, 1879.* Brown, William F. , Chicago: Cooper, 1908.* Brown, William F. , Chicago: Cooper, 1908....
, WisconsinWisconsinWisconsin is a U.S. state located in the north-central United States and is part of the Midwest. It is bordered by Minnesota to the west, Iowa to the southwest, Illinois to the south, Lake Michigan to the east, Michigan to the northeast, and Lake Superior to the north. Wisconsin's capital is...
. - Los Medanos Energy Center — a 561 megawatt natural gas fired co-generation power plant located in Pittsburg, CaliforniaPittsburg, CaliforniaPittsburg is a city located in eastern Contra Costa County, California, the outer portion of the East Bay region of the San Francisco Bay Area. The population was 63,264 at the 2010 census....
. - EDGEMOOR POWER GENERATING STATION, Wilmington Delaware acquired with the purchase of Connective energy from PEPCO in July 2010. 760 Megawatt coal fired converted in July 2010 to natural Gas with additional peak turbine capacity of 350 Megawatts to be built. They also acquired 5 other power generating plants from PEPCO in the $1.63 billion deal
- Russell City Power Plant (Hayward,CA)