CLECO CORPORATION

Down in the Louisiana bayous, Cleco comes alive with the click of a light switch. The holding company's utility unit, Cleco Power, generates, transmits, and distributes electricity to approximately 283,000 residential and business customers in 108 communities in Louisiana. Cleco Power has a net generating capacity of about 2,565 MW from its interests in nine fossil-fueled power plants. It also purchases power from other utilities and energy marketers and it sells some excess power to wholesale customers. Subsidiary Cleco Midstream Resources owns and operates two gas-fired wholesale power plants, a gas interconnection link to access the natural gas supply market, and offers energy management services.

Geographic Reach

Cleco Power serves 23 of Louisiana's parishes: Acadia, Allen, Avoyelles, Beauregard, Calcasieu, Catahoula, DeSoto, Evangeline, Grant, Iberia, Jefferson Davis, LaSalle, Natchitoches, Rapides, Red River, Sabine, St. Landry, St. Martin, St. Mary, St. Tammany, Vermillion, Vernon, and Washington.

Operations

The only investor-owned electric utility in the state that serves Louisiana exclusively, Cleco Power' assets include 11,500 miles of distribution circuits and 1,250 miles of transmission circuits.

Cleco Midstream Resources LLC manages Cleco's wholesale energy business, including 775 MW of capacity in Louisiana.

Cleco Support Group LLC is a shared-services subsidiary which enhances the revenues and profitability of Cleco's subsidiaries through cost-effective support services.

Financial Performance

Revenues decreased by 11% in 2012 due to lower fuel cost recovery revenues at Cleco Power caused by lower per unit costs of fuel used for electric generation and power purchased for utility customers and lower volumes of fuel used for electric generation.

Cleco's net income decreased by 16 % in 2012 due to lower revenues and an increase in interest charges due to absence of a favorable tax settlement recorded in 2011 relating to its Evangeline operations. Equity income from investees decreased due to the absence of the gain from the disposition of Acadia Unit 2 during 2011, offset by decrease in operating expenses.

(In 2010 the company expanded its capacity, acquiring the 580 MW natural gas-fired Acadia Power Station in Louisiana from Acadia Power Partners for $304 million.)

Business Strategy

In 2012 the company advanced its strategy to expand its business by signing a 25-year extension of its current lease agreement with the England Economic and Industrial Development District (England Airpark) to operate its electric system. The long-term extension provides opportunities for continued growth for both England Airpark and Cleco.

In 2011, to raise cash, Acadia Power Partners sold Unit 2 at Acadia Power Station and 50% of Acadia Power Station's common assets to Entergy Louisiana, LLC for $300 million. Cleco indirectly owns 50% of Arcadia Power through its Cleco Midstream Resources LLC subsidiary. Cleco received $150 million from the sale.

 

▲ Show Less▼ Show Full Description


CLECO CORPORATION


2030 Donahue Ferry Rd
Pineville, LA 71360-5226
Phone: 1 (318) 484-7400
www.cleco.com

STATS


  • Employer Type: Public
  • Stock Symbol: CNL,
  • Stock Exchange: , NYSE
  • President and CEO: Bruce Williamson
  • SVP and CFO: Thomas Miller
  • President and CEO: Bruce Williamson

Major Office Locations

  • Pineville, LA
  • Pineville, LA

Become a Vault Basic Member

Complete your Vault Profile and get seen by top employers