<PAGE>
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
FORM 10-Q
[X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended September 30, 1995
OR
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
Commission file number 1-3545
FLORIDA POWER & LIGHT COMPANY
(Exact name of registrant as specified in its charter)
Florida 59-0247775
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
700 Universe Boulevard
Juno Beach, Florida 33408
(Address of principal executive offices)
(Zip Code)
(407) 694-4647
(Registrant's telephone number, including area code)
Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange
Act of 1934 during the preceding 12 months and (2) has been subject to
such filing requirements for the past 90 days. Yes X No
APPLICABLE ONLY TO CORPORATE ISSUERS:
Indicate the number of shares outstanding of each of the issuer's
classes of common stock, as of the latest practicable date.
Common Stock, No Par Value, outstanding at October 31, 1995: 1,000
shares
<PAGE>
PART I - FINANCIAL INFORMATION
Item 1. Financial Statements
FLORIDA POWER & LIGHT COMPANY
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(Unaudited)
<TABLE>
<CAPTION>
Three Months Ended Nine Months Ended
September 30, September 30,
1995 1994 1995 1994
(Thousands of Dollars)
<S> <C> <C>
OPERATING REVENUES ............................. $1,579,549 $1,501,896 $4,182,021 $4,076,258
OPERATING EXPENSES:
Fuel, purchased power and interchange ........ 480,912 470,319 1,284,187 1,308,720
Other operations and maintenance ............. 288,808 253,416 795,514 877,562
Depreciation and amortization ................ 211,000 203,561 668,982 535,483
Income taxes ................................. 143,956 133,521 307,699 277,490
Taxes other than income taxes ................ 148,091 144,483 413,687 399,520
Total operating expenses ................... 1,272,767 1,205,300 3,470,069 3,398,775
OPERATING INCOME ............................... 306,782 296,596 711,952 677,483
OTHER INCOME - NET ............................. 2,944 4,075 8,705 15,662
INTEREST CHARGES - NET ......................... 63,979 71,125 201,664 212,057
NET INCOME ..................................... 245,747 229,546 518,993 481,088
PREFERRED STOCK DIVIDEND REQUIREMENTS .......... 8,990 9,879 30,182 29,687
NET INCOME AVAILABLE TO FPL GROUP, INC. ........ $ 236,757 $ 219,667 $ 488,811 $ 451,401
</TABLE>
This report should be read in conjunction with the Notes to Condensed
Consolidated Financial Statements on Pages 5 through 7 herein and the
Notes to Consolidated Financial Statements appearing in Florida Power
& Light Company's (FPL) 1994 Annual Report on Form 10-K (Form 10-
K).
<PAGE>
FLORIDA POWER & LIGHT COMPANY
CONDENSED CONSOLIDATED BALANCE SHEETS
<TABLE>
<CAPTION>
September 30,
1995 December 31,
(Unaudited) 1994
(Thousands of Dollars)
<S> <C> <C>
ELECTRIC UTILITY PLANT:
At original cost, including nuclear fuel and construction work in progress $16,386,794 $16,138,641
Less accumulated depreciation and amortization ........................... 6,622,255 6,132,488
Electric utility plant - net ........................................... 9,764,539 10,006,153
CURRENT ASSETS:
Cash and cash equivalents ................................................ 2,746 535
Customer receivables, net of allowances of $10,641 and $11,518 ........... 560,590 458,047
Materials, supplies and fossil fuel stock - at average cost .............. 245,255 292,601
Other .................................................................... 194,324 81,290
Total current assets ................................................... 1,002,915 832,473
OTHER ASSETS:
Special use funds ........................................................ 542,372 435,117
Unamortized debt reacquisition costs and litigation items ................ 386,253 402,978
Other .................................................................... 148,716 144,731
Total other assets ..................................................... 1,077,341 982,826
TOTAL ASSETS ............................................................... $11,844,795 $11,821,452
CAPITALIZATION:
Common shareholder's equity .............................................. $ 4,438,818 $ 4,185,586
Preferred stock without sinking fund requirements ........................ 451,250 451,250
Preferred stock with sinking fund requirements ........................... 50,000 94,000
Long-term debt ........................................................... 3,055,685 3,581,157
Total capitalization ................................................... 7,995,753 8,311,993
CURRENT LIABILITIES:
Accounts payable ......................................................... 334,923 306,616
Debt and preferred stock due within one year ............................. 215,150 111,350
Accrued interest, taxes and other ........................................ 938,024 686,811
Total current liabilities .............................................. 1,488,097 1,104,777
OTHER LIABILITIES AND DEFERRED CREDITS:
Accumulated deferred income taxes ........................................ 1,196,888 1,259,822
Unamortized regulatory and investment tax credits ........................ 472,961 498,703
Other .................................................................... 691,096 646,157
Total other liabilities and deferred credits ........................... 2,360,945 2,404,682
COMMITMENTS AND CONTINGENCIES
TOTAL CAPITALIZATION AND LIABILITIES ....................................... $11,844,795 $11,821,452
</TABLE>
This report should be read in conjunction with the Notes to Condensed
Consolidated Financial Statements on Pages 5 through 7 herein and the
Notes to Consolidated Financial Statements appearing in FPL's 1994
Form 10-K.
