Item 7.01 Regulation FD Disclosure
On September 14, 2020, NextEra Energy, Inc. (NEE) announced that Ms. Rebecca
Kujawa, executive vice president, finance and chief financial officer NEE, is
scheduled to participate at a financial conference at 7 a.m. ET on September 15,
2020 where she will be discussing, among other things, that based on the ongoing
strength of the renewables development environment and the continued execution
across all of its businesses, NEE is increasing its financial expectations for
2021 and 2022 and is extending its longer-term growth outlook to 2023. For 2021,
NEE is increasing its financial expectations ranges by $0.20 and now expects
adjusted earnings per share to be in the range of $9.60 to $10.15. For 2022 and
2023, NEE expects to grow adjusted earnings per share 6% to 8%, off the expected
increased 2021 adjusted earnings per share.
The adjusted earnings expectations exclude the cumulative effect of adopting new
accounting standards; the effects of non-qualifying hedges and unrealized gains
and losses on equity securities held in NextEra Energy Resources, LLC's (NEER)
nuclear decommissioning funds and other than temporary impairments, none of
which can be determined at this time. Adjusted earnings expectations also
exclude the effects of NextEra Energy Partners, LP net investment gains; gains
on disposal of a business; differential membership interests-related; and
acquisition-related expenses. In addition, adjusted earnings expectations
assume, among other things, normal weather and operating conditions; supportive
commodity markets; current forward curves; public policy support for wind and
solar development and construction; market demand and transmission expansion to
support wind and solar development; market demand for pipeline capacity; access
to capital at reasonable cost and terms; no divestitures other than to NextEra
Energy Partners, LP or acquisitions; no adverse litigation decisions; and no
changes to governmental tax policy or incentives. Please see the accompanying
cautionary statements for a list of the risk factors that may affect future
results.
Investors and other interested parties can access a copy of the meeting
materials at www.NextEraEnergy.com/investors.
Cautionary Statements and Risk Factors That May Affect Future Results
This Form 8-K contains "forward-looking statements" within the meaning of the
safe harbor provisions of the Private Securities Litigation Reform Act of 1995.
Forward-looking statements are not statements of historical facts, but instead
represent the current expectations of NEE and Florida Power & Light Company
(FPL) regarding future operating results and other future events, many of which,
by their nature, are inherently uncertain and outside of NEE's and FPL's
control. Forward-looking statements in this Form 8-K include, among others,
statements concerning adjusted earnings per share expectations and future
operating performance, statements concerning future dividends, and results of
acquisitions. In some cases, you can identify the forward-looking statements by
words or phrases such as "will," "may result," "expect," "anticipate,"
"believe," "intend," "plan," "seek," "potential," "projection," "forecast,"
"predict," "goals," "target," "outlook," "should," "would" or similar words or
expressions. You should not place undue reliance on these forward-looking
statements, which are not a guarantee of future performance. The future results
of NEE and FPL and their business and financial condition are subject to risks
and uncertainties that could cause their actual results to differ materially
from those expressed or implied in the forward-looking statements, or may
require them to limit or eliminate certain operations. These risks and
uncertainties include, but are not limited to, those discussed in this Form 8-K
and the following: effects of extensive regulation of NEE's and FPL's business
operations; inability of NEE and FPL to recover in a timely manner any
significant amount of costs, a return on certain assets or a reasonable return
on invested capital through base rates, cost recovery clauses, other regulatory
mechanisms or otherwise; impact of political, regulatory and economic factors on
regulatory decisions important to NEE and FPL; disallowance of cost recovery by
FPL based on a finding of imprudent use of derivative instruments; effect of any
reductions or modifications to, or elimination of, governmental incentives or
policies that support utility scale renewable energy projects of NEER and its
affiliated entities or the imposition of additional tax laws, policies or
assessments on renewable energy; impact of new or revised laws, regulations,
interpretations or ballot or regulatory initiatives on NEE and FPL; capital
expenditures, increased operating costs and various liabilities attributable to
environmental laws, regulations and other standards applicable to NEE and FPL;
effects on NEE and FPL of federal or state laws or regulations mandating new or
additional limits on the production of greenhouse gas emissions; exposure of NEE
and FPL to significant and increasing compliance costs and substantial monetary
penalties and other sanctions as a result of extensive federal regulation of
their operations and businesses; effect on NEE and FPL of changes in tax laws,
guidance or policies as well as in judgments and estimates used to determine
tax-related asset and liability amounts; impact on NEE and FPL of adverse
results of litigation; effect on NEE and FPL of failure to proceed with projects
under development or inability to complete the construction of (or capital
improvements to) electric generation, transmission and distribution facilities,
gas infrastructure facilities or other facilities on schedule or within budget;
impact on development and operating activities of NEE and FPL resulting from
risks related to project siting, financing, construction, permitting,
governmental approvals and the negotiation of project development agreements;
risks involved in the operation and maintenance of electric generation,
