Virginia
(State or other jurisdiction
of incorporation)
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001-08489
(Commission
File Number)
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54-1229715
(IRS Employer
Identification No.)
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120 Tredegar Street
Richmond, Virginia
(Address of Principal Executive Offices)
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23219
(Zip Code)
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Exhibit
|
|
99
|
Dominion Resources, Inc. press release dated August 5, 2015
|
DOMINION RESOURCES, INC.
Registrant
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/s/Mark O. Webb
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Mark O. Webb
Vice President, General Counsel and Chief Risk Officer
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·
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Second-quarter 2015 operating earnings of 73 cents per share compared to guidance of 65 cents to 75 cents per share
|
·
|
Second-quarter 2015 GAAP earnings of 70 cents per share
|
·
|
Company affirms 2015 operating earnings guidance of $3.50 to $3.85 per share
|
Schedule 1 - Segment Operating Earnings
|
||||||||
Preliminary, Unaudited
|
||||||||
(millions, except earnings per share)
|
Three months ended June 30,
|
|||||||
2015
|
2014
|
Change
|
||||||
Earnings:
|
||||||||
Dominion Virginia Power
|
$ 117
|
$ 116
|
$ 1
|
|||||
Dominion Energy
|
129
|
130
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(1)
|
|||||
Dominion Generation
|
250
|
159
|
91
|
|||||
Corporate and Other
|
(67)
|
(44)
|
(23)
|
|||||
OPERATING EARNINGS
|
$ 429
|
$ 361
|
$ 68
|
|||||
Items excluded from operating earnings 2, 3
|
(16)
|
(202)
|
186
|
|||||
REPORTED EARNINGS 1
|
$ 413
|
$ 159
|
$ 254
|
|||||
Common Shares Outstanding (average, diluted)
|
592.5
|
583.9
|
||||||
Earnings Per Share (EPS):
|
||||||||
Dominion Virginia Power
|
$ 0.20
|
$ 0.20
|
$ -
|
|||||
Dominion Energy
|
0.22
|
0.22
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-
|
|||||
Dominion Generation
|
0.42
|
0.27
|
0.15
|
|||||
Corporate and Other
|
(0.11)
|
(0.07)
|
(0.04)
|
|||||
OPERATING EARNINGS
|
$ 0.73
|
$ 0.62
|
$ 0.11
|
|||||
Items excluded from operating earnings 2
|
(0.03)
|
(0.35)
|
0.32
|
|||||
REPORTED EARNINGS 1
|
$ 0.70
|
$ 0.27
|
$ 0.43
|
|||||
(millions, except earnings per share)
|
Six months ended June 30,
|
|||||||
2015
|
2014
|
Change
|
||||||
Earnings:
|
||||||||
Dominion Virginia Power
|
$ 257
|
$ 247
|
$ 10
|
|||||
Dominion Energy
|
336
|
338
|
(2)
|
|||||
Dominion Generation
|
532
|
468
|
64
|
|||||
Corporate and Other
|
(112)
|
(85)
|
(27)
|
|||||
OPERATING EARNINGS
|
$ 1,013
|
$ 968
|
$ 45
|
|||||
Items excluded from operating earnings 2, 4
|
(64)
|
(430)
|
366
|
|||||
REPORTED EARNINGS 1
|
$ 949
|
$ 538
|
$ 411
|
|||||
Common Shares Outstanding (average, diluted)
|
591.2
|
583.4
|
||||||
Earnings Per Share (EPS):
|
||||||||
Dominion Virginia Power
|
$ 0.43
|
$ 0.42
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$ 0.01
|
|||||
Dominion Energy
|
0.57
|
0.58
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(0.01)
|
|||||
Dominion Generation
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0.90
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0.80
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0.10
|
|||||
Corporate and Other
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(0.19)
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(0.14)
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(0.05)
|
|||||
OPERATING EARNINGS
|
$ 1.71
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$ 1.66
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$ 0.05
|
|||||
Items excluded from operating earnings 2
|
(0.11)
|
(0.74)
|
0.63
|
|||||
REPORTED EARNINGS 1
|
$ 1.60
|
$ 0.92
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$ 0.68
|
|||||
1)
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Determined in accordance with Generally Accepted Accounting Principles (GAAP).