<PAGE>
FLORIDA POWER & LIGHT COMPANY
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
<TABLE>
<CAPTION>
Nine Months Ended
September 30,
1995 1994
(Thousands of Dollars)
<S> <C> <C>
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income ................................................................... $ 518,993 $ 481,088
Adjustments to reconcile net income to net cash
provided by operating activities:
Depreciation and amortization ............................................ 668,982 535,483
Decrease in deferred income taxes and unamortized regulatory and
investment tax credits ................................................. (88,676) (6,359)
Other - net .............................................................. 181,411 24,913
Net cash provided by operating activities .................................. 1,280,710 1,035,125
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures (1) ..................................................... (490,837) (535,647)
Other - net .................................................................. (13,626) (112,518)
Net cash used in investing activities ...................................... (504,463) (648,165)
CASH FLOWS FROM FINANCING ACTIVITIES:
Issuance of debt ............................................................. 110,349 172,850
Retirement of debt and preferred stock ....................................... (591,438) (223,829)
Dividends .................................................................... (463,443) (401,696)
Capital contributions from FPL Group, Inc. ................................... 200,000 80,000
Other - net .................................................................. (29,504) (14,734)
Net cash used in financing activities ...................................... (774,036) (387,409)
Net increase (decrease) in cash and cash equivalents ........................... 2,211 (449)
Cash and cash equivalents at beginning of period ............................... 535 7,316
Cash and cash equivalents at end of period ..................................... $ 2,746 $ 6,867
Supplemental disclosures of cash flow information:
Cash paid for interest (net of amount capitalized) ........................... $ 227,891 $ 230,130
Cash paid for income taxes ................................................... $ 321,135 $ 192,486
Supplemental schedule of noncash investing and financing activities:
Additions to capital lease obligations ....................................... $ 55,502 $ 61,055
(1) Capital expenditures exclude allowance for equity funds used during construction.
</TABLE>
This report should be read in conjunction with the Notes to Condensed
Consolidated Financial Statements on Pages 5 through 7 herein and the
Notes to Consolidated Financial Statements appearing in FPL's 1994
Form 10-K.
<PAGE>
FLORIDA POWER & LIGHT COMPANY
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(Unaudited)
The accompanying condensed consolidated financial statements should
be read in conjunction with FPL's 1994 Form 10-K. In the opinion of
FPL, all adjustments (consisting only of normal recurring accruals)
necessary to present fairly the financial position as of September
30, 1995, the results of operations for the three and nine months
ended September 30, 1995 and 1994 and the cash flows for the nine
months ended September 30, 1995 and 1994 have been made. Certain
amounts included in the prior year's condensed consolidated financial
statements have been reclassified to conform to the current year's
presentation. The results of operations for an interim period may
not give a true indication of results for the year.
1. Capitalization
Preferred Stock - In April 1995, FPL redeemed 400,000 shares of its
8.625% Preferred Stock, Series R, $100 Par Value. Through
November 7, 1995, approximately 2.5 million shares of $2.00 No Par
Preferred Stock, Series A (Involuntary Liquidation Value $25 Per
Share) were tendered pursuant to FPL's offer to exchange each such
share for $25 in principal amount of 8.75% Quarterly Income Debt
Securities (Subordinated Deferrable Interest Debentures, Due 2025).
