Derivative Instruments (Tables)

12 Months Ended

Dec. 31, 2012

Net fair values of mark-to-market derivative instrument assets (liabilities)

The net fair values of NEE's and FPL's mark-to-market derivative instrument assets (liabilities) are included on the consolidated balance sheets as follows:



	NEE						FPL
	December 31,						December 31,
	2012			2011			2012				2011
	(millions)
Current derivative assets^(a)	$	517		$	611		$	4		^(b)	$	10		^(b)
Noncurrent derivative assets^(c)	920			973			1			^(d)	2			^(d)
Current derivative liabilities^(e)	(430		)	(1,090		)	(20		)		(512		)
Noncurrent derivative liabilities^(f)	(587		)	(541		)	—				(1		)	^(g)
Total mark-to-market derivative instrument assets (liabilities)	$	420		$	(47	)	$	(15	)		$	(501	)

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(a)	At December 31, 2012 and 2011, NEE's balances reflect the netting of approximately $43 million and $106 million (none at FPL), respectively, in margin cash collateral received from counterparties.


(b)	Included in current other assets on FPL's consolidated balance sheets.


(c)	At December 31, 2012 and 2011, NEE's balances reflect the netting of approximately $159 million and $109 million (none at FPL), respectively, in margin cash collateral received from counterparties.


(d)	Included in noncurrent other assets on FPL's consolidated balance sheets.


(e)	At December 31, 2012 and 2011, NEE's balances reflect the netting of approximately $79 million and $112 million (none at FPL), respectively, in margin cash collateral provided to counterparties.


(f)	At December 31, 2011, NEE's balance reflects the netting of approximately $79 million (none at FPL) in margin cash collateral provided to counterparties.


(g)	Included in noncurrent other liabilities on FPL's consolidated balance sheets.

Net notional volumes

At December 31, 2012, NEE and FPL had derivative commodity contracts for the following net notional volumes:



Commodity Type	NEE			FPL
	(millions)
Power	(77	)	mwh^(a)	—
Natural gas	1,293		mmbtu^(b)	894	mmbtu^(b)
Oil	(8	)	barrels	—

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(a)	Megawatt-hours


(b)	One million British thermal units

Cash Flow Hedging [Member]

Derivative [Line Items]

Schedule of derivative instruments in statement of financial position, fair value

The fair values of NEE's derivatives designated as hedging instruments for accounting purposes (none at FPL) are presented below as gross asset and liability values, as required by disclosure rules.



	December 31, 2012				December 31, 2011
	Derivative Assets		Derivative Liabilities		Derivative Assets		Derivative Liabilities
	(millions)
Interest rate swaps:
Current derivative assets	$	30	$	—	$	22	$	—
Current derivative liabilities	—		104		—		60
Noncurrent derivative assets	46		—		15		—
Noncurrent derivative liabilities	—		283		—		260
Foreign currency swaps:
Current derivative liabilities	—		5		—		3
Noncurrent derivative liabilities	—		28		—		3
Total	$	76	$	420	$	37	$	326

Derivative instruments, gain (loss) in statement of financial performance

Gains (losses) related to NEE's cash flow hedges are recorded in NEE's consolidated financial statements (none at FPL) as follows:



	Year Ended December 31, 2012												Year Ended December 31, 2011												Year Ended December 31, 2010
	Commodity Contracts		Interest Rate Swaps			Foreign Currency Swaps				Total			Commodity Contracts		Interest Rate Swaps			Foreign Currency Swaps				Total			Commodity Contracts		Interest Rate Swaps			Foreign Currency Swap			Total
	(millions)
Gains (losses) recognized in OCI	$	—	$	(131	)	$	(30	)		$	(161	)	$	—	$	(383	)	$	(17	)		$	(400	)	$	20	$	(52	)	$	24		$	(8	)
Gains (losses) reclassified from AOCI to net income^(a)	$	8	$	(56	)	$	(21	)	^(b)	$	(69	)	$	41	$	(76	)	$	1		^(c)	$	(34	)	$	118	$	(65	)	$	20	^(c)	$	73
Gains (losses) recognized in income^(d)	$	—	$	—		$	—			$	—		$	—	$	—		$	—			$	—		$	1	$	—		$	—		$	1

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(a)	Included in operating revenues for commodity contracts and interest expense for interest rate swaps. In 2011, excludes approximately $21 million of net losses related to the discontinuance of certain cash flow hedges. See further discussion above.


