----

----

| 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 |
|-------------------------------------------------------------------------------------------|

----

----

|                                                                                                   |   | March 31,2010 |    |   | December 31,2009 |   |
|--------------------------------------------------------------------------------------------------------|--------|---------------|---------|--------|------------------|--------|
|                                                                                                   |   |          |    |   |             |   |   |   |
| ASSETS                                                                                                 |   |          |    |   |             |   |   |   |
| Current assets:                                                                                        |   |          |    |   |             |   |   |   |
| Cash and cash equivalents                                                                              |   | $             | 124,361 |   |             | $      | 40,454 |   |
| Accounts receivable                                                                                    |   |          | 39,668  |   |             |   | 66,591 |   |
| Spare parts inventories                                                                                |   |          | 10,229  |   |             |   | 10,073 |   |
| Fuel inventories                                                                                       |   |          | 3,005   |   |             |   | 7,060 |   |
| Prepaid expenses and other current assets                                                              |   |          | 1,687   |   |             |   | 2,762 |   |
| Total current assets                                                                                   |   |          | 178,950 |   |             |   | 126,940 |   |
|                                                                                                   |   |          |    |   |             |   |   |   |
| Non-current assets:                                                                                    |   |          |    |   |             |   |   |   |
| Deferred debt issuance costs (net of accumulated amortization of $6,600 and $6,535, respectively)      |   |          | 360     |   |             |   | 425 |   |
| Land                                                                                                   |   |          | 4,712   |   |             |   | 4,712 |   |
| Property, plant and equipment (net of accumulated depreciation of $226,533 and $221,619, respectively) |   |          | 316,607 |   |             |   | 319,412 |   |
| Power purchase agreements (net of accumulated amortization of $801,798 and $780,710, respectively)     |   |          | 139,558 |   |             |   | 160,646 |   |
| Other assets                                                                                           |   |          | 4,103   |   |             |   | 2,821 |   |
| Total non-current assets                                                                               |   |          | 465,340 |   |             |   | 488,016 |   |
|                                                                                                   |   |          |    |   |             |   |   |   |
| TOTAL ASSETS                                                                                           |   | $             | 644,290 |   |             | $      | 614,956 |   |
|                                                                                                   |   |          |    |   |             |   |   |   |
| LIABILITIES AND PARTNERS' EQUITY                                                                       |   |          |    |   |             |   |   |   |
| Current liabilities:                                                                                   |   |          |    |   |             |   |   |   |
| Current portion of notes payable – the Funding Corp.                                             |   | $             | 65,223  |   |             | $      | 65,223 |   |
| Current portion of notes payable – the Acquisition Corp.                                         |   |          | 35,200  |   |             |   | 35,200 |   |
| Current portion of note payable – affiliate                                                      |   |          | 4,307   |   |             |   | 4,307 |   |
| Accrued interest payable                                                                               |   |          | 3,749   |   |             |   | - |   |
| Accounts payable                                                                                       |   |          | 1,800   |   |             |   | 1,418 |   |
| Due to related parties                                                                                 |   |          | 29,424  |   |             |   | 25,609 |   |
| Other accrued expenses                                                                                 |   |          | 9,761   |   |             |   | 14,031 |   |
| Total current liabilities                                                                              |   |          | 149,464 |   |             |   | 145,788 |   |
|                                                                                                   |   |          |    |   |             |   |   |   |
| Non-current liabilities:                                                                               |   |          |    |   |             |   |   |   |
| Deferred revenue                                                                                       |   |          | 88,185  |   |             |   | 88,013 |   |
| Note payable – the Acquisition Corp.                                                             |   |          | 66,000  |   |             |   | 66,000 |   |
| Note payable – affiliate                                                                         |   |          | 2,288   |   |             |   | 2,288 |   |
| Other liabilities                                                                                      |   |          | 152     |   |             |   | 153 |   |
| Lease payable                                                                                          |   |          | 184     |   |             |   | 184 |   |
| Total non-current liabilities                                                                          |   |          | 156,809 |   |             |   | 156,638 |   |
|                                                                                                   |   |          |    |   |             |   |   |   |
| COMMITMENTS AND CONTINGENCIES                                                                          |   |          |    |   |             |   |   |   |
|                                                                                                   |   |          |    |   |             |   |   |   |
| Partners' equity:                                                                                      |   |          |    |   |             |   |   |   |
| General partners                                                                                       |   |          | 6,760   |   |             |   | 6,250 |   |
| Limited partners                                                                                       |   |          | 331,257 |   |             |   | 306,280 |   |
| Total partners' equity                                                                                 |   |          | 338,017 |   |             |   | 312,530 |   |
|                                                                                                   |   |          |    |   |             |   |   |   |
| TOTAL LIABILITIES AND PARTNERS' EQUITY                                                                 |   | $             | 644,290 |   |             | $      | 614,956 |   |

