Equity

Earnings Per Share - The reconciliation of NEE's basic and diluted earnings per share attributable to NEE is as follows:



	Three Months Ended September 30,				Nine Months Ended September 30,
	2017		2016		2017		2016
	(millions, except per share amounts)
Numerator - net income attributable to NEE	$	847	$	753	$	3,223	$	1,946
Denominator:
Weighted-average number of common shares outstanding - basic	469.4		463.3		468.3		461.7
Equity units, stock options, performance share awards, forward sale agreements and restricted stock^(a)	4.1		2.7		3.7		3.0
Weighted-average number of common shares outstanding - assuming dilution	473.5		466.0		472.0		464.7
Earnings per share attributable to NEE:
Basic	$	1.80	$	1.63	$	6.88	$	4.21
Assuming dilution	$	1.79	$	1.62	$	6.83	$	4.19

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(a)	Calculated using the treasury stock method. Performance share awards are included in diluted weighted-average number of common shares outstanding based upon what would be issued if the end of the reporting period was the end of the term of the award.

Common shares issuable pursuant to equity units, stock options and performance share awards, as well as restricted stock which were not included in the denominator above due to their antidilutive effect were less than one million and approximately 11.2 million for the three months ended September 30, 2017 and 2016, respectively, and 4.1 million and 3.9 million for the nine months ended September 30, 2017 and 2016, respectively. NEP's senior unsecured convertible notes (see Note 8) are potentially dilutive securities, however, their effect on the calculation of NEE's diluted EPS for the three and nine months ended September 30, 2017 was not material.

Forward Sale Agreements - In November 2016, NEE entered into forward sale agreements with several forward counterparties for 12 million shares of its common stock to be settled on a date or dates to be specified at NEE's direction, no later than November 1, 2017. During the second and third quarters of 2017, NEE issued 1,711,345 shares of its common stock to net share settle all of the shares of its common stock under the forward sale agreements. The forward sale price used to determine the net share settlement amount was calculated based on the initial forward sale price of $124.00 per share, less certain adjustments as specified in the forward sale agreements.

NEP Series A Preferred Unit Purchase Agreement - In June 2017, NEP entered into a Series A Preferred Unit Purchase Agreement to issue and sell, on or before December 31, 2017, $550 million of Series A convertible preferred units representing limited partner interests in NEP (NEP preferred units). When issued, holders of the NEP preferred units will be entitled to receive certain cumulative quarterly distributions from NEP, which may be paid, at NEP’s election and subject to certain limitations, in cash, additional NEP preferred units or a combination thereof. Each holder of NEP preferred units (together with its affiliates) may elect to convert all or any portion of its NEP preferred units into common units of NEP initially on a one-for-one basis, subject to certain adjustments (the conversion rate), at any time after June 20, 2019, subject to certain conditions. NEP may elect to convert all or a portion of the NEP preferred units into NEP common units based on the conversion rate at any time after the first anniversary of the date of issuance of the NEP preferred units being converted if certain conditions are met and subject to certain maximum conversion amounts prior to the third anniversary of the final closing date.

Accumulated Other Comprehensive Income (Loss) - The components of AOCI, net of tax, are as follows:



	Accumulated Other Comprehensive Income (Loss)
	Net Unrealized Gains (Losses) on Cash Flow Hedges				Net Unrealized Gains (Losses) on Available for Sale Securities				Defined Benefit Pension and Other Benefits Plans			Net Unrealized Gains (Losses) on Foreign Currency Translation			Other Comprehensive Income (Loss) Related to Equity Method Investee			Total
	(millions)
Three Months Ended September 30, 2017
Balances, June 30, 2017	$	(96	)		$	268			$	(76	)	$	(71	)	$	(22	)	$	3
Other comprehensive income before reclassifications	—				31				—			10			1			42
Amounts reclassified from AOCI	10			^(a)	(6		)	^(b)	(1		)	—			—			3
Net other comprehensive income (loss)	10				25				(1		)	10			1			45
Less other comprehensive income attributable to noncontrolling interests	(1		)		—				—			1			—			—
Balances, September 30, 2017	$	(85	)		$	293			$	(77	)	$	(62	)	$	(21	)	$	48

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(a)	Reclassified to interest expense in NEE's condensed consolidated statements of income. See Note 2 - Income Statement Impact of Derivative Instruments.