Long-Term Debt - In March and June 1995, FPL sold approximately $59
million and $52 million principal amount of variable interest rate
Pollution Control Revenue Refunding Bonds, at initial variable rates
of 2.90% and 2.25%, respectively, maturing in April 2020 through
May 2029. The proceeds were used in April, June and September 1995,
to redeem a like principal amount of Pollution Control Revenue Bonds,
maturing in 2019 and 2020 bearing interest at 9 5/8% and 10%,
respectively.
In April and September 1995, FPL redeemed a total of approximately
$258 million principal amount of First Mortgage Bonds, maturing in
2006 through 2022 at interest rates of 8.40% to 9 3/8%. Through
September 1995, FPL purchased on the open market and retired
approximately $59 million principal amount of various series of first
mortgage bonds. In October 1995, approximately $20 million principal
amount of first mortgage bonds were purchased on the open market and
retired. Additionally in October 1995, FPL called for redemption in
late November 1995 approximately $26 million of first mortgage bonds,
maturing in 2000 at an interest rate of 9 5/8%.
At December 31, 1994, FPL had $200 million of commercial paper
classified as long-term debt. FPL no longer intends to maintain this
level of commercial paper usage for the foreseeable future and,
accordingly, has retired $149 million and classified the remaining
$51 million of commercial paper outstanding at September 30, 1995 as
a current liability.
2. Commitments and Contingencies
Capital Commitments - FPL has made commitments in connection with a
portion of its projected capital expenditures. Capital expenditures
for the construction or acquisition of additional facilities and
equipment to meet customer demand are estimated to be $3.0 billion,
including allowance for funds used during construction (AFUDC), for
the years 1995 through 1999. Included in this five-year forecast are
capital expenditures for 1995 of $712 million, of which $498 million,
including AFUDC, had been spent through September 30, 1995. Cost
control efforts may reduce the amount originally projected for the
full year 1995 by approximately $30 million.
Insurance - Liability for accidents at nuclear power plants is
governed by the Price-Anderson Act, which limits the liability of
nuclear reactor owners to the amount of the insurance available from
private sources and under an industry retrospective payment plan. In
accordance with this Act, FPL maintains $200 million of private
liability insurance, which is the maximum obtainable, and
participates in a secondary financial protection system under which
it is subject to retrospective assessments of up to $317 million per
incident at any nuclear utility reactor in the United States, payable
at a rate not to exceed $40 million per incident per year.
FPL participates in insurance pools and other arrangements that
provide $2.75 billion of limited insurance coverage for property
damage, decontamination and premature decommissioning risks at its
nuclear plants. The proceeds from such insurance, however, must
first be used for reactor stabilization and site decontamination
before they can be used for plant repair. FPL also participates in
an insurance program that provides limited coverage for replacement
power costs if a plant is out of service because of an accident. In
the event of an accident at one of FPL's or another participating
insured's nuclear plants, FPL could be assessed up to $77 million in
retrospective premiums. In the event of a subsequent accident at
such nuclear plants during the policy period, the maximum aggregate
assessment is $108 million under the programs in effect at
September 30, 1995.
FPL also participates in a program that provides $200 million of tort
liability coverage for nuclear worker claims. In the event of a tort
claim by an FPL or another insured's nuclear worker, FPL could be
assessed up to $12 million in retrospective premiums per incident.
In the event of a catastrophic loss at one of FPL's nuclear plants,
the amount of insurance available may not be adequate to cover
property damage and other expenses incurred. Uninsured losses, to
the extent not recovered through rates, would be borne by FPL and
could have a material adverse effect on FPL's financial condition.
FPL has a storm and property insurance reserve, which totaled
approximately $109 million at September 30, 1995, for assessments
under the nuclear insurance program and costs incurred under the
transmission and distribution (T&D) property self-insurance program
described below. See Management's Discussion and Analysis of
Financial Condition and Results of Operations - Liquidity and Capital
Resources.
FPL self-insures certain of its T&D property due to the high cost and
limited coverage available from third-party insurers. Recovery from
ratepayers of any losses in excess of the storm and property
insurance reserve will require the approval of the Florida Public
Service Commission (FPSC). FPL's available lines of credit include
$300 million to provide additional liquidity in the event of a T&D
property loss.