----

|                                |   | Three Months EndedMarch 31, |   |
|-------------------------------------|--------|-----------------------------|--------|
|                                |   | 2010                        |   |   | 2009 |   |
|                                |   |                        |   |   |   |   |   |   |
| REVENUES                            |   | $                           | 64,464 |   |   | $ | 62,263 |   |
|                                |   |                        |   |   |   |   |   |   |
| COSTS AND EXPENSES:                 |   |                        |   |   |   |   |   |   |
| Fuel (net of fuel sales)            |   |                        | 1,933  |   |   |   | (356 | ) |
| Operations and maintenance          |   |                        | 4,780  |   |   |   | 4,644 |   |
| Depreciation and amortization       |   |                        | 26,055 |   |   |   | 25,540 |   |
| General and administrative          |   |                        | 2,402  |   |   |   | 2,219 |   |
| Total costs and expenses            |   |                        | 35,170 |   |   |   | 32,047 |   |
|                                |   |                        |   |   |   |   |   |   |
| OPERATING INCOME                    |   |                        | 29,294 |   |   |   | 30,216 |   |
|                                |   |                        |   |   |   |   |   |   |
| OTHER EXPENSE (INCOME):             |   |                        |   |   |   |   |   |   |
| Amortization of debt issuance costs |   |                        | 65     |   |   |   | 86 |   |
| Interest expense                    |   |                        | 3,749  |   |   |   | 5,691 |   |
| Interest income                     |   |                        | (7     | ) |   |   | (69 | ) |
| Total other expense – net     |   |                        | 3,807  |   |   |   | 5,708 |   |
|                                |   |                        |   |   |   |   |   |   |
| NET INCOME                          |   | $                           | 25,487 |   |   | $ | 24,508 |   |

|                                                   |   | Three Months EndedMarch 31, |    |
|--------------------------------------------------------|--------|-----------------------------|---------|
|                                                   |   | 2010                        |    |   | 2009 |   |
|                                                   |   |                        |    |   |   |   |   |   |
| NET CASH PROVIDED BY OPERATING ACTIVITIES              |   | $                           | 84,796  |   |   | $ | 68,314 |   |
|                                                   |   |                        |    |   |   |   |   |   |
| CASH FLOWS FROM INVESTING ACTIVITIES:                  |   |                        |    |   |   |   |   |   |
| Capital expenditures                                   |   |                        | (889    | ) |   |   | (985 | ) |
| Proceeds from insurance claim                          |   |                        | -       |   |   |   | 211 |   |
| Net cash used in investing activities                  |   |                        | (889    | ) |   |   | (774 | ) |
|                                                   |   |                        |    |   |   |   |   |   |
| CASH FLOWS FROM FINANCING ACTIVITIES:                  |   |                        |    |   |   |   |   |   |
| Distributions to partners                              |   |                        | -       |   |   |   | (473 | ) |
| Net cash used in financing activities                  |   |                        | -       |   |   |   | (473 | ) |
|                                                   |   |                        |    |   |   |   |   |   |
| Net increase in cash and cash equivalents              |   |                        | 83,907  |   |   |   | 67,067 |   |
| Cash and cash equivalents at beginning of period       |   |                        | 40,454  |   |   |   | 48,186 |   |
| Cash and cash equivalents at end of period             |   | $                           | 124,361 |   |   | $ | 115,253 |   |
|                                                   |   |                        |    |   |   |   |   |   |
| SUPPLEMENTAL SCHEDULE OF NONCASH INVESTING ACTIVITIES: |   |                        |    |   |   |   |   |   |
| Additions to property, plant and equipment             |   | $                           | 1,268   |   |   | $ | 8,802 |   |

