FORM 10-Q

(MarkOne)
[X] Quarterly Report Pursuant to Section 13 or 15(d) of the Securities
    Exchange Act of 1934 For the quarterly period ended June 30, 2002
                                                        -------------

                                       or

[ ] Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange
    Act of 1934 For the transition period from ______________to________________

 Commission File Number:               333-83815
                                       ---------

                          Caithness Coso Funding Corp.
                          ----------------------------
             (Exact name of registrant as specified in its charter)

           Delaware                                    94-3328762
           --------                                    ----------
  (State or other jurisdiction of                   (I.R.S. Employer
    incorporation or organization)                 Identification No.)

  Coso Finance Partners               California                68-0133679
  Coso Energy Developers              California                94-3071296
  Coso Power Developers               California                94-3102796
  ---------------------               ----------                ----------
(Exact names of Registrants        (State or other           (I.R.S. Employer
as specified in their charters)    jurisdiction of          Identification No.)
                                   incorporation or
                                    organization)

  565 Fifth Avenue, 29th Floor, New York, New York             10017-2478
  -------------------------------------------------            ----------
      (Address of principal executive offices)                 (Zip Code)

                                 (212) 921-9099
                                 --------------
              (Registrant's telephone number, including area code)

                                 Not Applicable
                                 --------------
                      (Former name, former address and former
                     fiscal year, if changed since last report.)


Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the  preceding 12 months (or for such  shorter  period that the  registrant  was
required  to file  such  reports),  and  (2) has  been  subject  to such  filing
requirements for the past 90 days.                [X] Yes  [ ] No

                      APPLICABLE ONLY TO CORPORATE ISSUERS:

Indicate the number of shares  outstanding  of each of the  issuer's  classes of
common stock, as of the latest practicable date.

         300 shares in Caithness Coso Funding Corp. as of August 9, 2002
         ---------------------------------------------------------------


<PAGE>



                          CAITHNESS COSO FUNDING CORP.
                                    Form 10-Q
                       For the Quarter Ended June 30, 2002


PART I.  FINANCIAL INFORMATION                                          Page No.

ITEM 1.  Financial Statements


 Caithness Coso Funding Corp.
 Unaudited condensed balance sheets at June 30, 2002 and
  December 31, 2001                                                          4
 Unaudited condensed statements of operations for the three-months
  ended June 30, 2002, the three-months ended June 30, 2001 ,
  the six-months ended June 30, 2002, and the six-months ended
  June 30, 2001                                                              5
 Unaudited condensed statements of cash flows for the six-months
  ended June 30, 2002, and the six-months ended June 30, 2001                6
 Notes to the unaudited condensed financial statements                       7

 Coso Finance Partners
 Unaudited condensed balance sheets at June 30, 2002 and
  December 31, 2001                                                          8
 Unaudited condensed statements of operations for the three-months
  ended June 30, 2002, the three-months ended June 30, 2001,
  the six-months ended June 30, 2002, and the six-months
  ended June 30, 2001                                                        9
 Unaudited condensed statements of cash flows for the six-months
  ended June 30, 2002, and the six-months ended June 30, 2001               10
 Notes to the unaudited condensed financial statements                      11

 Coso Energy Developers
 Unaudited condensed balance sheets at June 30, 2002 and
  December 31, 2001                                                         12
 Unaudited condensed statements of operations for the three-months
  months ended June 30, 2002, the three-months ended June 30, 2001,
  the six-months ended June 30, 2002, and the six-months ended
  June 30, 2001                                                             13
 Unaudited condensed statements of cash flows for the six-months
  ended June 30, 2002, and the six-months ended June 30, 2001               14
 Notes to the unaudited condensed financial statements                      15

 Coso Power Developers
 Unaudited condensed balance sheets at June 30, 2002 and
  December 31, 2001                                                         16
 Unaudited condensed statements of operations for the three-months
  months ended June 30, 2002, the three-months ended June 30, 2001,
  the six-months ended June 30, 2002, and the six-months ended
  June 30, 2001                                                             17
 Unaudited condensed statements of cash flows the six-months
  ended June 30, 2002, and the six-months ended June 30, 2001               18
 Notes to the unaudited condensed financial statements                      19

                                       2

ITEM 2.  Management's Discussion and Analysis of Financial Condition and
         Results of Operations                                              20

PART II. OTHER INFORMATION

ITEM 1.  Legal Proceedings                                                  29
ITEM 2.  Change in Securities and Use of Proceeds                           29
ITEM 3.  Defaults upon Senior Securities                                    30
ITEM 4.  Submission of Matters to a Vote of Security Holders                30
ITEM 5.  Other Information                                                  30
 Supplemental condensed combined financial information for the
 Coso Partnerships
Unaudited condensed combined balance sheets
  at June 30, 2002 and December 31, 2001                                    31
 Unaudited condensed combined statements of operations for the
  three-months ended June 30, 2002, the three-months ended
  June 30, 2001, the six-months ended June 30, 2002, and the
  six-months ended June 30, 2001                                            32
 Unaudited condensed combined statements of cash flows for the
  six-months ended June 30, 2002, and the six-months ended
  June 30, 2001                                                             33
 Notes to the unaudited condensed combined financial statements             34

ITEM 6.  Exhibits and Reports on Form 8-K                                   35

                                       3

<PAGE>




                          CAITHNESS COSO FUNDING CORP.
                       UNAUDITED CONDENSED BALANCE SHEETS
                             (Dollars in thousands)
<TABLE>
<CAPTION>

                                                                 December 31,        June 30,
                                                                    2002               2001
                                                                                      (Note)
<S>                                                            <C>                <C>

Assets:
   Accrued interest receivable.......................            $   1,224         $   1,225
   Project loan to Coso Finance Partners.............              117,911           122,550
   Project loan to Coso Energy Developers............               93,700            96,250
   Project loan to Coso Power Developers.............               82,680            84,200
                                                                   -------            ------

                                                                 $ 295,515         $ 304,225
                                                                   =======           =======

Liabilities and Stockholders' Equity:
   Senior secured notes:
      Accrued interest payable.......................            $   1,224         $   1,225
      9.05% notes due 2009...........................              294,291           303,000
                                                                   -------           -------
                                                                   295,515           304,225
Stockholders' equity.................................                    -                 -
                                                                   -------           -------

                                                                 $ 295,515         $ 304,225
                                                                   =======           =======

</TABLE>


 Note:    The condensed balance sheet at December 31, 2001 has been derived from
          the audited financial statements at that date but does not include all
          of the  information  and footnotes  required by accounting  principles
          generally  accepted  in the  United  States of  America  for  complete
          financial statements.





          See accompanying notes to the unaudited condensed financial statements

                                       4

<PAGE>

<TABLE>
<CAPTION>


                          CAITHNESS COSO FUNDING CORP.
                  UNAUDITED CONDENSED STATEMENTS OF OPERATIONS
                             (Dollars in thousands)

<S>                                 <C>                <C>                <C>             <C>

                                    Three-Months       Three-Months       Six-Months      Six-Months
                                        Ended              Ended            Ended           Ended
                                       June 30,           June 30,         June 30,        June 30,
                                         2002               2001             2002            2001

Interest income................      $  6,856           $  5,997         $  13,710       $  14,598
Interest expense...............        (6,856)            (5,997)          (13,710)        (14,598)
                                       -------            -------          --------        --------

        Net income.............      $    ---           $    ---         $     ---       $     ---
                                       =======            =======          ========        ========

</TABLE>



     See accompanying notes to the unaudited condensed financial statements

                                       5

<PAGE>

<TABLE>
<CAPTION>

                          CAITHNESS COSO FUNDING CORP.
                  UNAUDITED CONDENSED STATEMENTS OF CASH FLOWS
                             (Dollars in thousands)



                                                                        Six-Months          Six-Months
                                                                          Ended               Ended
                                                                         June 30,            June 30,
                                                                           2002                2001

<S>                                                                    <C>                 <C>
Net cash provided by (used in) investing activities.......             $  8,710            $  11,241
Net cash provided by (used in) financing activities.......               (8,710)             (11,241)
                                                                         -------             --------
Net change in cash and cash equivalents...................             $    ---            $     ---
                                                                         =======             ========

Supplemental cash flow disclosure:
   Cash paid for interest.................................             $ 13,710            $  14,631
                                                                         =======             ========

</TABLE>


     See accompanying notes to the unaudited condensed financial statements

                                       6

<PAGE>


                          CAITHNESS COSO FUNDING CORP.
              NOTES TO THE UNAUDITED CONDENSED FINANCIAL STATEMENTS


(1) Organization and Operations

Caithness Coso Funding Corp.  (Funding  Corp.),  which was incorporated on April
22,  1999,  is a  single-purpose  Delaware  corporation  formed to issue  senior
secured  notes  (Notes) for its own account and as an agent  acting on behalf of
Coso  Finance  Partners  (CFP),  Coso Energy  Developers  (CED),  and Coso Power
Developers  (CPD),  collectively,   the  "Partnerships."  The  Partnerships  are
California general partnerships.

On May 28, 1999,  Funding Corp. sold $413,000 of senior secured notes.  Pursuant
to separate credit agreements  between Funding Corp. and each  partnership,  the
net proceeds  from the offering of $110,000 of 6.80%  senior  secured  notes due
2001 and  $303,000  of 9.05%  senior  secured  notes due 2009 were loaned to the
Partnerships,  and  the  Partnerships  have  jointly  and  severally  guaranteed
repayment  on a senior  basis.  Payment of the Notes is provided for by payments
made by the Partnerships under their respective project loans.

Funding  Corp.  has no  material  assets  other than the loans,  and the accrued
interest thereon,  that have been made to the Partnerships.  Also, Funding Corp.
does not conduct any business,  other than issuing the senior  secured notes and
making the loans to the Partnerships.

(2) Basis of Presentation

The accompanying  unaudited condensed financial statements have been prepared in
accordance with accounting principles generally accepted in the United States of
America for interim financial information.  Accordingly, certain information and
footnote  disclosures  normally  included in  financial  statements  prepared in
accordance with accounting principles generally accepted in the United States of
America  have been  condensed  or omitted  pursuant  to such  rules.  Management
believes that the disclosures are adequate to make the information presented not
misleading when read in conjunction with the financial  statements and the notes
thereto in the audited  financial  statements  for the year ended  December  31,
2001.

The financial information herein presented reflects all adjustments,  consisting
only of normal recurring  adjustments,  which are, in the opinion of management,
necessary for a fair statement of the results for interim periods presented. The
results for the interim periods are not necessarily  indicative of results to be
expected for the full year.

                                       7


<PAGE>

<TABLE>
<CAPTION>

                              COSO FINANCE PARTNERS
                       UNAUDITED CONDENSED BALANCE SHEETS
                             (Dollars in thousands)


                                                                                      June 30,         December 31,
                                                                                       2002                2001
                                                                                                          (Note)


<S>                                                                                 <C>               <C>
Assets:
   Cash and cash equivalents..................................................      $   1,583         $     264
   Restricted cash and investments............................................         24,092            21,325
   Accounts receivable, net...................................................         10,619             3,454
   Prepaid expenses & other assets............................................            308               650
   Amounts due from related parties...........................................          2,838             9,362
   Property, plant & equipment, net...........................................        136,002           140,437
   Power purchase agreement, net..............................................         10,519            11,093
   Investment in New CLPSI Company, LLC.......................................          4,021             4,005
   Deferred financing costs, net..............................................          2,366             2,524
                                                                                      -------           -------

                                                                                    $ 192,348         $ 193,114
                                                                                      =======           =======

Liabilities and Partners' Capital:
   Accounts payable and accrued liabilities...................................      $  17,014         $  17,578
   Amounts due to related parties.............................................            566               561
   Project loans..............................................................        117,911           122,550
                                                                                      -------          --------
                                                                                      135,491           140,689
   Partners' capital..........................................................         56,857            52,425
                                                                                      -------          --------

                                                                                    $ 192,348         $ 193,114
                                                                                      =======           =======



</TABLE>


Note:     The condensed balance sheet at December 31, 2001 has been derived from
          the audited financial statements at that date but does not include all
          of the  information  and footnotes  required by accounting  principles
          generally  accepted  in the  United  States of  America  for  complete
          financial statements.





