----

----

| CommissionFile Number |   | Exact name of registrants as specified in their charters,State of organization, address of principal executive officesand registrants' telephone number |   | IRS EmployerIdentificationNumber |
|-----------------------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------------------------------|

| 333-52397    |   | ESI TRACTEBEL ACQUISITION CORP.(a Delaware corporation) |   | 65-0827005 |
|--------------|--------|---------------------------------------------------------|--------|------------|
| 333-52397-01 |   | NORTHEAST ENERGY, LP(a Delaware limited partnership)    |   | 65-0811248 |

| Yes  ̈          No þ |
|-------------------------------------------------------------------------------------------|

| Yes  ̈          No  ̈ |
|-------------------------------------------------------------------------------------------|

| Large accelerated filers  [   ] | Accelerated filers  [   ] | Non-accelerated filers  þ(Do not check if a smaller reporting company) | Smaller reporting companies  [   ] |
|----------------------------------------------------------|----------------------------------------------------|---------------------------------------------------------------------------------------|-------------------------------------------------------------|

| Yes  ̈          No þ |
|-------------------------------------------------------------------------------------------|

----

| ·   | The registrants are subject to complex laws and regulations and to changes in laws and regulations as well as changing governmental policies and regulatory actions, with respect to, among other things, initiatives regarding deregulation and restructuring of the energy industry and environmental matters, including matters related to the effects of climatechange, operation of generation facilities, and present or prospective competition.  This substantial and complex framework exposes the registrants to increased compliance costs and potentially significant monetary penalties for non-compliance. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | A substantial portion of the output from the Partnerships' power generation facilities is sold to two regulated utilities under five power purchase agreements, two of which terminate in 2011 and the other three in 2016.  The limited number of power purchasers creates a concentration of counterparty risk.  The remaining output fromthe power generation facilities is sold, from time to time, in the merchant markets.  Economic factors, such as the current downturn, could adversely affect energy consumption and could adversely affect the results of operations of the registrants. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | The operation and maintenance of power generation facilities involve significant risks that could adversely affect the results of operations and financial condition of the registrants. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | The use of derivative contracts by NE LP and the Partnerships in the normal course of business could result in financial losses that adversely impact the results of operations of the registrants. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | The competitive energy business is subject to risks, many of which are beyond the control of the registrants, including, but not limited to, the ability to efficiently operate generating assets, the successful and timely completion of project restructuring activities, the price and supply of fuel (including transportation) and equipment, transmissionconstraints, competition from other and new sources of generation, excess generation capacity and shifting demand for power, that may reduce the revenues and adversely impact the results of operations and financial condition of the registrants. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | The registrants rely on contracts with vendors for the supply of fuel and equipment required for the operation of their facilities.  If vendors fail to fulfill their contractual obligations, the registrants may need to make arrangements with other suppliers, which could result in higher costs and/or a disruption to their operations. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Weather affects the registrants' results of operations, as can the impact of severe weather.  Weather conditions directly influence the demand for electricity and natural gas, affect the price of energy commodities, and can affect the production of electricity at power generation facilities. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | The registrants are subject to costs and other potentially adverse effects of legal and regulatory proceedings, settlements, investigations and claims, as well as regulatory compliance and the effect of new, or changes in, tax laws, rates or policies, rates of inflation, accounting standards, securities laws and corporate governance requirements. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | The Partnerships are subject to mandatory reliability standards promulgated by the North American Electric Reliability Corporation and enforced by the Federal Energy Regulatory Commission.  Noncompliance with these mandatory reliability standards could result in sanctions, including substantial monetary penalties. |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Threats of terrorism and catastrophic events that could result from terrorism, cyber attacks, or individuals and/or groups attempting to disrupt NE LP’s and the Partnerships’ business may impact the operations of the registrants in unpredictable ways. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | The registrants' ability to obtain insurance, and the cost of and coverage provided by such insurance, could be adversely affected by international, national, state or local events as well as registrant-specific events. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | The registrants, the Partnerships and the Funding Corp. are substantially leveraged and subject to restrictive covenants under their debt agreements that will limit their ability to borrow or otherwise have access to additional funds. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | All obligations of the Partnerships are non-recourse to the direct and indirect owners of the registrants. |
|--------------------|------------------------------------------------------------------------------------------------------------|

