Exhibit 99
FPL Group, Inc.
Corporate Communications Dept.
Media Line: (305) 552-3888
January 23, 2004
FOR IMMEDIATE RELEASE
FPL Group reports 2003 fourth quarter earnings
JUNO BEACH, Fla. - FPL Group, Inc. (NYSE: FPL) today reported 2003 fourth quarter net income on a GAAP basis of $145 million, or $0.81 per share, compared with $129 million or $ 0.73 per share, in the fourth quarter of 2002.
FPL Group's net income for the fourth quarter 2003 included a net unrealized gain of $12 million after-tax associated with the mark-to-market effect of non-managed hedges. The results of last year's fourth quarter included a net unrealized loss of $4 million after-tax associated with the mark-to-market effect of non-managed hedges. Excluding the mark-to-market effect on non-managed hedges FPL Group's earnings would have been $133 million or $0.74 per share for the fourth quarter of 2003, compared with $133 million or $0.75 per share, in the fourth quarter of 2002.
For the full year 2003, FPL Group reported net income on a GAAP basis of $890 million or $5.00 per share, compared with $473 million or $2.73 per share in 2002.
FPL Group's results for the full year 2003 included the following items:
- an after-tax charge of $3 million or $0.02 per share due to a change in accounting principle (FIN 46 - Consolidation of Variable Interest Entities); and
- a net unrealized gain of $22 million after-tax or $0.13 per share associated with the mark-to-market effect of non-managed hedges.
FPL Group's results for the full year 2002 included the following items:
- an after-tax charge of $73 million, or $0.42 per share related to restructuring and other charges at FPL Energy;
- an after-tax charge of $64 million, or $0.37 per share for impairment and restructuring charges at FPL FiberNet in the Corporate and Other category;
- an after-tax charge of $222 million or $1.28 per share due to the cumulative effect of a change in accounting principle (FAS 142 - Goodwill and Other Intangible Assets);
- an after-tax charge of $30 million, or $0.17 per share for a reserve for leveraged leases in the Corporate and Other category;
- an after-tax gain of $30 million or $0.17 per share from a settlement with
the IRS; and - a net unrealized gain of $1 million after-tax associated with the mark-to-market effect of non-managed hedges.
Excluding these items, FPL Group's 2003 earnings would have been $871 million, or $4.89 per share for the full year, compared with $831 million, or $4.80 per share, for the full year 2002. FPL Group's management uses adjusted earnings internally for financial planning, reporting of results to the Board of Directors and for the company's incentive plan. FPL Group also uses earnings expressed in this fashion when communicating its earnings outlook to analysts and investors. FPL Group management believes that adjusted earnings provide a more meaningful representation of FPL Group's fundamental earnings power.
"In 2003 we continued to profitably grow our business, maintained our financial strength and flexibility and enjoyed some of the strongest credit ratings in our industry," said Lew Hay, chairman and chief executive officer. "Our two primary businesses performed very well throughout the year. Florida Power & Light benefited from a vibrant Florida economy and customer and usage growth, while FPL Energy increased its industry-leading position in wind, integrated Seabrook Station into its portfolio and continued the successful execution of its disciplined hedging strategy."
Florida Power & Light
Fourth quarter net income for Florida Power & Light, FPL Group's principal subsidiary, was $122 million or $0.68 per share, compared to $111 million or $0.63 per share from the prior year quarter.For the full year, net income increased to $733 million or $4.12 per share, compared to $717 million or $4.14 per share in 2002.
Florida Power & Light enjoyed strong customer and moderate underlying usage growth during the fourth quarter; however, results were offset somewhat by lower usage associated with milder weather compared to the prior year quarter. Operation and maintenance (O&M) expense was down for the quarter on a comparative basis due to an incremental accrual to the storm reserve fund made in last year's fourth quarter.
For the full year, Florida Power & Light's O&M expense was up due to rising employee benefit expenses, insurance costs, nuclear maintenance expenses and higher depreciation associated with investments made to support the growth in Florida; however, the utility's O&M expenses per kilowatt-hour remain well below the industry average.
FPL added more than 97,000 customer accounts over the last twelve months, an increase of 2.4 percent. Electricity usage per customer was up 1.7 percent for the year.
"Florida Power & Light accounted for more than 80 percent of FPL Group's 2003 earnings," said Hay. "As we begin 2004 we will continue to focus on operational excellence and investing in our infrastructure to support the continued strong customer growth in Florida."
During the year, the company continued to add generation capacity to meet the needs of its customers. The Sanford power plant repowering and Fort Myers' peaker additions were completed, adding nearly 1,300 megawatts. The company's proposal to expand the Martin and Manatee power plants received approval from the Florida Public Service Commission and the Power Plant Siting Board comprised of the governor and his cabinet. The power plant additions will add 1,900 megawatts and serve an additional 400,000 customers. Construction of these projects is underway and is expected to be completed in 2005.
