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 and Gulf Power. 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 June 30, 2019 2018 (a) NEE (Guarantor) NEECH Other (b) NEE Consoli- dated NEE (Guarantor) NEECH Other (b) NEE Consoli- dated (millions) Operating revenues $ — $ 1,474 $ 3,496 $ 4,970 $ — $ 1,189 $ 2,874 $ 4,063 Operating expenses - net (41 ) (606 ) (2,576 ) (3,223 ) (58 ) (905 ) (1,954 ) (2,917 ) Interest expense (1 ) (434 ) (166 ) (601 ) (10 ) (244 ) (140 ) (394 ) Equity in earnings of subsidiaries 1,235 — (1,235 ) — 794 — (794 ) — Equity in earnings (losses) of equity method investees — (6 ) — (6 ) — 52 — 52 Other income - net 36 75 12 123 52 38 19 109 Income (loss) before income taxes 1,229 503 (469 ) 1,263 778 130 5 913 Income tax expense (benefit) (5 ) 68 61 124 (3 ) 54 175 226 Net income (loss) 1,234 435 (530 ) 1,139 781 76 (170 ) 687 Net loss attributable to noncontrolling interests — 95 — 95 — 94 — 94 Net income (loss) attributable to NEE $ 1,234 $ 530 $ (530 ) $ 1,234 $ 781 $ 170 $ (170 ) $ 781 Six Months Ended June 30, 2019 2018 (a) NEE (Guarantor) NEECH Other (b) NEE Consoli- dated NEE (Guarantor) NEECH Other (b) NEE Consoli- dated (millions) Operating revenues $ — $ 2,640 $ 6,404 $ 9,044 $ — $ 2,460 $ 5,460 $ 7,920 Operating expenses - net (97 ) (1,480 ) (4,585 ) (6,162 ) (113 ) (1,764 ) (3,838 ) (5,715 ) Interest expense (2 ) (996 ) (317 ) (1,315 ) (11 ) (336 ) (273 ) (620 ) Equity in earnings of subsidiaries 1,929 — (1,929 ) — 5,158 — (5,158 ) — Equity in earnings of equity method investees — 10 — 10 — 249 — 249 Gain on NEP deconsolidation — — — — — 3,927 — 3,927 Other income - net 87 242 37 366 102 90 44 236 Income (loss) before income taxes 1,917 416 (390 ) 1,943 5,136 4,626 (3,765 ) 5,997 Income tax expense (benefit) 3 (26 ) 221 198 (76 ) 1,264 288 1,476 Net income (loss) 1,914 442 (611 ) 1,745 5,212 3,362 (4,053 ) 4,521 Net loss attributable to noncontrolling interests — 169 — 169 — 691 — 691 Net income (loss) attributable to NEE $ 1,914 $ 611 $ (611 ) $ 1,914 $ 5,212 $ 4,053 $ (4,053 ) $ 5,212 ——————————————— (a) Amounts have been retrospectively adjusted for an accounting standards update related to leases. (b) Represents primarily FPL and consolidating adjustments. Condensed Consolidating Statements of Comprehensive Income Three Months Ended June 30, 2019 2018 (a) NEE (Guarantor) NEECH Other (b) NEE Consoli- dated NEE (Guarantor) NEECH Other (b) NEE Consoli- dated (millions) Comprehensive income (loss) attributable to NEE $ 1,256 $ 553 $ (553 ) $ 1,256 $ 786 $ 176 $ (176 ) $ 786 Six Months Ended June 30, 2019 2018 (a) NEE (Guarantor) NEECH Other (b) NEE Consoli- dated NEE (Guarantor) NEECH Other (b) NEE Consoli- dated (millions) Comprehensive income (loss) attributable to NEE $ 1,912 $ 663 $ (663 ) $ 1,912 $ 5,256 $ 4,100 $ (4,100 ) $ 5,256 ——————————————— (a) Amounts have been retrospectively adjusted for an accounting standards update related to leases. (b) Represents primarily FPL and consolidating adjustments. Condensed Consolidating Balance Sheets June 30, 2019 December 31, 2018 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 $ 354 $ 37,709 $ 61,988 $ 100,051 $ 220 $ 37,145 $ 54,718 $ 92,083 Accumulated depreciation and amortization (85 ) (8,874 ) (14,956 ) (23,915 ) (58 ) (8,473 ) (13,218 ) (21,749 ) Total property, plant and equipment - net 269 28,835 47,032 76,136 162 28,672 41,500 70,334 CURRENT ASSETS Cash and cash equivalents 1 913 105 1,019 (1 ) 525 114 638 Receivables 161 1,641 1,319 3,121 292 1,771 906 2,969 Other 7 1,783 1,541 3,331 5 1,425 1,356 2,786 Total current assets 169 4,337 2,965 7,471 296 3,721 2,376 6,393 OTHER ASSETS Investment in subsidiaries 34,585 — (34,585 ) — 33,397 — (33,397 ) — Investment in equity method investees — 7,202 — 7,202 — 6,748 — 6,748 Goodwill 1 593 2,902 3,496 1 587 303 891 Other 511 6,543 9,193 16,247 937 5,890 12,509 19,336 Total other assets 