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. NEECH’s debentures and junior subordinated debentures including those that were registered pursuant to the Securities Act of 1933, as amended, are fully and unconditionally guaranteed by NEE. Condensed consolidating financial information is as follows:

Condensed Consolidating Statements of Income



	Year Ended December 31, 2017												Year Ended December 31, 2016												Year Ended December 31, 2015
	NEE (Guaran- tor)			NEECH			Other^(a)			NEE Consoli- dated			NEE (Guaran- tor)			NEECH			Other^(a)			NEE Consoli- dated			NEE (Guaran- tor)			NEECH			Other^(a)			NEE Consoli- dated
	(millions)
Operating revenues	$	—		$	5,322		$	11,873		$	17,195		$	—		$	5,283		$	10,872		$	16,155		$	—		$	5,849		$	11,637		$	17,486
Operating expenses - net	(25		)	(3,293		)	(8,551		)	(11,869		)	(20		)	(3,663		)	(7,864		)	(11,547		)	(17		)	(4,142		)	(8,695		)	(12,854		)
Interest expense	(3		)	(1,073		)	(482		)	(1,558		)	(1		)	(636		)	(456		)	(1,093		)	(4		)	(764		)	(443		)	(1,211		)
Equity in earnings of subsidiaries	5,391			—			(5,391		)	—			2,956			—			(2,956		)	—			2,754			—			(2,754		)	—
Other income - net	2			845			52			899			5			793			75			873			1			498			70			569
Income (loss) before income taxes	5,365			1,801			(2,499		)	4,667			2,940			1,777			(329		)	4,388			2,734			1,441			(185		)	3,990
Income tax expense (benefit)	(14		)	(1,712		)	1,073			(653		)	28			354			1,001			1,383			(18		)	299			947			1,228
Net income (loss)	5,379			3,513			(3,572		)	5,320			2,912			1,423			(1,330		)	3,005			2,752			1,142			(1,132		)	2,762
Less net income (loss) attributable to noncontrolling interests	—			(58		)	—			(58		)	—			93			—			93			—			10			—			10
Net income (loss) attributable to NEE	$	5,379		$	3,571		$	(3,572	)	$	5,378		$	2,912		$	1,330		$	(1,330	)	$	2,912		$	2,752		$	1,132		$	(1,132	)	$	2,752

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(a)	Represents primarily FPL and consolidating adjustments.

Condensed Consolidating Statements of Comprehensive Income



	Year Ended December 31, 2017									Year Ended December 31, 2016									Year Ended December 31, 2015
	NEE (Guaran- tor)		NEECH		Other^(a)			NEE Consoli- dated		NEE (Guaran- tor)		NEECH		Other^(a)			NEE Consoli- dated		NEE (Guaran- tor)		NEECH		Other^(a)			NEE Consoli- dated
	(millions)
Comprehensive income (loss) attributable to NEE	$	5,559	$	3,708	$	(3,708	)	$	5,559	$	3,009	$	1,448	$	(1,448	)	$	3,009	$	2,625	$	1,049	$	(1,049	)	$	2,625

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(a)	Represents primarily FPL and consolidating adjustments.

Condensed Consolidating Balance Sheets



	December 31, 2017												December 31, 2016
	NEE (Guaran- tor)			NEECH			Other^(a)			NEE Consoli- dated			NEE (Guaran- tor)			NEECH			Other^(a)			NEE Consoli- dated
	(millions)
PROPERTY, PLANT AND EQUIPMENT
Electric plant in service and other property	$	20		$	41,782		$	51,981		$	93,783		$	28		$	38,671		$	48,314		$	87,013
Accumulated depreciation and amortization	(15		)	(8,551		)	(12,801		)	(21,367		)	(18		)	(7,778		)	(12,305		)	(20,101		)
Total property, plant and equipment - net	5			33,231			39,180			72,416			10			30,893			36,009			66,912
CURRENT ASSETS
Cash and cash equivalents	1			1,679			34			1,714			1			1,258			33			1,292
Receivables	442			1,633			662			2,737			88			1,615			736			2,439
Other	5			1,283			1,418			2,706			2			1,877			1,799			3,678
Total current assets	448			4,595			2,114			7,157			91			4,750			2,568			7,409
OTHER ASSETS
Investment in subsidiaries	27,825			—			(27,825		)	—			24,323			—			(24,323		)	—
Other	591			9,941			7,722			18,254			867			8,992			5,813			15,672
Total other assets	28,416			9,941			(20,103		)	18,254			25,190			8,992			(18,510		)	15,672
TOTAL ASSETS	$	28,869		$	47,767		$	21,191		$	97,827		$	25,291		$	44,635		$	20,067		$	89,993
CAPITALIZATION
Common shareholders' equity	$	28,208		$	10,745		$	(10,745	)	$	28,208		$	24,341		$	7,699		$	(7,699	)	$	24,341
Noncontrolling interests	—			1,290			—			1,290			—			990			—			990
Long-term debt	—			20,227			11,236			31,463			—			18,112			9,706			27,818
Total capitalization	28,208			32,262			491			60,961			24,341			26,801			2,007			53,149
CURRENT LIABILITIES
Debt due within one year	—			1,215			2,403			3,618			—			2,237			785			3,022
Accounts payable	3			2,427			805			3,235			1			2,668			778			3,447
Other	325			2,073			1,981			4,379			231			2,624			1,595			4,450
Total current liabilities	328			5,715			5,189			11,232			232			7,529			3,158			10,919
OTHER LIABILITIES AND DEFERRED CREDITS
Asset retirement obligations	—			984			2,047			3,031			—			816			1,920			2,736
Deferred income taxes	(82		)	1,247			4,589			5,754			82			3,002			8,017			11,101
Other	415			7,559			8,875			16,849			636			6,487			4,965			12,088
Total other liabilities and deferred credits	333			9,790			15,511			25,634			718			10,305			14,902			25,925
COMMITMENTS AND CONTINGENCIES
TOTAL CAPITALIZATION AND LIABILITIES	$	28,869		$	47,767		$	21,191		$	97,827		$	25,291		$	44,635		$	20,067		$	89,993

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(a)	Represents primarily FPL and consolidating adjustments.