----

|                                                                                               |   | June 30,2009 |    |   | December 31,2008 |   |
|----------------------------------------------------------------------------------------------------|--------|--------------|---------|--------|------------------|--------|
|                                                                                               |   |         |    |   |             |   |   |   |
| ASSETS                                                                                             |   |         |    |   |             |   |   |   |
| Current assets:                                                                                    |   |         |    |   |             |   |   |   |
| Cash and cash equivalents                                                                          |   | $            | 36,925  |   |             | $      | 48,186 |   |
| Accounts receivable                                                                                |   |         | 49,960  |   |             |   | 85,495 |   |
| Spare parts inventories                                                                            |   |         | 8,784   |   |             |   | 5,943 |   |
| Fuel inventories                                                                                   |   |         | 6,740   |   |             |   | 10,877 |   |
| Prepaid expenses and other current assets                                                          |   |         | 1,059   |   |             |   | 1,299 |   |
| Total current assets                                                                               |   |         | 103,468 |   |             |   | 151,800 |   |
|                                                                                               |   |         |    |   |             |   |   |   |
| Non-current assets:                                                                                |   |         |    |   |             |   |   |   |
| Deferred debt issuance costs (net of accumulated amortization of $6,364 and $6,191, respectively)  |   |         | 596     |   |             |   | 769 |   |
| Land                                                                                               |   |         | 4,712   |   |             |   | 4,712 |   |
| Cogeneration facilities (net of accumulated depreciation of $210,446 and $201,140, respectively)   |   |         | 323,482 |   |             |   | 319,420 |   |
| Power purchase agreements (net of accumulated amortization of $738,889 and $697,324, respectively) |   |         | 202,467 |   |             |   | 244,032 |   |
| Other assets                                                                                       |   |         | 3,894   |   |             |   | 3,578 |   |
| Total non-current assets                                                                           |   |         | 535,151 |   |             |   | 572,511 |   |
|                                                                                               |   |         |    |   |             |   |   |   |
| TOTAL ASSETS                                                                                       |   | $            | 638,619 |   |             | $      | 724,311 |   |
|                                                                                               |   |         |    |   |             |   |   |   |
| LIABILITIES AND PARTNERS' EQUITY                                                                   |   |         |    |   |             |   |   |   |
| Current liabilities:                                                                               |   |         |    |   |             |   |   |   |
| Current portion of notes payable – the Funding Corp.                                         |   | $            | 59,920  |   |             | $      | 54,616 |   |
| Current portion of note payable – the Acquisition Corp.                                      |   |         | 30,800  |   |             |   | 26,400 |   |
| Current portion of note payable – affiliate                                                  |   |         | 4,134   |   |             |   | 3,971 |   |
| Accounts payable                                                                                   |   |         | 3,197   |   |             |   | 1,100 |   |
| Due to related parties                                                                             |   |         | 11,502  |   |             |   | 30,616 |   |
| Other accrued expenses                                                                             |   |         | 10,349  |   |             |   | 17,025 |   |
| Total current liabilities                                                                          |   |         | 119,902 |   |             |   | 133,728 |   |
|                                                                                               |   |         |    |   |             |   |   |   |
| Non-current liabilities:                                                                           |   |         |    |   |             |   |   |   |
| Deferred revenue                                                                                   |   |         | 73,911  |   |             |   | 66,944 |   |
| Notes payable – the Funding Corp.                                                            |   |         | 32,612  |   |             |   | 65,223 |   |
| Note payable – the Acquisition Corp.                                                         |   |         | 83,600  |   |             |   | 101,200 |   |
| Note payable – affiliate                                                                     |   |         | 4,484   |   |             |   | 6,595 |   |
| Other liabilities                                                                                  |   |         | 195     |   |             |   | 151 |   |
| Lease payable                                                                                      |   |         | 443     |   |             |   | 319 |   |
| Total non-current liabilities                                                                      |   |         | 195,245 |   |             |   | 240,432 |   |
|                                                                                               |   |         |    |   |             |   |   |   |
| COMMITMENTS AND CONTINGENCIES                                                                      |   |         |    |   |             |   |   |   |
|                                                                                               |   |         |    |   |             |   |   |   |
| Partners' equity:                                                                                  |   |         |    |   |             |   |   |   |
| General partners                                                                                   |   |         | 6,469   |   |             |   | 7,003 |   |
| Limited partners                                                                                   |   |         | 317,003 |   |             |   | 343,148 |   |
| Total partners' equity                                                                             |   |         | 323,472 |   |             |   | 350,151 |   |
|                                                                                               |   |         |    |   |             |   |   |   |
| TOTAL LIABILITIES AND PARTNERS' EQUITY                                                             |   | $            | 638,619 |   |             | $      | 724,311 |   |

----

|                                |   | Three Months EndedJune 30, |   |   | Six Months EndedJune 30, |   |
|-------------------------------------|--------|----------------------------|--------|--------|--------------------------|--------|
|                                |   | 2009                       |   |   | 2008                     |   |   | 2009 |   |   | 2008 |   |
|                                |   |                       |   |   |                     |   |   |   |   |   |   |   |   |   |   |   |
| REVENUES                            |   | $                          | 60,043 |   |                     | $      | 103,839 |   |   | $ | 122,306 |   |   | $ | 220,510 |   |
|                                |   |                       |   |   |                     |   |   |   |   |   |   |   |   |   |   |   |
| COSTS AND EXPENSES:                 |   |                       |   |   |                     |   |   |   |   |   |   |   |   |   |   |   |
| Fuel (net of fuel sales)            |   |                       | 11,022 |   |                     |   | 35,304 |   |   |   | 10,666 |   |   |   | 77,774 |   |
| Operations and maintenance          |   |                       | 5,590  |   |                     |   | 4,181 |   |   |   | 10,234 |   |   |   | 8,876 |   |
| Depreciation and amortization       |   |                       | 26,357 |   |                     |   | 26,396 |   |   |   | 51,897 |   |   |   | 51,985 |   |
| General and administrative          |   |                       | 2,277  |   |                     |   | 2,580 |   |   |   | 4,496 |   |   |   | 4,943 |   |
| Total costs and expenses            |   |                       | 45,246 |   |                     |   | 68,461 |   |   |   | 77,293 |   |   |   | 143,578 |   |
|                                |   |                       |   |   |                     |   |   |   |   |   |   |   |   |   |   |   |
| OPERATING INCOME                    |   |                       | 14,797 |   |                     |   | 35,378 |   |   |   | 45,013 |   |   |   | 76,932 |   |
|                                |   |                       |   |   |                     |   |   |   |   |   |   |   |   |   |   |   |
| OTHER EXPENSE (INCOME):             |   |                       |   |   |                     |   |   |   |   |   |   |   |   |   |   |   |
| Amortization of debt issuance costs |   |                       | 86     |   |                     |   | 103 |   |   |   | 172 |   |   |   | 206 |   |
| Interest expense                    |   |                       | 5,695  |   |                     |   | 7,473 |   |   |   | 11,386 |   |   |   | 14,997 |   |
| Interest income                     |   |                       | (29    | )      |                     |   | (429 | ) |   |   | (98 | ) |   |   | (950 | ) |
| Other expense (income)              |   |                       | -      |   |                     |   | 22 |   |   |   | - |   |   |   | (1,795 | ) |
| Total other expense – net     |   |                       | 5,752  |   |                     |   | 7,169 |   |   |   | 11,460 |   |   |   | 12,458 |   |
|                                |   |                       |   |   |                     |   |   |   |   |   |   |   |   |   |   |   |
| NET INCOME                          |   | $                          | 9,045  |   |                     | $      | 28,209 |   |   | $ | 33,553 |   |   | $ | 64,474 |   |