Contracts - FPL has entered into certain long-term purchased power
and fuel contracts. Take-or-pay purchased power contracts with the
Jacksonville Electric Authority (JEA) and with subsidiaries of the
Southern Company provide approximately 1,300 megawatts (mw) of power
through mid-2010 and 374 mw through 2022. FPL also has various firm
pay-for-performance contracts to purchase approximately 1,000 mw from
certain cogenerators and small power producers (qualifying
facilities) with expiration dates ranging from 2002 through 2026.
The purchased power contracts provide for capacity and energy
payments. Energy payments are based on the actual power taken under
these contracts. Capacity payments for the pay-for-performance
contracts are subject to the qualifying facilities meeting certain
contract conditions. The fuel contracts provide for the
transportation and supply of natural gas and the supply and use of
Orimulsion. Orimulsion is a new fuel which FPL expects to begin
using in 1998, subject to environmental approvals. In no year are
the obligations under the fuel contracts expected to exceed usage
requirements.
The required capacity and minimum payments through 1999 under these
contracts are estimated to be as follows:
<TABLE>
<CAPTION>
1995 1996 1997 1998 1999
(Millions of Dollars)
<S> <C> <C> <C> <C> <C>
Capacity payments:
JEA .............................................................. $ 80 $ 80 $ 80 $ 80 $ 90
Southern Companies ............................................... $140 $140 $140 $130 $130
Qualifying facilities ............................................ $190 $300 $310 $320 $340
Minimum payments, at projected prices:
Natural gas ...................................................... $266 $200 $200 $210 $200
Orimulsion ....................................................... - - - $130 $160
</TABLE>
Capacity, energy and fuel charges under these contracts were as
follows:
<TABLE>
<CAPTION>
Three Months Ended September 30, Nine Months Ended September 30,
1995 Charges 1994 Charges 1995 Charges 1994 Charges
Energy/ Energy/ Energy/ Energy/
Capacity Fuel (1) Capacity Fuel (1) Capacity Fuel (1) Capacity Fuel (1)
(Millions of Dollars)
<S> <C> <C> <C> <C> <C> <C> <C> <C>
JEA ................... $21(2) $14 $19(2) $13 $ 64(2) $ 35 $ 62(2) $ 35
Southern Companies .... $24(3) $30 $39(3) $30 $101(3) $ 76 $147(3) $ 99
Qualifying facilities.. $40(3) $25 $35(3) $19 $116(3) $ 63 $101(3) $ 50
Natural gas ........... $ - $97 $ - $71 $ - $259 $ - $187
(1) Recovered through the fuel and purchased power cost recovery clause.
(2) Recovered through base rates and the capacity cost recovery clause (capacity clause).
(3) Recovered through the capacity clause.
</TABLE>
Litigation - Union Carbide Corporation sued FPL and Florida Power
Corporation alleging that, through a territorial agreement approved by the
FPSC, they conspired to eliminate competition in violation of federal
antitrust laws. Praxair, Inc. (Praxair), an entity that was formerly a unit
of Union Carbide, has been substituted as the plaintiff. The suit seeks
treble damages of an unspecified amount based on alleged higher prices
paid for electricity and for product sales lost. In September 1995, FPL
and Florida Power Corporation were granted summary judgment.
Praxair has filed for rehearing en banc.
A suit brought by the partners in a cogeneration project located in Dade
County, Florida, alleges that FPL and certain affiliated companies have
engaged in anti-competitive conduct intended to eliminate competition
from cogenerators generally, and from their facility in particular, in
violation of federal antitrust laws and have wrongfully interfered with the
cogeneration project's contractual relationship with Metropolitan Dade
County. The suit seeks damages in excess of $100 million, before
trebling under antitrust laws, plus other unspecified compensatory and
punitive damages. FPL's motion for summary judgment was denied.
FPL is appealing the denial.