          See accompanying notes to the unaudited condensed financial statements

                                       8

<PAGE>


                              COSO FINANCE PARTNERS
                  UNAUDITED CONDENSED STATEMENTS OF OPERATIONS
                             (Dollars in thousands)
<TABLE>
<CAPTION>

                                                           Three-Months        Three-Months       Six-Months      Six-Months
                                                              Ended               Ended             Ended           Ended
                                                             June 30,            June 30,          June 30,        June 30,
                                                               2002                2001              2002            2001

<S>                                                         <C>                 <C>              <C>              <C>
Revenue:
   Energy revenues.................................         $  10,762           $  20,103        $  53,112       $  26,080
   Capacity revenues...............................             3,566               3,689            6,714           3,765
   Interest and other income.......................             1,045               1,043            1,519           1,178
                                                              -------            --------           ------          ------
          Total revenue............................            15,373              24,835           61,345          31,023

Operating expenses:
   Plant operating expenses........................             2,261               2,812            4,568           4,574
   Royalty expense.................................             3,419               2,984            5,631           6,754
   Depreciation and amortization...................             2,541               2,541            5,077           5,040
                                                              -------            --------           ------          ------
          Total operating expenses.................             8,221               8,337           15,276          16,368

          Operating income.........................             7,152              16,498           46,069          14,655

Other expenses:
    Interest expense...............................             2,773               2,971            5,548           5,955
    Amortization of deferred financing costs.......                79                 130              158             260
                                                              -------            --------           ------          ------
          Total other expenses.....................             2,852               3,101            5,706           6,215

          Net income...............................         $   4,300           $  13,397        $  40,363       $   8,440
                                                              =======            ========           ======          ======


</TABLE>





     See accompanying notes to the unaudited condensed financial statements

                                       9

<PAGE>


                              COSO FINANCE PARTNERS
                  UNAUDITED CONDENSED STATEMENTS OF CASH FLOWS
                             (Dollars in thousands)

<TABLE>
<CAPTION>

                                                                     Six-Months           Six-Months
                                                                        Ended                Ended
                                                                      June 30,             June 30,
                                                                        2002                 2001

<S>                                                                <C>                   <C>
Net cash provided by (used in) operating activities...........     $   44,724            $   11,665
Net cash provided by (used in) investing activities...........         (2,835)               (1,144)
Net cash provided by (used in) financing activities...........        (40,570)               (8,381)
                                                                      --------               -------
Net change in cash and cash equivalents.......................     $    1,319            $   (2,140)
                                                                      ========               =======
Supplemental cash flow disclosure:
    Cash paid for interest....................................     $    5,545            $    5,968
                                                                      ========               =======


</TABLE>



     See accompanying notes to the unaudited condensed financial statements

                                       10

<PAGE>


                              COSO FINANCE PARTNERS
              NOTES TO THE UNAUDITED CONDENSED FINANCIAL STATEMENTS


(1) Organization and Operation

Coso Finance partners (CFP), a general partnership,  is engaged in the operation
of a 80 MW power generation facility located at the China Lake Naval Air Weapons
Station,  China Lake California.  CFP sells all electricity produced to Southern
California  Edison (Edison) under a 24-year power purchase  contract expiring in
2011.

(2) Basis of Presentation

The accompanying  unaudited  condensed combined  financial  statements have been
prepared in accordance  with  accounting  principles  generally  accepted in the
United States of America for interim financial information. Accordingly, certain
information and footnote  disclosures  normally included in financial statements
prepared in accordance  with  accounting  principles  generally  accepted in the
United States of America have been condensed or omitted  pursuant to such rules.
Management  believes that the  disclosures  are adequate to make the information
presented not misleading when read in conjunction with the financial  statements
and the notes  thereto in the audited  financial  statements  for the year ended
December 31, 2001.

The financial information herein presented reflects all adjustments,  consisting
only of normal recurring  adjustments,  which are, in the opinion of management,
necessary for a fair statement of the results for interim periods presented. The
results for the interim periods are not necessarily  indicative of results to be
expected  for  the  full  year.  CFP  has  experienced   significant   quarterly
fluctuations  in  operating  results and it expects that these  fluctuations  in
energy revenues, expenses and net income will continue.

(3) Accounts Receivable and Revenue Recognition

Due to the uncertainty  surrounding Edison's ability to make payment on past due
amounts,  collection  was not  reasonably  assured  and  CFP had not  recognized
revenue  from  Edison for energy  delivered  during the period  November 1, 2000
through March 26, 2001. The provision for doubtful accounts  previously recorded
by CFP of  $21.6  million  for the  six-months  ended  June 30,  2001,  has been
reclassified as a reduction of revenue to conform with the 2002 presentation.

On March 1, 2002, Edison reached certain  financing  milestones and paid CFP for
revenue  generated,  but not recognized for the period  November 1, 2000 through
March 26, 2001.  For the six-month  period ended June 30, 2002,  CFP  recognized
revenue for energy  delivered  from  November 1, 2000 through  March 26, 2001 of
$37.3 million.

(4) Reclassifications

Certain  other  reclassifications  have  been  made to the  2001  statements  of
operations to conform to the 2002 presentation.


                                       11


<PAGE>


                             COSO ENERGY DEVELOPERS
                       UNAUDITED CONDENSED BALANCE SHEETS
                             (Dollars in thousands)

<TABLE>
<CAPTION>


                                                                                 June 30,          December 31,
                                                                                   2002                2001
                                                                                                      (Note)

<S>                                                                             <C>                 <C>
Assets:
   Cash and cash equivalents..............................................      $     391           $     ---
   Restricted cash and investments........................................          8,618               7,368
   Accounts receivable, net...............................................          9,113               2,939
   Prepaid expenses and other assets......................................            130                 849
   Amounts due from related parties.......................................            418                 401
   Property, plant and equipment, net.....................................        141,219             148,417
   Power purchase agreement, net..........................................         17,901              18,437
   Investment in Coso Transmission Line Partners..........................          2,683               2,738
   Investment in New CLPSI Company, LLC...................................            754                 789
   Deferred financing costs, net..........................................          1,912               2,040
                                                                                  -------             -------

                                                                                $ 183,139           $ 183,978
                                                                                  =======             =======


Liabilities and Partners' Capital:
   Accounts payable and accrued liabilities...............................      $   1,393           $   7,699
   Amounts due to related parties.........................................         25,325              27,267
   Project loans..........................................................         93,700              96,250
                                                                                  -------             -------
                                                                                  120,418             131,216
   Partners' capital......................................................         62,721              52,762
                                                                                  -------             -------

                                                                                $ 183,139           $ 183,978
                                                                                  =======             =======


</TABLE>


Note:     The condensed balance sheet at December 31, 2001 has been derived from
          the audited financial statements at that date but does not include all
          of the  information  and footnotes  required by accounting  principles
          generally  accepted  in the  United  States of  America  for  complete
          financial statements.







          See accompanying notes to the unaudited condensed financial statements

                                       12

<PAGE>




                             COSO ENERGY DEVELOPERS
                  UNAUDITED CONDENSED STATEMENTS OF OPERATIONS
                             (Dollars in thousands)
<TABLE>
<CAPTION>


                                                           Three-Months        Three-Months       Six-Months      Six-Months
                                                              Ended               Ended             Ended           Ended
                                                             June 30,            June 30,          June 30,        June 30,
                                                               2002                2001              2002            2001

<S>                                                         <C>                 <C>              <C>              <C>
Revenue:
   Energy revenues.................................         $   7,706           $  18,701        $  48,135       $  19,457
   Capacity revenues...............................             3,484               3,611            6,535           3,680
   Interest and other income.......................               260               1,217              902           1,837
                                                               ------              ------           ------          ------
          Total revenue............................            11,450              23,529           55,572          24,974

Operating expenses:
   Plant operating expenses........................             2,648               2,847            5,253           5,208
   Royalty expense.................................               664               1,158              675           4,026
   Depreciation and amortization...................             4,173               3,929            8,232           7,875
                                                               ------              ------           ------          ------
          Total operating expenses.................             7,485               7,934           14,160          17,109

          Operating income.........................             3,965              15,595           41,412           7,865

Other expenses:
    Interest expense...............................             2,177               2,251            4,357           4,508
    Amortization of deferred financing costs.                      63                  80              127             159
                                                               ------              ------           ------          ------
          Total other expenses.....................             2,240               2,331            4,484           4,667

          Net income...............................         $   1,725           $  13,264        $  36,928       $   3,198
                                                               ======              ======           ======          ======


</TABLE>





     See accompanying notes to the unaudited condensed financial statements

                                       13

<PAGE>


                             COSO ENERGY DEVELOPERS
                  UNAUDITED CONDENSED STATEMENTS OF CASH FLOWS
                             (Dollars in thousands)
<TABLE>
<CAPTION>


                                                                    Six-Months            Six-Months
                                                                      Ended                 Ended
                                                                     June 30,              June 30,
                                                                       2002                  2001

<S>                                                                <C>                   <C>
Net cash provided by (used in) operating activities...........     $   31,657            $    9,427
Net cash provided by (used in) investing activities...........         (1,747)               (4,427)
Net cash provided by (used in) financing activities...........        (29,519)               (5,885)
                                                                      -------                ------
Net change in cash and cash equivalents.......................     $      391            $     (885)
                                                                      =======                ======
Supplemental cash flow disclosure:
    Cash paid for interest....................................     $    4,355            $    4,514
                                                                      =======                ======


</TABLE>



     See accompanying notes to the unaudited condensed financial statements

                                       14

<PAGE>


                             COSO ENERGY DEVELOPERS
              NOTES TO THE UNAUDITED CONDENSED FINANCIAL STATEMENTS


(1) Organization and Operation

Coso Energy Developers (CED), a general partnership, is engaged in the operation
of a 80 MW power generation facility located at the Coso Hot Springs, China Lake
California.  CED sells all electricity  produced to Southern  California  Edison
(Edison) under a 30-year power purchase contract expiring in 2019.

(2) Basis of Presentation

The accompanying  unaudited condensed financial statements have been prepared in
accordance with accounting principles generally accepted in the United States of
America for interim financial information.  Accordingly, certain information and
footnote  disclosures  normally  included in  financial  statements  prepared in
accordance with accounting principles generally accepted in the United States of
America  have been  condensed  or omitted  pursuant  to such  rules.  Management
believes that the disclosures are adequate to make the information presented not
misleading when read in conjunction with the financial  statements and the notes
thereto in the audited  financial  statements  for the year ended  December  31,
2001.

The financial information herein presented reflects all adjustments,  consisting
only of normal recurring  adjustments,  which are, in the opinion of management,
necessary for a fair statement of the results for interim periods presented. The
results for the interim periods are not necessarily  indicative of results to be
expected  for  the  full  year.  CED  has  experienced   significant   quarterly
fluctuations  in  operating  results and it expects that these  fluctuations  in
energy revenues, expenses and net income will continue.

(3) Accounts Receivable and Revenue Recognition

Due to the uncertainty  surrounding Edison's ability to make payment on past due
amounts,  collection  was not  reasonably  assured  and  CED had not  recognized
revenue  from  Edison for energy  delivered  during the period  November 1, 2000
through March 26, 2001. The provision for doubtful accounts  previously recorded
by CED of  $21.8  million  for the  six-months  ended  June 30,  2001,  has been
reclassified as a reduction of revenue to conform with the 2002 presentation.

On March 1, 2002, Edison reached certain  financing  milestones and paid CED for
revenue  generated,  but not recognized for the period  November 1, 2000 through
March 26, 2001.  For the six-month  period ended June 30, 2002,  CED  recognized
revenue for energy  delivered  from  November 1, 2000 through  March 26, 2001 of
$37.1 million.

(4) Reclassifications

Certain  other  reclassifications  have  been  made to the  2001  statements  of
operations to conform to the 2002 presentation.