|                                                                            |   | Six Months EndedJune 30, |     |
|---------------------------------------------------------------------------------|--------|--------------------------|----------|
|                                                                            |   | 2009                     |     |   | 2008 |   |
|                                                                            |   |                     |     |   |   |   |   |   |
| NET CASH PROVIDED BY OPERATING ACTIVITIES                                       |   | $                        | 104,290  |   |   | $ | 120,456 |   |
|                                                                            |   |                     |     |   |   |   |   |   |
| CASH FLOWS FROM INVESTING ACTIVITIES:                                           |   |                     |     |   |   |   |   |   |
| Capital expenditures                                                            |   |                     | (13,074  | ) |   |   | (3,090 | ) |
| Proceeds from insurance claim                                                   |   |                     | 211      |   |   |   | - |   |
| Net cash used in investing activities                                           |   |                     | (12,863  | ) |   |   | (3,090 | ) |
|                                                                            |   |                     |     |   |   |   |   |   |
| CASH FLOWS FROM FINANCING ACTIVITIES:                                           |   |                     |     |   |   |   |   |   |
| Principal payments on the Funding Corp. notes                                   |   |                     | (27,308  | ) |   |   | (25,901 | ) |
| Principal payments on the Acquisition Corp. note                                |   |                     | (13,200  | ) |   |   | (11,000 | ) |
| Principal payments on the affiliate note                                        |   |                     | (1,948   | ) |   |   | (1,799 | ) |
| Distributions to partners                                                       |   |                     | (60,232  | ) |   |   | (61,670 | ) |
| Net cash used in financing activities                                           |   |                     | (102,688 | ) |   |   | (100,370 | ) |
|                                                                            |   |                     |     |   |   |   |   |   |
| Net (decrease) increase in cash and cash equivalents                            |   |                     | (11,261  | ) |   |   | 16,996 |   |
| Cash and cash equivalents at beginning of period                                |   |                     | 48,186   |   |   |   | 45,257 |   |
| Cash and cash equivalents at end of period                                      |   | $                        | 36,925   |   |   | $ | 62,253 |   |
|                                                                            |   |                     |     |   |   |   |   |   |
| SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:                               |   |                     |     |   |   |   |   |   |
| Cash paid for interest                                                          |   | $                        | 11,386   |   |   | $ | 14,946 |   |
|                                                                            |   |                     |     |   |   |   |   |   |
| SUPPLEMENTAL DISCLOSURE OF NONCASH ACTIVITIES:                                  |   |                     |     |   |   |   |   |   |
| Additions to cogeneration facilities                                            |   | $                        | 4,106    |   |   | $ | 722 |   |
| Transfer of cogeneration facilities to spare parts inventories                  |   | $                        | 2,400    |   |   | $ | - |   |
| Transfer of cogeneration facilities to accounts receivable under warranty claim |   | $                        | 167      |   |   | $ | - |   |