35,097 14,338 (22,490 ) 26,945 34,335 13,225 (20,585 ) 26,975 TOTAL ASSETS $ 35,535 $ 47,510 $ 27,507 $ 110,552 $ 34,793 $ 45,618 $ 23,291 $ 103,702 CAPITALIZATION Common shareholders' equity $ 34,910 $ 8,785 $ (8,785 ) $ 34,910 $ 34,144 $ 7,917 $ (7,917 ) $ 34,144 Noncontrolling interests — 3,516 — 3,516 — 3,269 — 3,269 Redeemable noncontrolling interests — 68 — 68 — 468 — 468 Long-term debt — 19,478 14,469 33,947 — 15,094 11,688 26,782 Total capitalization 34,910 31,847 5,684 72,441 34,144 26,748 3,771 64,663 CURRENT LIABILITIES Debt due within one year — 6,657 1,113 7,770 — 9,579 1,351 10,930 Accounts payable 2 1,893 703 2,598 32 1,730 624 2,386 Other 409 1,613 2,022 4,044 168 2,364 1,715 4,247 Total current liabilities 411 10,163 3,838 14,412 200 13,673 3,690 17,563 OTHER LIABILITIES AND DEFERRED CREDITS Asset retirement obligations — 1,018 2,365 3,383 — 988 2,147 3,135 Deferred income taxes (406 ) 2,748 5,744 8,086 (157 ) 2,778 4,746 7,367 Other 620 1,734 9,876 12,230 606 1,431 8,937 10,974 Total other liabilities and deferred credits 214 5,500 17,985 23,699 449 5,197 15,830 21,476 COMMITMENTS AND CONTINGENCIES TOTAL CAPITALIZATION AND LIABILITIES $ 35,535 $ 47,510 $ 27,507 $ 110,552 $ 34,793 $ 45,618 $ 23,291 $ 103,702 ——————————————— (a) Represents primarily FPL and consolidating adjustments. Condensed Consolidating Statements of Cash Flows Six Months Ended June 30, 2019 2018 (a) NEE (Guaran- tor) NEECH Other (b) NEE Consoli- dated NEE (Guaran- tor) NEECH Other (b) NEE Consoli- dated (millions) NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES $ 1,737 $ 558 $ 986 $ 3,281 $ 2,005 $ 1,459 $ (528 ) $ 2,936 CASH FLOWS FROM INVESTING ACTIVITIES Capital expenditures, independent power and other investments and nuclear fuel purchases (153 ) (2,637 ) (7,110 ) (9,900 ) (71 ) (3,348 ) (2,504 ) (5,923 ) Capital contributions from NEE (386 ) — 386 — (854 ) — 854 — Sale of independent power and other investments of NEER — 995 — 995 — 311 — 311 Proceeds from sale or maturity of securities in special use funds and other investments — 783 1,276 2,059 — 687 1,101 1,788 Purchases of securities in special use funds and other investments — (772 ) (1,333 ) (2,105 ) — (764 ) (1,228 ) (1,992 ) Distributions from equity method investees of independent power investments — — — — — 633 — 633 Other - net 18 18 24 60 12 (206 ) 22 (172 ) Net cash used in investing activities (521 ) (1,613 ) (6,757 ) (8,891 ) (913 ) (2,687 ) (1,755 ) (5,355 ) CASH FLOWS FROM FINANCING ACTIVITIES Issuances of long-term debt — 5,751 1,803 7,554 — 1,281 1,594 2,875 Retirements of long-term debt — (1,722 ) (154 ) (1,876 ) — (415 ) (799 ) (1,214 ) Net change in commercial paper — 2,013 (381 ) 1,632 — 1,405 (700 ) 705 Proceeds from other short-term debt — — — — — 200 — 200 Repayments of other short-term debt — (4,600 ) — (4,600 ) — — (250 ) (250 ) Payments from related parties under CSCS agreement - net — 671 — 671 — 50 — 50 Issuances of common stock - net 26 — — 26 11 — — 11 Dividends on common stock (1,197 ) — — (1,197 ) (1,047 ) — — (1,047 ) Contributions from (dividends to) NEE — (80 ) 80 — — (2,408 ) 2,408 — Other - net (43 ) (93 ) (22 ) (158 ) (56 ) (56 ) (31 ) (143 ) Net cash provided by (used in) financing activities (1,214 ) 1,940 1,326 2,052 (1,092 ) 57 2,222 1,187 Effects of currency translation on cash, cash equivalents and restricted cash — 8 — 8 — (15 ) — (15 ) Net increase (decrease) in cash, cash equivalents and restricted cash 2 893 (4,445 ) (3,550 ) — (1,186 ) (61 ) (1,247 ) Cash, cash equivalents and restricted cash at beginning of period (1 ) 533 4,721 5,253 1 1,807 175 1,983 Cash, cash equivalents and restricted cash at end of period $ 1 $ 1,426 $ 276 $ 1,703 $ 1 $ 621 $ 114 $ 736 ——————————————— (a) Amounts have been retrospectively adjusted for an accounting standards update related to leases. (b) Represents primarily FPL and consolidating adjustments. |