----

|                                                                                                                                  |   | March 31,2010 |    |   | December 31,2009 |   |
|---------------------------------------------------------------------------------------------------------------------------------------|--------|---------------|---------|--------|------------------|--------|
|                                                                                                                                  |   |          |    |   |             |   |   |   |
| ASSETS                                                                                                                                |   |          |    |   |             |   |   |   |
| Current assets:                                                                                                                       |   |          |    |   |             |   |   |   |
| Cash and cash equivalents                                                                                                             |   | $             | 123,411 |   |             | $      | 40,452 |   |
| Accounts receivable                                                                                                                   |   |          | 39,668  |   |             |   | 66,591 |   |
| Spare parts inventories                                                                                                               |   |          | 10,229  |   |             |   | 10,073 |   |
| Fuel inventories                                                                                                                      |   |          | 3,005   |   |             |   | 7,060 |   |
| Prepaid expenses and other current assets                                                                                             |   |          | 1,687   |   |             |   | 2,760 |   |
| Total current assets                                                                                                                  |   |          | 178,000 |   |             |   | 126,936 |   |
|                                                                                                                                  |   |          |    |   |             |   |   |   |
| Non-current assets:                                                                                                                   |   |          |    |   |             |   |   |   |
| Land                                                                                                                                  |   |          | 4,712   |   |             |   | 4,712 |   |
| Property, plant and equipment (net of accumulated depreciation of $226,533 and $221,619, respectively)                                |   |          | 316,607 |   |             |   | 319,412 |   |
| Power purchase agreements (net of accumulated amortization of $801,798 and $780,710,      respectively) |   |          | 139,558 |   |             |   | 160,646 |   |
| Other assets                                                                                                                          |   |          | 4,103   |   |             |   | 2,821 |   |
| Total non-current assets                                                                                                              |   |          | 464,980 |   |             |   | 487,591 |   |
|                                                                                                                                  |   |          |    |   |             |   |   |   |
| TOTAL ASSETS                                                                                                                          |   | $             | 642,980 |   |             | $      | 614,527 |   |
|                                                                                                                                  |   |          |    |   |             |   |   |   |
| LIABILITIES AND PARTNERS' EQUITY                                                                                                      |   |          |    |   |             |   |   |   |
| Current liabilities:                                                                                                                  |   |          |    |   |             |   |   |   |
| Current portion of notes payable – the Funding Corp.                                                                            |   | $             | 65,223  |   |             | $      | 65,223 |   |
| Accrued interest payable                                                                                                              |   |          | 1,593   |   |             |   | - |   |
| Accounts payable                                                                                                                      |   |          | 1,800   |   |             |   | 1,418 |   |
| Due to related parties                                                                                                                |   |          | 29,424  |   |             |   | 25,609 |   |
| Other accrued expenses                                                                                                                |   |          | 9,758   |   |             |   | 14,031 |   |
| Total current liabilities                                                                                                             |   |          | 107,798 |   |             |   | 106,281 |   |
|                                                                                                                                  |   |          |    |   |             |   |   |   |
| Non-current liabilities:                                                                                                              |   |          |    |   |             |   |   |   |
| Deferred revenue                                                                                                                      |   |          | 88,185  |   |             |   | 88,013 |   |
| Lease payable                                                                                                                         |   |          | 184     |   |             |   | 184 |   |
| Total non-current liabilities                                                                                                         |   |          | 88,369  |   |             |   | 88,197 |   |
|                                                                                                                                  |   |          |    |   |             |   |   |   |
| COMMITMENTS AND CONTINGENCIES                                                                                                         |   |          |    |   |             |   |   |   |
|                                                                                                                                  |   |          |    |   |             |   |   |   |
| Partners' equity:                                                                                                                     |   |          |    |   |             |   |   |   |
| General partners                                                                                                                      |   |          | 4,468   |   |             |   | 4,200 |   |
| Limited partners                                                                                                                      |   |          | 442,345 |   |             |   | 415,849 |   |
| Total partners' equity                                                                                                                |   |          | 446,813 |   |             |   | 420,049 |   |
|                                                                                                                                  |   |          |    |   |             |   |   |   |
| TOTAL LIABILITIES AND PARTNERS' EQUITY                                                                                                |   | $             | 642,980 |   |             | $      | 614,527 |   |

----

|                            |   | Three Months EndedMarch 31, |   |
|---------------------------------|--------|-----------------------------|--------|
|                            |   | 2010                        |   |   | 2009 |   |
|                            |   |                        |   |   |   |   |   |   |
| REVENUES                        |   | $                           | 64,464 |   |   | $ | 62,263 |   |
|                            |   |                        |   |   |   |   |   |   |
| COSTS AND EXPENSES:             |   |                        |   |   |   |   |   |   |
| Fuel (net of fuel sales)        |   |                        | 1,933  |   |   |   | (356 | ) |
| Operations and maintenance      |   |                        | 4,780  |   |   |   | 4,644 |   |
| Depreciation and amortization   |   |                        | 26,055 |   |   |   | 25,540 |   |
| General and administrative      |   |                        | 2,402  |   |   |   | 2,219 |   |
| Total costs and expenses        |   |                        | 35,170 |   |   |   | 32,047 |   |
|                            |   |                        |   |   |   |   |   |   |
| OPERATING INCOME                |   |                        | 29,294 |   |   |   | 30,216 |   |
|                            |   |                        |   |   |   |   |   |   |
| OTHER EXPENSE (INCOME):         |   |                        |   |   |   |   |   |   |
| Interest expense                |   |                        | 1,593  |   |   |   | 2,927 |   |
| Interest income                 |   |                        | (7     | ) |   |   | (68 | ) |
| Total other expense – net |   |                        | 1,586  |   |   |   | 2,859 |   |
|                            |   |                        |   |   |   |   |   |   |
| NET INCOME                      |   | $                           | 27,708 |   |   | $ | 27,357 |   |

|                                                   |   | Three Months EndedMarch 31, |    |
|--------------------------------------------------------|--------|-----------------------------|---------|
|                                                   |   | 2010                        |    |   | 2009 |   |
|                                                   |   |                        |    |   |   |   |   |   |
| NET CASH PROVIDED BY OPERATING ACTIVITIES              |   | $                           | 84,792  |   |   | $ | 68,313 |   |
|                                                   |   |                        |    |   |   |   |   |   |
| CASH FLOWS FROM INVESTING ACTIVITIES:                  |   |                        |    |   |   |   |   |   |
| Capital expenditures                                   |   |                        | (889    | ) |   |   | (985 | ) |
| Proceeds from insurance claim                          |   |                        | -       |   |   |   | 211 |   |
| Net cash used in investing activities                  |   |                        | (889    | ) |   |   | (774 | ) |
|                                                   |   |                        |    |   |   |   |   |   |
| CASH FLOWS FROM FINANCING ACTIVITIES:                  |   |                        |    |   |   |   |   |   |
| Distributions to partners                              |   |                        | (944    | ) |   |   | (21,150 | ) |
| Net cash used in financing activities                  |   |                        | (944    | ) |   |   | (21,150 | ) |
|                                                   |   |                        |    |   |   |   |   |   |
| Net increase in cash and cash equivalents              |   |                        | 82,959  |   |   |   | 46,389 |   |
| Cash and cash equivalents at beginning of period       |   |                        | 40,452  |   |   |   | 48,184 |   |
| Cash and cash equivalents at end of period             |   | $                           | 123,411 |   |   | $ | 94,573 |   |
|                                                   |   |                        |    |   |   |   |   |   |
| SUPPLEMENTAL SCHEDULE OF NONCASH INVESTING ACTIVITIES: |   |                        |    |   |   |   |   |   |
| Additions to property, plant and equipment             |   | $                           | 1,268   |   |   | $ | 8,802 |   |