----

|                                                                                               |   | June 30,2009 |    |   | December 31,2008 |   |
|----------------------------------------------------------------------------------------------------|--------|--------------|---------|--------|------------------|--------|
|                                                                                               |   |         |    |   |             |   |   |   |
| ASSETS                                                                                             |   |         |    |   |             |   |   |   |
| Current assets:                                                                                    |   |         |    |   |             |   |   |   |
| Cash and cash equivalents                                                                          |   | $            | 36,923  |   |             | $      | 48,184 |   |
| Accounts receivable                                                                                |   |         | 49,960  |   |             |   | 85,495 |   |
| Spare parts inventories                                                                            |   |         | 8,784   |   |             |   | 5,943 |   |
| Fuel inventories                                                                                   |   |         | 6,740   |   |             |   | 10,877 |   |
| Prepaid expenses and other current assets                                                          |   |         | 1,057   |   |             |   | 1,298 |   |
| Total current assets                                                                               |   |         | 103,464 |   |             |   | 151,797 |   |
|                                                                                               |   |         |    |   |             |   |   |   |
| Non-current assets:                                                                                |   |         |    |   |             |   |   |   |
| Land                                                                                               |   |         | 4,712   |   |             |   | 4,712 |   |
| Cogeneration facilities (net of accumulated depreciation of $210,446 and $201,140, respectively)   |   |         | 323,482 |   |             |   | 319,420 |   |
| Power purchase agreements (net of accumulated amortization of $738,889 and $697,324, respectively) |   |         | 202,467 |   |             |   | 244,032 |   |
| Other assets                                                                                       |   |         | 3,894   |   |             |   | 3,578 |   |
| Total non-current assets                                                                           |   |         | 534,555 |   |             |   | 571,742 |   |
|                                                                                               |   |         |    |   |             |   |   |   |
| TOTAL ASSETS                                                                                       |   | $            | 638,019 |   |             | $      | 723,539 |   |
|                                                                                               |   |         |    |   |             |   |   |   |
| LIABILITIES AND PARTNERS' EQUITY                                                                   |   |         |    |   |             |   |   |   |
| Current liabilities:                                                                               |   |         |    |   |             |   |   |   |
| Current portion of notes payable – the Funding Corp.                                         |   | $            | 59,920  |   |             | $      | 54,616 |   |
| Accounts payable                                                                                   |   |         | 3,197   |   |             |   | 1,100 |   |
| Due to related parties                                                                             |   |         | 11,502  |   |             |   | 30,616 |   |
| Other accrued expenses                                                                             |   |         | 10,349  |   |             |   | 17,025 |   |
| Total current liabilities                                                                          |   |         | 84,968  |   |             |   | 103,357 |   |
|                                                                                               |   |         |    |   |             |   |   |   |
| Non-current liabilities:                                                                           |   |         |    |   |             |   |   |   |
| Deferred revenue                                                                                   |   |         | 73,911  |   |             |   | 66,944 |   |
| Notes payable – the Funding Corp.                                                            |   |         | 32,612  |   |             |   | 65,223 |   |
| Lease payable                                                                                      |   |         | 443     |   |             |   | 319 |   |
| Other liabilities                                                                                  |   |         | 44      |   |             |   | - |   |
| Total non-current liabilities                                                                      |   |         | 107,010 |   |             |   | 132,486 |   |
|                                                                                               |   |         |    |   |             |   |   |   |
| COMMITMENTS AND CONTINGENCIES                                                                      |   |         |    |   |             |   |   |   |
|                                                                                               |   |         |    |   |             |   |   |   |
| Partners' equity:                                                                                  |   |         |    |   |             |   |   |   |
| General partners                                                                                   |   |         | 4,460   |   |             |   | 4,877 |   |
| Limited partners                                                                                   |   |         | 441,581 |   |             |   | 482,819 |   |
| Total partners' equity                                                                             |   |         | 446,041 |   |             |   | 487,696 |   |
|                                                                                               |   |         |    |   |             |   |   |   |
| TOTAL LIABILITIES AND PARTNERS' EQUITY                                                             |   | $            | 638,019 |   |             | $      | 723,539 |   |

----

|                            |   | Three Months EndedJune 30, |   |   | Six Months EndedJune 30, |   |
|---------------------------------|--------|----------------------------|--------|--------|--------------------------|--------|
|                            |   | 2009                       |   |   | 2008                     |   |   | 2009 |   |   | 2008 |   |
|                            |   |                       |   |   |                     |   |   |   |   |   |   |   |   |   |   |   |
| REVENUES                        |   | $                          | 60,043 |   |                     | $      | 103,839 |   |   | $ | 122,306 |   |   | $ | 220,510 |   |
|                            |   |                       |   |   |                     |   |   |   |   |   |   |   |   |   |   |   |
| COSTS AND EXPENSES:             |   |                       |   |   |                     |   |   |   |   |   |   |   |   |   |   |   |
| Fuel (net of fuel sales)        |   |                       | 11,022 |   |                     |   | 35,304 |   |   |   | 10,666 |   |   |   | 77,774 |   |
| Operations and maintenance      |   |                       | 5,590  |   |                     |   | 4,181 |   |   |   | 10,234 |   |   |   | 8,876 |   |
| Depreciation and amortization   |   |                       | 26,357 |   |                     |   | 26,396 |   |   |   | 51,897 |   |   |   | 51,985 |   |
| General and administrative      |   |                       | 2,277  |   |                     |   | 2,580 |   |   |   | 4,496 |   |   |   | 4,943 |   |
| Total costs and expenses        |   |                       | 45,246 |   |                     |   | 68,461 |   |   |   | 77,293 |   |   |   | 143,578 |   |
|                            |   |                       |   |   |                     |   |   |   |   |   |   |   |   |   |   |   |
| OPERATING INCOME                |   |                       | 14,797 |   |                     |   | 35,378 |   |   |   | 45,013 |   |   |   | 76,932 |   |
|                            |   |                       |   |   |                     |   |   |   |   |   |   |   |   |   |   |   |
| OTHER EXPENSE (INCOME):         |   |                       |   |   |                     |   |   |   |   |   |   |   |   |   |   |   |
| Interest expense                |   |                       | 2,927  |   |                     |   | 4,193 |   |   |   | 5,854 |   |   |   | 8,436 |   |
| Interest income                 |   |                       | (22    | )      |                     |   | (405 | ) |   |   | (90 | ) |   |   | (925 | ) |
| Other expense (income)          |   |                       | -      |   |                     |   | 22 |   |   |   | - |   |   |   | (1,795 | ) |
| Total other expense – net |   |                       | 2,905  |   |                     |   | 3,810 |   |   |   | 5,764 |   |   |   | 5,716 |   |
|                            |   |                       |   |   |                     |   |   |   |   |   |   |   |   |   |   |   |
| NET INCOME                      |   | $                          | 11,892 |   |                     | $      | 31,568 |   |   | $ | 39,249 |   |   | $ | 71,216 |   |