Condensed Consolidating Statements of Cash Flows



	Year Ended December 31, 2017												Year Ended December 31, 2016^(a)												Year Ended December 31, 2015^(a)
	NEE (Guar- antor)			NEECH			Other^(b)			NEE Consoli-dated			NEE (Guar- antor)			NEECH			Other^(b)			NEE Consoli- dated			NEE (Guar- antor)			NEECH			Other^(b)			NEE Consoli- dated
	(millions)
NET CASH PROVIDED BY OPERATING ACTIVITIES	$	1,968		$	2,711		$	1,734		$	6,413		$	1,897		$	2,129		$	2,267		$	6,293		$	1,659		$	2,462		$	1,968		$	6,089
CASH FLOWS FROM INVESTING ACTIVITIES
Capital expenditures, independent power and other investments and nuclear fuel purchases	—			(5,449		)	(5,291		)	(10,740		)	(1		)	(5,701		)	(3,934		)	(9,636		)	—			(4,744		)	(3,633		)	(8,377		)
Capital contributions from NEE	(92		)	—			92			—			(745		)	—			745			—			(1,480		)	—			1,480			—
Cash grants under the Recovery Act	—			78			—			78			—			335			—			335			—			8			—			8
Proceeds from sale of the fiber-optic telecommunications business	—			1,454			—			1,454			—			—			—			—			—			—			—			—
Sale of independent power and other investments of NEER	—			178			—			178			—			658			—			658			—			52			—			52
Proceeds from sale or maturity of securities in special use funds and other investments	9			1,221			1,977			3,207			—			1,281			2,495			3,776			—			1,120			3,731			4,851
Purchases of securities in special use funds and other investments	—			(1,163		)	(2,081		)	(3,244		)	—			(1,323		)	(2,506		)	(3,829		)	—			(1,190		)	(3,792		)	(4,982		)
Proceeds from sales of noncontrolling interests in NEP	—			—			—			—			—			645			—			645			—			345			—			345
Other - net	7			124			18			149			—			(19		)	24			5			—			79			28			107
Net cash used in investing activities	(76		)	(3,557		)	(5,285		)	(8,918		)	(746		)	(4,124		)	(3,176		)	(8,046		)	(1,480		)	(4,330		)	(2,186		)	(7,996		)
CASH FLOWS FROM FINANCING ACTIVITIES
Issuances of long-term debt	—			6,393			1,961			8,354			—			5,349			308			5,657			—			4,689			1,083			5,772
Retirements of long-term debt	—			(5,907		)	(873		)	(6,780		)	—			(3,048		)	(262		)	(3,310		)	—			(3,421		)	(551		)	(3,972		)
Proceeds from differential membership investors	—			1,414			—			1,414			—			1,859			—			1,859			—			761			—			761
Net change in commercial paper	—			—			1,419			1,419			—			(318		)	212			(106		)	—			318			(1,086		)	(768		)
Proceeds from other short-term debt	—			—			450			450			—			—			500			500			—			1,125			100			1,225
Repayments of other short-term debt	—			—			(2		)	(2		)	—			(212		)	(450		)	(662		)	—			(813		)	—			(813		)
Issuances of common stock - net	55			—			—			55			537			—			—			537			1,298			—			—			1,298
Proceeds from issuance of NEP convertible preferred units - net	—			548			—			548			—			—			—			—			—			—			—			—
Dividends on common stock	(1,845		)	—			—			(1,845		)	(1,612		)	—			—			(1,612		)	(1,385		)	—			—			(1,385		)
Dividends to NEE	—			(633		)	633			—			—			(650		)	650			—			—			(698		)	698			—
Other - net	(102		)	(563		)	(15		)	(680		)	(75		)	(292		)	4			(363		)	(92		)	(150		)	21			(221		)
Net cash provided by (used in) financing activities	(1,892		)	1,252			3,573			2,933			(1,150		)	2,688			962			2,500			(179		)	1,811			265			1,897
Effects of currency translation on cash, cash equivalents and restricted cash	—			26			—			26			—			10			—			10			—			17			—			17
Net increase in cash, cash equivalents and restricted cash	—			432			22			454			1			703			53			757			—			(40		)	47			7
Cash, cash equivalents and restricted cash at beginning of year	1			1,375			153			1,529			—			672			100			772			—			712			53			765
Cash, cash equivalents and restricted cash at end of year	$	1		$	1,807		$	175		$	1,983		$	1		$	1,375		$	153		$	1,529		$	—		$	672		$	100		$	772

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(a)	Prior period amounts have been retrospectively adjusted as discussed in Note 1 - Restricted Cash.


(b)	Represents primarily FPL and consolidating adjustments.