transmission and distribution facilities, gas infrastructure facilities, retail
gas distribution system in Florida and other facilities; effect on NEE and FPL
of a lack of growth or slower growth in the number of customers or in customer
usage; impact on NEE and FPL of severe weather and other weather conditions;
threats of terrorism and catastrophic events that could result from terrorism,
cyberattacks or other attempts to disrupt NEE's and FPL's business or the
businesses of third parties; inability to obtain adequate insurance coverage for
protection of NEE and FPL against significant losses and risk that insurance
coverage does not provide protection against all significant losses; a prolonged
period of low gas and oil prices could impact NEER' gas infrastructure business
and cause NEER to delay or cancel certain gas infrastructure projects and could
result in certain projects becoming impaired; risk to NEER of increased
operating costs resulting from unfavorable supply costs necessary to provide
NEER's full energy and capacity
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requirement services; inability or failure by NEER to manage properly or hedge
effectively the commodity risk within its portfolio; effect of reductions in the
liquidity of energy markets on NEE's ability to manage operational risks;
effectiveness of NEE's and FPL's risk management tools associated with their
hedging and trading procedures to protect against significant losses, including
the effect of unforeseen price variances from historical behavior; impact of
unavailability or disruption of power transmission or commodity transportation
facilities on sale and delivery of power or natural gas by NEE, including FPL;
exposure of NEE and FPL to credit and performance risk from customers, hedging
counterparties and vendors; failure of NEE or FPL counterparties to perform
under derivative contracts or of requirement for NEE or FPL to post margin cash
collateral under derivative contracts; failure or breach of NEE's or FPL's
information technology systems; risks to NEE and FPL's retail businesses from
compromise of sensitive customer data; losses from volatility in the market
values of derivative instruments and limited liquidity in OTC markets; impact of
negative publicity; inability of NEE and FPL to maintain, negotiate or
renegotiate acceptable franchise agreements with municipalities and counties in
Florida; occurrence of work strikes or stoppages and increasing personnel costs;
NEE's ability to successfully identify, complete and integrate acquisitions,
including the effect of increased competition for acquisitions; environmental,
health and financial risks associated with NEER's and FPL's ownership and
operation of nuclear generation facilities; liability of NEE and FPL for
significant retrospective assessments and/or retrospective insurance premiums in
the event of an incident at certain nuclear generation facilities; increased
operating and capital expenditures and/or reduced revenues at nuclear generation
facilities of NEE or FPL resulting from orders or new regulations of the Nuclear
Regulatory Commission; inability to operate any of NEER's or FPL's owned nuclear
generation units through the end of their respective operating licenses; effect
of disruptions, uncertainty or volatility in the credit and capital markets or
actions by third parties in connection with project-specific or other financing
arrangements on NEE's and FPL's ability to fund their liquidity and capital
needs and meet their growth objectives; inability of NEE, FPL and NextEra Energy
Capital Holdings, Inc. to maintain their current credit ratings; impairment of
NEE's and FPL's liquidity from inability of credit providers to fund their
credit commitments or to maintain their current credit ratings; poor market
performance and other economic factors that could affect NEE's defined benefit
pension plan's funded status; poor market performance and other risks to the
asset values of NEE's and FPL's nuclear decommissioning funds; changes in market
value and other risks to certain of NEE's investments; effect of inability of
NEE subsidiaries to pay upstream dividends or repay funds to NEE or of NEE's
performance under guarantees of subsidiary obligations on NEE's ability to meet
its financial obligations and to pay dividends on its common stock; the fact
that the amount and timing of dividends payable on NEE's common stock, as well
as the dividend policy approved by NEE's board of directors from time to time,
and changes to that policy, are within the sole discretion of NEE's board of
directors and, if declared and paid, dividends may be in amounts that are less
than might be expected by shareholders; NEP's inability to access sources of
capital on commercially reasonable terms could have an effect on its ability to
consummate future acquisitions and on the value of NEE's limited partner
interest in NextEra Energy Operating Partners, LP; effects of disruptions,
uncertainty or volatility in the credit and capital markets on the market price
of NEE's common stock; and the ultimate severity and duration of the coronavirus
pandemic and its effects on NEE's or FPL's businesses. NEE and FPL discuss these
and other risks and uncertainties in their annual report on Form 10-K for the
year ended December 31, 2019 and other SEC filings, and this Form 8-K should be
read in conjunction with such SEC filings. The forward-looking statements made
in this Form 8-K are made only as of the date of this Form 8-K and NEE and FPL
undertake no obligation to update any forward-looking statements.
Item 8.01 Other Events
On September 14, 2020, NEE's board of directors approved a four-for-one split of
NEE common stock, which is intended to make stock ownership more accessible to a
broader base of investors. Each NEE shareholder of record at the close of
business on October 19, 2020, will receive three additional shares of common
stock for each then-held share, to be distributed on October 26, 2020. Trading
will begin on a stock split-adjusted basis on October 27, 2020.
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