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NextEra Energy, Inc., 8.375% Equity Units due 6/1/2012
Ticker Symbol: NEEXU* CUSIP: 65339F309 Exchange: OTOTC
* NOTE: This security is no longer trading as of 6/01/2013
QUANTUMONLINE.COM SECURITY DESCRIPTION: NextEra Energy, Inc., formerly FPL Group Inc., 8.375% Equity Units, stated amount $50 per unit, initially consisting of Corporate Units which include a stock purchase contract and a 1/20th or 5% interest in a 3.60% Series C debenture issued by FPL Group Capital Inc. due 6/1/2014 with a principal amount of $1000. The stock purchase contract requires the holder to purchase for $50 a variable number of shares of FPL Group Inc. (NYSE: FPL) common stock no later than 6/1/2012 and pays a contract adjustment rate of 4.775% per annum. The stock purchase settlement rate will be 0.7485 shares per unit if the then current market price is equal to or greater than $66.80 and 0.8981 shares per unit if the market price is equal to or less than $55.67. For market prices between those values the settlement rate will be $50 divided by the market value. Prior to the IPO of this security, the last reported sale price of the common stock on 5/19/2009 was $55.67 per share. The debenture is due 6/1/2014 and is subject to reset and remarketing on the third business day prior to 12/1/2011 and extending to the 9th business day prior to 6/1/2012. The Corporate Units pay quarterly distributions of 8.375% ($4.1875) per annum on 3/1, 6/1, 9/1 & 12/1 to holders of record on the record date which is one business day prior to the payment date while the securities remain in book-entry form (NOTE: the ex-dividend date is at least 2 business days prior to the record date). Distributions paid by these securities are derived from interest paid on the underlying debt securities and therefore are NOT eligible for the 15% tax rate on dividends and are also NOT eligible for the dividend received deduction for corporate holders. The debentures are pledged as collateral to secure the holder's obligations under the stock purchase contract. The holder has the right at any time to convert the Corporate Units to Treasury Units by the substitution of a specified zero-coupon U.S. Treasury security for the debentures and to later recreate Corporate Units. The debentures are unsecured and rank equally with the company's other unsecured and unsubordinated obligations. See the IPO prospectus for extensive additional information on the equity units and their mandatory conversion provisions by clicking on the ‘Link to IPO Prospectus’ provided below.
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Stock Exchange |
Cpn Rate Ann Amt |
LiqPref CallPrice |
Call Date Matur Date |
Moodys/S&P Dated |
Conversion Shares@Price |
Distribution Dates |
15% Tax Rate |
OTOTCn
OTOTCps
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8.38%
$4.1875
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$50.00
N/A
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6/01/2012
6/01/2014
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NF NF
5/12/2014
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0.7485@$66.80+
0.8981@$55.67-
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3/1, 6/1, 9/1 & 12/1
Click for MW ExDiv Date
Click for Yahoo ExDiv Date
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No
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Go to Parent Company's Record (NEE)
Notes: FPL Group does not intend to apply to list the Corporate Units on a securities exchange.
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IPO - 5/22/2009 - 7.00 Million Units @ $49.25/unit.
Link to IPO Prospectus
Previous Ticker Symbol: FPLZ Changed: 6/08/2010
Previous Name: FPL Group Inc., 8.375% Equity Units due 6/1/2014 Changed: 6/08/2010
Market Value $345.0 Million
Company's Online Information Links
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Company's Online SEC EDGAR Filings |
Company's Email Address Links |
Address and Phone Numbers |
Address: 700 Universe Blvd., Juno Beach, FL 33408 |
Main Phone Number |
561-694-4000 |
Fax Number |
561-691-7272 |
Investor Relations
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561-694-4697
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Toll Free Phone Number |
800-222-4511 |
CEO - Lewis Hay III |
CFO - Moray P. Dewhurst |
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