Power producing giant Calpine Corp. named former Texas Genco chief executive Jack Fusco its new president and CEO, replacing Robert May, who had been CEO since December 2005.
Calpine, the largest U.S. producer of electricity fueled by natural gas, posted a net income of $197 million, or 41 cents per share, during the second quarter of 2008, compared to a net loss of $500 million during the same quarter in 2007.
Fusco takes the reigns after May guided Calpine through bankruptcy.
In May, the Calpine board rejected a $9.32 billion takeover bid from coal and nuclear power producer NRG Energy, and Fusco's hiring may curtail speculation on Calpine's status as a stand-along firm, according to a Reuters report.
Fusco said he was "eager to build on the positive momentum to improve our operating efficiencies and to implement a strategy for Calpine's future growth," according to Reuters.
Calpine entered bankruptcy in December 2005 after natural gas costs skyrocketed and an overabundance of power kept electricity prices stagnant. May, considered a turnaround specialist, took control of Calpine and said he would retire once a replacement was found.
Fusco was the chief executive of Texas Genco, the state's second largest power producer, until NRG Energy bought it out. Previously, Fusco was an energy investment advisor to Texas Pacific Group, from 2002 to 2004.
Calpine Corp. Names New CEO
Aug 13, 2008