The Florida Municipal Power Agency (FMPA), an organization comprised
of municipal electric utilities, has sued FPL for allegedly breaching a
"contract" to provide transmission service to the FMPA and its members
and for breaching antitrust laws by monopolizing or attempting to
monopolize the provision, coordination and transmission of electric
power in refusing to provide transmission service, or to permit the FMPA
to invest in and use FPL's transmission system, on the FMPA's
proposed terms. The FMPA seeks $140 million in damages, before
trebling for the antitrust claim, and court orders requiring FPL to permit
the FMPA to invest in and use FPL's transmission system on
"reasonable terms and conditions" and on a basis equal to FPL. In
December 1993, a district court granted summary judgment in favor of
FPL. In September 1995, the court of appeals vacated the district
court's summary judgment and remanded the matter to the district court
for further proceedings.
FPL believes that it has meritorious defenses to all of the litigation
described above and is vigorously defending these suits. Accordingly,
the liabilities, if any, arising from these proceedings are not anticipated
to have a material adverse effect on FPL's financial statements.
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations
This discussion should be read in conjunction with the Notes to the
Condensed Consolidated Financial Statements contained herein and
Management's Discussion and Analysis of Financial Condition and
Results of Operations appearing in FPL's 1994 Form 10-K. The results
of operations for an interim period may not give a true indication of
results for the year. In the following discussion, all comparisons are with
the corresponding items in the prior year.
RESULTS OF OPERATIONS
FPL's net income for the three and nine months ended September 30,
1995 was favorably affected by higher energy sales, resulting from both
increased energy usage per customer and customer growth, partially
offset by higher depreciation. Other operations and maintenance
expenses decreased for the nine months ended September 30, 1995,
despite an increase for the three-month period.
FPL's revenues from base rates increased to approximately $981 million
and $2.6 billion for the three and nine months ended September 30,
1995 from approximately $921 million and $2.5 billion for the same
periods in 1994. The increases reflect customer growth of 2.0% for the
three and nine months ended September 30, 1995 and increases in
energy usage per retail customer of 4.3% and 2.4%, respectively,
primarily due to weather conditions. Revenues from cost recovery
clauses and franchise fees comprise substantially all of the remaining
portion of operating revenues. These revenues represent a
pass-through of costs and do not significantly affect net income.
Other operations and maintenance expenses increased for the three
months ended September 30, 1995, primarily due to costs associated
with a nuclear plant refueling outage and ongoing organizational reviews.
On a year-to-date basis, however, benefits from ongoing cost control
efforts, lower costs associated with the consolidation of facilities and
having one less nuclear refueling, more than offset the higher costs in
the quarter. The FPSC approved on an interim basis, special
amortization of FPL's nuclear units in a fixed amount of $30 million per
year beginning in 1995, plus an additional amount based on the level of
sales achieved for 1995 and 1996. The additional amount of
amortization recorded based on the level of sales through September 30,
1995 was approximately $84 million. A final decision on this matter is
expected in mid-1996. In granting interim approval, however, the FPSC
specified that amounts recorded as expense would remain expense
items regardless of their final classification. Depreciation expense
increased for the three and nine months ended September 30, 1995 as a
result of the special amortization of nuclear units, an increase in the
provision for nuclear decommissioning and fossil dismantlement, the
amortization of deferred litigation items over a period not to exceed five
years, and the placement in service of the Martin Units Nos. 3 and 4 in
February and April of 1994.
LIQUIDITY AND CAPITAL RESOURCES
Cash flows from operating activities increased as a result of higher net
income, adjusted for depreciation which is a noncash expense, and
higher current liabilities. Based on available cash flows from operations,
FPL has redeemed certain series of its preferred stock and first
mortgage bonds and reduced the level of commercial paper, consistent
with management's intent to reduce debt balances. Preferred stock
dividends in 1995 include the premium paid on the redemption of
400,000 shares of the 8.625% Preferred Stock, Series R, $100 Par
Value. See Note 1.
In September 1995, FPL filed a petition with the FPSC requesting certain
changes regarding the storm and property insurance reserve fund (storm
fund). FPL is seeking, among other things, to increase the annual
contribution to the storm fund from $10 million to $20 million retroactive
to January 1, 1995 and to contribute approximately $50 million of
insurance proceeds related to claims associated with Hurricane Andrew
to the storm fund. A decision is expected from the FPSC before the end
of 1995.
For information concerning capital commitments, see Note 2.
<PAGE>
PART II - OTHER INFORMATION
Item 1. Legal Proceedings
(a) Reference is made to Item 3. Legal Proceedings in FPL's 1994
Form 10-K.