(b)	Reclassified to gains on disposal of investments and other property - net in NEE's condensed consolidated statements of income.



	Accumulated Other Comprehensive Income (Loss)
	Net Unrealized Gains (Losses) on Cash Flow Hedges				Net Unrealized Gains (Losses) on Available for Sale Securities				Defined Benefit Pension and Other Benefits Plans			Net Unrealized Gains (Losses) on Foreign Currency Translation			Other Comprehensive Income (Loss) Related to Equity Method Investee			Total
	(millions)
Three Months Ended September 30, 2016
Balances, June 30, 2016	$	(134	)		$	193			$	(69	)	$	(44	)	$	(28	)	$	(82	)
Other comprehensive income (loss) before reclassifications	—				31				—			(9		)	3			25
Amounts reclassified from AOCI	17			^(a)	(2		)	^(b)	—			—			—			15
Net other comprehensive income (loss)	17				29				—			(9		)	3			40
Less other comprehensive loss attributable to noncontrolling interests	—				—				—			(6		)	—			(6		)
Balances, September 30, 2016	$	(117	)		$	222			$	(69	)	$	(47	)	$	(25	)	$	(36	)

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(a)	Reclassified to interest expense in NEE's condensed consolidated statements of income. See Note 2 - Income Statement Impact of Derivative Instruments.


(b)	Reclassified to gains on disposal of investments and other property - net in NEE's condensed consolidated statements of income.



	Accumulated Other Comprehensive Income (Loss)
	Net Unrealized Gains (Losses) on Cash Flow Hedges				Net Unrealized Gains (Losses) on Available for Sale Securities				Defined Benefit Pension and Other Benefits Plans			Net Unrealized Gains (Losses) on Foreign Currency Translation			Other Comprehensive Income (Loss) Related to Equity Method Investee			Total
	(millions)
Nine Months Ended September 30, 2017
Balances, December 31, 2016	$	(100	)		$	225			$	(83	)	$	(90	)	$	(22	)	$	(70	)
Other comprehensive income before reclassifications	—				91				7			30			1			129
Amounts reclassified from AOCI	24			^(a)	(23		)	^(b)	(1		)	—			—			—
Net other comprehensive income	24				68				6			30			1			129
Less other comprehensive income attributable to noncontrolling interests	9				—				—			2			—			11
Balances, September 30, 2017	$	(85	)		$	293			$	(77	)	$	(62	)	$	(21	)	$	48

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(a)	Reclassified to interest expense in NEE's condensed consolidated statements of income. See Note 2 - Income Statement Impact of Derivative Instruments.


(b)	Reclassified to gains on disposal of investments and other property - net in NEE's condensed consolidated statements of income.



	Accumulated Other Comprehensive Income (Loss)
	Net Unrealized Gains (Losses) on Cash Flow Hedges				Net Unrealized Gains (Losses) on Available for Sale Securities				Defined Benefit Pension and Other Benefits Plans			Net Unrealized Gains (Losses) on Foreign Currency Translation			Other Comprehensive Income (Loss) Related to Equity Method Investee			Total
	(millions)
Nine Months Ended September 30, 2016
Balances, December 31, 2015	$	(170	)		$	174			$	(62	)	$	(85	)	$	(24	)	$	(167	)
Other comprehensive income (loss) before reclassifications	—				56				(7		)	19			(1		)	67
Amounts reclassified from AOCI	53			^(a)	(8		)	^(b)	—			—			—			45
Net other comprehensive income (loss)	53				48				(7		)	19			(1		)	112
Less other comprehensive loss attributable to noncontrolling interests	—				—				—			(19		)	—			(19		)
Balances, September 30, 2016	$	(117	)		$	222			$	(69	)	$	(47	)	$	(25	)	$	(36	)

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(a)	Reclassified to interest expense in NEE's condensed consolidated statements of income. See Note 2 - Income Statement Impact of Derivative Instruments.


(b)	Reclassified to gains on disposal of investments and other property - net in NEE's condensed consolidated statements of income.