                                       15

<PAGE>



                              COSO POWER DEVELOPERS
                       UNAUDITED CONDENSED BALANCE SHEETS
                             (Dollars in thousands)

<TABLE>
<CAPTION>


                                                                                  June 30,            December 31,
                                                                                    2002                  2001
                                                                                                         (Note)
<S>                                                                             <C>                  <C>
Assets:
   Cash and cash equivalents................................................    $     131            $     ---
   Restricted cash and investments..........................................        6,299                5,517
   Accounts receivable, net.................................................        9,325                3,210
   Prepaid expenses and other assets........................................          336                  660
   Amounts due from related parties.........................................        6,372                6,139
   Property, plant and equipment, net.......................................      118,663              124,665
   Power purchase agreement, net............................................       21,423               22,820
   Investment in Coso Transmission Line Partners............................        3,332                3,398
   Investment in New CLPSI Company, LLC.....................................        1,916                1,913
   Deferred financing costs, net............................................        1,627                1,736
                                                                                  -------              -------

                                                                                $ 169,424           $  170,058
                                                                                  =======              =======

Liabilities and Partners' Capital:
   Accounts payable and accrued liabilities.................................    $   2,161           $   15,860
   Amounts due to related parties...........................................        2,594                7,778
   Project loans............................................................       82,680               84,200
                                                                                  -------              -------
                                                                                   87,435              107,838
Partners' capital...........................................................       81,989               62,220
                                                                                  -------              -------

                                                                                $ 169,424           $  170,058
                                                                                  =======              =======



</TABLE>


Note:     The condensed balance sheet at December 31, 2001 has been derived from
          the audited financial statements at that date but does not include all
          of the  information  and footnotes  required by accounting  principles
          generally  accepted  in the  United  States of  America  for  complete
          financial statements.






          See accompanying notes to the unaudited condensed financial statements

                                       16

<PAGE>


                              COSO POWER DEVELOPERS
                  UNAUDITED CONDENSED STATEMENTS OF OPERATIONS
                             (Dollars in thousands)

<TABLE>
<CAPTION>

                                                           Three-Months        Three-Months       Six-Months      Six-Months
                                                              Ended               Ended              Ended           Ended
                                                             June 30,            June 30,           June 30,        June 30,
                                                               2002                2001               2002            2001

<S>                                                         <C>                 <C>              <C>             <C>
Revenue:
   Energy revenues.................................         $   6,266           $  15,608        $  47,637       $  12,985
   Capacity revenues...............................             3,505               3,629            6,556           3,698
   Interest and other income.......................               169                 896              651           1,254
                                                                -----              ------           ------          ------
          Total revenue............................             9,940              20,133           54,844          17,937

Operating expenses:
   Plant operating expenses........................             2,519               2,875            4,490           4,850
   Royalty expense.................................             1,692               2,181            2,749           5,893
   Depreciation and amortization...................             3,830               3,831            7,659           7,584
                                                                -----              ------           ------          ------
          Total operating expenses.................             8,041               8,887           14,898          18,327

          Operating income (loss)..................             1,899              11,246           39,946            (390)

Other expenses:
    Interest expense...............................             1,905               2,062            3,813           4,137
    Amortization of deferred financing costs.......                54                 193              108             385
                                                                -----              ------           ------          ------
          Total other expenses.....................             1,959               2,255            3,921           4,522

          Net income (loss)........................         $     (60)          $   8,991        $  36,025       $  (4,912)
                                                                =====              ======           ======          ======


</TABLE>



     See accompanying notes to the unaudited condensed financial statements

                                       17

<PAGE>


                              COSO POWER DEVELOPERS
                  UNAUDITED CONDENSED STATEMENTS OF CASH FLOWS
                             (Dollars in thousands)
<TABLE>
<CAPTION>


                                                                    Six-Months            Six-Months
                                                                      Ended                 Ended
                                                                     June 30,              June 30,
                                                                       2002                  2001

<S>                                                                <C>                   <C>
  Net cash provided by (used in) operating activities.........     $   18,948            $    8,423
  Net cash provided by (used in) investing activities.........         (1,041)                   94
  Net cash provided by (used in) financing activities.........        (17,776)              (14,762)
                                                                      -------               -------
  Net change in cash and cash equivalents.....................     $      131            $   (6,245)
                                                                      =======               =======
  Supplemental cash flow disclosure:
      Cash paid for interest..................................     $    3,810            $    4,149
                                                                      =======               =======




</TABLE>





     See accompanying notes to the unaudited condensed financial statements

                                       18

<PAGE>


                              COSO POWER DEVELOPERS
              NOTES TO THE UNAUDITED CONDENSED FINANCIAL STATEMENTS


(1) Organization and Operation

Coso Power Developers (CPD), a general partnership,  is engaged in the operation
of a 80 MW power generation facility located at the Coso Hot Springs, China Lake
California.  CPD sells all electricity  produced to Southern  California  Edison
(Edison) under a 20-year power purchase contract expiring in 2010.

(2) Basis of Presentation

The accompanying  unaudited condensed financial statements have been prepared in
accordance with accounting principles generally accepted in the United States of
America for interim financial information.  Accordingly, certain information and
footnote  disclosures  normally  included in  financial  statements  prepared in
accordance with accounting principles generally accepted in the United States of
America  have been  condensed  or omitted  pursuant  to such  rules.  Management
believes that the disclosures are adequate to make the information presented not
misleading when read in conjunction with the financial  statements and the notes
thereto in the audited  financial  statements  for the year ended  December  31,
2001.

The financial information herein presented reflects all adjustments,  consisting
only of normal recurring  adjustments,  which are, in the opinion of management,
necessary for a fair statement of the results for interim periods presented. The
results for the interim periods are not necessarily  indicative of results to be
expected  for  the  full  year.  CPD  has  experienced   significant   quarterly
fluctuations  in  operating  results and it expects that these  fluctuations  in
energy revenues, expenses and net income will continue.

(3) Accounts Receivable and Revenue Recognition

Due to the uncertainty  surrounding Edison's ability to make payment on past due
amounts,  collection  was not  reasonably  assured  and  CPD had not  recognized
revenue  from  Edison for energy  delivered  during the period  November 1, 2000
through March 26, 2001. The provision for doubtful accounts  previously recorded
by CPD of  $22.7  million  for the  six-months  ended  June 30,  2001,  has been
reclassified as a reduction of revenue to conform with the 2002 presentation.

On March 1, 2002, Edison reached certain  financing  milestones and paid CPD for
revenue  generated but not  recognized  for the period  November 1, 2000 through
March 26, 2001.  For the six-month  period ended June 30, 2002,  CPD  recognized
revenue for energy  delivered  from  November 1, 2000 through  March 26, 2001 of
$38.0 million.

(4) Reclassifications

Certain  other  reclassifications  have  been  made to the  2001  statements  of
operations to conform to the 2002 presentation.

                                       19

<PAGE>



ITEM 2.  Management's Discussion and Analysis of Financial Condition and Results
         of Operations

     Except for historical financial  information  contained herein, the matters
discussed in this quarterly report may be considered  forward-looking statements
within the meaning of Section 27A of the Securities Act of 1933, as amended, and
Section 21E of the Securities  Exchange Act of 1934, as amended,  and subject to
the safe harbor created by the Securities  Litigation  Reform Act of 1995.  Such
statements  include  declarations   regarding  the  intent,  belief  or  current
expectations  of Caithness Coso Funding Corp.  ("Funding  Corp."),  Coso Finance
Partners  ("the  Navy  I  Partnership"),   Coso  Energy   Developers  ("the  BLM
Partnership"),   and  Coso  Power  Developers   ("the  Navy  II   Partnership"),
collectively,  (the "Coso Partnerships") and their respective  management.  Such
statements may be identified by terms such as expected,  anticipated, may, will,
believe or other terms or  variations  of such words.  Any such  forward-looking
statements  are not  guarantees  of future  performance  and involve a number of
risks and  uncertainties;  actual  results  could differ  materially  from those
indicated by such forward-looking  statements.  Among the important factors that
could cause actual  results to differ  materially  from those  indicated by such
forward-looking  statements, include but are not limited to: (i) risks relating
to the  uncertainties  in the  California  energy  market,  (ii)  the  financial
viability of Southern California Edison, ("Edison"), (iii) the information is of
a  preliminary  nature  and may be subject  to  further  adjustment,  (iv) risks
related to the operation of power plants (v) the impact of avoided cost pricing,
(vi) general  operating risks,  including  resource  availability and regulatory
oversight,  (vii) the dependence on third parties,  (viii) changes in government
regulation,  (ix) the  effects  of  competition,  (x) the  dependence  on senior
management,  (xi)  fluctuations in quarterly results due in part to seasonality,
(xii) affects of September 11, 2001  including  U.S. Navy  activity,  and (xiii)
the alleged manipulation of the California energy market.


General

     The Coso Partnerships  consist of three 80MW geothermal power plants, which
are referred to as Navy I, BLM and Navy II, and their transmission lines, wells,
gathering  systems  and other  related  facilities.  The Coso  Partnerships  are
located near one another at the United States Naval Air Weapons  Center at China
Lake, California. The Navy I Partnership owns Navy I and its related facilities.
The BLM Partnership owns BLM and its related facilities. The Navy II Partnership
owns Navy II and its related facilities. Affiliates of Caithness Corporation and
CalEnergy Company, Inc. ("CalEnergy"),  which is now known as MidAmerican Energy
Holdings  Company,  formed  the  Coso  Partnerships  in the  1980s  to  develop,
construct, own and operate the Coso Partnerships. On February 25, 1999 Caithness
Acquisition  Company,  LLC, (CAC) purchased all of CalEnergy's  interests in the
Coso Partnerships for $205.0 million in cash, plus the assumption of CalEnergy's
and its affiliates'  share of debt  outstanding at the Coso  Partnerships  which
then totaled approximately $67.0 million.

     Each Coso Partnership  sells 100% of the electrical energy generated at its
plant to Edison under a long-term Standard Offer No.4 power purchase  agreement.
Each power purchase agreement expires after the final maturity date of the 9.05%
Series B Senior Secured Notes issued by Funding Corp.

     Each Coso Partnership is entitled to the following payments under its power
purchase agreement:

*    Capacity payments for being able to produce  electricity at certain levels.
     Capacity  payments  are fixed  throughout  the life of each power  purchase
     agreement;

*    Capacity  bonus  payments  if the  Coso  Partnership  is  able  to  produce
     electricity  above a specified  higher level.  The maximum annual  capacity
     bonus  payment  available is also fixed  throughout  the life of each power
     purchase agreement; and

                                       20

*    Energy  payments  which are based on the  amount  of  electricity  the Coso
     Partnership's plant actually produces.

     Energy  payments were fixed for the first ten years of firm operation under
each power purchase  agreement.  After the first ten years of firm operation and
until a Coso Partnership's power purchase agreement expires, Edison makes energy
payments  to the Coso  Partnership  based on  Edison's  avoided  cost of energy.
Edison's  avoided  cost of energy is Edison's  cost to generate  electricity  if
Edison were to produce it itself or buy it from another  power  producer  rather
than buy it from the Coso  Partnerships.  The power  purchase  agreement for the
Navy I Partnership will expire in August 2011, the power purchase  agreement for
the BLM Partnership will expire in March 2019, and the power purchase  agreement
for the Navy II Partnership  will expire in January 2010. The fixed energy price
period expired in August 1997 for the Navy I Partnership,  in March 1999 for the
BLM Partnership and in January 2000 for the Navy II Partnership.

     Edison entered into an agreement  ("Agreement")  with the Coso Partnerships
on June 19, 2001 that addressed  renewable energy pricing and issues  concerning
California's  energy crisis.  The  Agreement,  which was amended on November 30,
2001, established May 1, 2002, as the date the Coso Partnerships receive a fixed
avoided cost of energy rate of 5.37 cents per kWh for five (5) years. Subsequent
to the five-year period,  Edison will be required to make energy payments to the
Coso Partnerships  based on its avoided cost of energy until each  partnership's
power purchase agreement  expires.  Estimates of Edison's future avoided cost of
energy may vary  significantly and no one can predict,  with accuracy the likely
level of future avoided cost of energy prices.

     From  January 1, 2002  through  April 30th of 2002,  the Coso  Partnerships
elected to receive from Edison a fixed avoided cost of energy rate of 3.25 cents
per kWh.  Starting,  May 1, 2002 the Coso  Partnerships  received 5.37 cents per
kWh,  pursuant to the agreement  discussed  above.  The average  avoided cost of
energy paid to the Coso  Partnerships  for the  six-month  period ended June 30,
2002 was 3.96 cents per kWh  compared to 11.62 cents per kWh for the  six-months
ended June 30, 2001.

     In 1994, the Coso Partnerships  implemented a steam-sharing  program, under
the Coso Geothermal Exchange Agreement. The purpose of the steam-sharing program
is to enhance the management of the Coso geothermal resource and to optimize the
resource's overall benefits to the Coso Partnerships by transferring steam among
the  Coso  Partnerships.  Under  the  steam  sharing  program,  the  partnership
receiving the steam transfer  splits revenue earned from  electricity  generated
with the partnership that transferred the steam.

