8-KRegulation FD

NEXTERA ENERGY INC 8-K Report, Regulation FD Disclosure (Jun 14, 2010)

Filed June 14, 2010For Securities:NEENEE-PNNEE-PSNEE-PTNEE-PWNEE-PVNEE-PU

Summary

NextEra Energy, Inc. (NEE) filed an 8-K on June 14, 2010, primarily to reaffirm its previously stated financial outlook. The company indicated that during investor meetings in Asia, management would reiterate its expectation for average adjusted earnings per share (EPS) to grow between 5% and 7% annually from 2009 to 2014. This growth trajectory would position NextEra Energy's adjusted EPS in the range of $5.17 to $5.68 by 2014. It is crucial for investors to note that these adjusted EPS figures exclude certain items, such as the impact of new accounting standards and unrealized mark-to-market effects of hedges, which are not quantifiable at this time. The filing also includes extensive cautionary statements and risk factors that could materially affect future results.

Key Highlights

  • 1Reaffirmation of 5%-7% annual adjusted EPS growth target from 2009-2014.
  • 2Projected adjusted EPS of $5.17 to $5.68 for 2014.
  • 3Disclosure of investor meetings being conducted in Asia.
  • 4Explicit exclusion of specific items from adjusted EPS calculations (new accounting standards, non-qualifying hedge mark-to-market effects, net other than temporary impairment losses).
  • 5Emphasis on the importance of viewing adjusted EPS alongside cautionary statements and risk factors.
  • 6Comprehensive 'Cautionary Statements and Risk Factors' section detailing numerous potential risks.

Frequently Asked Questions

The primary purpose of this 8-K filing is to publicly reaffirm NextEra Energy's previously announced financial outlook regarding its adjusted earnings per share (EPS) growth and target for 2014. This communication was made during investor meetings in Asia.

NextEra Energy expects its average adjusted EPS to grow approximately 5% to 7% per year from 2009 to 2014. This is projected to result in an adjusted EPS between $5.17 and $5.68 for the year 2014.

The adjusted EPS figures exclude the cumulative effect of adopting new accounting standards, the unrealized mark-to-market effect of non-qualifying hedges, and net other than temporary impairment losses on securities held in NextEra Energy Resources, LLC's nuclear decommissioning funds. The specific impact of these items could not be determined at the time of the filing.

The filing details numerous risks, including extensive government and regulatory oversight, potential inability to recover costs through regulated rates, federal regulatory compliance costs and penalties, negative publicity, legislative and regulatory initiatives, environmental laws and regulations (including GHG emissions), risks associated with nuclear generation facilities, project development and construction delays, operational risks of facilities, competitive energy market risks, reliance on government support for renewables, credit and performance risks from customers/suppliers, slower customer growth, weather impacts, credit/capital market volatility, changes in credit ratings, derivative contract risks, acquisition integration risks, subsidiary dividend/fund repayment limitations, changes in tax laws, data security breaches, operational system failures, terrorism threats, and workforce/personnel cost issues.