In August, the company issued a request for proposals to help meet the energy needs of its customers in 2007. After completing the competitive bidding process, the company determined its self-build option as the most cost-effective proposal. It plans to build a 1,100-megawatt gas-fired plant at its existing Turkey Point site, pending Florida Public Service Commission and other agency approvals.
In addition, the Nuclear Regulatory Commission issued operating license extensions for the two units at the St. Lucie Nuclear Power Plant that will add 20 years to the original license period.
FPL Energy
FPL Energy, the wholesale generation subsidiary of FPL Group, reported fourth quarter net income on a GAAP basis of $38 million or $0.21 cents per share including a net unrealized gain of $12 million after-tax associated with the mark-to-market effect of non-managed hedges. This compares to $26 million or $0.15 cents per share in the prior year quarter, which included a net unrealized loss of $4 million after-tax associated with the mark-to-market effect of non-managed hedges.
Excluding the mark-to-market effect of non-managed hedges, earnings would have been $26 million or $0.14 cents per share, compared to $30 million or $0.17 cents per share in 2002.
For the full year 2003, FPL Energy reported net income on a GAAP basis of $194 million or $1.09 per share, compared with a loss of $169 million or negative $0.97 per share in 2002.
FPL Energy's results for the full year 2003 included the following items:
- an after-tax charge of $3 million or $0.02 per share due to a change in accounting principle (FIN 46 - Consolidation of Variable Interest Entities); and
- a net unrealized gain of $22 million after-tax or $0.13 per share associated with the mark-to-market effect of non-managed hedges.
FPL Energy's results in the full year 2002 included the following items:
- an after-tax charge of $73 million, or $0.42 per share related to restructuring and other charges; and
- an after-tax charge of $222 million or $1.28 per share due to the cumulative effect of a change in accounting principle (FAS 142 - Goodwill and Other Intangible Assets).
Excluding these items, FPL Energy's earnings would have been $175 million or $0.98 per share for the full year, compared with $126 million or $0.73 per share for the full year 2002.
Adjusted results for the fourth quarter were positively impacted by project additions, with strong contributions from the wind portfolio, more than offset by the refueling outage at the Seabrook Station and lower contributions from restructuring activity compared to the prior year quarter.
For the full year 2003, FPL Energy's growth was fueled primarily by generation capacity additions - primarily wind projects and the 1,024-megawatt Seabrook Station - and asset optimization activities.
FPL Energy completed its most successful year in the wind business by adding 975 megawatts of new wind energy assets to its portfolio and has more than 2,700 net megawatts in operation. With the 2003 additions, FPL Energy is now the largest owner of wind facilities in the world.
In addition the company completed more than 2,900 megawatts of fossil generation with project additions in New York, Alabama, Texas and California.
The Seabrook Nuclear Power Station was successfully integrated into the portfolio during the year. Seabrook had a record-breaking run of 490 days of continuous operation and completed its shortest ever refueling outage in 25 days.
"Despite a continuation of weak power prices and excess capacity in many markets, FPL Energy continued to successfully grow its business in 2003. Our diverse portfolio, industry leading position in wind generation and moderate risk approach position us well for continued earnings growth in 2004," Hay said.
Corporate and Other
Corporate and Other's contribution to net income was a loss of $15 million or $0.08 cents per share in the quarter. FPL FiberNet, an FPL Group subsidiary that provides fiber-optic networks and related services in Florida, had a net loss of $2 million or $0.01 cents per share for the quarter. For the full year, Corporate and Other negatively impacted net income by $37 million or $0.21 cents per share. FPL FiberNet negatively impacted net income by $2 million or $0.01 per share. The company said it expects FPL FiberNet to be at or near break even in 2004.
Outlook for 2004
The company also reconfirmed its earnings guidance for 2004 of $4.95 to $5.20 per share excluding the cumulative effect of adopting new accounting standards, as well as the mark-to-market effect of non-managed hedges, neither of which can be determined at this time. The company said its forecast for 2004 reflects continued customer growth at Florida Power & Light and normal weather at both the utility and FPL Energy. The company said it expects earnings contributions from Florida Power & Light in the range of $4.20 to $4.35, from FPL Energy of $1.05 to $1.20, and a negative impact from Corporate & Other of $0.30 to $0.35 cents per share. Also included in the earnings expectations is a negative impact totaling about $0.04 cents per share attributable to expensing employee stock options, which the company earlier announced it would begin in 2004.