|                                                                            |   | Six Months EndedJune 30, |     |
|---------------------------------------------------------------------------------|--------|--------------------------|----------|
|                                                                            |   | 2009                     |     |   | 2008 |   |
|                                                                            |   |                     |     |   |   |   |   |   |
| NET CASH PROVIDED BY OPERATING ACTIVITIES                                       |   | $                        | 109,814  |   |   | $ | 126,991 |   |
|                                                                            |   |                     |     |   |   |   |   |   |
| CASH FLOWS FROM INVESTING ACTIVITIES:                                           |   |                     |     |   |   |   |   |   |
| Capital expenditures                                                            |   |                     | (13,074  | ) |   |   | (3,090 | ) |
| Proceeds from insurance claim                                                   |   |                     | 211      |   |   |   | - |   |
| Net cash used in investing activities                                           |   |                     | (12,863  | ) |   |   | (3,090 | ) |
|                                                                            |   |                     |     |   |   |   |   |   |
| CASH FLOWS FROM FINANCING ACTIVITIES:                                           |   |                     |     |   |   |   |   |   |
| Principal payment on the Funding Corp. notes                                    |   |                     | (27,308  | ) |   |   | (25,901 | ) |
| Distributions to partners                                                       |   |                     | (80,904  | ) |   |   | (81,001 | ) |
| Net cash used in financing activities                                           |   |                     | (108,212 | ) |   |   | (106,902 | ) |
|                                                                            |   |                     |     |   |   |   |   |   |
| Net (decrease) increase in cash and cash equivalents                            |   |                     | (11,261  | ) |   |   | 16,999 |   |
| Cash and cash equivalents at beginning of period                                |   |                     | 48,184   |   |   |   | 45,246 |   |
| Cash and cash equivalents at end of period                                      |   | $                        | 36,923   |   |   | $ | 62,245 |   |
|                                                                            |   |                     |     |   |   |   |   |   |
| SUPPLEMENTAL DISCLOSURE OF CASH INFORMATION:                                    |   |                     |     |   |   |   |   |   |
| Cash paid for interest                                                          |   | $                        | 5,854    |   |   | $ | 8,385 |   |
|                                                                            |   |                     |     |   |   |   |   |   |
| SUPPLEMENTAL DISCLOSURE OF NONCASH ACTIVITIES:                                  |   |                     |     |   |   |   |   |   |
| Additions to cogeneration facilities                                            |   | $                        | 4,106    |   |   | $ | 722 |   |
| Transfer of cogeneration facilities to spare parts inventories                  |   | $                        | 2,400    |   |   | $ | - |   |
| Transfer of cogeneration facilities to accounts receivable under warranty claim |   | $                        | 167      |   |   | $ | - |   |

----

|                                                                         |   | June 30,2009 |   |   |   | December 31,2008 |    |
|------------------------------------------------------------------------------|--------|--------------|--------|--------|--------|------------------|---------|
|                                                                         |   |         |   |   |   |             |    |   |
| ASSETS                                                                       |   |         |   |   |   |             |    |   |
| Current assets:                                                              |   |         |   |   |   |             |    |   |
| Cash                                                                         |   | $            | 1      |   |   | $                | 1       |   |
| Current portion of notes receivable from the Partnerships                    |   |         | 59,920 |   |   |             | 54,616  |   |
| Total current assets                                                         |   |         | 59,921 |   |   |             | 54,617  |   |
|                                                                         |   |         |   |   |   |             |    |   |
| Notes receivable from the Partnerships                                       |   |         | 32,612 |   |   |             | 65,223  |   |
|                                                                         |   |         |   |   |   |             |    |   |
| TOTAL ASSETS                                                                 |   | $            | 92,533 |   |   | $                | 119,840 |   |
|                                                                         |   |         |   |   |   |             |    |   |
| LIABILITIES AND STOCKHOLDERS' EQUITY                                         |   |         |   |   |   |             |    |   |
| Current liabilities:                                                         |   |         |   |   |   |             |    |   |
| Current portion of debt securities payable                                   |   | $            | 59,920 |   |   | $                | 54,616  |   |
| Total current liabilities                                                    |   |         | 59,920 |   |   |             | 54,616  |   |
|                                                                         |   |         |   |   |   |             |    |   |
| Debt securities payable                                                      |   |         | 32,612 |   |   |             | 65,223  |   |
|                                                                         |   |         |   |   |   |             |    |   |
| COMMITMENTS AND CONTINGENCIES                                                |   |         |   |   |   |             |    |   |
|                                                                         |   |         |   |   |   |             |    |   |
| Stockholders’ equity:                                                  |   |         |   |   |   |             |    |   |
| Common stock, no par value, 10,000 shares authorized, issued and outstanding |   |         | 1      |   |   |             | 1       |   |
|                                                                         |   |         |   |   |   |             |    |   |
| TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY                                   |   | $            | 92,533 |   |   | $                | 119,840 |   |

|                              |   | Three Months EndedJune 30, |   |   | Six Months EndedJune 30, |   |
|-----------------------------------|--------|----------------------------|--------|--------|--------------------------|--------|
|                              |   | 2009                       |   |   | 2008                     |   |   | 2009 |   |   | 2008 |   |
|                              |   |                       |   |   |                     |   |   |   |   |   |   |   |   |   |   |   |
| Interest income – affiliate |   | $                          | 2,927  |   |                     | $      | 4,192 |   |   | $ | 5,854 |   |   | $ | 8,385 |   |
| Interest expense                  |   |                       | (2,927 | )      |                     |   | (4,192 | ) |   |   | (5,854 | ) |   |   | (8,385 | ) |
|                              |   |                       |   |   |                     |   |   |   |   |   |   |   |   |   |   |   |
| NET INCOME                        |   | $                          | -      |   |                     | $      | - |   |   | $ | - |   |   | $ | - |   |

