Summarized Financial Information of Capital Holdings | 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 Three Months Ended September 30, 2016 2015 NEE (Guarantor) NEECH Other (a) NEE Consoli- dated NEE (Guarantor) NEECH Other (a) NEE Consoli- dated (millions) Operating revenues $ — $ 1,526 $ 3,279 $ 4,805 $ — $ 1,683 $ 3,271 $ 4,954 Operating expenses (5 ) (1,032 ) (2,489 ) (3,526 ) (3 ) (1,045 ) (2,425 ) (3,473 ) Interest expense — (255 ) (114 ) (369 ) (1 ) (200 ) (110 ) (311 ) Equity in earnings of subsidiaries 765 — (765 ) — 865 — (865 ) — Other income - net 4 276 17 297 — 114 18 132 Income (loss) before income taxes 764 515 (72 ) 1,207 861 552 (111 ) 1,302 Income tax expense (benefit) 11 141 266 418 (18 ) 167 272 421 Net income (loss) 753 374 (338 ) 789 879 385 (383 ) 881 Less net income attributable to noncontrolling interests — 36 — 36 — 2 — 2 Net income (loss) attributable to NEE $ 753 $ 338 $ (338 ) $ 753 $ 879 $ 383 $ (383 ) $ 879 Nine Months Ended September 30, 2016 2015 NEE (Guarantor) NEECH Other (a) NEE Consoli- dated NEE (Guarantor) NEECH Other (a) NEE Consoli- dated (millions) Operating revenues $ — $ 4,131 $ 8,326 $ 12,457 $ — $ 4,616 $ 8,801 $ 13,417 Operating expenses (14 ) (2,756 ) (6,005 ) (8,775 ) (12 ) (3,124 ) (6,524 ) (9,660 ) Interest expense (1 ) (1,137 ) (342 ) (1,480 ) (3 ) (573 ) (336 ) (912 ) Equity in earnings of subsidiaries 1,989 — (1,989 ) — 2,226 — (2,226 ) — Other income - net 5 603 57 665 — 343 45 388 Income (loss) before income taxes 1,979 841 47 2,867 2,211 1,262 (240 ) 3,233 Income tax expense (benefit) 33 71 775 879 (34 ) 293 722 981 Net income (loss) 1,946 770 (728 ) 1,988 2,245 969 (962 ) 2,252 Less net income attributable to noncontrolling interests — 42 — 42 — 7 — 7 Net income (loss) attributable to NEE $ 1,946 $ 728 $ (728 ) $ 1,946 $ 2,245 $ 962 $ (962 ) $ 2,245 ——————————————— (a) Represents primarily FPL and consolidating adjustments. Condensed Consolidating Statements of Comprehensive Income Three Months Ended September 30, 2016 2015 NEE (Guarantor) NEECH Other (a) NEE Consoli- dated NEE (Guarantor) NEECH Other (a) NEE Consoli- dated (millions) Comprehensive income (loss) attributable to NEE $ 799 $ 384 $ (384 ) $ 799 $ 714 $ 218 $ (218 ) $ 714 Nine Months Ended September 30, 2016 2015 NEE (Guarantor) NEECH Other (a) NEE Consoli- dated NEE (Guarantor) NEECH Other (a) NEE Consoli- dated (millions) Comprehensive income (loss) attributable to NEE $ 2,078 $ 866 $ (866 ) $ 2,078 $ 2,117 $ 850 $ (850 ) $ 2,117 ——————————————— (a) Represents primarily FPL and consolidating adjustments. Condensed Consolidating Balance Sheets September 30, 2016 December 31, 2015 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 $ 28 $ 37,986 $ 47,849 $ 85,863 $ 27 $ 34,921 $ 45,382 $ 80,330 Accumulated depreciation and amortization (18 ) (7,823 ) (12,405 ) (20,246 ) (16 ) (7,067 ) (11,861 ) (18,944 ) Total property, plant and equipment - net 10 30,163 35,444 65,617 11 27,854 33,521 61,386 CURRENT ASSETS Cash and cash equivalents — 634 47 681 — 546 25 571 Receivables 210 1,908 741 2,859 90 1,510 665 2,265 Other 4 1,891 1,312 3,207 4 2,443 1,512 3,959 Total current assets 214 4,433 2,100 6,747 94 4,499 2,202 6,795 OTHER ASSETS Investment in subsidiaries 23,851 — (23,851 ) — 22,544 — (22,544 ) — Other 808 8,844 5,848 15,500 823 7,790 5,685 14,298 Total other assets 24,659 8,844 (18,003 ) 15,500 23,367 7,790 (16,859 ) 14,298 TOTAL ASSETS $ 24,883 $ 43,440 $ 19,541 $ 87,864 $ 23,472 $ 40,143 $ 18,864 $ 82,479 CAPITALIZATION Common shareholders' equity $ 23,907 $ 8,196 $ (8,196 ) $ 23,907 $ 22,574 $ 6,990 $ (6,990 ) $ 22,574 Noncontrolling interests — 962 — 962 — 538 — 538 Long-term debt — 18,350 9,845 28,195 — 16,725 9,956 26,681 Total capitalization 23,907 27,508 1,649 53,064 22,574 24,253 2,966 49,793 CURRENT LIABILITIES Debt due within one year — 2,500 982 3,482 — 2,786 220 3,006 Accounts payable 1 2,089 710 2,800 4 1,919 606 2,529 Other 294 2,301 1,579 4,174 252 3,003 1,317 4,572 Total current liabilities 295 6,890 3,271 10,456 256 7,708 2,143 10,107 OTHER LIABILITIES AND DEFERRED CREDITS Asset retirement obligations — 747 1,890 2,637 — 647 1,822 2,469 Deferred income taxes 82 2,636 7,864 10,582 157 2,396 7,274 9,827 Other 599 5,659 4,867 11,125 485 5,139 4,659 10,283 Total other liabilities and deferred credits 681 9,042 14,621 24,344 642 8,182 13,755 22,579 COMMITMENTS AND CONTINGENCIES TOTAL CAPITALIZATION AND LIABILITIES $ 24,883 $ 43,440 $ 19,541 $ 87,864 $ 23,472 $ 40,143 $ 18,864 $ 82,479 ——————————————— (a) Represents primarily FPL and consolidating adjustments. Condensed Consolidating Statements of Cash Flows Nine Months Ended September 30, 2016 2015 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 $ 1,164 $ 1,781 $ 2,349 $ 5,294 $ 1,242 $ 1,834 $ 1,437 $ 4,513 CASH FLOWS FROM INVESTING ACTIVITIES Capital expenditures, independent power and other investments and nuclear fuel purchases (1 ) (4,831 ) (3,097 ) (7,929 ) — (3,058 ) (2,618 ) (5,676 ) Capital contributions from NEE (432 ) — 432 — (1,454 ) — 1,454 — Sale of independent power and other investments of NEER — 395 — 395 — 34 — 34 Proceeds from the sale of a noncontrolling interest in subsidiaries — 645 — 645 — 319 — 319 Other - net — (63 ) (31 ) (94 ) (17 ) 2 (139 ) (154 ) Net cash used in investing activities (433 ) (3,854 ) (2,696 ) (6,983 ) (1,471 ) (2,703 ) (1,303 ) (5,477 ) CASH FLOWS FROM FINANCING ACTIVITIES Issuances of long-term debt — 4,494 150 4,644 — 3,377 85 3,462 Retirements of long-term debt — (2,392 ) (262 ) (2,654 ) — (2,547 ) (550 ) (3,097 ) Proceeds from sale of differential membership interests — 328 — 328 — 46 — 46 Payments to differential membership investors — (84 ) — (84 ) — (68 ) — (68 ) Proceeds from notes payable — — 500 500 — 1,450 — 1,450 Repayments of notes payable — (212 ) (150 ) (362 ) — (313 ) — (313 ) Net change in commercial paper — (154 ) 408 254 — 780 (896 ) (116 ) Issuances of common stock 528 — — 528 1,274 — — 1,274 Dividends on common stock (1,205 ) — — (1,205 ) (1,031 ) — — (1,031 ) Contributions from (dividends to) NEE — 294 (294 ) — — (1,214 ) 1,214 — Other - net (54 ) (113 ) 17 (150 ) (14 ) (55 ) 30 (39 ) Net cash provided by (used in) financing activities (731 ) 2,161 369 1,799 229 1,456 (117 ) 1,568 Net increase in cash and cash equivalents — 88 22 110 — 587 17 604 Cash and cash equivalents at beginning of period — 546 25 571 — 562 15 577 Cash and cash equivalents at end of period $ — $ 634 $ 47 $ 681 $ — $ 1,149 $ 32 $ 1,181 ——————————————— (a) Represents primarily FPL and consolidating adjustments. |