     The Coso  Partnerships  are required to make  royalty  payments to the U.S.
Navy and the Bureau of Land  Management.  The Navy I Partnership  pays a royalty
for Unit I through  reimbursement  of  electricity  supplied to the U.S. Navy by
Edison from  electricity  generated at the Navy I plant.  The  reimbursement  is
based on a pricing  formula  that is included in the U.S.  Navy  Contract.  This
formula is largely  based upon the tariff  rates  charged by Edison,  which have
recently been increased by the California  Public Utilities  Commission  (CPUC),
and is subject to future revision. Discussions with the U.S. Navy are continuing
to re-adjust the formula to reflect recent  activity in the local energy market.
In November 2001, a modification to the calculation of the reimbursement pricing
formula was made to the U.S. Navy  Contract  resulting in a reduction of accrued
royalties of $6.5 million which was agreed to by the U.S.  Navy. For Units 2 and
3, the Navy I  Partnership's  royalty  expense paid to the U.S.  Navy is a fixed
percentage  of  electricity  sales  at 15% of  revenue  received  by the  Navy I
Partnership  through 2003 and will  increase to 20% from 2004 through  2009.  In
addition,  the Navy I Partnership is required to pay the U.S. Navy $25.0 million
in December  2009, the date their  contract  expires.  The payment is secured by
funds  placed on  deposit  monthly,  which  funds  plus  accrued  interest  will
aggregate   $25.0  million.   Currently,   the  monthly   amount   deposited  is
approximately  $60,000.  The BLM Partnership pays a 10% royalty to the Bureau of
Land  Management  based  on the  net  value  of  steam  produced.  The  Navy  II
Partnership  pays a royalty  to the U.S.  Navy  based on a fixed  percentage  of
electricity  sales to Edison.  The  royalty  rate was 10% of  electricity  sales
through  1999,  and  increased to 18% for 2000 through 2004 and will increase to
20% from 2005 through the end of the contract term. The Coso  Partnerships  also
pay other royalties, at various rates which in the aggregate are not material.

                                       21

     Funding Corp is a special purpose corporation and a wholly owned subsidiary
of the Coso  Partnerships.  It was formed for the  purpose of issuing the senior
secured notes on behalf of the Coso  Partnerships  who have jointly,  severally,
and unconditionally guaranteed repayment of the senior secured notes.

     On May 28,  1999,  Funding  Corp.  issued  $110.0  million of 6.80%  senior
secured  notes,  which were paid off on December 15, 2001, and $303.0 million of
9.05% senior  secured  notes,  which have  payments due at various dates through
December  15,  2009.  The  proceeds  from  the  notes  were  loaned  to the Coso
Partnerships  and are payable to Funding  Corp.  from  payments of principal and
interest  on the  notes.  Funding  Corp.  does not  conduct  any other  material
operations apart from issuing the notes.

     Under the  depository  agreement  with the trustee for the notes,  the Coso
Partnerships  established  accounts with a depository and pledged those accounts
as  security  for the benefit of the holders of the senior  secured  notes.  All
amounts  deposited  with  the  depository  are,  at the  direction  of the  Coso
Partnerships,  invested by the depository in permitted investments. All revenues
or other proceeds  actually received by the Coso Partnerships are deposited in a
revenue  account and withdrawn  upon receipt by the  depository of a certificate
from the relevant Coso Partnerships  detailing the amounts to be paid from funds
in its respective revenue account.

     Periodic  increases in natural gas prices and imbalances between supply and
demand,  among other  factors,  have at times led to  significant  increases  in
wholesale  electricity  prices in California.  During those periods,  Edison had
fixed  tariffs with their retail  customers  that were  significantly  below the
wholesale   prices  it  paid  in   California.   This  resulted  in  significant
under-recoveries  by Edison of its  electricity  purchase  costs. On January 16,
2001 Edison  announced that it was  temporarily  suspending  payments for energy
provided,  including  the energy  provided by the Coso  Partnerships,  pending a
permanent  solution  to its  liquidity  crisis.  This  cash flow  shortfall  has
adversely  affected  Edison's  liquidity  and in turn  it did  not pay the  Coso
Partnerships  for energy delivered from November 2000 through March 26, 2001. As
of December 31, 2001,  the Coso  Partnerships  were unable to determine the time
frame during which any future payments would be received. Due to the uncertainty
surrounding Edison's ability to make payment on past due amounts, collection was
not  reasonably  assured  and the Navy I, BLM and Navy II  Partnerships  did not
recognize  revenue  from  Edison for  energy  delivered  during the period  from
November 1, 2000 through March 26, 2001.  The  provision  for doubtful  accounts
previously  recorded  by the  Navy I,  BLM and  Navy II  Partnerships  of  $21.6
million, $21.8 million and $22.7 million, respectively, for the six-months ended
June 30, 2001 has been  reclassified  as a reduction  of revenue to conform with
the 2002 presentation.

     Pursuant  to a CPUC  order,  Edison  resumed  making  payments  to the Coso
Partnerships  beginning with power generated on March 27, 2001. Edison also made
a payment equal to 10% of the unpaid  balance for power  generated from November
1, 2000 to March 26, 2001,  and  continued  to pay  interest on the  outstanding
amount at 7% per annum.  That payment which was received during the three-months
ended June 30, 2001 was made  pursuant to the Agreement  between  Edison and the
Coso  Partnerships  described  above  and was also  reclassified  as  additional
revenue to conform with the 2002 presentation.  On March 1, 2002, Edison reached
certain  financing  milestones and paid the Coso Partnerships in full for energy
generated  between  November 1, 2000 and March 26, 2001 for which no revenue was
recognized during that period. For the six-month period ended June 30, 2002, the
Navy I, BLM and Navy II  Partnerships  recognized  revenue for energy  delivered
from November 1, 2000 through March 26, 2001 of $37.3 million, $37.1 million and
$38.0 million, respectively.

                                       22

Capacity Utilization

     For purposes of consistency in financial  presentation,  the plant capacity
factor for each of the Coso  Partnerships is based on a nominal  capacity amount
of 80MW (240MW in the aggregate).  The Coso  Partnerships have a gross operating
capacity  that  allows  for the  production  of  electricity  in excess of their
nominal capacity  amounts.  Utilization of this operating margin is based upon a
number of factors and can be expected to vary  throughout  the year under normal
operating conditions.


     The following  data includes the operating  capacity  factor,  capacity and
electricity  production  (in kWh) for each  Coso  Partnership  on a  stand-alone
basis:


<TABLE>
<CAPTION>

                                                            Three-Months Ended                    Six-Months Ended
                                                                  June 30                             June 30

                                                         2002               2001               2002              2001
                                                         ----               ----               ----              ----
<S>                                                     <C>                <C>                <C>               <C>
Navy I Partnership (stand alone)
     Operating capacity factor                          102.5%             103.8%             104.5%            106.7%
     Capacity (MW) (average)                             81.97              83.06              83.62             85.36
     kWh produced (000s)                                179,014            181,398            363,254           370,820

   BLM Partnership (stand alone)
     Operating capacity factor                           95.3%             108.1%              94.0%            105.2%
     Capacity (MW) (average)                             76.25              86.49              75.21             84.12
     kWh produced (000s)                                166,533            188,896            326,694           365,420

   Navy II Partnership (stand alone)
     Operating capacity factor                           94.2%             102.1%             101.6%            104.3%
     Capacity (MW) (average)                             75.34              81.66              81.25             83.43
     kWh produced (000s)                                164,552            178,353            352,966           362,420


</TABLE>

     Total energy  production for the BLM  Partnership was 166.5 million kWh and
326.7  million  kWh  for  the  three  and   six-months   ended  June  30,  2002,
respectively,  as  compared to 188.9  million kWh and 365.4  million kWh for the
same periods in 2001, decreases of 11.9% and 10.6%,  respectively.  Total energy
production  for  the  Navy  II  Partnership   was  164.6  million  kWh  for  the
three-months  ended June 30, 2002 as compared to 178.4  million kWh for the same
period in 2001, a decrease of 7.7%.  These  decreases in energy  production were
primarily  due to a decline  in low  pressure  steam  which is being  remediated
through  well  maintenance  and capital  improvements.


Results of Operations for the three and six-months ended June 30, 2002 and 2001

     The following  discusses the results of operations of the Coso Partnerships
for the three and  six-months  ended June 30, 2002 and 2001  (dollar  amounts in
tables are in thousands, except per kWh data):

                                       23

Revenue

<TABLE>
<CAPTION>

                                       Three-Months             Three-Months             Six-Months               Six-Months
                                          Ended                    Ended                    Ended                    Ended
                                      June 30, 2002            June 30, 2001           June 30, 2002            June 30, 2001

                                       $     Cents/kWh          $     Cents/kWh         $     Cents/kWh         $      Cents/kWh
                                       -     ---------          -     ---------         -     ---------         -      ---------
<S>                                  <C>        <C>          <C>         <C>          <C>        <C>           <C>        <C>
Total Operating Revenues
  Navy I Partnership                14,328      8.0          23,792      13.1        59,826     16.5         29,845      8.0
  BLM Partnership                   11,190      6.7          22,312      11.8        54,670     16.7         23,137      6.3
  Navy II Partnership                9,771      5.9          19,237      10.8        54,193     15.4         16,683      4.6

Capacity & Capacity Bonus
Revenues
  Navy I Partnership                 3,566      2.0           3,689       2.0         6,714      1.8          3,765      1.0
  BLM Partnership                    3,484      2.1           3,611       1.9         6,535      2.0          3,680      1.0
  Navy II Partnership                3,505      2.1           3,629       2.0         6,556      1.9          3,698      1.0

Energy Revenues
  Navy I Partnership                10,762      6.0          20,103      11.1        53,112      14.6        26,080      7.0
  BLM Partnership                    7,706      4.6          18,701       9.9        48,135      14.7        19,457      5.3
  Navy II Partnership                6,266      3.8          15,608       8.8        47,637      13.5        12,985      3.6

</TABLE>


     Total  operating  revenues  for the Navy I,  BLM and Navy II  Partnerships,
which consist of capacity payments, capacity bonus payments and energy payments,
were $14.3  million,  $11.2  million  and $9.8  million,  respectively,  for the
three-months  ended June 30, 2002, as compared to $23.8  million,  $22.3 million
and $19.2  million,  respectively,  for the same  period in 2001,  decreases  of
39.9%, 49.8% and 49.0%, respectively.  Total energy revenues for the Navy I, BLM
and Navy II  Partnerships  were $10.8  million,  $7.7 million and $6.3  million,
respectively,  for the  three-months  ended June 30, 2002,  as compared to $20.1
million, $18.7 million and $15.6 million,  respectively,  for the same period in
2001, decreases of 46.3%, 58.8% and 59.6%, respectively. Each Coso Partnership's
decrease in capacity,  capacity bonus and energy  revenues for the  three-months
ended June 30, 2002,  as compared to the same period in 2001,  was primarily due
to a decrease in  production  and lower  average  avoided  cost of energy of 4.7
cents per kWh paid during the  three-months  ended June 30, 2002, as compared to
8.1 cents per kWh paid for the  three-months  ended June 30, 2001. The decreases
were  partially  offset  by  Edison's  payment  to the  Navy I,  BLM and Navy II
Partnerships  on June 21,  2001,  of 10% of the amounts due from  November  2000
through  March 26,  2001,  amounting  to $4.1  million,  $4.1  million  and $4.2
million, respectively,  which was reclassified as additional revenue during that
same three-months ended 2001, to conform with the 2002 presentation.