----

|                                                                         |   | March 31,2010 |   |   |   | December 31,2009 |   |
|------------------------------------------------------------------------------|--------|---------------|--------|--------|--------|------------------|--------|
|                                                                         |   |          |   |   |   |             |   |   |
| ASSETS                                                                       |   |          |   |   |   |             |   |   |
| Current assets:                                                              |   |          |   |   |   |             |   |   |
| Cash                                                                         |   | $             | 1      |   |   | $                | 1      |   |
| Current portion of notes receivable from the Partnerships                    |   |          | 65,223 |   |   |             | 65,223 |   |
| Interest receivable from the Partnerships                                    |   |          | 1,593  |   |   |             | -      |   |
| Total current assets                                                         |   |          | 66,817 |   |   |             | 65,224 |   |
|                                                                         |   |          |   |   |   |             |   |   |
| TOTAL ASSETS                                                                 |   | $             | 66,817 |   |   | $                | 65,224 |   |
|                                                                         |   |          |   |   |   |             |   |   |
| LIABILITIES AND STOCKHOLDERS' EQUITY                                         |   |          |   |   |   |             |   |   |
| Current liabilities:                                                         |   |          |   |   |   |             |   |   |
| Current portion of debt securities payable                                   |   | $             | 65,223 |   |   | $                | 65,223 |   |
| Accrued interest payable                                                     |   |          | 1,593  |   |   |             | -      |   |
| Total current liabilities                                                    |   |          | 66,816 |   |   |             | 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                                   |   | $             | 66,817 |   |   | $                | 65,224 |   |

|                              |   | Three Months EndedMarch 31, |   |
|-----------------------------------|--------|-----------------------------|--------|
|                              |   | 2010                        |   |   | 2009 |   |
|                              |   |                        |   |   |   |   |   |   |
| Interest income – affiliate |   | $                           | 1,593  |   |   | $ | 2,927 |   |
| Interest expense                  |   |                        | (1,593 | ) |   |   | (2,927 | ) |
|                              |   |                        |   |   |   |   |   |   |
| NET INCOME                        |   | $                           | -      |   |   | $ | - |   |

----

|                                      |   | Three Months EndedMarch 31, |   |
|-------------------------------------------|--------|-----------------------------|--------|
|                                      |   | 2010                        |   |   | 2009 |   |
|                                      |   |                        |   |   |   |   |   |   |
| NET CASH PROVIDED BY OPERATING ACTIVITIES |   | $                           | -      |   |   | $ | - |   |
|                                      |   |                        |   |   |   |   |   |   |
| CASH FLOWS FROM INVESTING ACTIVITIES      |   |                        | -      |   |   |   | - |   |
|                                      |   |                        |   |   |   |   |   |   |
| CASH FLOWS FROM FINANCING ACTIVITIES      |   |                        | -      |   |   |   | - |   |
|                                      |   |                        |   |   |   |   |   |   |
| Net change in cash                        |   |                        | -      |   |   |   | - |   |
| Cash at beginning of period               |   |                        | 1      |   |   |   | 1 |   |
| Cash at end of period                     |   | $                           | 1      |   |   | $ | 1 |   |

----

|                                                                                  |   | March 31,2010 |    |   | December 31,2009 |   |
|---------------------------------------------------------------------------------------|--------|---------------|---------|--------|------------------|--------|
|                                                                                  |   |          |    |   |             |   |   |   |
| ASSETS                                                                                |   |          |    |   |             |   |   |   |
| Current assets:                                                                       |   |          |    |   |             |   |   |   |
| Current portion of note receivable from NE LP                                    |   | $             | 35,200  |   |             | $      | 35,200 |   |
| Interest receivable from NE LP                                                   |   |          | 2,021   |   |             |   | - |   |
| Total current assets                                                                  |   |          | 37,221  |   |             |   | 35,200 |   |
|                                                                                  |   |          |    |   |             |   |   |   |
| Non-current assets:                                                                   |   |          |    |   |             |   |   |   |
| Due from NE LP                                                                   |   |          | 152     |   |             |   | 152 |   |
| Note receivable from NE LP                                                       |   |          | 66,000  |   |             |   | 66,000 |   |
| Total non-current assets                                                              |   |          | 66,152  |   |             |   | 66,152 |   |
|                                                                                  |   |          |    |   |             |   |   |   |
| TOTAL ASSETS                                                                          |   | $             | 103,373 |   |             | $      | 101,352 |   |
|                                                                                  |   |          |    |   |             |   |   |   |
| LIABILITIES AND STOCKHOLDERS' EQUITY                                                  |   |          |    |   |             |   |   |   |
| Current liabilities:                                                                  |   |          |    |   |             |   |   |   |
| Income taxes payable                                                                  |   | $             | 52      |   |             | $      | 51 |   |
| Current portion of debt securities payable                                            |   |          | 35,200  |   |             |   | 35,200 |   |
| Accrued interest payable                                                              |   |          | 2,021   |   |             |   | - |   |
| Total current liabilities                                                             |   |          | 37,273  |   |             |   | 35,251 |   |
|                                                                                  |   |          |    |   |             |   |   |   |
| Non-current liabilities:                                                              |   |          |    |   |             |   |   |   |
| Debt securities payable                                                               |   |          | 66,000  |   |             |   | 66,000 |   |
| Other                                                                                 |   |          | 7       |   |             |   | 9 |   |
| Total non-current liabilities                                                         |   |          | 66,007  |   |             |   | 66,009 |   |
|                                                                                  |   |          |    |   |             |   |   |   |
| TOTAL LIABILITIES                                                                     |   |          | 103,280 |   |             |   | 101,260 |   |
|                                                                                  |   |          |    |   |             |   |   |   |
| COMMITMENTS AND CONTINGENCIES                                                         |   |          |    |   |             |   |   |   |
|                                                                                  |   |          |    |   |             |   |   |   |
| Stockholders’ equity:                                                           |   |          |    |   |             |   |   |   |
| Common stock, $.10 par value, 100 shares authorized, 20 shares issued and outstanding |   |          | -       |   |             |   | - |   |
| Retained earnings                                                                     |   |          | 93      |   |             |   | 92 |   |
|                                                                                  |   |          |    |   |             |   |   |   |
| TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY                                            |   | $             | 103,373 |   |             | $      | 101,352 |   |