(b)	Loss of approximately $3 million is included in interest expense and the balance is included in other - net.


(c)	Loss of approximately $4 million is included in interest expense and the balance is included in other - net.


(d)	Represents the ineffective portion of the hedging instrument included in operating revenues.

Not Designated as Hedging Instrument [Member]

Derivative [Line Items]

Schedule of derivative instruments in statement of financial position, fair value

The fair values of NEE's and FPL's derivatives not designated as hedging instruments for accounting purposes are presented below as gross asset and liability values, as required by disclosure rules. However, the majority of the underlying contracts are subject to master netting arrangements and would not be contractually settled on a gross basis.



	December 31, 2012									December 31, 2011
	NEE				FPL					NEE				FPL
	Derivative Assets		Derivative Liabilities		Derivative Assets			Derivative Liabilities		Derivative Assets		Derivative Liabilities		Derivative Assets			Derivative Liabilities
	(millions)
Commodity contracts:
Current derivative assets	$	851	$	321	$	4	^(a)	$	—	$	1,127	$	432	$	11	^(a)	$	1	^(a)
Current derivative liabilities	1,441		1,838		12			32		3,358		4,494		1			513
Noncurrent derivative assets	1,748		715		1		^(b)	—		1,290		250		2		^(b)	—
Noncurrent derivative liabilities	192		438		—			—		1,222		1,579		—			1		^(c)
Foreign currency swap:
Current derivative liabilities	—		3		—			—		—		3		—			—
Noncurrent derivative assets	—		—		—			—		27		—		—			—
Noncurrent derivative liabilities	—		30		—			—		—		—		—			—
Total	$	4,232	$	3,345	$	17		$	32	$	7,024	$	6,758	$	14		$	515

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(a)	Included in current other assets on FPL's consolidated balance sheets.


(b)	Included in noncurrent other assets on FPL's consolidated balance sheets.


(c)	Included in noncurrent other liabilities on FPL's consolidated balance sheets.

Derivative instruments, gain (loss) in statement of financial performance

Gains (losses) related to NEE's derivatives not designated as hedging instruments are recorded in NEE's consolidated statements of income (none at FPL) as follows:



	Years Ended December 31,
	2012			2011			2010
	(millions)
Commodity contracts^(a):
Operating revenues	$	171		$	473		531
Fuel, purchased power and interchange	38			—			1
Foreign currency swap - other - net	(60		)	22			18
Interest rate contracts - other - net	—			(11		)	—
Total	$	149		$	484		$	550

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(a)	For the years ended December 31, 2012, 2011 and 2010, FPL recorded approximately $177 million, $646 million and $665 million of losses, respectively, related to commodity contracts as regulatory assets on its consolidated balance sheets.

- Definition

Tabular disclosure of the location and amount of gains and losses reported in the statement of financial performance, or when applicable, the statement of financial position. For example, (a) gains and losses recognized in the income statement on derivative instruments designated and qualifying as hedging instruments in fair value hedges and related hedged items designated and qualifying in fair value hedges and (b) gains and losses initially recognized in other comprehensive income on derivative instruments designated and qualifying as cash flow hedges.

+ References+ Details

- Definition

Tabular disclosure of the location and fair value amounts of derivative instruments (and nonderivative instruments that are designated and qualify as hedging instruments) reported in the statement of financial position.

+ References+ Details