In September 1995, FPL and Florida Power Corporation were
granted summary judgment in the suit filed against them in October
1988 by Union Carbide Corporation, the corporate predecessor of
Praxair. Praxair has filed for rehearing en banc.
Also in September 1995, the court of appeals vacated the district
court's summary judgment in the suit filed by the FMPA in
December 1991 and remanded the matter to the district court for
further proceedings.
Item 6. Exhibits and Reports on Form 8-K
(a) Exhibits
Exhibit
Number Description
*4(a) Mortgage and Deed of Trust dated as of January 1,
1944, and Ninety-six Supplements thereto between
FPL and Bankers Trust Company and The Florida
National Bank of Jacksonville (now First Union National
Bank of Florida) Trustees (as of September 2, 1992,
the sole trustee is Bankers Trust Company) (filed as
Exhibit B-3, File No. 2-4845; Exhibit 7(a), File No.
2-7126; Exhibit 7(a), File No. 2-7523; Exhibit 7(a), File
No. 2-7990; Exhibit 7(a), File No. 2-9217; Exhibit
4(a)-5, File No. 2-10093; Exhibit 4(c), File No. 2-11491;
Exhibit 4(b)-1, File No. 2-12900; Exhibit 4(b)-1, File
No. 2-13255; Exhibit 4(b)-1, File No. 2-13705; Exhibit
4(b)-1, File No. 2-13925; Exhibit 4(b)-1, File
No. 2-15088; Exhibit 4(b)-1, File No. 2-15677; Exhibit
4(b)-1, File No. 2-20501; Exhibit 4(b)-1, File
No. 2-22104; Exhibit 2(c), File No. 2-23142; Exhibit
2(c), File No. 2-24195; Exhibit 4(b)-1, File No. 2-25677;
Exhibit 2(c), File No. 2-27612; Exhibit 2(c), File No.
2-29001; Exhibit 2(c), File No. 2-30542; Exhibit 2(c),
File No. 2-33038; Exhibit 2(c), File No. 2-37679; Exhibit
2(c), File No. 2-39006; Exhibit 2(c), File No. 2-41312;
Exhibit 2(c), File No. 2-44234; Exhibit 2(c), File
No. 2-46502; Exhibit 2(c), File No. 2-48679; Exhibit
2(c), File No. 2-49726; Exhibit 2(c), File No. 2-50712;
Exhibit 2(c), File No. 2-52826; Exhibit 2(c), File No.
2-53272; Exhibit 2(c), File No. 2-54242; Exhibit 2(c),
File No. 2-56228; Exhibits 2(c) and 2(d), File
No. 2-60413; Exhibits 2(c) and 2(d), File No. 2-65701;
Exhibit 2(c), File No. 2-66524; Exhibit 2(c), File No.
2-67239; Exhibit 4(c), File No. 2-69716; Exhibit 4(c),
File No. 2-70767; Exhibit 4(b), File No. 2-71542;
Exhibit 4(b), File No. 2-73799; Exhibits 4(c), 4(d) and
4(e), File No. 2-75762; Exhibit 4(c), File No. 2-77629;
Exhibit 4(c), File No. 2-79557; Exhibit 99(a) to
Post-Effective Amendment No. 5 to Form S-8, File
No. 33-18669; Exhibit 99(a) to Post-Effective
Amendment No. 1 to Form S-3, File No. 33-46076;
Exhibit 4(b) to Form 10-K for the year ended
December 31, 1993, File No. 1-3545; Exhibit 4(i) to
Form 10-Q for the quarter ended June 30, 1994, File
No. 1-3545; and Exhibit 4(b) to Form 10-Q for the
quarter ended June 30, 1995, File No. 1-3545)
12 Computation of Ratios
27 Financial Data Schedule
* Incorporated herein by reference
(b) Reports on Form 8-K - None
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by
the undersigned thereunto duly authorized.