|                              |   | Three Months EndedMarch 31, |   |
|-----------------------------------|--------|-----------------------------|--------|
|                              |   | 2010                        |   |   | 2009 |   |
|                              |   |                        |   |   |   |   |   |   |
| Interest income – affiliate |   | $                           | 2,023  |   |   | $ | 2,549 |   |
| Interest expense                  |   |                        | (2,021 | ) |   |   | (2,547 | ) |
| Income before income taxes        |   |                        | 2      |   |   |   | 2 |   |
| Income tax expense                |   |                        | (1     | ) |   |   | (1 | ) |
|                              |   |                        |   |   |   |   |   |   |
| NET INCOME                        |   | $                           | 1      |   |   | $ | 1 |   |

----

|                                      |   | Three Months EndedMarch 31, |   |
|-------------------------------------------|--------|-----------------------------|--------|
|                                      |   | 2010                        |   |   | 2009 |   |
|                                      |   |                        |   |   |   |   |   |   |
| NET CASH PROVIDED BY OPERATING ACTIVITIES |   | $                           | -      |   |   | $ | - |   |
|                                      |   |                        |   |   |   |   |   |   |
| CASH FLOWS FROM INVESTING ACTIVITIES      |   |                        | -      |   |   |   | - |   |
|                                      |   |                        |   |   |   |   |   |   |
| CASH FLOWS FROM FINANCING ACTIVITIES      |   |                        | -      |   |   |   | - |   |
|                                      |   |                        |   |   |   |   |   |   |
| Net change in cash                        |   |                        | -      |   |   |   | - |   |
| Cash at beginning of period               |   |                        | -      |   |   |   | - |   |
| Cash at end of period                     |   | $                           | -      |   |   | $ | - |   |

----

|                        |   | NEA                    |   | NJEA   |   | Combined |   |
|-----------------------------|--------|------------------------|--------|--------|--------|----------|--------|
|                        |   | GP                     |   | LP     |   | Total    |   | GP |   | LP |   | Total |   | GP |   | LP |   | Total |   |
|                        |   | (Thousands of Dollars) |   |
|                        |   |                   |   |   |   |     |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Balances, December 31, 2009 |   | $                      | 1,000  |   | $      | 98,929   |   | $ | 99,929 |   | $ | 3,200 |   | $ | 316,920 |   | $ | 320,120 |   | $ | 4,200 |   | $ | 415,849 |   | $ | 420,049 |   |
| Balances, March 31, 2010    |   | $                      | 1,109  |   | $      | 109,708  |   | $ | 110,817 |   | $ | 3,359 |   | $ | 332,637 |   | $ | 335,996 |   | $ | 4,468 |   | $ | 442,345 |   | $ | 446,813 |   |

|                                                                             |   | March 31, 2010         |    |                   | December 31, 2009 |    |
|----------------------------------------------------------------------------------|--------|------------------------|---------|------------------------|-------------------|---------|
|                                                                             |   | 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) |   | $                      | 107,795 |                   | $                 | 109,746 |   |   | $ | 107,795 |   | $ | 109,584 |   |
| Long-term debt, including current maturities, of Partnerships/Funding Corp.      |   | $                      | 65,223  |                   | $                 | 67,281  |   |   | $ | 65,223 |   | $ | 67,253 |   |

