The ratings on FPL Group Capital Inc. reflect the consolidated credit profile of its parent, FPL Group Inc. In addition, all of FPL Group Capital's debt and obligations are guaranteed by FPL Group. The consolidated rating on diversified energy company FPL Group reflects the strength of unit Florida Power&Light Co.'s (FP&L) stable cash flows. FP&L, which is an integrated electric utility in Florida, contributes about 80% of the consolidated cash flow and has an above average business profile relative to its integrated electric peers. Concerns include the higher risk cash flows from FPL Energy's portfolio of merchant generation, the utility's increased exposure to natural gas, uncertainty regarding pending regulatory proceedings, and a slightly weak consolidated company's financial profile