FPL Group's fourth quarter earnings conference call is scheduled for 9 a.m. ET on Friday, January 23, 2004. The webcast is available on FPL Group's website by accessing the following link, http://www.FPLGroup.com/investor/contents/investor_index.shtml
Profile
FPL Group, with annual revenues of more than $9 billion, is nationally known as a high-quality, efficient, and customer-driven organization focused on energy-related products and services. With a growing presence in 26 states, it is widely recognized as one of the country's premier power companies. Its principal subsidiary, Florida Power & Light Company, serves more than 4 million customer accounts in Florida. FPL Energy, LLC, an FPL Group energy-generating subsidiary, is a leader in producing electricity from clean and renewable fuels. Additional information is available on the Internet at www.FPLGroup.com, www.FPL.com and www.FPLEnergy.com.
CAUTIONARY STATEMENTS AND RISK FACTORS THAT MAY AFFECT FUTURE RESULTS | |
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FPL Group, Inc. | |||||||||
Three Months Ended December 31, 2003 | Florida Power | FPL | Corporate & | FPL Group, | |||||
Operating Revenues | $ 2,100 | $ 317 | $ 18 | $ 2,435 | |||||
Operating Expenses | |||||||||
Fuel, purchased power and interchange | 1,097 | 113 | 4 | 1,214 | |||||
Other operations and maintenance | 350 | 101 | 7 | 458 | |||||
Depreciation and amortization | 232 | 59 | 6 | 297 | |||||
Taxes other than income taxes | 192 | 14 | 1 | 207 | |||||
Total operating expenses | 1,871 | 287 | 18 | 2,176 | |||||
Operating Income (Loss) | 229 | 30 | - | 259 | |||||
Other Income (Deductions) | |||||||||
Interest charges | (45) | (37) | (30) | (112) | |||||
Preferred stock dividends - FPL | (2) | - | - | (2) | |||||
Loss on redemption of preferred stock | (9) | - | - | (9) | |||||
Equity in earnings of equity method investees | - | 3 | - | 3 | |||||
Other - net | 2 | 20 | 4 | 26 | |||||
Total other deductions - net | (54) | (14) | (26) | (94) | |||||
Income (Loss) From Operations Before Income Tax Expense (Benefit) | 175 | 16 | (26) | 165 | |||||
Income Tax Expense (Benefit) | 53 | (22) | (11) | 20 | |||||
Net Income (Loss) | $ 122 | $ 38 | $ (15) | $ 145 | |||||
Reconciliation of Net Income (Loss) to Earnings | |||||||||
Excluding After-tax Effect of Certain Items: | |||||||||
Net Income (Loss) | $ 122 | $ 38 | $ (15) | $ 145 | |||||
Adjustments: | |||||||||
Net unrealized mark-to-market (gains) losses associated | |||||||||
with non-managed hedges | - | (12) | - | (12) | |||||
Earnings (Loss) excluding after-tax effect of certain items | $ 122 | $ 26 | $ (15) | $ 133 | |||||
Earnings (Loss) Per Share (assuming dilution) | $ 0.68 | $ 0.21 | $ (0.08) | $ 0.81 | |||||
Earnings (Loss) Per Share excluding certain items | $ 0.68 | $ 0.14 | $ (0.08) | $ 0.74 | |||||
Weighted-average shares outstanding (assuming dilution) | 179 | ||||||||
FPL Energy's interest charges are based on a deemed capital structure of 50% debt for operating projects and 100% debt for projects under construction. Residual non-utility interest charges are included in Corporate & Other. Corporate & Other represents other business activities, other segments that are not separately reportable, eliminating entries, and may include the net effect of rounding. |
FPL Group, Inc. | |||||||||
Three Months Ended December 31, 2002 | Florida Power | FPL | Corporate & | FPL Group, | |||||
Operating Revenues | $ 1,775 | $ 249 | $ 18 | $ 2,042 | |||||
Operating Expenses | |||||||||
Fuel, purchased power and interchange | 815 | 103 | 2 | 920 | |||||
Other operations and maintenance | 386 | 88 | 13 | 487 | |||||
Depreciation and amortization | 199 | 32 | 3 | 234 | |||||
Taxes other than income taxes | 159 | 2 | 1 | 162 | |||||