| (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 ($101,200) and the affiliate note ($6,595) as of March 31, 2010 and December 31, 2009.  Based on the book value of the Funding Corp.’s secured notes (Funding Corp. Securities) as of March 31, 2010 and December 31, 2009. |
|-----|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c) | Based on an internally developed model for the Acquisition Corp. Securities ($103,151 and $102,989) and the book value of the affiliate note ($6,595) as of March 31, 2010 and December 31, 2009.  Based on an internally developed model for the Funding Corp. Securities as of March 31, 2010 and December 31, 2009, respectively.  Bid prices were not available for 2010 and 2009 due to changes in the market. |
|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|                                              | Total  |    | 2010   |   | 2011 – 12 |   | 2013 – 14 |   | Thereafter |
|---------------------------------------------------|--------|---------|--------|--------|-----------------|--------|-----------------|--------|------------|
|                                              |   |    |   |   |            |   |            |   |       |
| CONTRACTUAL OBLIGATIONS                           |   |    |   |   |            |   |            |   |       |   |   |   |   |   |
| The Partnerships:                                 |   |    |   |   |            |   |            |   |       |   |   |   |   |   |
| Funding Corp. debt(a)                             | $      | 70,002  |   | $      | 70,002          |   | $               | -      |       | $ | - |   | $ | - |
| Operating leases                                  |   | 823     |   |   | 333             |   |            | 490    |       |   | - |   |   | - |
| Other long-term obligations:                      |   |    |   |   |            |   |            |   |       |   |   |   |   |   |
| Administrative agreement(b)                       |   | 4,650   |   |   | 450             |   |            | 1,200  |       |   | 1,200 |   |   | 1,800 |
| Operations and maintenance agreement(b)           |   | 8,625   |   |   | 1,125           |   |            | 3,000  |       |   | 3,000 |   |   | 1,500 |
| Fuel management agreement(b)                      |   | 11,475  |   |   | 675             |   |            | 1,800  |       |   | 1,800 |   |   | 7,200 |
| Natural gas, including transportation and storage |   | 15,486  |   |   | 7,224           |   |            | 8,262  |       |   | - |   |   | - |
| Total Partnerships                                |   | 111,061 |   |   | 79,809          |   |            | 14,752 |       |   | 6,000 |   |   | 10,500 |
|                                              |   |    |   |   |            |   |            |   |       |   |   |   |   |   |
| NE LP:                                       |   |    |   |   |            |   |            |   |       |   |   |   |   |   |
| Acquisition Corp. debt(a)                         |   | 112,538 |   |   | 42,583          |   |            | 69,955 |       |   | - |   |   | - |
| Affiliate debt(a)                                 |   | 7,147   |   |   | 4,765           |   |            | 2,382  |       |   | - |   |   | - |
| Total NE LP                                  |   | 119,685 |   |   | 47,348          |   |            | 72,337 |       |   | - |   |   | - |
|                                              |   |    |   |   |            |   |            |   |       |   |   |   |   |   |
| Total contractual obligations                     | $      | 230,746 |   | $      | 127,157         |   | $               | 87,089 |       | $ | 6,000 |   | $ | 10,500 |

| (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 andHedges inOCI(b) |   | Total  |   |
|---------------------------------------------------|--------|-----------------------------|--------|-----------------------------------------|--------|--------|--------|
|                                              |   |                        |   |                                    |   |   |   |
| December 31, 2009                                 |   | $                           | -      |                                    | $      | 20     |   | $ | 20 |   |
| March 31, 2010                                    |   | $                           | -      |                                    | $      | 20     |   | $ | 20 |   |
| Average for the three months ended March 31, 2010 |   | $                           | -      |                                    | $      | 21     |   | $ | 21 |   |

| (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 |
|-----|------------------------------------------------------|

----

| · | The registrants are subject to complex and comprehensive federal, state and other laws and regulations, and to changes in laws or 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 climate change, operation of generation facilities, and present or prospective competition.  This extensive regulatory framework, some but not all of which is more specifically identified in the following risk factors, regulates, among other things, the registrants’ industry, rate and cost structure, operation of their generating facilities, depreciation and amortization of assets and facilities, transmission reliability and present or prospective wholesale and retail competition.  In their business planning and in the management of their operations, NE LP and the Partnerships must address the effects of regulation on their businesses and proposed changes in the regulatory framework.  Significant changes in the nature of the regulation of NE LP’s and the Partnerships’ businesses could require changes to their business planning and management of their businesses and could adversely affect their results of operations and the value of their assets.  NE LP and the Partnerships must periodically apply for licenses and permits from various local, state, federal and other regulatory authorities and abide by their respective orders.  Should NE LP and the Partnerships be unsuccessful in obtaining necessary licenses or permits or should these regulatory authorities initiate any investigations or enforcement actions or impose penalties or disallowances on NE LP or the Partnerships, their businesses could be adversely affected. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | In addition to the regulatory risks that may affect the registrants discussed above, the extensive federal regulation of the operations of NE LP and the Partnerships exposes the companies to significant and increasing compliance costs.  NE LP and the Partnerships also are subject to costs and other potentially adverse effects of regulatory investigations, proceedings, settlements, decisions and claims, including, among other items, potentially significant monetary penalties for non-compliance. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | The registrants are subject to extensive federal, state and local environmental statutes, rules and regulations as well as the effect of changes in or additions to applicable statutes, rules and regulations that relate to, or in the future may relate to, for example, air quality, water quality, climate change, carbon dioxide (CO2) and other greenhouse gas (GHG) emissions, waste management, hazardous wastes, marine and wildlife mortality, natural resources, health, safety and renewable portfolio standards that could, among other things, restrict or limit the output of the Partnerships’ facilities or the use of certain fuels required for the production of electricity and/or require additional pollution control equipment and otherwise increase costs.  There are significant operating and other costs associated with compliance with these environmental statutes, rules and regulations, and those costs could be even more significant in the future as a result of new legislation, the current trend toward more stringent standards, and stricter and more expansive application of existing environmental regulations.  Violations of certain of these statutes, rules, and regulations could expose the registrants to third-party disputes and potentially significant monetary penalties, as well as other sanctions, for non-compliance. |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | Federal or state laws or regulations may be adopted that would impose new or additional limits on GHG, including, but not limited to, CO2, from power generation facilities storing and combusting fossil fuels like natural gas.  The potential effects of such GHG emission limits on the Partnerships’ power generation facilities are subject to significant uncertainties based on, among other things, the timing of the implementation of any new requirements, the required levels of emission reductions, the nature of any market-based or tax-based mechanisms adopted to facilitate reductions, the relative availability of GHG emission reduction offsets, the development of cost-effective, commercial-scale carbon capture and storage technology and supporting regulations and liability mitigation measures, and the range of available compliance alternatives.  While the registrant’s power generation facilities emit GHGs at a low rate of emissions, the results of operations of the registrants could be adversely affected to the extent that any new GHG emission limits, among other potential impacts: |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | create substantial additional costs in the form of taxes or emission allowances; |
|--------|--------|----------------------------------------------------------------------------------|