     Total  operating  revenues  for the Navy I,  BLM and Navy II  Partnerships,
which consist of capacity payments, capacity bonus payments and energy payments,
were $59.8  million,  $54.7  million and $54.2  million,  respectively,  for the
six-months ended June 30, 2002, as compared to $29.8 million,  $23.1 million and
$16.7  million,  respectively,  for the same period in 2001,  increases of $30.0
million,  $31.6 million and $37.5 million,  respectively.  Capacity and capacity
bonus  revenues for each of the Navy I, BLM and Navy II  Partnerships  were $6.7
million, $6.5 million and $6.6 million,  respectively,  for the six-months ended
June 30,  2002,  as compared to $3.8  million,  $3.7  million and $3.7  million,
respectively,  for the same period in 2001, increases of 76.3%, 75.7% and 78.4%,
respectively. Total energy revenues for the Navy I, BLM and Navy II Partnerships
were $53.1  million,  $48.1  million and $47.6  million,  respectively,  for the
six-months ended June 30, 2002, as compared to $26.1 million,  $19.5 million and
$13.0  million,  respectively,  for the same period in 2001,  increases of $27.0
million, $28.6 million and $34.6 million, respectively.  Each Coso Partnership's
increase in capacity,  capacity  bonus and energy  revenues  for the  six-months
ended June 30, 2002, as compared to the same period in 2001, was due to Edison's
payment,  on March 1, 2002,  for revenue  generated but not  recognized  for the
period from November 1, 2000 through March 26, 2001 discussed above. The Navy I,
BLM and Navy II Partnerships had not recognized revenues of $22.0 million, $21.8
million and $22.7 million, respectively, for the six-months ended June 30, 2001.
Revenues  generated but not recognized  for the period  November 1, 2000 through
March 1,  2002 for the Navy I, BLM and Navy II  Partnerships  of $37.3  million,
$37.1 million and $38.0 million,  respectively,  were paid and recognized during
the six-months  ended June 30, 2002.  These  increases were partially  offset by
a decreas in production  and lower  average  avoided cost of energy of 4.0 cents
per kWh paid during the six-months ended June 30, 2002 as compared to 11.6 cents
per kWh paid during the same period in 2001.

                                       24

Interest and Other Income

<TABLE>
<CAPTION>

                                 Three-Months          Three-Months         Six-Months            Six-Months
                                    Ended                 Ended                Ended                 Ended
                                June 30, 2002         June 30, 2001        June 30, 2002         June 30, 2001

<S>                             <C>   <C>            <C>   <C>             <C>   <C>           <C>      <C>
                                $     Cents/kWh      $     Cents/kWh       $     Cents/kWh      $       Cents/kWh
                                -     ---------      -     ---------       -     ---------      -       ---------
  Navy I Partnership          1,045      0.6       1,043      0.6        1,519      0.4       1,178        0.3
  BLM Partnership               260      0.2       1,217      0.6          902      0.3       1,837        0.5
  Navy II Partnership           169      0.1         896      0.5          651      0.2       1,254        0.3

</TABLE>


     The Navy I Partnership's interest and other income was $1.5 million for the
six-months  ended June 30, 2002, as compared to $1.2 million for the same period
in 2001, an increase of 25.0%.  The increase was primarily due to the collection
of $0.8  million  of  insurance  proceeds  for lost  revenue  in 1999  caused by
equipment  failure,  partially  offset by interest on amounts in arrears paid by
Edison for six-month period ended June 30, 2001.

     The BLM  Partnership's  interest and other income was $0.3 million and $0.9
million  for the three and  six-months  ended June 30,  2002,  respectively,  as
compared  to $1.2  million  and  $1.8  million  for the  same  periods  in 2001,
decreases of 75.0% and 50.0%,  respectively.  The Navy II Partnership's interest
and other income was $0.2 million and $0.7 million for the three and  six-months
ended June 30, 2002, respectively,  as compared to $0.9 million and $1.3 million
for the same periods in 2001,  decreases of 77.8% and 46.2%,  respectively.  The
decreases for the Navy II and BLM Partnerships three and six-month periods ended
June 30, 2002,  as compared to the same periods in 2001,  were  primarily due to
interest on amounts in arrears  that were settled and paid by Edison on March 1,
2002.


Plant Operations

<TABLE>
<CAPTION>

                                 Three-Months            Three-Months        Six-Months           Six-Months
                                    Ended                   Ended              Ended                Ended
                                June 30, 2002           June 30, 2001      June 30, 2002         June 30, 2001

<S>                           <C>     <C>              <C>   <C>           <C>     <C>            <C>     <C>
                               $       Cents/kWh      $      Cents/kWh     $       Cents/kWh     $        Cents/kWh
                               -       ---------      -      ---------     -       ---------     -        ---------
  Navy I Partnership          2,261      1.3         2,812      1.6       4,568       1.3       4,574        1.2
  BLM Partnership             2,648      1.6         2,847      1.5       5,253       1.6       5,208        1.4
  Navy II Partnership         2,519      1.5         2,875      1.6       4,490       1.3       4,850        1.3

</TABLE>


     The  Navy I  Partnership's  operating  expenses,  including  operating  and
general and  administrative  expenses,  were $2.3  million for the  three-months
ended June 30, 2002,  as compared to $2.8 million for the same period in 2001, a
decrease of 17.9%. The BLM Partnership's operating expenses, including operating
and general and administrative  expenses, were $2.6 million for the three-months
ended June 30, 2002,  as compared to $2.8 million for the same period in 2001, a
decrease  of  7.1%.  The Navy II  Partnership's  operating  expenses,  including
operating and general and administrative expenses, were $2.5 million and for the
three  months  ended June 30,  2002,  as compared  to $2.9  million for the same
periods in 2001, a decrease of 13.8%. These decreases for the three-month period
ended June 30, 2002, as compared to the same period in 2001,  were primarily due
to  decreases  in  legal  expenses  that  were  incurred  in 2001  for  Edison's
non-payment of energy  delivered during the period from November 1, 2000 through
March 26,  2001 as  discussed  above.  The  decrease in legal costs in 2002 were
partially  offset by increased  repair and  maintenance  projects  that had been
deferred in 2001 for the same reason.

                                       25

     The Navy II  Partnership's  operating  expenses,  including  operating  and
general and administrative  expenses,  was $4.5 million for the six-months ended
June 30,  2002,  as  compared to $4.9  million  for the same  period in 2001,  a
decrease of 8.2%. The decrease for the six-month  period ended June 30, 2002, as
compared to the same period in 2001,  was  primarily  due to a decrease in legal
expenses,  that  were  incurred  in 2001  for  Edison's  non-payment  of  energy
delivered  during the period  from  November 1, 2000  through  March 26, 2001 as
discussed  above.  The decrease in legal costs in 2002 were partially  offset by
increased repair and maintenance projects that had been deferred in 2001 for the
same reason.


Royalty Expense

<TABLE>
<CAPTION>

                              Three-Months            Three-Months               Six-Months          Six-Months
                                 Ended                   Ended                     Ended               Ended
                             June 30, 2002            June 30, 2001            June 30, 2002       June 30, 2001

<S>                        <C>    <C>                <C>   <C>               <C>   <C>             <C>   <C>
                            $     Cents/kWh          $     Cents/kWh         $     Cents/kWh      $      Cents/kWh
                            -     ---------          -     ---------         -     ---------      -      ---------

  Navy I Partnership      3,419      1.9           2,984      1.6          5,631      1.6        6,754      1.8
  BLM Partnership           664      0.4           1,158      0.6            675      0.2        4,026      1.1
  Navy II Partnership     1,692      1.0           2,181      1.2          2,749      0.8        5,893      1.6


</TABLE>

     The  Navy I  Partnership's  royalty  expenses  were  $3.4  million  for the
three-months  ended June 30,  2002,  as  compared  to $3.0  million for the same
period in 2001, a increase of 13.3%.  The  increase in royalty  expenses for the
Navy I Partnership for the three-months ended June 30, 2002 , as compared to the
same period in 2001, was primarily due to the increase in Unit 1 royalty expense
resulting from increased  tariff rates charged by Edison and used in the revised
royalty reimbursement formula discussed above.

     The  Navy I  Partnership's  royalty  expenses  were  $5.6  million  for the
six-months ended June 30, 2002, as compared to $6.8 for the same period in 2001,
a decrease of 17.6%.  The decrease in royalty  expense for the six-month  period
ended June 30, 2002,  as compared to the same period in 2001,  was primarily due
to the  decrease in the  avoided  cost of energy from 11.6 cents per kWh for the
six-months ended June 30, 2001 to 4.0 cents per kWh for the same period in 2002,
partially offset by the increase in the Unit 1 royalty discussed above.

     The BLM Partnership's royalty expenses were $0.7 million and $0.7
million for the three and six-months ended June 30, 2002, respectively, as
compared to $1.2 million and $4.0 million for the same periods in 2001,
decreases of 41.7% and 82.5% respectively. The Navy II Partnership's royalty
expenses were $1.7 million and $2.7 million for the three and six-months ended
June 30, 2002, respectively, as compared to $2.2 million and $5.9 million for
the same periods in 2001, decreases of 22.7% and 54.2%, respectively. The
decreases in royalty expense for the three and six-months ended June 30, 2002,
for the BLM and Navy II Partnerships, as compared to the same periods in 2001,
were due to decreases in the avoided cost of energy from 8.1 cents per kWh for
the three-months ended June 30, 2001 to 4.7 cents per kWh for the same period in
2002 and from 11.6 cents per kWh for the six-months ended June 30, 2001 to 4.0
cents per kWh for the same period in 2002.

                                       26

Depreciation and Amortization

<TABLE>
<CAPTION>

                                 Three-Months         Three-Months           Six-Months            Six-Months
                                    Ended                Ended                 Ended                  Ended
                                June 30, 2002        June 30, 2001          June 30, 2002          June 30, 2001

<S>                            <C>     <C>           <C>     <C>           <C>     <C>            <C>     <C>
                                 $     Cents/kWh       $     Cents/kWh       $     Cents/kWh        $     Cents/kWh
                                 -     ---------       -     ---------       -     ---------        -     ---------
  Navy I Partnership           2,541      1.4        2,541      1.4        5,077      1.4         5,040      1.4
  BLM Partnership              4,173      2.5        3,929      2.1        8,232      2.5         7,875      2.2
  Navy II Partnership          3,830      2.3        3,831      2.1        7,659      2.2         7,584      2.1

</TABLE>


The BLM  Partnership's  depreciation and amortization  expenses was $4.2 million
for the  three-months  ended June 30, 2002,  as compared to $3.9 million for the
same period in 2001, an increase of 7.7%.  The increase is due to an increase in
capitalized assets during that period in 2002.


Interest Expense

<TABLE>
<CAPTION>

                                    Three-Months          Three-Months           Six-Months             Six-Months
                                        Ended                 Ended                 Ended                 Ended
                                    June 30, 2002         June 30, 2001         June 30, 2002          June 30, 2001

<S>                                <C>    <C>           <C>     <C>            <C>    <C>             <C>    <C>
                                    $     Cents/kWh       $     Cents/kWh       $     Cents/kWh       $     Cents/kWh
                                    -     ---------       -     ---------       -     ---------       -     ---------
  Navy I Partnership              2,773      1.5        2,971      1.6        5,548      1.5        5,955      1.6
  BLM Partnership                 2,177      1.3        2,251      1.2        4,357      1.3        4,508      1.2
  Navy II Partnership             1,905      1.2        2,062      1.2        3,813      1.1        4,137      1.1

</TABLE>


     The Navy I Partnership's interest expense was $2.8 million and $5.5 million
for the three and six-months ended June 30, 2002,  respectively,  as compared to
$3.0 million and $6.0  million for the same  periods in 2001,  decreases of 6.7%
and 8.3%  respectively.  The Navy II  Partnership's  interest  expense  was $1.9
million  and $3.8  million  for the three and  six-months  ended June 30,  2002,
respectively,  as compared to $2.1 million and $4.1 million for the same periods
in 2001,  decreases  of 9.5% and 7.3%  respectively.  The  decreases in interest
expense for the three and six-month  periods ended June 30, 2002, as compared to
the same periods in 2001, were due to reductions in the principal  amount of the
project loan from Funding Corp.


Liquidity and Capital Resources

     Each of the  Navy I  Partnership,  the  BLM  Partnership  and  the  Navy II
Partnership derive  substantially all of their cash flow from Edison under their
power purchase  agreements and from interest  income earned on funds on deposit.
As of December 2001, the 6.8% notes were repaid,  subsequently  leaving the Coso
Partnerships  with increased annual cash flow. The Coso  Partnerships  have used
their cash  primarily  for capital  expenditures  for power plant  improvements,
resource and  operating  costs,  distributions  to partners  and  payments  with
respect to the project debt.