Total operating expenses | 1,559 | 225 | 19 | 1,803 | |||||
Operating Income (Loss) | 216 | 24 | (1) | 239 | |||||
Other Income (Deductions) | |||||||||
Interest charges | (40) | (22) | (16) | (78) | |||||
Preferred stock dividends - FPL | (3) | - | (1) | (4) | |||||
Equity in earnings of equity method investees | - | 24 | - | 24 | |||||
Other - net | (5) | (2) | - | (7) | |||||
Total other income (deductions) - net | (48) | - | (17) | (65) | |||||
Income (Loss) From Operations Before Income Tax Expense (Benefit) | 168 | 24 | (18) | 174 | |||||
Income Tax Expense (Benefit) | 57 | (2) | (10) | 45 | |||||
Net Income (Loss) | $ 111 | $ 26 | $ (8) | $ 129 | |||||
Reconciliation of Net Income (Loss) to Earnings | |||||||||
Excluding After-tax Effect of Certain Items: | |||||||||
Net Income (Loss) | $ 111 | $ 26 | $ (8) | $ 129 | |||||
Adjustments: | |||||||||
Net unrealized mark-to-market (gains) losses associated | |||||||||
with non-managed hedges | - | 4 | - | 4 | |||||
Earnings (Loss) excluding after-tax effect of certain items | $ 111 | $ 30 | $ (8) | $ 133 | |||||
Earnings (Loss) Per Share (assuming dilution) | $ 0.63 | $ 0.15 | $ (0.05) | $ 0.73 | |||||
Earnings (Loss) Per Share excluding certain items | $ 0.63 | $ 0.17 | $ (0.05) | $ 0.75 | |||||
Weighted-average shares outstanding (assuming dilution) | 177 | ||||||||
FPL Energy's interest charges are based on a deemed capital structure of 50% debt for operating projects and 100% debt for projects under construction. Residual non-utility interest charges are included in Corporate & Other. Corporate & Other represents other business activities, other segments that are not separately reportable, eliminating entries, and may include the net effect of rounding. |
FPL Group, Inc. | |||||||||
Year Ended December 31, 2003 | Florida Power | FPL | Corporate & | FPL Group, | |||||
Operating Revenues | $ 8,293 | $ 1,252 | $ 85 | $ 9,630 | |||||
Operating Expenses | |||||||||
Fuel, purchased power and interchange | 4,047 | 480 | 12 | 4,539 | |||||
Other operations and maintenance | 1,250 | 337 | 39 | 1,626 | |||||
Depreciation and amortization | 898 | 187 | 20 | 1,105 | |||||
Taxes other than income taxes | 769 | 55 | 5 | 829 | |||||
Total operating expenses | 6,964 | 1,059 | 76 | 8,099 | |||||
Operating Income (Loss) | 1,329 | 193 | 9 | 1,531 | |||||
Other Income (Deductions) | |||||||||
Interest charges | (173) | (124) | (82) | (379) | |||||
Preferred stock dividends - FPL | (13) | - | - | (13) | |||||
Loss on redemption of preferred stock | (9) | - | - | (9) | |||||
Equity in earnings of equity method investees | - | 89 | - | 89 | |||||
Other - net | 2 | 35 | 5 | 42 | |||||
Total other deductions - net | (193) | - | (77) | (270) | |||||
Income (Loss) From Operations Before Income Tax Expense (Benefit) | |||||||||
and Cumulative Effect of a Change in Accounting Principle | 1,136 | 193 | (68) | 1,261 | |||||
Income Tax Expense (Benefit) | 403 | (4) | (31) | 368 | |||||
Income Before Cumulative Effect of a Change | |||||||||
in Accounting Principle | 733 | 197 | (37) | 893 | |||||
Cumulative Effect of Adopting FASB Interpretation No. 46, "Consolidation of | |||||||||
Variable Interest Entities," Net of Income Taxes of $2 | - | (3) | - | (3) | |||||
Net Income (Loss) | $ 733 | $ 194 | $ (37) | $ 890 | |||||
Reconciliation of Net Income (Loss) to Earnings | |||||||||
Excluding After-tax Effect of Certain Items: | |||||||||
Net Income (Loss) | $ 733 | $ 194 | $ (37) | $ 890 | |||||
Adjustments: | |||||||||
Cumulative effect of a change in accounting principle (FIN 46) | - | 3 | - | 3 | |||||
Net unrealized mark-to-market (gains) losses associated | |||||||||
with non-managed hedges | - | (22) | - | (22) | |||||
Earnings (Loss) excluding after-tax effect of certain items | $ 733 | $ 175 | $ (37) | $ 871 | |||||