|   | · | make the Partnerships’ power generation facilities uneconomical to operate in the long term; |
|--------|--------|----------------------------------------------------------------------------------------------------|

|   | · | require significant capital investment in carbon capture and storage technology, fuel switching, or the replacement of high-emitting generation facilities with lower-emitting generation facilities; |
|--------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | or |
|--------|----|

|   | · | affect the availability or cost of fossil fuels. |
|--------|--------|--------------------------------------------------|

| · | The registrants operate in a changing market environment influenced by various legislative and regulatory initiatives regarding regulation, deregulation or restructuring of the energy industry and regulation of the commodities trading markets, as well as increased focus on renewable and clean energy sources and reduction of carbon and other GHG emissions.  The registrants and the Partnerships will need to adapt to these changes including, but not limited to, those that reverse or restrict the competitive restructuring of the energy industry or the effective operation of the commodities trading markets and may face increasing costs and competitive pressure in doing so. |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | 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 from the power generation facilities is sold, from time to time, in the merchant markets.  In addition, it is expected that upon expiration of the power purchase agreements, the residual portion of the electrical output of the generation facilities will be sold in the merchant markets.  The sale of power in the merchant markets is based on market conditions at the time of sale.  The amount and timing of revenues to be received from the merchant markets in the future is uncertain.  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 many risks such as those identified elsewhere in these risk factors and those arising due to, for example, start -up risks, breakdown or failure of equipment, transmission lines or pipelines and the availability of replacement equipment, the inability to properly manage or mitigate known equipment defects in the Partnerships' generation facilities unless and until such defects are remediated, use of new or unproven technology, the dependence on natural gas as a fuel source, failure or delay in the supply or transportation of fuel, or the impact of unusual or adverse weather conditions (including but not limited to natural disasters), and the risk of performance below expected or contracted levels of output or efficiency.  The occurrence of any of these effects or events could result in, among other things, lost revenues due to prolonged outages, replacement equipment costs or an obligation to purchase or generate replacement power at potentially higher prices to meet contractual obligations.  Insurance, warranties or performance guarantees may not cover any or all of the lost revenues or increased expenses, including, for example, the cost of replacement power.  Breakdown or failure of an operating facility may prevent the facility from performing under applicable power sales agreements which, in certain situations, could result in termination of the agreement or incurring a liability for liquidated damages. |
|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | NE LP and the Partnerships use derivative instruments, such as swaps, futures, and forwards, some of which are traded in the over-the-counter markets or on exchanges, to manage their commodity and financial market risks and for NE LP and the Partnerships to engage in trading activities.  The registrants could recognize financial losses as a result of volatility in the market values of these derivative instruments, or if a counterparty fails to perform or make payments under these derivative instruments.  In the absence of actively quoted market prices and pricing information from external sources, the valuation of these derivative instruments involves management's judgment or use of estimates.  Although NE LP and the Partnerships execute transactions in derivative instruments on either recognized exchanges or via the over-the-counter markets, depending on the most favorable credit and market execution factors, there is greater volatility and less liquidity in transactions executed in over-the-counter markets and, as a result, NE LP and the Partnerships may not be able to execute such transactions in times of market volatility.  As a result, changes in the underlying assumptions or use of alternative valuation methods could affect the reported fair value of these derivative instruments. |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | NE LP and the Partnerships have hedging and trading procedures and associated risk management tools that may not work as planned.  Risk management tools and metrics such as daily value at risk, earnings at risk, stop loss limits and liquidity guidelines are based on historical price movements.  If price movements significantly or persistently deviate from historical behavior, the risk management tools may not protect against significant losses.  As a result of these and other factors, the registrants cannot predict with precision the impact that risk management decisions may have on their financial results. |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | In addition to risks discussed elsewhere, risk factors specifically affecting the registrants' success in competitive wholesale markets include, for example, the ability to efficiently operate the Partnerships’ generating facilities, the successful and timely completion of project restructuring activities, the ability to procure adequate supplies of fuel and associated transportation at acceptable prices, and equipment, transmission constraints, competition from other and new sources of generation, excess generation capacity and shifting demand for power.   There can be significant volatility in market prices for fuel, electricity and renewable and other energy commodities, and there are other financial, counterparty and market risks that are beyond the control of the registrants.  The registrants' inability or failure to effectively hedge their assets or positions against changes in commodity prices, volume, interest rates, counterparty credit risk or other risk measures could significantly impair their future financial results.  In addition, the registrants' business depends upon power transmission and natural gas transportation facilities owned and operated by others; if transmission or fuel transportation is disrupted or capacity is unavailable or disrupted, the registrants' ability to sell and deliver their wholesale power may be limited or their costs may increase. |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | The Partnerships rely on contracts with vendors for the supply of fuel and equipment required for the operation of their facilities.  Adverse conditions in the energy industry or the general economy, as well as circumstances of individual vendors, may affect the ability of some vendors to perform as required under their contracts.  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.  If the defaulting counterparty is in poor financial condition, the registrants may not be able to recover damages for any contract breach. |