                                       27

     The Coso  Partnerships  ability to meet their  obligations as they come due
will depend upon the ability of Edison to meet its  obligations  under the terms
of the standard offer No. 4 power  purchase  agreements.  Edison's  shortfall in
collections,  coupled with its near term capital  requirements,  materially  and
adversely  affected its liquidity.  In resolution of that issue,  Edison settled
with the CPUC on  October  2, 2001,  enabling  it to recover in retail  electric
rates its historical  shortfall in electric  purchase costs.  Immediately  after
this  settlement,  Edison  and each of the  Coso  Partnerships  entered  into an
amendment of their respective Agreement (referenced above) pertaining to partial
payment and interest  payments relating to Edison's past due obligations for the
period from November 2000 through March 26, 2001. The Agreement, as amended, was
approved by CPUC in January of 2002,  and  established  the fixed  energy  rates
discussed  above and set payment terms for the past due amounts owed to the Coso
Partnerships by Edison.  Edison's failure to pay its future obligations may have
a material adverse effect on the Coso Partnerships  ability to make debt service
payments to Funding Corp. as they come due under the Funding Corp. notes.

     On March 1, 2002, Edison reached certain financing  milestones and paid the
Coso  Partnerships for revenue  generated but not recognized for the period from
November 1, 2000 through March 26, 2001. In the first quarter of 2002,  the Navy
I, BLM and Navy II Partnerships  recognized  revenue for energy delivered during
that period of $37.3 million. $37.1 million and $38.0 million, respectively.

     The following  table sets forth a summary of each Coso  Partnership's  cash
flows for the six-months ended June 30, 2002 and June 30, 2001.

<TABLE>
<CAPTION>

                                                                      Six-Months              Six-Months
                                                                         Ended                  Ended
                                                                    June 30, 2002           June 30, 2001
<S>                                                                    <C>                      <C>
Navy I Partnership (stand alone)
  Net cash provided by (used in) operating activities                  $ 44,722                $ 11,665
  Net cash provided by (used in) investing activities                    (2,835)                 (1,144)
  Net cash provided by (used in) financing activities                   (40,568)                 (8,381)
                                                                        --------                 -------
      Net change in cash and cash equivalents                          $  1,319                $  2,140
                                                                        ========                 =======

BLM Partnership (stand alone)
  Net cash provided by (used in) operating activities                  $ 31,657                $  9,427
  Net cash provided by (used in) investing activities                    (1,747)                 (4,427)
  Net cash provided by (used in) financing activities                   (29,519)                 (5,885)
                                                                        --------                 -------
      Net change in cash and cash equivalents                          $    391                $   (885)
                                                                        ========                 =======

Navy II Partnership (stand alone)
  Net cash provided by (used in) operating activities                  $ 18,948                $  8,423
  Net cash provided by (used in) investing activities                    (1,041)                     94
  Net cash provided by (used in) financing activities                   (17,776)                (14,762)
                                                                        --------                 -------
      Net change in cash and cash equivalents                          $    131                $ (6,245)
                                                                        ========                 =======
</TABLE>


     The Navy I Partnership's cash flows from operating  activities increased by
$33.1  million for the  six-months  ended June 30, 2002, as compared to the same
period  in 2001,  primarily  due to the  increase  in net  income  from the cash
received for Edison's  payment for revenue  generated but not recognized for the
period from November 1, 2000 through March 26, 2001.

     Cash used in investing  activities at the Navy I  Partnership  increased by
$1.7 million for the  six-months  ended June 30,  2002,  as compared to the same
period in 2001,  primarily  due to an increase in restricted  cash  requirements
associated with the project loan from Funding Corp.

     The Navy I  Partnership's  cash used in financing  activities  increased by
$32.2  million for the  six-months  ended June 30, 2002, as compared to the same
period in 2001, due to increased partner  distributions  paid during that period
in 2002.

                                       28

     The BLM  Partnership's  cash flows from operating  activities  increased by
$22.2  million for the  six-months  ended June 30, 2002, as compared to the same
period  in 2001,  primarily  due to the  increase  in net  income  from the cash
received for Edison's  payment for revenue  generated but not recognized for the
period from November 1, 2000 through March 26, 2001.

     Cash used in investing activities at the BLM Partnership  decreased by $2.7
million for the  six-months  ended June 30, 2002, as compared to the same period
in 2001, primarily due to a decrease in capital expenditures partially offset by
an increase in restricted  cash  requirements  associated  with the project loan
from Funding Corp.

     The BLM Partnership's cash used in financing  activities increased by $23.6
million for the  six-months  ended June 30, 2002, as compared to the same period
in 2001, due to increased partner distributions paid during that period in 2002.

     The Navy II Partnership's cash flows from operating activities increased by
$10.5  million for the  six-months  ended June 30, 2002, as compared to the same
period  in 2001,  primarily  due to the  increase  in net  income  from the cash
received for Edison's  payment for revenue  generated but not recognized for the
period from November 1, 2000 through March 26, 2001.

     Cash used in investing  activities at the Navy II Partnership  increased by
$1.1 million for the  six-months  ended June 30,  2002,  as compared to the same
period in 2001,  primarily  due to an increase in restricted  cash  requirements
associated with the project loan from Funding Corp.

     The Navy II Partnership's  cash used in financing  activities  increased by
$3.0 million for the  six-months  ended June 30,  2002,  as compared to the same
period in 2001, due to increased partner  distributions  paid during that period
in 2002.


PART II.  OTHER INFORMATION


ITEM 1.  Legal Proceedings

General

     The Coso  Partnerships are currently parties to various items of litigation
relating to day-to-day operations, none of which, if determined adversely, would
be material to the  financial  condition  and results of  operations of the Coso
Partnerships, either individually or taken as a whole.

ITEM 2.  Change in Securities and Use of Proceeds

                  None.

ITEM 3.  Defaults Upon Senior Securities

                  None.

ITEM 4.  Submission of Matters to a Vote of Security Holders

                  None.

ITEM 5.  Other Information

 Supplemental Condensed Combined Financial Information for the Coso Partnerships

                                       29

     The following  information  presents unaudited condensed combined financial
statements of the Coso  Partnerships.  These  financial  statements  represent a
combination of the financial  statements of Caithness  Coso Funding Corp.,  Coso
Finance  Partners,  Coso Energy  Developers  and Coso Power  Developers  for the
periods indicated.  This supplemental  financial  information is not required by
accounting principles generally accepted in the United States of America and has
been provided to facilitate a more comprehensive  understanding of the financial
position,  operating results and cash flows of the Coso Partnerships as a whole,
which  jointly and severally  guarantee the repayment of Caithness  Coso Funding
Corp's  senior notes.  The unaudited  condensed  combined  financial  statements
should be read in conjunction with each individual Coso Partnership's  financial
statements and their accompanying notes.

     The  financial  information  herein  presented  reflects  all  adjustments,
consisting only of normal  recurring  adjustments,  which are, in the opinion of
management,  necessary for a fair  statement of the results for interim  periods
presented. The results for the interim periods are not necessarily indicative of
results to be expected for the full year.

                                       30

<PAGE>



                                COSO PARTNERSHIPS
                   UNAUDITED CONDENSED COMBINED BALANCE SHEETS
                             (Dollars in thousands)

<TABLE>
<CAPTION>


                                                                                 June 30,         December 31,
                                                                                  2002               2001
<S>                                                                            <C>                <C>
Assets:
   Cash and cash equivalents.........................................          $   2,105          $     264
   Restricted cash and investments...................................             39,009             34,210
   Accounts receivable, net..........................................             29,057              9,603
   Prepaid expenses and other assets.................................                774              2,159
   Amounts due from related parties..................................              6,995              6,488
   Property, plant and equipment, net................................            395,884            413,519
   Power purchase agreement, net.....................................             49,843             52,350
   Investments.......................................................             12,706             12,843
   Deferred financing costs, net.....................................              5,905              6,300
                                                                                 -------            -------

                                                                               $ 542,278          $ 537,736
                                                                                 =======            =======

Liabilities and Partners' Capital:
   Accounts payable and accrued liabilities..........................          $  21,792          $  42,362
   Amounts due to related parties....................................             24,628             24,967
   Project loans.....................................................            294,291            303,000
                                                                                 -------            -------
                                                                                 340,711            370,329
Partners' capital....................................................            201,567            167,407
                                                                                 -------            -------

                                                                               $ 542,278          $ 537,736
                                                                                 =======            =======


</TABLE>





See accompanying notes to the unaudited condensed combined financial statements.


                                       31

<PAGE>

                                COSO PARTNERSHIPS
              UNAUDITED CONDENSED COMBINED STATEMENTS OF OPERATIONS
                             (Dollars in thousands)

<TABLE>
<CAPTION>

                                                         Three-Months       Three-Months       Six-Months         Six-Months
                                                            Ended              Ended             Ended              Ended
                                                           June 30,           June 30,          June 30,           June 30,
                                                             2002               2001              2002               2001

<S>                                                      <C>               <C>               <C>                     <C>
Revenue:
   Energy revenues...............................         $  24,734          $  54,412         $ 148,884           $  58,522
   Capacity revenues.............................            10,555             10,929            19,805              11,143
   Interest and other income.....................             1,474              3,156             3,072               4,269
                                                             ------             ------           -------              ------
          Total revenue..........................            36,763             68,497           171,761              73,934

Operating expenses:
   Plant operating expenses......................             7,428              8,535            14,311              14,632
   Royalty expense...............................             5,775              6,322             9,055              16,673
   Depreciation and amortization.................            10,544             10,301            20,968              20,499
                                                             ------             ------           -------              ------
          Total operating expenses...............            23,747             25,158            44,334              51,804

          Operating income.......................            13,016             43,339           127,427              22,130

  Other expenses:
   Interest expense..............................             6,855              7,284            13,718              14,600
   Amortization of deferred financing costs......               196                403               393                 804
                                                             ------             ------           -------              ------
          Total other expenses...................             7,051              7,687            14,111              15,404


           Net income............................         $   5,965          $  35,652         $ 113,316          $    6,726
                                                             ======             ======           =======              ======

</TABLE>





See accompanying notes to the unaudited condensed combined financial statements.


                                       32


<PAGE>


                                COSO PARTNERSHIPS
              UNAUDITED CONDENSED COMBINED STATEMENTS OF CASH FLOWS
                             (Dollars in thousands)
<TABLE>
<CAPTION>


                                                                      Six-Months           Six-Months
                                                                        Ended                Ended
                                                                       June 30,             June 30,
                                                                           2002               2001

<S>                                                                  <C>                  <C>
    Net cash provided by (used in) operating activities...           $   95,329           $   29,515
    Net cash provided by (used in) investing activities...               (5,623)              (5,477)
    Net cash provided by (used in) financing activities...              (87,865)             (29,028)
                                                                        --------             --------
    Net change in cash and cash equivalents...............           $    1,841           $   (4,990)
                                                                        ========             ========
    Supplemental cash flow disclosure:
       Cash paid for interest.............................           $   13,710           $   14,631
                                                                        ========             ========


</TABLE>



See accompanying notes to the unaudited condensed combined financial statements.

                                       33

<PAGE>


                                COSO PARTNERSHIPS
                    NOTES TO THE UNAUDITED CONDENSED COMBINED
                              FINANCIAL STATEMENTS


(1) Basis of Presentation

The accompanying  unaudited condensed combined financial statements were derived
from the stand alone unaudited condensed financial  statements of Caithness Coso
Funding  Corp.,  Coso Finance  Partners,  Coso Energy  Developers and Coso Power
Developers ("the Coso Partnerships"). All intercompany accounts and transactions
were  eliminated.  This financial  information has been provided to facilitate a
more comprehensive  understanding of the financial  position,  operating results
and cash flows of the Coso  Partnerships  as a whole.  The  unaudited  condensed
combined financial statements should be read in conjunction with each individual
Partnership's unaudited condensed financial statements.

(2) Accounts Receivable and Revenue Recognition

The Coso  Partnerships  sell all  electricity  produced to  Southern  California
Edison (Edison) under long-term power purchase contracts. Due to the uncertainty
surrounding Edison's ability to make payment on past due amounts, collection was
not reasonably assured and the Coso Partnerships had not recognized revenue from
Edison for energy delivered during the period November 1, 2000 through March 26,
2001.  The  provision  for  doubtful  accounts  previously  recorded by the Coso
Partnerships  of $66.1 million for the six-months  ended June 30, 2001, has been
reclassified as a reduction of revenue to conform with the 2002 presentation.

On March 1, 2002, Edison reached certain financing  milestones and paid the Coso
Partnerships for revenue generated but not recognized for the period November 1,
2000 through March 26, 2001.  For the six-month  period ended June 30, 2002, the
Coso Partnerships  recognized revenue for energy delivered from November 1, 2000
through March 26, 2001 of $112.4 million.