Earnings (Loss) Per Share (assuming dilution) | $ 4.12 | $ 1.09 | $ (0.21) | $ 5.00 | |||||
Earnings (Loss) Per Share excluding certain items | $ 4.12 | $ 0.98 | $ (0.21) | $ 4.89 | |||||
Weighted-average shares outstanding (assuming dilution) | 178 | ||||||||
FPL Energy's interest charges are based on a deemed capital structure of 50% debt for operating projects and 100% debt for projects under construction. Residual non-utility interest charges are included in Corporate & Other. Corporate & Other represents other business activities, other segments that are not separately reportable, eliminating entries, and may include the net effect of rounding. |
FPL Group, Inc. | |||||||||
Year Ended December 31, 2002 | Florida Power | FPL | Corporate & | FPL Group, | |||||
Operating Revenues | $ 7,378 | $ 691 | $ 104 | $ 8,173 | |||||
Operating Expenses | |||||||||
Fuel, purchased power and interchange | 3,306 | 259 | 11 | 3,576 | |||||
Other operations and maintenance | 1,225 | 215 | 52 | 1,492 | |||||
Restructuring and impairment charges | - | 103 | 104 | 207 | |||||
Depreciation and amortization | 831 | 107 | 14 | 952 | |||||
Taxes other than income taxes | 690 | 23 | 8 | 721 | |||||
Total operating expenses | 6,052 | 707 | 189 | 6,948 | |||||
Operating Income (Loss) | 1,326 | (16) | (85) | 1,225 | |||||
Other Income (Deductions) | |||||||||
Interest charges | (166) | (86) | (59) | (311) | |||||
Preferred stock dividends - FPL | (15) | - | - | (15) | |||||
Reserve for leveraged leases | - | - | (48) | (48) | |||||
Equity in earnings of equity method investees | - | 76 | - | 76 | |||||
Other - net | (3) | 25 | (10) | 12 | |||||
Total other income (deductions) - net | (184) | 15 | (117) | (286) | |||||
Income (Loss) From Operations Before Income Tax Expense (Benefit) | |||||||||
and Cumulative Effect of a Change in Accounting Principle | 1,142 | (1) | (202) | 939 | |||||
Income Tax Expense (Benefit) | 425 | (54) | (127) | 244 | |||||
Income Before Cumulative Effect of a Change | |||||||||
in Accounting Principle | 717 | 53 | (75) | 695 | |||||
Cumulative Effect of Adopting FAS 142, "Goodwill and | |||||||||
Other Intangible Assets," Net of Income Taxes of $143 | - | (222) | - | (222) | |||||
Net Income (Loss) | $ 717 | $ (169) | $ (75) | $ 473 | |||||
Reconciliation of Net Income (Loss) to Earnings | |||||||||
Excluding After-tax Effect of Certain Items: | |||||||||
Net Income (Loss) | $ 717 | $ (169) | $ (75) | $ 473 | |||||
Adjustments: | |||||||||
Cumulative effect of a change in accounting principle (FAS 142) | - | 222 | - | 222 | |||||
Charges due to restructuring | - | 73 | 64 | 137 | |||||
Reserve for leveraged leases | - | - | 30 | 30 | |||||
Gain on settlement of IRS litigation | - | - | (30) | (30) | |||||
Net unrealized mark-to-market (gains) losses associated | |||||||||
with non-managed hedges | - | - | (1) | (1) | |||||
Earnings (Loss) excluding after-tax effect of certain items | $ 717 | $ 126 | $ (12) | $ 831 | |||||
Earnings (Loss) Per Share (assuming dilution) | $ 4.14 | $ (0.97) | $ (0.44) | $ 2.73 | |||||
Earnings (Loss) Per Share excluding certain items | $ 4.14 | $ 0.73 | $ (0.07) | $ 4.80 | |||||
Weighted-average shares outstanding (assuming dilution) | 173 | ||||||||
FPL Energy's interest charges are based on a deemed capital structure of 50% debt for operating projects and 100% debt for projects under construction. Residual non-utility interest charges are included in Corporate & Other. Corporate & Other represents other business activities, other segments that are not separately reportable, eliminating entries, and may include the net effect of rounding. |
FPL Group, Inc. | |||||
Three Months Ended December 31, | |||||
2003 | 2002 | ||||
Florida Power & Light Company | $ 0.68 | $ 0.63 | |||
