Summarized Financial Information of NEECH | 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 March 31, 2018 2017 NEE (Guarantor) NEECH Other (a) NEE Consoli- dated NEE (Guarantor) (b) NEECH Other (a) NEE Consoli- dated (b) (millions) Operating revenues $ — $ 1,277 $ 2,586 $ 3,863 $ — $ 1,462 $ 2,510 $ 3,972 Operating expenses - net (56 ) (878 ) (1,882 ) (2,816 ) (49 ) 150 (1,711 ) (1,610 ) Interest expense (1 ) (91 ) (134 ) (226 ) — (241 ) (119 ) (360 ) Equity in earnings of subsidiaries 4,361 — (4,361 ) — 1,563 — (1,563 ) — Gain on NEP deconsolidation — 3,935 — 3,935 — — — — Other income (deduction) - net 51 250 23 324 43 229 (8 ) 264 Income (loss) before income taxes 4,355 4,493 (3,768 ) 5,080 1,557 1,600 (891 ) 2,266 Income tax expense (benefit) (73 ) 1,210 112 1,249 (26 ) 450 251 675 Net income (loss) 4,428 3,283 (3,880 ) 3,831 1,583 1,150 (1,142 ) 1,591 Net (income) loss attributable to noncontrolling interests — 597 — 597 — (8 ) — (8 ) Net income (loss) attributable to NEE $ 4,428 $ 3,880 $ (3,880 ) $ 4,428 $ 1,583 $ 1,142 $ (1,142 ) $ 1,583 ——————————————— (a) Represents primarily FPL and consolidating adjustments. (b) Prior period amounts have been retrospectively adjusted as discussed in Note 3 - Amendments to Presentation of Retirement Benefits. Condensed Consolidating Statements of Comprehensive Income Three Months Ended March 31, 2018 2017 NEE (Guarantor) NEECH Other (a) NEE Consoli- dated NEE (Guarantor) NEECH Other (a) NEE Consoli- dated (millions) Comprehensive income (loss) attributable to NEE $ 4,467 $ 3,921 $ (3,921 ) $ 4,467 $ 1,613 $ 1,175 $ (1,175 ) $ 1,613 ——————————————— (a) Represents primarily FPL and consolidating adjustments. Condensed Consolidating Balance Sheets March 31, 2018 December 31, 2017 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 $ 31 $ 35,292 $ 52,792 $ 88,115 $ 20 $ 41,782 $ 51,981 $ 93,783 Accumulated depreciation and amortization (26 ) (7,868 ) (13,025 ) (20,919 ) (15 ) (8,551 ) (12,801 ) (21,367 ) Total property, plant and equipment - net 5 27,424 39,767 67,196 5 33,231 39,180 72,416 CURRENT ASSETS Cash and cash equivalents 3 521 26 550 1 1,679 34 1,714 Receivables 265 1,488 636 2,389 442 1,633 662 2,737 Other 5 1,323 1,345 2,673 5 1,283 1,418 2,706 Total current assets 273 3,332 2,007 5,612 448 4,595 2,114 7,157 OTHER ASSETS Investment in subsidiaries 32,417 (32,417 ) — 27,825 — (27,825 ) — Investment in equity method investees — 6,774 — 6,774 — 2,321 — 2,321 Other 657 6,131 7,914 14,702 591 7,620 7,722 15,933 Total other assets 33,074 12,905 (24,503 ) 21,476 28,416 9,941 (20,103 ) 18,254 TOTAL ASSETS $ 33,352 $ 43,661 $ 17,271 $ 94,284 $ 28,869 $ 47,767 $ 21,191 $ 97,827 CAPITALIZATION Common shareholders' equity $ 32,706 $ 14,011 $ (14,011 ) $ 32,706 $ 28,208 $ 10,745 $ (10,745 ) $ 28,208 Noncontrolling interests — 3,287 — 3,287 — 1,290 — 1,290 Long-term debt — 16,259 11,803 28,062 — 20,227 11,236 31,463 Total capitalization 32,706 33,557 (2,208 ) 64,055 28,208 32,262 491 60,961 CURRENT LIABILITIES Debt due within one year — 2,484 