(3) Reclassifications

Certain  other  reclassifications  have  been  made to the  2001  statements  of
operations to conform to the 2002 presentation.


                                       34


<PAGE>



ITEM 6.  Exhibits and Reports on Form 8-K

(a)      Exhibits

         27.1 Financial Data Schedule--Form SX--Caithness Coso Funding Corp.
         27.2 Financial Data Schedule--Form SX--Coso Finance Partners
         27.3 Financial Data Schedule--Form SX--Coso Energy Developers
         27.4 Financial Data Schedule--Form SX--Coso Power Developers
         99.1 Certification of Chief Executive Officer
         99.2 Certification of Chief Financial Officer


(b)      Reports on Form 8-K

         None




<PAGE>

                                 EXHIBIT 27.1

                                    Form S-X

                       Commercial and Industrial Companies

Financial Data Schedule Worksheet for:      CAITHNESS COSO FUNDING CORP.
                                            ----------------------------
Review the following  list of tags for Article 5 and fill in the correct data in
the  column(s)  provided.  Generally,  only one  column of  information  will be
required,  however,  two columns are provided if required in the Financial  Data
Schedule.

Unless otherwise  noted, all tags are required.  A response is required for each
item within the schedule. Use the value "0" (zero) if information is immaterial,
inapplicable or unknown. Decimals may not be used to state financial data except
as indicated.  Values not provided will be entered as "0" (zero).  Missing dates
will be entered as "TO COME".  Please be sure to verify all  information  in the
EDGARized exhibit.

To  include  a  footnote,  place a number in  parentheses  next to the value and
provide  the text of each  corresponding  footnote  at the end of the  worksheet
form.

Do you wish to include a LEGEND?       This schedule  contains summary financial
                      Yes X  No        information extracted from *_____________
                   ---   ---           and is equalified in its entirety by
                                       reference to such financial statements.
                                       *Identify the financial statement(s) to
                                       be referenced in the legend:
RESTATED
Are your financials being "restated"          (NO VALUE REQUIRED)
from a previously file period?
                      Yes  X No
                   ---    ---
CIK                                       Use this section only for coregistrant
Does this data apply to a coregistrant    filings.
                      Yes  X No
                   ---    ---             COREGISTRANT CIK:

NAME                                      Use this section only for coregistrant
Does this data apply to a coregistrant    filings.
                      Yes  X No
                   ---    ---             COREGISTRANT NAME:

MULTIPLIER
Do the financials require a multiplier        X 1,000       1,000,000,000
other than 1 (one)?                          ---         ----
                    X Yes    No                 1,000,000    1,000,000,000,000
                   ---    ---                ---         ----

CURRENCY                                       CURRENCY OF FINANCIAL DATA:
Is the currency used other than US
Dollars? Use in conjunction with
EXCHANGE RATE tag.
                      Yes  X No
                   ---    ---
PERIOD TYPE                                     - MOS       X  6 - MOS
                                         -- ----           -- ---
                                                X YEAR             YEAR
                                               ---              ---
                                            (for annual report filings)
                                                  OTHER            OTHER
                                              ----             ----
FISCAL YEAR END
(example: DEC-31-1997)                      DEC-31-2001           DEC-31-2002
                                            -----------           -----------
                                            mmm-dd-yyyy           mmm-dd-yyyy
PERIOD START
(example: JAN-01-1997)                      JAN-01-2001           JAN-01-2002
                                            -----------           -----------
                                            mmm-dd-yyyy           mmm-dd-yyyy
PERIOD END
(example: SEP-30-1997)                      DEC-31-2001           JUN-30-2002
                                            -----------           -----------
                                            mmm-dd-yyyy           mmm-dd-yyyy

EXCHANGE RATE                               EXCHANGE RATE:       EXCHANGE RATE:

Is the exchange rate other than 1
(one)? Value may contain up to 5
decimal places) Use in conjunction
with CURRENCY tag.
                      Yes  X No
                   ---    ---
<PAGE>

<TABLE>
<CAPTION>
                                         PERIOD TYPE Year            PERIOD TYPE 6 MOS
                                                     ----                        -----
<S>                                                     <C>                         <C>
CASH                                                         0                           0
SECURITIES                                                   0                           0
RECEIVABLES                                            304,225                     295,515
ALLOWANCES                                                   0                           0
INVENTORY                                                    0                           0
CURRENT ASSETDS                                          1,225                       1,224
PP&E                                                         0                           0
DEPRECIATION                                                 0                           0
TOTAL ASSETS                                           304,225                     295,515
CURRENT LIABILITIES                                      1,225                       1,224
BONDS                                                  303,000                     294,291
PREFERRED MANDATORY                                          0                           0
PREFERRED                                                    0                           0
COMMON                                                       0                           0
OTHER SE                                                     0                           0
TOTAL LIABILITY AND EQUITY                             304,225                     295,515
SALES                                                        0                           0
TOTAL REVENUES                                          28,820                      13,710
CGS                                                          0                           0
TOTAL COSTS                                                  0                           0
OTHER EXPENSES                                               0                           0
LOSS PROVISION                                               0                           0
INTEREST EXPENSES                                       28,820                      13,710
INCOME PRETAX                                                0                           0
INCOME TAX                                                   0                           0
INCOME CONTINUING                                            0                           0
DISCONTINUED                                                 0                           0
EXTRAORDINARY                                                0                           0
CHANGES                                                      0                           0
NET INCOME                                                   0                           0
EPS BASIC                                                    0                           0
(Value may contain up to 3 decimal places)
EPS DILUTED                                                  0                           0
(Value may contain up to 3 decimal places)

                    Footnote Text: (Note: Each footnote cannot exceed 256 characters, including spaces)
</TABLE>


<PAGE>
                                  EXHIBIT 27.2

                                    Form S-X

                       Commercial and Industrial Companies

Financial Data Schedule Worksheet for:      COSO FINANCE PARTNERS
                                            ---------------------
Review the following  list of tags for Article 5 and fill in the correct data in
the  column(s)  provided.  Generally,  only one  column of  information  will be
required,  however,  two columns are provided if required in the Financial  Data
Schedule.

Unless otherwise  noted, all tags are required.  A response is required for each
item within the schedule. Use the value "0" (zero) if information is immaterial,
inapplicable or unknown. Decimals may not be used to state financial data except
as indicated.  Values not provided will be entered as "0" (zero).  Missing dates
will be entered as "TO COME".  Please be sure to verify all  information  in the
EDGARized exhibit.

To  include  a  footnote,  place a number in  parentheses  next to the value and
provide  the text of each  corresponding  footnote  at the end of the  worksheet
form.

Do you wish to include a LEGEND?       This schedule  contains summary financial
                      Yes X  No        information extracted from *_____________
                   ---   ---           and is equalified in its entirety by
                                       reference to such financial statements.
                                       *Identify the financial statement(s) to
                                       be referenced in the legend:
RESTATED
Are your financials being "restated"          (NO VALUE REQUIRED)
from a previously file period?
                      Yes  X No
                   ---    ---
CIK                                       Use this section only for coregistrant
Does this data apply to a coregistrant    filings.
                      Yes  X No
                   ---    ---             COREGISTRANT CIK:

NAME                                      Use this section only for coregistrant
Does this data apply to a coregistrant    filings.
                      Yes  X No
                   ---    ---             COREGISTRANT NAME:
MULTIPLIER
Do the financials require a multiplier        X 1,000        1,000,000,000
other than 1 (one)?                          ---         ----
                    X Yes    No                 1,000,000    1,000,000,000,000
                   ---    ---                ---         ----

CURRENCY                                       CURRENCY OF FINANCIAL DATA:
Is the currency used other than US
Dollars? Use in conjunction with
EXCHANGE RATE tag.
                      Yes  X No
                   ---    ---
PERIOD TYPE                                     - MOS    X    6 - MOS
                                         -- ----         -- ----
                                                X YEAR            YEAR
                                               ---             ---
                                            (for annual report filings)
                                                  OTHER           OTHER
                                              ----            ----
FISCAL YEAR END
(example: DEC-31-1997)                      DEC-31-2001          DEC-31-2002
                                            -----------          -----------
                                            mmm-dd-yyyy          mmm-dd-yyyy
PERIOD START
(example: JAN-01-1997)                      JAN-01-2001          JAN-01-2002
                                            -----------          -----------
                                            mmm-dd-yyyy          mmm-dd-yyyy
PERIOD END
(example: SEP-30-1997)                      DEC-31-2001          JUN-30-2002
                                            -----------          -----------
                                            mmm-dd-yyyy          mmm-dd-yyyy

EXCHANGE RATE                               EXCHANGE RATE:       EXCHANGE RATE:

Is the exchange rate other than 1
(one)? Value may contain up to 5
decimal places) Use in conjunction
with CURRENCY tag.
                      Yes  X No
                   ---    ---
<PAGE>

<TABLE>
<CAPTION>
                                         PERIOD TYPE Year            PERIOD TYPE 6 MOS
                                                     ----                        -----
<S>                                                     <C>                         <C>
CASH                                                       264                      1,583
SECURITIES                                              21,325                      24,092
RECEIVABLES                                             12,816                      13,457
ALLOWANCES                                                   0                           0
INVENTORY                                                    0                           0
CURRENT ASSETS                                          13,730                      15,348
PP&E                                                   229,084                     229,119
DEPRECIATION                                            88,647                      93,117
TOTAL ASSETS                                           193,114                     192,348
CURRENT LIABILITIES                                     18,139                      17,580
BONDS                                                  122,550                     117,911
PREFERRED MANDATORY                                          0                           0
PREFERRED                                                    0                           0
COMMON                                                       0                           0
OTHER SE                                                     0                           0
TOTAL LIABILITY AND EQUITY                             193,114                     192,348
SALES                                                   75,419                      59,826
TOTAL REVENUES                                          78,347                      61,345
CGS                                                          0                           0
TOTAL COSTS                                                  0                           0
OTHER EXPENSES                                          51,201                      15,276
LOSS PROVISION                                               0                           0
INTEREST EXPENSES                                       12,437                       5,706
INCOME PRETAX                                                0                           0
INCOME TAX                                                   0                           0
INCOME CONTINUING                                            0                           0
DISCONTINUED                                                 0                           0
EXTRAORDINARY                                                0                           0
CHANGES                                                      0                           0
NET INCOME                                              14,709                      40,363
EPS BASIC                                                    0                           0
(Value may contain up to 3 decimal places)
EPS DILUTED                                                  0                           0
(Value may contain up to 3 decimal places)

                    Footnote Text: (Note: Each footnote cannot exceed 256 characters, including spaces)
</TABLE>


<PAGE>

                                  EXHIBIT 27.3

                                    Form S-X

                       Commercial and Industrial Companies

Financial Data Schedule Worksheet for:      COSO ENERGY DEVELOPERS
                                            ----------------------
Review the following  list of tags for Article 5 and fill in the correct data in
the  column(s)  provided.  Generally,  only one  column of  information  will be
required,  however,  two columns are provided if required in the Financial  Data
Schedule.

Unless otherwise  noted, all tags are required.  A response is required for each
item within the schedule. Use the value "0" (zero) if information is immaterial,
inapplicable or unknown. Decimals may not be used to state financial data except
as indicated.  Values not provided will be entered as "0" (zero).  Missing dates
will be entered as "TO COME".  Please be sure to verify all  information  in the
EDGARized exhibit.

To  include  a  footnote,  place a number in  parentheses  next to the value and
provide  the text of each  corresponding  footnote  at the end of the  worksheet
form.