FPL Energy, LLC | 0.21 | 0.15 | |||
Corporate and Other | (0.08) | (0.05) | |||
Earnings Per Share | $ 0.81 | $ 0.73 | |||
Reconciliation of Earnings Per Share to Earnings Per Share Excluding Effect of Certain Items: | |||||
Earnings Per Share | $ 0.81 | $ 0.73 | |||
Adjustments: | |||||
Net unrealized mark-to-market (gains) losses associated with non-managed hedges, | |||||
primarily FPL Energy | (0.07) | 0.02 | |||
Earnings Per Share excluding certain items | $ 0.74 | $ 0.75 | |||
Year Ended December 31, | |||||
2003 | 2002 | ||||
Florida Power & Light Company | $ 4.12 | $ 4.14 | |||
FPL Energy, LLC | 1.09 | (0.97) | |||
Corporate and Other | (0.21) | (0.44) | |||
Earnings Per Share | $ 5.00 | $ 2.73 | |||
Reconciliation of Earnings Per Share to Earnings Per Share Excluding Effect of Certain Items: | |||||
Earnings Per Share | $ 5.00 | $ 2.73 | |||
Adjustments: | |||||
Charges due to restructuring of FPL Energy | - | 0.42 | |||
Cumulative effect of a change in accounting principle (FAS 142) - FPL Energy | - | 1.28 | |||
Cumulative effect of a change in accounting principle (FIN 46) - FPL Energy | 0.02 | - | |||
Charges due to restructuring of FPL FiberNet - Corporate and Other | - | 0.37 | |||
Reserve for leveraged leases - Corporate and Other | - | 0.17 | |||
Gain on settlement of IRS litigation - Corporate and Other | - | (0.17) | |||
Net unrealized mark-to-market (gains) losses associated with non-managed hedges, | |||||
primarily FPL Energy | (0.13) | - | |||
Earnings Per Share excluding certain items | $ 4.89 | $ 4.80 | |||
FPL Group, Inc. | |||||||||||
First | Second | Third | Fourth | Full | |||||||
FPL Group - 2002 Earnings Per Share | $ (0.33) | $ 1.46 | $ 0.85 | $ 0.73 | $ 2.73 | ||||||
Florida Power & Light - 2002 Earnings Per Share | 0.69 | 1.20 | 1.61 | 0.63 | 4.14 | ||||||
Customer growth | 0.06 | 0.07 | 0.08 | 0.07 | 0.30 | ||||||
Underlying usage growth | 0.09 | 0.05 | 0.02 | 0.01 | 0.17 | ||||||
Usage due to weather | 0.10 | (0.03) | (0.02) | (0.03) | 0.02 | ||||||
Rate reduction | (0.21) | - | - | - | (0.21) | ||||||
Refund provision | 0.07 | 0.01 | - | 0.03 | 0.10 | ||||||
Depreciation expense - credit timing | 0.11 | (0.02) | (0.05) | (0.04) | - | ||||||
Depreciation expense - new plant in service | (0.03) | (0.04) | (0.04) | (0.06) | (0.17) | ||||||
O&M expenses | (0.09) | (0.08) | (0.03) | 0.12 | (0.08) | ||||||
Other, including share dilution | (0.03) | (0.04) | (0.02) | (0.05) | (0.15) | ||||||
Florida Power & Light - 2003 Earnings Per Share | 0.76 | 1.12 | 1.55 | 0.68 | 4.12 | ||||||
FPL Energy - 2002 Earnings Per Share | (1.17) | 0.22 | (0.19) | 0.15 | (0.97) | ||||||
New investments | 0.16 | 0.13 | 0.15 | 0.02 | 0.46 | ||||||
Existing assets | (0.05) | (0.08) | (0.02) | - | (0.14) | ||||||
Asset optimization and trading | (0.01) | 0.03 | 0.01 | 0.01 | 0.04 | ||||||
Restructuring activities | (0.03) | - | - | (0.05) | (0.06) | ||||||
Other, including interest expense, share dilution and rounding | 0.02 | 0.03 | (0.04) | (0.01) | (0.05) | ||||||
September 2002 restructuring charges | - | - | 0.42 | - | 0.42 | ||||||
Cumulative Effect of Changes in Accounting Principles: | |||||||||||
FAS 142, "Goodwill and Other Intangible Assets" | 1.31 | - | - | - | 1.28 | ||||||
FIN 46, "Consolidation of Variable Interest Entities" | - | - | (0.02) | - | (0.02) | ||||||
Non-managed hedges impact | 0.02 | (0.05) | 0.04 | 0.09 | 0.13 | ||||||
FPL Energy - 2003 Earnings Per Share | 0.25 | 0.28 | 0.35 | 0.21 | 1.09 | ||||||
Corporate and Other - 2002 Earnings Per Share | 0.15 | 0.04 | (0.57) | (0.05) | (0.44) | ||||||
FPL FiberNet operations | 0.03 | (0.09) | 0.01 | (0.01) | (0.06) | ||||||
September 2002 FPL FiberNet restructuring charges | - | - | 0.36 | - | 0.37 | ||||||