FLORIDA POWER & LIGHT COMPANY
(Registrant)
MICHAEL W. YACKIRA
Michael W. Yackira
Senior Vice President, Finance
and Chief Financial Officer
(Principal Financial Officer)
Date: November 8, 1995
EXHIBIT 12
FLORIDA POWER & LIGHT COMPANY
COMPUTATION OF RATIOS
<TABLE>
<CAPTION>
Nine Months Ended
September 30, 1995
(Thousands of Dollars)
RATIO OF EARNINGS TO FIXED CHARGES
<S> <C>
Earnings, as defined:
Net income ........................................................................ $ 518,993
Income taxes ...................................................................... 304,646
Fixed charges, as below ........................................................... 220,392
Total earnings, as defined ...................................................... $1,044,031
Fixed charges, as defined:
Interest expense .................................................................. $ 206,380
Rental interest factor ............................................................ 5,189
Fixed charges included in nuclear fuel cost ....................................... 8,823
Total fixed charges, as defined ................................................. $ 220,392
Ratio of earnings to fixed charges .................................................. 4.74
RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDEND REQUIREMENTS
Earnings, as defined:
Net income ........................................................................ $ 518,993
Income taxes ...................................................................... 304,646
Fixed charges, as below ........................................................... 220,392
Total earnings, as defined ...................................................... $1,044,031
Fixed charges, as defined:
Interest expense .................................................................. $ 206,380
Rental interest factor ............................................................ 5,189
Fixed charges included in nuclear fuel cost ....................................... 8,823
Total fixed charges, as defined ................................................. 220,392
Non-tax deductible preferred stock dividend requirements ............................ 30,182
Ratio of income before income taxes to net income ................................... 1.59
Preferred stock dividend requirements before income taxes ........................... 47,989
Combined fixed charges and preferred stock dividend requirements .................... $ 268,381
Ratio of earnings to combined fixed charges and preferred stock
dividend requirements............................................................ 3.89
</TABLE>
<TABLE> <S> <C>
<S> <C>
<ARTICLE> UT
<LEGEND>
This schedule contains summary financial information extracted from FPL's condensed consolidated balance sheet as of September 30,
1995 and condensed consolidated statements of income and cash flows for the nine months ended September 30, 1995 and is qualified
in its entirety by reference to such financial statements.
</LEGEND>
<MULTIPLIER> 1,000
<FISCAL-YEAR-END> DEC-31-1995
<PERIOD-END> SEP-30-1995
<PERIOD-TYPE> 9-MOS
<BOOK-VALUE> PER-BOOK
<TOTAL-NET-UTILITY-PLANT> $9,764,539
<OTHER-PROPERTY-AND-INVEST> $542,372
<TOTAL-CURRENT-ASSETS> $1,002,915
<TOTAL-DEFERRED-CHARGES> $386,253
<OTHER-ASSETS> $148,716
<TOTAL-ASSETS> $11,844,795
<COMMON> $0
<CAPITAL-SURPLUS-PAID-IN> $0
<RETAINED-EARNINGS> $0
<TOTAL-COMMON-STOCKHOLDERS-EQ> $4,438,818
$50,000
$451,250
<LONG-TERM-DEBT-NET> $3,055,685
<SHORT-TERM-NOTES> $0
<LONG-TERM-NOTES-PAYABLE> $0
<COMMERCIAL-PAPER-OBLIGATIONS> $51,000
<LONG-TERM-DEBT-CURRENT-PORT> $0
$0
<CAPITAL-LEASE-OBLIGATIONS> $0
<LEASES-CURRENT> $0
<OTHER-ITEMS-CAPITAL-AND-LIAB> $3,798,042
<TOT-CAPITALIZATION-AND-LIAB> $11,844,795
<GROSS-OPERATING-REVENUE> $4,182,021
<INCOME-TAX-EXPENSE> $307,699
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<TOTAL-OPERATING-EXPENSES> $3,470,069
<OPERATING-INCOME-LOSS> $711,952
<OTHER-INCOME-NET> $8,705
<INCOME-BEFORE-INTEREST-EXPEN> $720,657
<TOTAL-INTEREST-EXPENSE> $201,664
<NET-INCOME> $518,993
$30,182
<EARNINGS-AVAILABLE-FOR-COMM> $488,811
<COMMON-STOCK-DIVIDENDS> $0
<TOTAL-INTEREST-ON-BONDS> $0
<CASH-FLOW-OPERATIONS> $1,280,710
<EPS-PRIMARY> $0
<EPS-DILUTED> $0
</TABLE>
