A recommendation from Kate Stark would be based on the “what-if” in the following weeks – on the fence between the original recommendation to hold, and the possibility of future outcomes leaning towards buying. As Merrill Lynch had stated in their report in the beginning of the article, FPL seems to have no intention to raise the annual dividend above $2.48. Coupled with the fact that FPL’s management recognizes the fact that their dividend payout levels are high (though consistent with the industry average), it makes mention of two ways to address the high payout levels: to grow out of a high payout, and to cut dividends. Though Merrill Lynch ended by saying that they were expecting the dividends to remain, their assumption would be based on the historical fact that FPL has had a 47 year streak of returning an increase in dividends, and the company would be unlikely to differ. However, the bigger, more profitable picture must be looked at, rather than the immediate.