----

|                                             |   | Six Months EndedJune 30, |    |
|--------------------------------------------------|--------|--------------------------|---------|
|                                             |   | 2009                     |    |   | 2008 |   |
|                                             |   |                     |    |   |   |   |   |   |
| NET CASH PROVIDED BY OPERATING ACTIVITIES        |   | $                        | -       |   |   | $ | - |   |
|                                             |   |                     |    |   |   |   |   |   |
| CASH FLOWS FROM INVESTING ACTIVITIES             |   |                     |    |   |   |   |   |   |
| Principal payment received from the Partnerships |   |                     | 27,308  |   |   |   | 25,901 |   |
| Net cash provided by investing activities        |   |                     | 27,308  |   |   |   | 25,901 |   |
|                                             |   |                     |    |   |   |   |   |   |
| CASH FLOWS FROM FINANCING ACTIVITIES             |   |                     |    |   |   |   |   |   |
| Principal payment on debt                        |   |                     | (27,308 | ) |   |   | (25,901 | ) |
| Net cash used in financing activities            |   |                     | (27,308 | ) |   |   | (25,901 | ) |
|                                             |   |                     |    |   |   |   |   |   |
| Net change in cash                               |   |                     | -       |   |   |   | - |   |
| Cash at beginning of period                      |   |                     | 1       |   |   |   | 1 |   |
| Cash at end of period                            |   | $                        | 1       |   |   | $ | 1 |   |
|                                             |   |                     |    |   |   |   |   |   |
| SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION |   |                     |    |   |   |   |   |   |
| Cash paid for interest                           |   | $                        | 5,854   |   |   | $ | 8,385 |   |

----

|                                                                                  |   | June 30,2009 |    |   | December 31,2008 |   |
|---------------------------------------------------------------------------------------|--------|--------------|---------|--------|------------------|--------|
|                                                                                  |   |         |    |   |             |   |   |   |
| ASSETS                                                                                |   |         |    |   |             |   |   |   |
| Current assets:                                                                       |   |         |    |   |             |   |   |   |
| Current portion of note receivable from NE LP                                    |   | $            | 30,800  |   |             | $      | 26,400 |   |
| Total current assets                                                                  |   |         | 30,800  |   |             |   | 26,400 |   |
|                                                                                  |   |         |    |   |             |   |   |   |
| Non-current assets:                                                                   |   |         |    |   |             |   |   |   |
| Due from NE LP                                                                   |   |         | 152     |   |             |   | 152 |   |
| Note receivable from NE LP                                                       |   |         | 83,600  |   |             |   | 101,200 |   |
| Total non-current assets                                                              |   |         | 83,752  |   |             |   | 101,352 |   |
|                                                                                  |   |         |    |   |             |   |   |   |
| TOTAL ASSETS                                                                          |   | $            | 114,552 |   |             | $      | 127,752 |   |
|                                                                                  |   |         |    |   |             |   |   |   |
| LIABILITIES AND STOCKHOLDERS' EQUITY                                                  |   |         |    |   |             |   |   |   |
| Current liabilities:                                                                  |   |         |    |   |             |   |   |   |
| Income taxes payable                                                                  |   | $            | 50      |   |             | $      | 48 |   |
| Current portion of debt securities payable                                            |   |         | 30,800  |   |             |   | 26,400 |   |
| Total current liabilities                                                             |   |         | 30,850  |   |             |   | 26,448 |   |
|                                                                                  |   |         |    |   |             |   |   |   |
| Non-current liabilities:                                                              |   |         |    |   |             |   |   |   |
| Debt securities payable                                                               |   |         | 83,600  |   |             |   | 101,200 |   |
| Other                                                                                 |   |         | 13      |   |             |   | 17 |   |
| Total non-current liabilities                                                         |   |         | 83,613  |   |             |   | 101,217 |   |
|                                                                                  |   |         |    |   |             |   |   |   |
| TOTAL LIABILITIES                                                                     |   |         |    |   |             |   | 127,665 |   |
|                                                                                  |   |         |    |   |             |   |   |   |
| COMMITMENTS AND CONTINGENCIES                                                         |   |         |    |   |             |   |   |   |
|                                                                                  |   |         |    |   |             |   |   |   |
| Stockholders’ equity:                                                           |   |         |    |   |             |   |   |   |
| Common stock, $.10 par value, 100 shares authorized, 20 shares issued and outstanding |   |         | -       |   |             |   | - |   |
| Retained earnings                                                                     |   |         | 89      |   |             |   | 87 |   |
|                                                                                  |   |         |    |   |             |   |   |   |
| TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY                                            |   | $            | 114,552 |   |             | $      | 127,752 |   |

|   |   | Three Months EndedJune 30, |   |   | Six Months EndedJune 30, |   |
|--------|--------|----------------------------|--------|--------|--------------------------|--------|

|                              |   | 2009   |   |   | 2008   |   |   | 2009   |   |   | 2008   |   |
|-----------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
|                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest income – affiliate |   | $      | 2,548  |   |   | $      | 2,988  |   |   | $      | 5,097  |   |   | $ | 5,977 |   |
| Interest expense                  |   |   | (2,546 | )      |   |   | (2,986 | )      |   |   | (5,093 | )      |   |   | (5,972 | ) |
| Income before income taxes        |   |   | 2      |   |   |   | 2      |   |   |   | 4      |   |   |   | 5 |   |
| Income tax expense                |   |   | (1     | )      |   |   | (1     | )      |   |   | (2     | )      |   |   | (2 | ) |
|                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| NET INCOME                        |   | $      | 1      |   |   | $      | 1      |   |   | $      | 2      |   |   | $ | 3 |   |

