San Jose, CA, Nov. 27, 2006 — Calpine Corp. announced that it has completed a series of transactions for the sale of ten turbines and generators and other miscellaneous equipment for a total of approximately $112 million. The equipment sales are part of Calpine’s ongoing program to divest of excess turbines and related inventory.
Calpine CEO Robert P. May stated, “With these equipment sales, Calpine enhances liquidity and lowers costly storage charges, allowing us to further focus our resources on Calpine’s core business — generating and selling… electricity and services.”
Calpine sold the excess equipment inventory as part of its restructuring efforts to maximize the value from its assets and focus on its core business. At an auction held on November 16, Calpine sold two Siemens 501FD combustion gas turbine and generator sets and a partial 501FD unit, three General Electric LM6000 gas turbines and miscellaneous related equipment for approximately $48 million. Last week Calpine also closed on the sale of four Siemens 501FD combustion gas turbines and generator sets for approximately $48 million, and in late October sold a GE FA combustion gas turbine and generator set for $16 million.
For related articles on the continuing Calpine bankruptcy and recovery, please read these articles: