Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2011

Fair Value Measurements [Abstract]

Financial assets and liabilities and other fair value measurements

NextEra Energy's and FPL's financial assets and liabilities and other fair value measurements made on a recurring basis by fair value hierarchy level are as follows:

	June 30, 2011
	Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1)		Significant Other Observable Inputs (Level 2)			Significant Unobservable Inputs (Level 3)		Netting(a)			Total
	(millions)
Assets:
Cash equivalents:
NextEra Energy - equity securities	$	-	$	76		$	-	$	-		$	76
Special use funds:
NextEra Energy:
Equity securities	$	769	$	1,276	(b)	$	-	$	-		$	2,045
U.S. Government and municipal bonds	$	517	$	106		$	-	$	-		$	623
Corporate debt securities	$	-	$	463		$	-	$	-		$	463
Mortgage-backed securities	$	-	$	529		$	-	$	-		$	529
Other debt securities	$	-	$	121		$	-	$	-		$	121
FPL:
Equity securities	$	135	$	1,118	(b)	$	-	$	-		$	1,253
U.S. Government and municipal bonds	$	462	$	95		$	-	$	-		$	557
Corporate debt securities	$	-	$	327		$	-	$	-		$	327
Mortgage-backed securities	$	-	$	441		$	-	$	-		$	441
Other debt securities	$	-	$	44		$	-	$	-		$	44
Other investments:
NextEra Energy:
Equity securities	$	3	$	2		$	-	$	-		$	5
U.S. Government and municipal bonds	$	13	$	-		$	-	$	-		$	13
Corporate debt securities	$	-	$	52		$	-	$	-		$	52
Mortgage-backed securities	$	-	$	36		$	-	$	-		$	36
Other	$	5	$	18		$	-	$	-		$	23
Derivatives:
NextEra Energy:
Commodity contracts	$	1,432	$	1,433		$	707	$	(2,849	)	$	723	(c)
Interest rate swaps	$	-	$	65		$	-	$	-		$	65	(c)
Foreign currency swaps	$	-	$	7		$	-	$	-		$	7	(c)
FPL - commodity contracts	$	-	$	23		$	7	$	(19	)	$	11	(c)
Liabilities:
Derivatives:
NextEra Energy:
Commodity contracts	$	1,475	$	1,294		$	552	$	(2,861	)	$	460	(c)
Interest rate swaps	$	-	$	157		$	-	$	-		$	157	(c)
Foreign currency swaps	$	-	$	7		$	-	$	-		$	7	(c)
FPL - commodity contracts	$	-	$	168		$	2	$	(19	)	$	151	(c)

¾¾¾¾¾¾¾¾¾¾

(a)	Includes the effect of the contractual ability to settle contracts under master netting arrangements and margin cash collateral payments and receipts.
(b)	At NextEra Energy, approximately $1,147 million ($1,036 million at FPL) are invested in commingled funds whose underlying investments would be Level 1 if those investments were held directly by NextEra Energy or FPL.
(c)	See Note 2 for a reconciliation of net derivatives to NextEra Energy's and FPL's condensed consolidated balance sheets.

	December 31, 2010
	Quoted Prices in Active Markets for Identical Assets or Liabilities (Level 1)		Significant Other Observable Inputs (Level 2)			Significant Unobservable Inputs (Level 3)		Netting(a)			Total
	(millions)
Assets:
Cash equivalents:
NextEra Energy - equity securities	$	-	$	122		$	-	$	-		$	122
FPL - equity securities	$	-	$	7		$	-	$	-		$	7
Special use funds:
NextEra Energy:
Equity securities	$	741	$	1,245	(b)	$	-	$	-		$	1,986
U.S. Government and municipal bonds	$	495	$	127		$	-	$	-		$	622
Corporate debt securities	$	-	$	486		$	-	$	-		$	486
Mortgage-backed securities	$	-	$	447		$	-	$	-		$	447
Other debt securities	$	-	$	108		$	-	$	-		$	108
FPL:
Equity securities	$	125	$	1,082	(b)	$	-	$	-		$	1,207
U.S. Government and municipal bonds	$	458	$	111		$	-	$	-		$	569
Corporate debt securities	$	-	$	334		$	-	$	-		$	334
Mortgage-backed securities	$	-	$	381		$	-	$	-		$	381
Other debt securities	$	-	$	41		$	-	$	-		$	41
Other investments:
NextEra Energy:
Equity securities	$	3	$	1		$	-	$	-		$	4
U.S. Government and municipal bonds	$	8	$	4		$	-	$	-		$	12
Corporate debt securities	$	-	$	32		$	-	$	-		$	32
Mortgage-backed securities	$	-	$	58		$	-	$	-		$	58
Other	$	5	$	10		$	-	$	-		$	15
Derivatives:
NextEra Energy:
Commodity contracts	$	1,755	$	1,538		$	824	$	(3,177	)	$	940	(c)
Interest rate swaps	$	-	$	107		$	-	$	-		$	107	(c)
Foreign currency swaps	$	-	$	48		$	-	$	-		$	48	(c)
FPL - commodity contracts	$	-	$	14		$	8	$	(13	)	$	9	(c)
Liabilities:
Derivatives:
NextEra Energy:
Commodity contracts	$	1,821	$	1,509		$	528	$	(3,206	)	$	652	(c)
Interest rate swaps	$	-	$	123		$	-	$	-		$	123	(c)
Foreign currency swaps	$	-	$	4		$	-	$	-		$	4	(c)
FPL - commodity contracts	$	-	$	257		$	1	$	(13	)	$	245	(c)