|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | The Partnerships’ operating systems and facilities may fail to operate properly or become disabled as a result of events that are within their control, such as operator error, and that are wholly or partially outside of their control, such as a result of severe weather or terrorist activities.  Any such failure or disabling event could adversely affect the Partnerships’ ability to process transactions and provide services. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | The registrants' results of operations can be negatively affected by changes in the weather.  Weather conditions directly influence the demand for electricity and natural gas and affect the price of energy commodities, and can affect the production of electricity at power generation facilities.  The registrants' results of operations can be affected by the impact of severe weather which can be destructive, causing outages and/or property damage, may affect fuel supply, and could require additional costs to be incurred. |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | 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.  Compliance with these mandatory reliability standards may subject the Partnerships to higher operating costs and may result in increased capital expenditures.  Noncompliance with these mandatory reliability standards could result in sanctions, including substantial monetary penalties. |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | The registrants are subject to potentially adverse operating and financial effects of terrorist acts and threats, as well as cyber attacks and other disruptive activities of individuals and/or groups.  Infrastructure facilities and systems, including, for example, generation, transmission and distribution facilities, fuel storage facilities, physical assets and information technology systems, in general, could be targets of, or indirectly affected by, such activities.  Terrorist acts or other similar events could harm the registrants’ business by limiting their ability to generate, purchase or transmit power and by delaying capital improvements to existing facilities.  These events, and governmental actions in response, could result in a material decrease in revenues and significant additional costs to repair and insure the registrants’ assets, and could adversely affect the registrants’ operations by contributing to disruption of supplies and markets for natural gas, oil and other fuels.  The implementation of security guidelines and measures and maintenance of insurance, to the extent available, addressing such activities could increase costs.  These types of events could materially adversely affect the registrants’ results of operations, financial condition and liquidity. |
|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | The registrant’s ability to obtain insurance, as well as the cost and coverage of such insurance, could be affected by developments affecting their businesses, as well as by international, national, state or local events, as well as the financial condition of insurers.  Insurance coverage may not continue to be available at all or at rates or on terms similar to those presently available the registrants.  A loss for which the registrants are not fully insured could materially and adversely affect their financial condition and results of operations.  The registrants’ insurance may not be sufficient or effective under all circumstances and against all hazards or liabilities to which the registrants may be subject. |
|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| · | The registrants, the Partnerships and the Funding Corp. are substantially leveraged.  The ability of the registrants, the Partnerships and the Funding Corp. to make interest and principal payments and fund capital expenditures is dependent on the future performance of the Partnerships.  Future performance is subject to general economic, financial, competitive, legislative, regulatory and other factors that are beyond the control of the registrants.  The registrants, the Partnerships and the Funding Corp. are also 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.  Following any default by the Partnerships, security is limited to the owners' economic interests in the Partnerships.  The owners have no meaningful revenues other than the distributions they receive from the Partnerships.  In the event of default, the ability of the owners to satisfy any obligations will be limited to amounts payable by the Partnerships as distributions. |
|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| (a) | None |
|-----|------|

| (b) | None |
|-----|------|

| (c) | Other events |
|-----|--------------|

| (i) | Reference is made to Item 1.  Business – Environmental – Climate Change in the 2009 Form 10-K for the registrants. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------|

| Exhibit No. |   | Description                                                                                                                                                                             |
|-------------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|        |   |                                                                                                                                                                                    |
| 31(a)       |   | Rule 13a-14(a)/15d-14(a) Certification of President (equivalent to the Chief Executive Officer) of the Acquisition Corp.                                                      |
| 31(b)       |   | Rule 13a-14(a)/15d-14(a) Certification of Treasurer (equivalent to the Chief Financial Officer) of the Acquisition Corp.                                                      |
| 31(c)       |   | Rule 13a-14(a)/15d-14(a) Certification of President (equivalent to the Chief Executive Officer) of ESI GP 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 GP as Administrative General Partner of NE LP  |
| 32(a)       |   | Section 1350 Certification of the Acquisition Corp.                                                                                                                           |
| 32(b)       |   | Section 1350 Certification of NE LP                                                                                                                                           |

----

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