Good Morning,

Attached, please find the latest issue of our Independent Power Weekly.

 <<IPW061101.pdf>>

Summary:
1. IPPs Fall 6.9%   Last week we saw continued lackluster performance from
the Independent Power Producers.  Our composite fell 6.9%, underperforming
both the NASDAQ (+3.1%) and the S&P 500 (+0.3).  Mirant, which was down
1.6%, was the strongest performer in the group.  Shaw Group was the weakest
performer, declining by 12.0%.

2. Politics and Price Caps Dominate Investor Attention  In our view, last
week's continued poor stock price performance reflected 2 major issues: 1.
Lingering political uncertainties with increased media attention; and, 2.
Soft spot power market conditions across much of the US.

3. Power Markets Recover on Friday   Importantly, on Friday (6/8), most
regions across the US experienced a significant upturn in power pricing with
forecasts calling for hotter weather.  Trades for Monday delivery, which
took place on Friday, saw price increases of 10-25% on average in the
Eastern and Central regions.  In the Western region, prices spiked up
40-50%.  Should these price increases prove to be sustainable, we would
expect to see a meaningful improvement in investor sentiment.

4. EIX Bankruptcy?  Implications for the IPPs   Recently there has been
increasing speculation that a Chapter 11 bankruptcy filing by Southern
California Edison, the utility subsidiary of Edison International, could be
imminent.  We thought it would be timely to analyze the implications of an
SCE bankruptcy for the IPPs.  Our overall conclusion is that an SCE
bankruptcy would be neutral for the sector.  Such an event would have no
impact on the earnings estimates or forecasted growth rates for any of the
companies under our coverage.  In addition, none of the companies have any
direct receivables exposure to SCE.  Finally, we believe reserves taken
against accounts receivable balances from the CalISO and PX across the
sector adequately mitigate exposure to potential bad debt writedowns.

5. Looking Ahead: ORN Analyst Meeting   On Tuesday (6/12), Orion Power will
host its first major analyst meeting since its November 2000 IPO.  Beyond
giving a detailed review of the business, we expect management to discuss
the prospect of future acquisitions.  Recently, management has indicated
that it is evaluating a number of potential transactions located primarily
in the Southeast.  We also expect the company to provide a detailed
regulatory update on its key markets-PJM and NY.  Finally, we expect
management to reaffirm prior guidance for 2001 of $1.15 per share.  While we
believe ORN's exposure to the New York City market offers meaningful upside
potential, we believe the company will continue with its conservative stance
for the year.  Our 2001 and 2002 EPS estimates for ORN remain $1.20 and
1.60.  Our target price is $38.

Regards,

Neil Stein   212/325-4217
Bryan Sifert   212/325-3906


This message is for the named person's use only.  It may contain
confidential, proprietary or legally privileged information.  No
confidentiality or privilege is waived or lost by any mistransmission.
If you receive this message in error, please immediately delete it and all
copies of it from your system, destroy any hard copies of it and notify the
sender.  You must not, directly or indirectly, use, disclose, distribute,
print, or copy any part of this message if you are not the intended
recipient. CREDIT SUISSE GROUP and each of its subsidiaries each reserve
the right to monitor all e-mail communications through its networks.  Any
views expressed in this message are those of the individual sender, except
where the message states otherwise and the sender is authorised to state
them to be the views of any such entity.
Unless otherwise stated, any pricing information given in this message is
indicative only, is subject to change and does not constitute an offer to
deal at any price quoted.
Any reference to the terms of executed transactions should be treated as
preliminary only and subject to our formal written confirmation.




 - IPW061101.pdf