¾¾¾¾¾¾¾¾¾¾

(a)	Includes the effect of the contractual ability to settle contracts under master netting arrangements and margin cash collateral payments and receipts.
(b)	At NextEra Energy, approximately $1,084 million ($980 million at FPL) are invested in commingled funds whose underlying investments would be Level 1 if those investments were held directly by NextEra Energy or FPL.
(c)	See Note 2 for a reconciliation of net derivatives to NextEra Energy's and FPL's condensed consolidated balance sheets.

Reconciliation of changes in the fair value of derivatives measured based on significant unobservable inputs

The reconciliation of changes in the fair value of derivatives that are based on significant unobservable inputs is as follows:

	Three Months Ended June 30, 2011						Six Months Ended June 30, 2011
	NextEra Energy			FPL			NextEra Energy			FPL
	(millions)
Fair value of net derivatives based on significant unobservable inputs at March 31 and December 31 of prior period	$	104		$	5		$	296		$	7
Realized and unrealized gains (losses):
Included in earnings(a)		95			-			13			-
Included in regulatory assets and liabilities		2			2			2			2
Purchases		53			-			141			-
Settlements		(58	)		(2	)		(103	)		(4	)
Issuances		(38	)		-			(190	)		-
Transfers in(b)		1			-			2			-
Transfers out(b)		(4	)		-			(6	)		-
Fair value of net derivatives based on significant unobservable inputs at June 30	$	155		$	5		$	155		$	5
The amount of gains (losses) for the period included in earnings attributable to the change in unrealized gains (losses) relating to derivatives still held at the reporting date(c)	$	89		$	-		$	8		$	-

¾¾¾¾¾¾¾¾¾¾

(a)	For the three and six months ended June 30, 2011, $92 million and less than $1 million, respectively, of realized and unrealized gains (losses) are reflected in operating revenues in the condensed consolidated statements of income.  For the three and six months ended June 30, 2011, $3 million and $13 million, respectively, of realized and unrealized gains (losses) are reflected in fuel, purchased power and interchange in the condensed consolidated statements of income.
(b)	For the three and six months ended June 30, 2011, transfers into Level 3 were a result of decreased observability of market data and transfers from Level 3 to Level 2 were a result of increased observability of market data.  NextEra Energy's and FPL's policy is to recognize all transfers at the beginning of the reporting period.
(c)	For the three and six months ended June 30, 2011, $89 million and $3 million, respectively, of unrealized gains (losses) are reflected in operating revenues in the condensed consolidated statements of income.  For the three and six months ended June 30, 2011, less than $1 million and $5 million, respectively, of unrealized gains (losses) are reflected in fuel, purchased power and interchange in the condensed consolidated statements of income.

	Three Months Ended June 30, 2010						Six Months Ended June 30, 2010
	NextEra Energy			FPL			NextEra Energy			FPL
	(millions)
Fair value of net derivatives based on significant unobservable inputs at March 31 and December 31 of prior period	$	549		$	10		$	364		$	11
Realized and unrealized gains (losses):
Included in earnings(a)		(110	)		-			350			-
Included in regulatory assets and liabilities		(1	)		(1	)		(1	)		(1	)
Purchases, sales, settlements and issuances		(69	)		(2	)		(338	)		(3	)
Transfers in(b)		1			-			2			-
Transfers out(b)		(23	)		-			(30	)		-
Fair value of net derivatives based on significant unobservable inputs at June 30	$	347		$	7		$	347		$	7
The amount of gains (losses) for the period included in earnings attributable to the change in unrealized gains (losses) relating to derivatives still held at the reporting date(c)	$	(99	)	$	-		$	237		$	-

¾¾¾¾¾¾¾¾¾¾

(a)	For the three and six months ended June 30, 2010, $(109) million and $343 million, respectively, of realized and unrealized gains (losses) are reflected in operating revenues in the condensed consolidated statements of income.  For the three and six months ended June 30, 2010, $(1) million and $7 million, respectively, of realized and unrealized gains (losses) are reflected in fuel, purchased power and interchange in the condensed consolidated statements of income.
(b)	For the three and six months ended June 30, 2010, transfers into Level 3 were a result of decreased observability of market data and transfers from Level 3 to Level 2 were a result of increased observability of market data.  NextEra Energy's and FPL's policy is to recognize all transfers at the beginning of the reporting period.
(c)	For the three and six months ended June 30, 2010, $(98) million and $233 million, respectively, of unrealized gains (losses) are reflected in operating revenues in the condensed consolidated statements of income.  For the three and six months ended June 30, 2010, $(1) million and $4 million, respectively, of unrealized gains (losses) are reflected in fuel, purchased power and interchange in the condensed consolidated statements of income.