[1]

We recorded income tax expense of $3 million for the year ended December 31, 2013, and an income tax benefit of $11 million and $44 million for the years ended December 31, 2012 and 2011, respectively, in AOCI related to our cash flow hedging activities.

[2]

There were no commodity derivative instruments designated as cash flow hedges during the year ended December 31, 2013. We recorded a gain on hedge ineffectiveness of $2 million and a loss of $2 million related to our commodity derivative instruments designated as cash flow hedges during the years ended December 31, 2012 and 2011, respectively.

[3]

Cumulative cash flow hedge losses attributable to Calpine, net of tax, remaining in AOCI were $148 million, $222 million and $158 million at December 31, 2013, 2012 and 2011, respectively. Cumulative cash flow hedge losses attributable to the noncontrolling interest, net of tax, remaining in AOCI were $11 million, $20 million and $14 million at December 31, 2013, 2012 and 2011, respectively.

[4]

We did not record any gain (loss) on hedge ineffectiveness related to our interest rate swaps designated as cash flow hedges during the years ended December 31, 2013 and 2012. We recorded a loss of $1 million on hedge ineffectiveness related to our interest rate swaps designated as cash flow hedges for the year ended December 31, 2011.

[5]

Includes a loss of $12 million that was reclassified from AOCI to interest expense for the year ended December 31, 2013 where the hedged transactions are no longer expected to occur.

[6]

Includes a loss of $15 million and $91 million that was reclassified from AOCI to interest expense and loss on interest rate derivatives, respectively, for the year ended December 31, 2011 where the hedged transactions are no longer expected to occur.