(Charlotte, NC, October 23, 2006)  During the September 2006 Open Session, the State of Louisiana’s Public Service Commission selected investment banking firm Pathfinder Capital Advisors as its financial advisor.  Pathfinder Capital will advise the Commission regarding the Stage III phase of the storm cost recovery case filed by Entergy Gulf States (“EGSI”) and Entergy Louisiana, LLC (“ELL”, formerly Entergy Louisiana, Inc.), and the subsequent securitization of bonds.  EGSI and  ELL (affiliates of Entergy Corporation, NYSE: ETR)  have jointly filed a rate case with the Louisiana Public Service Commission for the interim and permanent recovery of certain costs related to Hurricanes Katrina and Rita.  Pathfinder Capital will advise the Commission on how to protect ratepayer interests relating to the structural aspects of the financing and the securitization of the bonds.

In a separate vote during the October 2006 Open Session, the Commission again selected Pathfinder as its financial advisor to serve in a similar capacity in regards to Cleco Corporation’s (NYSE: CNL) pending securitization.  Cleco Power LLC has filed a rate case with the Louisiana Public Service Commission to also recover costs related to Hurricanes Katrina and Rita. 

In Louisiana House Bill No. 887 (ACT No.64), the Louisiana Legislature passed the “Louisiana Electric Utility Storm Recovery Securitization Act” which enables electric utilities, if authorized by a financing order issued by the Commission, to use securitized financing for the recovery of storm related costs.  The proceeds of the bonds must be used solely for the purpose of recovering storm costs (as determined by the Commission) to encourage and facilitate the rebuilding of utility infrastructure damaged by storms.   The legislation permits the Commission to authorize bond sales that are backed by a special tariff or charge on consumer utility bills.  This type of transaction leads to lower debt costs and may also lower the overall financing costs or mitigate the impact on rates in comparison to conventional forms of utility financing, thereby benefiting ratepayers. 

Speaking on behalf of Pathfinder Capital, Mr. Bruce Gebhardt commented that we are “delighted to have the opportunity to advise the Commission on how to best protect the interests of Louisiana ratepayers.  This region has been severely impacted by the storms and we look forward to helping to finance the rebuilding effort while protecting Louisiana’s ratepayers”.    Mr. Terry Friddle added that “For a region still laboring to recover, serving the ratepayers during the cost recovery financing is a critical assignment.”  There is a growing trend nationally for utilities to issue bonds backed specifically by ratepayers due to the high credit ratings that these bonds attract which in turn lowers the cost of financing-  the advisor’s role is to therefore help achieve the lowest possible cost of financing. 

About Pathfinder Capital Advisors.   Pathfinder Capital Advisors, LLC is a closely-held investment bank with offices in Charlotte, New York and Washington, DC.  The firm specializes in energy and power activities encompassing advisory, capital raising, and monetization services for a number of public and private energy/utility concerns as well as state and national government agencies.  Securities activities are handled through wholly-owned Sojourner Securities LLC, the firm’s NASD/SEC registered broker/dealer.

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