Calpine Shares Drop On SEC Investigation

Calpine Corp. said the Securities and Exchange Commission is investigating whether the company had improperly disclosed financial information to analysts, sending its shares down 22% to a two-year low.

A request for information by the SEC’s enforcement division relates to a Jan. 4 Dow Jones Newswire report that Calpine tipped off analysts to spending cuts and lower earnings that it publicly announced days later, spokesman Bill Highlander said. Calpine has made no inappropriate disclosures, he said.

The investigation comes amid heightened scrutiny over energy companies’ finances in the wake of Enron Corp.’s collapse and lower electricity and natural gas prices. Shares of Calpine are down 83% from a year ago, and shares of other energy companies such as Mirant Corp. and Dynegy Inc. also have fallen.

Shares of San Jose-based Calpine fell $1.95 to $6.80 on the NYSE.