----

|                                             |   |   |   |   |   |   |   |   |   | Six Months EndedJune 30, |    |
|--------------------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------------------------|---------|
|                                             |   |   |   |   |   |   |   |   |   | 2009                     |    |   | 2008 |   |
|                                             |   |   |   |   |   |   |   |   |   |                     |    |   |   |   |   |   |
| NET CASH PROVIDED BY OPERATING ACTIVITIES        |   |   |   |   |   |   |   |   |   | $                        | -       |   |   | $ | - |   |
|                                             |   |   |   |   |   |   |   |   |   |                     |    |   |   |   |   |   |
| CASH FLOWS FROM INVESTING ACTIVITIES             |   |   |   |   |   |   |   |   |   |                     |    |   |   |   |   |   |
| Principal payment received from NE LP       |   |   |   |   |   |   |   |   |   |                     | 13,200  |   |   |   | 11,000 |   |
| Net cash provided by investing activities        |   |   |   |   |   |   |   |   |   |                     | 13,200  |   |   |   | 11,000 |   |
|                                             |   |   |   |   |   |   |   |   |   |                     |    |   |   |   |   |   |
| CASH FLOWS FROM FINANCING ACTIVITIES             |   |   |   |   |   |   |   |   |   |                     |    |   |   |   |   |   |
| Principal payment on debt                        |   |   |   |   |   |   |   |   |   |                     | (13,200 | ) |   |   | (11,000 | ) |
| Net cash used in financing activities            |   |   |   |   |   |   |   |   |   |                     | (13,200 | ) |   |   | (11,000 | ) |
|                                             |   |   |   |   |   |   |   |   |   |                     |    |   |   |   |   |   |
| Net change in cash                               |   |   |   |   |   |   |   |   |   |                     | -       |   |   |   | - |   |
| Cash at beginning of period                      |   |   |   |   |   |   |   |   |   |                     | -       |   |   |   | - |   |
| Cash at end of period                            |   |   |   |   |   |   |   |   |   | $                        | -       |   |   | $ | - |   |
|                                             |   |   |   |   |   |   |   |   |   |                     |    |   |   |   |   |   |
| SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION |   |   |   |   |   |   |   |   |   |                     |    |
| Cash paid for interest                           |   |   |   |   |   |   |   |   |   | $                        | 5,097   |   |   | $ | 5,977 |   |

----

|                        |   | NEA                    |   | NJEA   |   | Combined |   |
|-----------------------------|--------|------------------------|--------|--------|--------|----------|--------|
|                        |   | GP                     |   | LP     |   | Total    |   | GP |   | LP |   | Total |   | GP |   | LP |   | Total |   |
|                        |   | (Thousands of Dollars) |   |
|                        |   |                   |   |   |   |     |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Balances, December 31, 2008 |   | $                      | 1,331  |   | $      | 131,767  |   | $ | 133,098 |   | $ | 3,546 |   | $ | 351,052 |   | $ | 354,598 |   | $ | 4,877 |   | $ | 482,819 |   | $ | 487,696 |   |
| Balances, June 30, 2009     |   | $                      | 1,136  |   | $      | 112,412  |   | $ | 113,548 |   | $ | 3,324 |   | $ | 329,169 |   | $ | 332,493 |   | $ | 4,460 |   | $ | 441,581 |   | $ | 446,041 |   |

|                                                                              |   | June 30, 2009          |    |                   | December 31, 2008 |    |
|-----------------------------------------------------------------------------------|--------|------------------------|---------|------------------------|-------------------|---------|
|                                                                              |   | CarryingAmount(b)      |    | EstimatedFair Value(c) |              |    | CarryingAmount(b) |   | EstimatedFair Value(c) |   |
|                                                                              |   | (Thousands of Dollars) |    |
| Long-term debt, including current maturities, of NE LP/Acquisition Corp. (a) |   | $                      | 123,018 |                   | $                 | 123,108 |   |   | $ | 138,166 |   | $ | 138,682 |   |
| Long-term debt, including current maturities, of Partnerships/Funding Corp.       |   | $                      | 92,532  |                   | $                 | 95,843  |   |   | $ | 119,839 |   | $ | 125,396 |   |
|                                                                              |   |                   |    |                   |              |    |   |   |   |   |   |   |   |   |

| (a) | Includes affiliate note for NE LP and Acquisition Corp. secured notes (Acquisition Corp. Securities). |
|-----|------------------------------------------------------------------------------------------------------------|