1,653 4,137 — 1,215 2,403 3,618 Accounts payable 1 1,158 589 1,748 3 2,427 805 3,235 Other 524 1,745 1,425 3,694 325 2,073 1,981 4,379 Total current liabilities 525 5,387 3,667 9,579 328 5,715 5,189 11,232 OTHER LIABILITIES AND DEFERRED CREDITS Asset retirement obligations — 927 2,071 2,998 — 984 2,047 3,031 Deferred income taxes (282 ) 2,551 4,738 7,007 (82 ) 1,247 4,589 5,754 Other 403 1,239 9,003 10,645 415 7,559 8,875 16,849 Total other liabilities and deferred credits 121 4,717 15,812 20,650 333 9,790 15,511 25,634 COMMITMENTS AND CONTINGENCIES TOTAL CAPITALIZATION AND LIABILITIES $ 33,352 $ 43,661 $ 17,271 $ 94,284 $ 28,869 $ 47,767 $ 21,191 $ 97,827 ——————————————— (a) Represents primarily FPL and consolidating adjustments. Condensed Consolidating Statements of Cash Flows Three Months Ended March 31, 2018 2017 (a) NEE (Guaran- tor) NEECH Other (b) NEE Consoli- dated NEE (Guaran- tor) NEECH Other (b) NEE Consoli- dated (millions) NET CASH PROVIDED BY OPERATING ACTIVITIES $ 1,392 $ 503 $ (605 ) $ 1,290 $ 522 $ 493 $ 243 $ 1,258 CASH FLOWS FROM INVESTING ACTIVITIES Capital expenditures, independent power and other investments and nuclear fuel purchases — (2,385 ) (1,203 ) (3,588 ) — (3,413 ) (1,766 ) (5,179 ) Proceeds from sale of the fiber-optic telecommunications business — — — — — 1,484 — 1,484 Capital contributions from NEE (853 ) — 853 — (38 ) — 38 — Proceeds from sale or maturity of securities in special use funds and other investments — 489 430 919 — 243 492 735 Purchases of securities in special use funds and other investments — (506 ) (533 ) (1,039 ) — (285 ) (519 ) (804 ) Other - net 12 11 18 41 1 27 66 94 Net cash used in investing activities (841 ) (2,391 ) (435 ) (3,667 ) (37 ) (1,944 ) (1,689 ) (3,670 ) CASH FLOWS FROM FINANCING ACTIVITIES Issuances of long-term debt — 804 1,000 1,804 — 489 200 689 Retirements of long-term debt — (155 ) (787 ) (942 ) — (514 ) (34 ) (548 ) Net change in commercial paper — 1,403 (126 ) 1,277 — 1,085 956 2,041 Proceeds from other short-term debt — — — — — — 200 200 Repayments of other short-term debt — — (250 ) (250 ) — — — — Issuances of common stock - net 7 — — 7 7 — — 7 Dividends on common stock (523 ) — — (523 ) (460 ) — — (460 ) Contributions from (dividends to) NEE — (1,191 ) 1,191 — — (89 ) 89 — Other - net (33 ) (9 ) (20 ) (62 ) (32 ) (224 ) 10 (246 ) Net cash provided by (used in) financing activities (549 ) 852 1,008 1,311 (485 ) 747 1,421 1,683 Effects of currency translation on cash, cash equivalents and restricted cash — (9 ) — (9 ) — — — — Net increase (decrease) in cash, cash equivalents and restricted cash 2 (1,045 ) (32 ) (1,075 ) — (704 ) (25 ) (729 ) Cash, cash equivalents and restricted cash at beginning of period 1 1,807 175 1,983 1 1,375 153 1,529 Cash, cash equivalents and restricted cash at end of period $ 3 $ 762 $ 143 $ 908 $ 1 $ 671 $ 128 $ 800 ——————————————— (a) Prior period amounts have been retrospectively adjusted as discussed in Note 10 - Restricted Cash. (b) Represents primarily FPL and consolidating adjustments. |