Reserve for leveraged leases | - | - | 0.17 | - | 0.17 | ||||||
Favorable settlement with the IRS | (0.18) | - | - | - | (0.17) | ||||||
Other, including share dilution and rounding | (0.02) | (0.01) | (0.01) | (0.02) | (0.08) | ||||||
Corporate and Other - 2003 Earnings Per Share | (0.02) | (0.06) | (0.04) | (0.08) | (0.21) | ||||||
FPL Group - 2003 Earnings Per Share | $ 0.99 | $ 1.34 | $ 1.86 | $ 0.81 | $ 5.00 | ||||||
The sum of the quarterly amounts may not equal the total for the year due to rounding. |
FPL Group, Inc. | |||||||||
December 31, 2003 | Florida Power | FPL | Corporate & | FPL Group, | |||||
Capitalization (millions) | |||||||||
Debt due within one year | $ 630 | $ 93 | $ 647 | $ 1,370 | |||||
Long-term debt | 3,074 | 1,683 | 3,976 | 8,733 | |||||
Total debt | 3,704 | 1,776 | 4,623 | 10,103 | |||||
Preferred stock of FPL without sinking fund requirements | 5 | - | - | 5 | |||||
Common shareholders' equity | 6,004 | 5,188 | (4,225) | 6,967 | |||||
Total capitalization | $ 9,713 | $ 6,964 | $ 398 | $ 17,075 | |||||
Total debt to total capitalization ratio | 59% | ||||||||
Total debt to total capitalization ratio (80% equity | 54% | ||||||||
credit to equity units) | |||||||||
December 31, 2002 | Florida Power | FPL | Corporate & | FPL Group, | |||||
Capitalization (millions) | |||||||||
Debt due within one year | $ 792 | $ 35 | $ 1,475 | $ 2,302 | |||||
Long-term debt | 2,364 | 347 | 3,079 | 5,790 | |||||
Total debt | 3,156 | 382 | 4,554 | 8,092 | |||||
Preferred stock of FPL without sinking fund requirements | 226 | - | - | 226 | |||||
Common shareholders' equity | 5,382 | 5,103 | (4,095) | 6,390 | |||||
Total capitalization | $ 8,764 | $ 5,485 | $ 459 | $ 14,708 | |||||
Total debt to total capitalization ratio | 55% | ||||||||
Total debt to total capitalization ratio (80% equity | 49% | ||||||||
credit to equity units) |
FPL Group, Inc. | |||||||
Type of Debt | Interest | Maturity | Amount | ||||
Florida Power & Light | |||||||
Commercial Paper | VAR | VAR | $ 630 | ||||
TOTAL FLORIDA POWER & LIGHT | 630 | ||||||
FPL Group Capital | |||||||
Commercial Paper | VAR | VAR | 171 | ||||
Notes Payable | Various | Various | 200 | ||||
Bank Term Loan | VAR | 08/08/04 | 100 | ||||
Debentures | 6.875 | 06/01/04 | 175 | ||||
FPL Energy | |||||||
Senior Secured Bonds | |||||||
Principal Payments | 6.876 | 06/27/04 | 7 | ||||
Principal Payments | 6.639 | 06/30/04 | 19 | ||||
Principal Payments | 7.520 | 06/30/04 | 20 | ||||
Principal Payments | 7.520 | 12/31/04 | 17 | ||||
Total Senior Secured Bonds | 63 | ||||||
Senior Secured Notes | |||||||
Principal Payments | 7.110 | 06/30/04 | 2 | ||||
Principal Payments | 7.110 | 12/31/04 | 2 | ||||
Total Senior Secured Notes | 4 | ||||||
Notes Payable | |||||||
Notes Payable | 6.000 | 05/01/04 | 6 | ||||
Notes Payable | VAR | 12/31/04 | 6 | ||||
Total Notes Payable | 12 | ||||||
Other Debt | |||||||
Principal Payments | VAR | 03/31/04 | 3 | ||||
Principal Payments | VAR | 06/30/04 | 2 | ||||
Principal Payments | VAR | 07/31/04 | 4 | ||||
Principal Payments | VAR | 09/30/04 | 3 | ||||
Principal Payments | VAR | 12/31/04 | 2 | ||||
Total Other Debt | 14 | ||||||
TOTAL FPL ENERGY | 93 | ||||||
TOTAL FPL GROUP CAPITAL | 739 | ||||||
TOTAL FPL GROUP, INC. | $ 1,369 | ||||||
May not agree to financial statements due to rounding. |
FPL Group, Inc. | |||||||
Type of Debt | Interest Rate (%) | Maturity Date | Amount (millions) | ||||
Florida Power & Light | |||||||
First Mortgage Bonds | |||||||
First Mortgage Bonds | 6.875 | 12/01/05 | $ 500 | ||||
First Mortgage Bonds | 6.000 | 06/01/08 | 200 | ||||
First Mortgage Bonds | 5.875 | 04/01/09 | 225 | ||||
First Mortgage Bonds | 4.850 | 02/01/13 | 400 | ||||
First Mortgage Bonds | 5.850 | 02/01/33 | 200 | ||||
First Mortgage Bonds | 5.950 | 10/01/33 | 300 | ||||