| (b) | Based on the book value of the Acquisition Corp. Securities ($114,400 and $127,600) and the affiliate note ($8,618 and $10,566) as of June 30, 2009 and December 31, 2008, respectively.  Based on the book value of the Funding Corp.’s secured notes (Funding Corp. Securities) as of June 30, 2009 and December 31, 2008, respectively. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c) | Based on an internally developed model for the Acquisition Corp. Securities ($114,490 and $128,116) and the book value of the affiliate note ($8,618 and $10,566) as of June 30, 2009 and December 31, 2008, respectively.  Based on an internally developed model for the Funding Corp. Securities as of June 30, 2009 and December 31, 2008, respectively.  Bid prices were not availablefor 2009 and 2008 due to recent changes in the market. |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                              | Total  |    | 2009   |   | 2010 – 11 |   | 2012 – 13 |    | Thereafter |
|---------------------------------------------------|--------|---------|--------|--------|-----------------|--------|-----------------|---------|------------|
|                                              |   |    |   |   |            |   |            |    |       |
| CONTRACTUAL OBLIGATIONS                           |   |    |   |   |            |   |            |    |       |   |   |   |   |   |
| The Partnerships:                                 |   |    |   |   |            |   |            |    |       |   |   |   |   |   |
| Funding Corp. debt(a)                             | $      | 101,830 |   | $      | 31,828          |   | $               | 70,002  |       | $ | - |   | $ | - |
| Operating leases                                  |   | 927     |   |   | 162             |   |            | 678     |       |   | 87 |   |   | - |
| Other long-term obligations:                      |   |    |   |   |            |   |            |    |       |   |   |   |   |   |
| Administrative agreement(b)                       |   | 5,100   |   |   | 300             |   |            | 1,200   |       |   | 1,200 |   |   | 2,400 |
| Operations and maintenance agreement(b)           |   | 9,750   |   |   | 750             |   |            | 3,000   |       |   | 3,000 |   |   | 3,000 |
| Fuel management agreement(b)                      |   | 12,150  |   |   | 450             |   |            | 1,800   |       |   | 1,800 |   |   | 8,100 |
| Natural gas, including transportation and storage |   | 27,468  |   |   | 4,166           |   |            | 18,319  |       |   | 2,319 |   |   | 2,664 |
| Total Partnerships                                |   | 157,225 |   |   | 37,656          |   |            | 94,999  |       |   | 8,406 |   |   | 16,164 |
|                                              |   |    |   |   |            |   |            |    |       |   |   |   |   |   |
| NE LP:                                       |   |    |   |   |            |   |            |    |       |   |   |   |   |   |
| Acquisition Corp. debt(a)                         |   | 130,308 |   |   | 17,770          |   |            | 112,538 |       |   | - |   |   | - |
| Affiliate debt(a)                                 |   | 9,531   |   |   | 2,384           |   |            | 7,147   |       |   | - |   |   | - |
| Total NE LP                                  |   | 139,839 |   |   | 20,154          |   |            | 119,685 |       |   | - |   |   | - |
|                                              |   |    |   |   |            |   |            |    |       |   |   |   |   |   |
| Total contractual obligations                     | $      | 297,064 |   | $      | 57,810          |   | $               | 214,684 |       | $ | 8,406 |   | $ | 16,164 |

| (a) | Includes principal and interest. |
|-----|----------------------------------|

| (b) | Represents the minimum obligation under the terms of the agreement.  The minimum obligation is subject to an annual inflation factor adjustment, which is excluded from the minimum obligation included in the table. |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|                                       |   | Trading andManagedHedges(a) |   | Non-QualifyingHedges (b) |   | Total  |
|--------------------------------------------|--------|-----------------------------|--------|--------------------------|--------|--------|
|                                       |   |                        |   |                     |   |   |   |   |   |
| December 31, 2008                          |   | $                           | -      |                     | $      | 3      |   | $ | 3 |
| June 30, 2009                              |   | $                           | -      |                     | $      | 97     |   | $ | 97 |
| Average for the period ended June 30, 2009 |   | $                           | -      |                     | $      | 24     |   | $ | 24 |

| (a) | Trading and managed hedges are essentially all changes in the derivatives' fair value for power purchases and sales and trading activities, which are recognized on a net basis in operating revenues and for fuel purchases and sales which are recognized on a net basis in fuel expense. |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b) | Non-qualifying hedges are employed to reduce the market risk exposure to physical assets which are not marked to market.  The VaR figures for the non-qualifying hedges do not represent the economic exposure to commodity price movements. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (a) | Evaluation of Disclosure Controls and Procedures |
|-----|--------------------------------------------------|

| (b) | Changes in Internal Control over Financial Reporting |
|-----|------------------------------------------------------|

----

| ExhibitNumber |   | Description |
|---------------|--------|-------------|

| 31(a) | Rule 13a-14(a)/15d-14(a) Certification of President (equivalent to the Chief Executive Officer) of Acquisition Corp. |
|-------|---------------------------------------------------------------------------------------------------------------------------|

| 31(b) | Rule 13a-14(a)/15d-14(a) Certification of Treasurer (equivalent to the Chief Financial Officer) of Acquisition Corp. |
|-------|---------------------------------------------------------------------------------------------------------------------------|

| 31(c) | Rule 13a-14(a)/15d-14(a) Certification of President (equivalent to the Chief Executive Officer) of ESI Northeast Energy GP, Inc. as Administrative General Partner of NE LP |
|-------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 31(d) | Rule 13a-14(a)/15d-14(a) Certification of Vice President and Treasurer (equivalent to the Chief Financial Officer) of ESI Northeast Energy GP, Inc. as Administrative General Partner of NE LP |
|-------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 32(a) | Section 1350 Certification of Acquisition Corp. |
|-------|------------------------------------------------------|

| 32(b) | Section 1350 Certification of NE LP |
|-------|-----------------------------------------------|

----

|   | MARK R. SORENSEN |   |
|--------|------------------|--------|

----