Summarized Financial Information of Capital Holdings

9 Months Ended

Sep. 30, 2012

Summarized Financial Information [Abstract]

Summarized Financial Information of Capital Holdings

11.  Summarized Financial Information of NEECH

NEECH, a 100% owned subsidiary of NEE, provides funding for, and holds ownership interests in, NEE's operating subsidiaries other than FPL.  Most of NEECH's debt, including its debentures, and payment guarantees are fully and unconditionally guaranteed by NEE.  Condensed consolidating financial information is as follows:

Condensed Consolidating Statements of Income

	Three Months Ended September 30,
	2012												2011
	NEE (Guarantor)			NEECH			Other(a)			NEE Consoli- dated			NEE (Guarantor)			NEECH			Other(a)			NEE Consoli- dated
										(millions)
Operating revenues	$	—		$	871		$	2,972		$	3,843		$	—		$	1,232		$	3,150		$	4,382
Operating expenses	(5		)	(836		)	(2,253		)	(3,094		)	(4		)	(973		)	(2,494		)	(3,471		)
Interest expense	(2		)	(155		)	(102		)	(259		)	(3		)	(164		)	(98		)	(265		)
Equity in earnings of subsidiaries	416			—			(416		)	—			416			—			(416		)	—
Other income (deductions) - net	4			61			14			79			1			(86		)	4			(81		)
Income (loss) before income taxes	413			(59		)	215			569			410			9			146			565
Income tax expense (benefit)	(2		)	(82		)	238			154			3			(60		)	215			158
Net income (loss)	$	415		$	23		$	(23	)	$	415		$	407		$	69		$	(69	)	$	407

	Nine Months Ended September 30,
	2012												2011
	NEE(Guarantor)			NEECH			Other(a)			NEE Consoli- dated			NEE(Guarantor)			NEECH			Other(a)			NEE Consoli- dated
										(millions)
Operating revenues	$	—		$	3,112		$	7,769		$	10,881		$	—		$	3,285		$	8,191		$	11,476
Operating expenses	(13		)	(2,346		)	(5,907		)	(8,266		)	(11		)	(2,662		)	(6,557		)	(9,230		)
Interest expense	(8		)	(479		)	(308		)	(795		)	(10		)	(486		)	(279		)	(775		)
Equity in earnings of subsidiaries	1,480			—			(1,480		)	—			1,214			—			(1,214		)	—
Other income (deductions) - net	5			180			30			215			1			40			17			58
Income (loss) before income taxes	1,464			467			104			2,035			1,194			177			158			1,529
Income tax expense (benefit)	(18		)	(29		)	600			553			(62		)	(185		)	520			273
Net income (loss)	$	1,482		$	496		$	(496	)	$	1,482		$	1,256		$	362		$	(362	)	$	1,256

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(a)  Represents FPL and consolidating adjustments.

Condensed Consolidating Statements of Comprehensive Income

	Three Months Ended September 30,
	2012									2011
	NEE (Guarantor)		NEECH			Other(a)		NEE Consoli- dated		NEE (Guarantor)		NEECH			Other(a)		NEE Consoli- dated
								(millions)
Comprehensive income (loss)	$	386	$	(6	)	$	6	$	386	$	178	$	(160	)	$	160	$	178

	Nine Months Ended September 30,
	2012									2011
	NEE (Guarantor)		NEECH		Other(a)			NEE Consoli- dated		NEE (Guarantor)		NEECH		Other(a)			NEE Consoli- dated
								(millions)
Comprehensive income (loss)	$	1,417	$	437	$	(437	)	$	1,417	$	976	$	76	$	(76	)	$	976

————————————

(a) Represents FPL and consolidating adjustments.