Do you wish to include a LEGEND?       This schedule  contains summary financial
                      Yes X  No        information extracted from *_____________
                   ---   ---           and is equalified in its entirety by
                                       reference to such financial statements.
                                       *Identify the financial statement(s) to
                                       be referenced in the legend:
RESTATED
Are your financials being "restated"          (NO VALUE REQUIRED)
from a previously file period?
                      Yes  X No
                   ---    ---
CIK                                       Use this section only for coregistrant
Does this data apply to a coregistrant    filings.
                      Yes  X No
                   ---    ---             COREGISTRANT CIK:

NAME                                      Use this section only for coregistrant
Does this data apply to a coregistrant    filings.
                      Yes  X No
                   ---    ---             COREGISTRANT NAME:
MULTIPLIER
Do the financials require a multiplier        X 1,000        1,000,000,000
other than 1 (one)?                          ---         ----
                    X Yes    No                 1,000,000    1,000,000,000,000
                   ---    ---                ---         ----

CURRENCY                                       CURRENCY OF FINANCIAL DATA:
Is the currency used other than US
Dollars? Use in conjunction with
EXCHANGE RATE tag.
                      Yes  X No
                   ---    ---
PERIOD TYPE                                     - MOS     X   6  - MOS
                                         -- ----         -- ----
                                                X YEAR            YEAR
                                               ---             ---
                                            (for annual report filings)
                                                  OTHER           OTHER
                                              ----            ----
FISCAL YEAR END
(example: DEC-31-1997)                      DEC-31-2001          DEC-31-2002
                                            -----------          -----------
                                            mmm-dd-yyyy          mmm-dd-yyyy
PERIOD START
(example: JAN-01-1997)                      JAN-01-2001          JAN-01-2002
                                            -----------          -----------
                                            mmm-dd-yyyy          mmm-dd-yyyy
PERIOD END
(example: SEP-30-1997)                      DEC-31-2001          JUN-30-2002
                                            -----------          -----------
                                            mmm-dd-yyyy          mmm-dd-yyyy

EXCHANGE RATE                               EXCHANGE RATE:       EXCHANGE RATE:

Is the exchange rate other than 1
(one)? Value may contain up to 5
decimal places) Use in conjunction
with CURRENCY tag.
                      Yes  X No
                   ---    ---
<PAGE>

<TABLE>
<CAPTION>
                                         PERIOD TYPE Year            PERIOD TYPE 6 MOS
                                                     ----                        -----
<S>                                                     <C>                         <C>
CASH                                                         0                         391
SECURITIES                                               7,368                       8,618
RECEIVABLES                                              3,340                       9,531
ALLOWANCES                                                   0                           0
INVENTORY                                                    0                           0
CURRENT ASSETS                                           4,189                      10,052
PP&E                                                   247,203                     247,612
DEPRECIATION                                            98,786                     106,393
TOTAL ASSETS                                           183,978                     183,139
CURRENT LIABILITIES                                     34,966                      26,718
BONDS                                                   96,250                      93,700
PREFERRED MANDATORY                                          0                           0
PREFERRED                                                    0                           0
COMMON                                                       0                           0
OTHER SE                                                     0                           0
TOTAL LIABILITY AND EQUITY                             183,978                     183,139
SALES                                                   65,830                      54,670
TOTAL REVENUES                                          69,596                      55,572
CGS                                                          0                           0
TOTAL COSTS                                                  0                           0
OTHER EXPENSES                                          53,185                      14,160
LOSS PROVISION                                               0                           0
INTEREST EXPENSES                                        9,398                       4,484
INCOME PRETAX                                                0                           0
INCOME TAX                                                   0                           0
INCOME CONTINUING                                            0                           0
DISCONTINUED                                                 0                           0
EXTRAORDINARY                                                0                           0
CHANGES                                                      0                           0
NET INCOME                                               7,013                      36,928
EPS BASIC                                                    0                           0
(Value may contain up to 3 decimal places)
EPS DILUTED                                                  0                           0
(Value may contain up to 3 decimal places)

                    Footnote Text: (Note: Each footnote cannot exceed 256 characters, including spaces)
</TABLE>



<PAGE>

                                  EXHIBIT 27.4

                                    Form S-X

                       Commercial and Industrial Companies

Financial Data Schedule Worksheet for:      COSO POWER DEVELOPERS
                                            ---------------------
Review the following  list of tags for Article 5 and fill in the correct data in
the  column(s)  provided.  Generally,  only one  column of  information  will be
required,  however,  two columns are provided if required in the Financial  Data
Schedule.

Unless otherwise  noted, all tags are required.  A response is required for each
item within the schedule. Use the value "0" (zero) if information is immaterial,
inapplicable or unknown. Decimals may not be used to state financial data except
as indicated.  Values not provided will be entered as "0" (zero).  Missing dates
will be entered as "TO COME".  Please be sure to verify all  information  in the
EDGARized exhibit.

To  include  a  footnote,  place a number in  parentheses  next to the value and
provide  the text of each  corresponding  footnote  at the end of the  worksheet
form.

Do you wish to include a LEGEND?       This schedule  contains summary financial
                      Yes X  No        information extracted from *_____________
                   ---   ---           and is equalified in its entirety by
                                       reference to such financial statements.
                                       *Identify the financial statement(s) to
                                       be referenced in the legend:
RESTATED
Are your financials being "restated"          (NO VALUE REQUIRED)
from a previously file period?
                      Yes  X No
                   ---    ---
CIK                                       Use this section only for coregistrant
Does this data apply to a coregistrant    filings.
                      Yes  X No
                   ---    ---             COREGISTRANT CIK:

NAME                                      Use this section only for coregistrant
Does this data apply to a coregistrant    filings.
                      Yes  X No
                   ---    ---             COREGISTRANT NAME:
MULTIPLIER
Do the financials require a multiplier        X 1,000        1,000,000,000
other than 1 (one)?                          ---         ----
                    X Yes    No                 1,000,000    1,000,000,000,000
                   ---    ---                ---         ----

CURRENCY                                       CURRENCY OF FINANCIAL DATA:
Is the currency used other than US
Dollars? Use in conjunction with
EXCHANGE RATE tag.
                      Yes  X No
                   ---    ---
PERIOD TYPE                                     - MOS     X   6  - MOS
                                         -- ----         -- ----
                                                  YEAR            YEAR
                                               ---             ---
                                            (for annual report filings)
                                                  OTHER           OTHER
                                              ----            ----
FISCAL YEAR END
(example: DEC-31-1997)                      DEC-31-2001          DEC-31-2002
                                            -----------          -----------
                                            mmm-dd-yyyy          mmm-dd-yyyy
PERIOD START
(example: JAN-01-1997)                      JAN-01-2001          JAN-01-2002
                                            -----------          -----------
                                            mmm-dd-yyyy          mmm-dd-yyyy
PERIOD END
(example: SEP-30-1997)                      DEC-31-2001          JUN-30-2002
                                            -----------          -----------
                                            mmm-dd-yyyy          mmm-dd-yyyy

EXCHANGE RATE                               EXCHANGE RATE:       EXCHANGE RATE:

Is the exchange rate other than 1
(one)? Value may contain up to 5
decimal places) Use in conjunction
with CURRENCY tag.
                      Yes  X No
                   ---    ---

<PAGE>


<TABLE>
<CAPTION>
                                         PERIOD TYPE Year            PERIOD TYPE 6 MOS
                                                     ----                        -----
<S>                                                     <C>                         <C>
CASH                                                         0                         131
SECURITIES                                               5,517                       6,299
RECEIVABLES                                              9,349                      15,697
ALLOWANCES                                                   0                           0
INVENTORY                                                    0                           0
CURRENT ASSETS                                          10,009                      16,164
PP&E                                                   209,652                     209,798
DEPRECIATION                                            84,987                      91,135
TOTAL ASSETS                                           170,058                     169,424
CURRENT LIABILITIES                                     23,638                      4,755
BONDS                                                   84,200                      82,680
PREFERRED MANDATORY                                          0                           0
PREFERRED                                                    0                           0
COMMON                                                       0                           0
OTHER SE                                                     0                           0
TOTAL LIABILITY AND EQUITY                             170,058                     169,424
SALES                                                   59,122                      54,193
TOTAL REVENUES                                          62,005                      54,844
CGS                                                          0                           0
TOTAL COSTS                                                  0                           0
OTHER EXPENSES                                          57,141                      14,898
LOSS PROVISION                                               0                           0
INTEREST EXPENSES                                        9,247                       3,921
INCOME PRETAX                                                0                           0
INCOME TAX                                                   0                           0
INCOME CONTINUING                                            0                           0
DISCONTINUED                                                 0                           0
EXTRAORDINARY                                                0                           0
CHANGES                                                      0                           0
NET INCOME                                             (4,383)                      36,025
EPS BASIC                                                    0                           0
(Value may contain up to 3 decimal places)
EPS DILUTED                                                  0                           0
(Value may contain up to 3 decimal places)

                    Footnote Text: (Note: Each footnote cannot exceed 256 characters, including spaces)
</TABLE>

<PAGE>
                                  Exhibit 99.1


                    CERTIFICATION OF CHIEF EXECUTIVE OFFICER
                       PURSUANT TO 18 U.S.C. SECTION 1350,
                             AS ADOPTED PURSUANT TO
                  SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002




In connection  with the Quarterly  Report of Caithness  Coso Funding Corp.  (the
Company)  on Form 10-Q for the  period  ended  June 30,  2002 as filed  with the
Securities and Exchange  Commission on the date hereof (the "Report"),  I, James
D. Bishop, Sr., Chief Executive Officer of the Company,  certify, pursuant to 18
U.S.C.  Section 1350, as adopted  pursuant to Section 906 of the  Sarbanes-Oxley
Act of 2002, that:


(1)  The Report fully complies with the  requirements  of section 13(a) or 15(d)
     of the Securities Exchange Act of 1934; and

(2)  The information  contained in the Report fairly  presents,  in all material
     respects, the financial condition and result of operations of the Company.



Date: August 14, 2002              Caithness Coso Funding Corp
                                   a Deleware Corporation

                                    By:/s/ JAMES D. BISHOP, SR.
                                       -----------------------
                                           James D. Bishop, Sr.
                                           Director, Chairman &
                                           Chief Executive Officer


<PAGE>


                                  Exhibit 99.2




                    CERTIFICATION OF CHIEF FINANCIAL OFFICER
                       PURSUANT TO 18 U.S.C. SECTION 1350,
                             AS ADOPTED PURSUANT TO
                  SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002




In connection  with the  Quarterly  Report of Caithness  Coso Funding  Corp.(the
Company)on  Form  10-Q for the  period  ended  June 30,  2002 as filed  with the
Securities  and  Exchange  Commission  on the date  hereof  (the  "Report"),  I,
Christopher  T.  McCallion,  Chief  Financial  Officer of the Company,  certify,
pursuant to 18 U.S.C.  Section 1350,  as adopted  pursuant to Section 906 of the
Sarbanes-Oxley Act of 2002, that:

(1)  The Report fully complies with the  requirements  of section 13(a) or 15(d)
     of the Securities Exchange Act of 1934; and

(2)  The information  contained in the Report fairly  presents,  in all material
     respects, the financial condition and result of operations of the Company.


Date: August 14, 2002              Caithness Coso Funding Corp
                                   a Deleware Corporation

                                    By: /s/ CHRISTOPHER T. MCCALLION
                                        ----------------------------
                                            Christopher T. McCallion
                                            Executive Vice President &
                                            Chief Financial Officer
                                            (Principal Accounting Officer)

<PAGE>

                                   SIGNATURES


Pursuant  to the  requirements  of the  Securities  Exchange  Act of  1934,  the
registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned thereunto duly authorized.


Date:  August 9, 2002              CAITHNESS COSO FUNDING CORP.,
                                   a Delaware corporation

                                    By: /S/ CHRISTOPHER T. MCCALLION
                                        ----------------------------
                                        Christopher T. McCallion
                                        Executive Vice President &
                                        Chief Financial Officer
                                        (Principal Financial and
                                        Accounting Officer)


                                   COSO FINANCE PARTNERS
                                   a California general Partnership

                                    By: New CLOC Company, LLC,
                                        its Managing General Partner

                                    By: /S/ CHRISTOPHER T. MCCALLION
                                        ----------------------------
                                        Christopher T. McCallion
                                        Executive Vice President &
                                        Chief Financial Officer
                                        (Principal Financial and
                                        Accounting Officer)


                                   COSO ENERGY DEVELOPERS
                                   a California general Partnership

                                    By: New CHIP Company, LLC,
                                        its Managing General Partner

                                    By: /S/ CHRISTOPHER T. MCCALLION
                                        ----------------------------
                                        Christopher T. McCallion
                                        Executive Vice President &
                                        Chief Financial Officer
                                        (Principal Financial and
                                        Accounting Officer)


                                   COSO POWER DEVELOPERS
                                   a California general Partnership

                                    By: New CTC Company, LLC,
                                        its Managing General Partner

                                    By: /S/ CHRISTOPHER T. MCCALLION
                                        ----------------------------
                                        Christopher T. McCallion
                                        Executive Vice President &
                                        Chief Financial Officer
                                        (Principal Financial and
                                        Accounting Officer)