First Mortgage Bonds | 5.625 | 04/01/34 | 500 | ||||
Total First Mortgage Bonds | 2,325 | ||||||
Revenue Refunding Bonds | |||||||
Miami-Dade Solid Waste Disposal | VAR | 02/01/23 | 15 | ||||
St. Lucie Solid Waste Disposal | VAR | 05/01/24 | 79 | ||||
Total Revenue Refunding Bonds | 94 | ||||||
Pollution Control Bonds | |||||||
Dade | VAR | 04/01/20 | 9 | ||||
Martin | VAR | 07/15/22 | 96 | ||||
Jacksonville | VAR | 09/01/24 | 46 | ||||
Manatee | VAR | 09/01/24 | 17 | ||||
Putnam | VAR | 09/01/24 | 4 | ||||
Jacksonville | VAR | 05/01/27 | 28 | ||||
St. Lucie | VAR | 09/01/28 | 242 | ||||
Jacksonville | VAR | 05/01/29 | 52 | ||||
Total Pollution Control Bonds | 494 | ||||||
Industrial Bonds | |||||||
Dade | VAR | 06/01/21 | 46 | ||||
Total Industrial Bonds | 46 | ||||||
FPL Fuels Senior Secured Notes | 2.340 | 06/11/06 | 135 | ||||
Unamortized discount | (20) | ||||||
TOTAL FLORIDA POWER & LIGHT | 3,074 | ||||||
FPL Group Capital | |||||||
Debentures | |||||||
Debentures | VAR | 03/30/05 | 400 | ||||
Debentures | 1.875 | 03/30/05 | 200 | ||||
Debentures | 3.250 | 04/11/06 | 500 | ||||
Debentures | 7.625 | 09/15/06 | 600 | ||||
Debentures (A Equity Units) | 4.750 | 02/16/07 | 575 | ||||
Debentures | 6.125 | 05/15/07 | 500 | ||||
Debentures (B Equity Units) | 5.000 | 02/16/08 | 506 | ||||
Debentures | 7.375 | 06/01/09 | 225 | ||||
Debentures | 7.375 | 06/01/09 | 400 | ||||
Total Debentures | 3,906 | ||||||
Other Debt | |||||||
Other Debt | VAR | 05/31/05 | 75 | ||||
Other Debt | 7.350 | 08/01/13 | 5 | ||||
Total Other Debt | 80 | ||||||
Fair value swaps | (4) | ||||||
Unamortized discount | (6) | ||||||
FPL Energy | |||||||
Senior Secured Bonds | |||||||
Senior Secured Bonds | 6.876 | 06/27/17 | 118 | ||||
Senior Secured Bonds | 7.520 | 06/30/19 | 309 | ||||
Senior Secured Bonds | 6.639 | 06/20/23 | 361 | ||||
Total Senior Secured Bonds | 788 | ||||||
Senior Secured Notes | 7.110 | 06/28/20 | 111 | ||||
Construction Term Facility | VAR | 06/30/08 | 315 | ||||
Other Debt | |||||||
Other Debt | VAR | 12/27/07 | 346 | ||||
Other Debt | VAR | 12/19/17 | 122 | ||||
Total Other Debt | 468 | ||||||
TOTAL FPL ENERGY | 1,682 | ||||||
TOTAL FPL GROUP CAPITAL | 5,658 | ||||||
TOTAL FPL GROUP, INC. | $ 8,732 | ||||||
May not agree to financial statements due to rounding. |
Florida Power & Light Company | |||||||||
Three Months | Year Ended | ||||||||
Periods ended December 31, | 2003 | 2002 | 2003 | 2002 | |||||
Energy sales (million kWh) | |||||||||
Residential | 12,890 | 12,828 | 53,485 | 50,865 | |||||
Commercial | 10,580 | 10,253 | 41,425 | 40,029 | |||||
Industrial | 991 | 990 | 4,004 | 4,057 | |||||
Public authorities | 150 | 147 | 581 | 572 | |||||
Electric utilities | 373 | 381 | 1,511 | 1,233 | |||||
Increase (decrease) in unbilled sales | (1,460) | (1,568) | (156) | 54 | |||||
Interchange power sales | 863 | 415 | 2,352 | 1,795 | |||||
Total | 24,387 | 23,446 | 103,202 | 98,605 | |||||
Average price (cents/kWh)(1) | |||||||||
Residential | 9.09 | 8.00 | 8.64 | 8.03 | |||||
Commercial | 7.74 | 6.63 | 7.32 | 6.67 | |||||
Industrial | 6.34 | 5.26 | 5.89 | 5.26 | |||||
Total | 8.36 | 7.28 | 7.95 | 7.32 | |||||
Average customer accounts (000's) | |||||||||
Residential | 3,684 | 3,594 | 3,653 | 3,566 | |||||
Commercial | 449 | 438 | 445 | 435 | |||||
Industrial | 18 | 16 | 17 | 16 | |||||
Other | 3 | 3 | 2 | 3 | |||||
Total | 4,154 | 4,051 | 4,117 | 4,020 | |||||
Heating degree-days | |||||||||
Actual | 111 | 91 | 382 | 244 | |||||
Normal | 93 | 93 | 313 | 314 | |||||
Cooling degree-days | |||||||||
Actual | 322 | 335 | 1,893 | 1,900 | |||||
Normal | 241 | 240 | 1,639 | 1,637 | |||||
(1) Excludes interchange power sales, net change in unbilled revenues, deferrals under cost recovery clauses and the provision for refund. |