Condensed Consolidating Balance Sheets

	September 30, 2012												December 31, 2011
	NEE (Guaran- tor)			NEECH			Other(a)			NEE Consoli- dated			NEE (Guaran- tor)			NEECH			Other(a)			NEE Consoli- dated
										(millions)
PROPERTY, PLANT AND EQUIPMENT
Electric utility plant in service and other property	$	31		$	25,778		$	37,621		$	63,430		$	31		$	22,351		$	35,170		$	57,552
Less accumulated depreciation and amortization	(6		)	(4,817		)	(10,914		)	(15,737		)	(3		)	(4,143		)	(10,916		)	(15,062		)
Total property, plant and equipment - net	25			20,961			26,707			47,693			28			18,208			24,254			42,490
CURRENT ASSETS
Cash and cash equivalents	1			226			19			246			1			339			37			377
Receivables	112			1,090			920			2,122			84			1,026			692			1,802
Other	5			1,003			1,061			2,069			5			1,075			1,613			2,693
Total current assets	118			2,319			2,000			4,437			90			2,440			2,342			4,872
OTHER ASSETS
Investment in subsidiaries	15,858			—			(15,858		)	—			14,879			—			(14,879		)	—
Other	745			4,783			4,391			9,919			513			4,849			4,464			9,826
Total other assets	16,603			4,783			(11,467		)	9,919			15,392			4,849			(10,415		)	9,826
TOTAL ASSETS	$	16,746		$	28,063		$	17,240		$	62,049		$	15,510		$	25,497		$	16,181		$	57,188
CAPITALIZATION
Common shareholders' equity	$	15,886		$	3,784		$	(3,784	)	$	15,886		$	14,943		$	4,030		$	(4,030	)	$	14,943
Long-term debt	—			15,082			7,632			22,714			—			13,327			7,483			20,810
Total capitalization	15,886			18,866			3,848			38,600			14,943			17,357			3,453			35,753
CURRENT LIABILITIES
Debt due within one year	—			2,712			924			3,636			—			1,778			379			2,157
Accounts payable	—			522			672			1,194			—			512			679			1,191
Other	289			1,410			1,346			3,045			250			1,520			1,601			3,371
Total current liabilities	289			4,644			2,942			7,875			250			3,810			2,659			6,719
OTHER LIABILITIES AND DEFERRED CREDITS
Asset retirement obligations	—			495			1,190			1,685			—			466			1,145			1,611
Accumulated deferred income taxes	67			1,273			4,826			6,166			68			1,376			4,237			5,681
Other	504			2,785			4,434			7,723			249			2,488			4,687			7,424
Total other liabilities and deferred credits	571			4,553			10,450			15,574			317			4,330			10,069			14,716
COMMITMENTS AND CONTINGENCIES
TOTAL CAPITALIZATION AND LIABILITIES	$	16,746		$	28,063		$	17,240		$	62,049		$	15,510		$	25,497		$	16,181		$	57,188

————————————

(a) Represents FPL and consolidating adjustments.

Condensed Consolidating Statements of Cash Flows

	Nine Months Ended September 30,
	2012												2011
	NEE (Guaran- tor)			NEECH			Other(a)			NEE Consoli- dated			NEE (Guaran- tor)			NEECH			Other(a)			NEE Consoli- dated
										(millions)
NET CASH PROVIDED BY OPERATING ACTIVITIES	$	662		$	878		$	1,617		$	3,157		$	979		$	1,071		$	1,067		$	3,117
CASH FLOWS FROM INVESTING ACTIVITIES
Capital expenditures, independent power and other investments and nuclear fuel purchases	—			(3,492		)	(3,197		)	(6,689		)	(16		)	(1,950		)	(2,351		)	(4,317		)
Capital contribution to FPL	(240		)	—			240			—			(310		)	—			310			—
Cash grants under the Recovery Act	—			105			—			105			—			301			202			503
Change in loan proceeds restricted for construction	—			212			—			212			—			(596		)	—			(596		)
Other - net	—			(59		)	(70		)	(129		)	16			4			(32		)	(12		)
Net cash used in investing activities	(240		)	(3,234		)	(3,027		)	(6,501		)	(310		)	(2,241		)	(1,871		)	(4,422		)
CASH FLOWS FROM FINANCING ACTIVITIES
Issuances of long-term debt	—			3,632			594			4,226			—			2,669			248			2,917
Retirements of long-term debt	—			(1,272		)	(49		)	(1,321		)	—			(1,643		)	(45		)	(1,688		)
Proceeds from sale of differential membership interests	—			414			—			414			—			210			—			210
Net change in short-term debt	—			254			142			396			—			639			307			946
Issuances of common stock	386			—			—			386			39			—			—			39
Dividends on common stock	(752		)	—			—			(752		)	(689		)	—			—			(689		)
Other - net	(56		)	(785		)	705			(136		)	(19		)	(377		)	304			(92		)
Net cash provided by (used in) financing activities	(422		)	2,243			1,392			3,213			(669		)	1,498			814			1,643
Net increase (decrease) in cash and cash equivalents	—			(113		)	(18		)	(131		)	—			328			10			338
Cash and cash equivalents at beginning of period	1			339			37			377			—			282			20			302
Cash and cash equivalents at end of period	$	1		$	226		$	19		$	246		$	—		$	610		$	30		$	640

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(a) Represents FPL and consolidating adjustments.