|
|||||||
2)
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Items excluded from operating earnings are reported in Corporate and Other segment. Refer to Schedules
|
|||||||
2 and 3 for details, or find "GAAP Reconciliation" in the Earnings Release Kit on Dominion's website
|
||||||||
at www.dom.com/investors.
|
||||||||
3)
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Pre-tax amounts for the current period and the prior period are ($27) million and ($302) million, respectively.
|
|||||||
4)
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Pre-tax amounts for the current period and the prior period are ($103) million and ($654) million, respectively.
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Schedule 2 - Reconciliation of 2015 Operating Earnings to Reported Earnings
|
·
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$52 million charge associated with Virginia legislation enacted in February that required the write-off of Virginia Power prior-period deferred fuel costs during the first quarter of 2015.
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·
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$28 million charge associated with the asset retirement obligations for ash ponds and landfills at certain utility generation facilities in connection with the enactment of EPA coal combustion residuals rules in the second quarter of 2015.
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·
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$16 million net benefit related to other items.
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(millions, except per share amounts)
|
1Q15
|
2Q15
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3Q15
|
4Q15
|
YTD 2015
|
2
|
|
Operating earnings
|
$584
|
$429
|
$1,013
|
||||
Items excluded from operating earnings (after-tax):
|
|||||||
Write-off of deferred fuel costs
|
(52)
|
(52)
|
|||||
Future ash pond and landfill closure costs
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(28)
|
(28)
|
|||||
Other items
|
4
|
12
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16
|
||||
Total items excluded from operating earnings (after-tax) 1
|
(48)
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(16)
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(64)
|
||||
Reported net income
|
$536
|
$413
|
$949
|
||||
Common shares outstanding (average, diluted)
|
589.9
|
592.5
|
591.2
|
||||
Operating earnings per share
|
$0.99
|
$0.73
|
$1.71
|
||||
Items excluded from operating earnings (after-tax)
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(0.08)
|
(0.03)
|
(0.11)
|
||||
Reported earnings per share
|
$0.91
|
$0.70
|
$1.60
|
||||
1)
|
Pre-tax amounts for items excluded from operating earnings are reflected in the following table:
|
||||||
Items excluded from operating earnings:
|
1Q15
|
2Q15
|
3Q15
|
4Q15
|
YTD 2015
|
||
Write-off of deferred fuel costs
|
(85)
|
(85)
|
|||||
Future ash pond and landfill closure costs
|
(45)
|
(45)
|
|||||
Other items
|
9
|
18
|
27
|
||||
Total items excluded from operating earnings
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($76)
|
($27)
|
($103)
|
||||
2)
|
YTD EPS may not equal sum of quarters due to share count differences
|
Schedule 3 - Reconciliation of 2014 Operating Earnings to Reported Earnings
|
·
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$248 million charge associated with Virginia legislation enacted in April that permits Virginia Power to recover 70% of the costs previously deferred or capitalized through Dec. 31, 2013 relating to the development of a third nuclear unit located at North Anna and offshore wind facilities as part of the 2013 and 2014 base rates.
|
·
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$193 million net charge related to the repositioning of our Producer Services business, reflecting the termination of natural gas trading and certain energy marketing activities.
|
·
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$174 million charge associated with our liability management exercise, mainly reflecting the call premiums on our early debt redemptions in the fourth quarter.
|
·
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$74 million charge related to a settlement offer to incur future ash pond closure costs at certain utility generation facilities.
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·
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$31 million goodwill write-off associated with the company exiting the unregulated electric retail energy marketing business.
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·
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$27 million net benefit related to other items.
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(millions, except per share amounts)
|
1Q14
|
2Q14
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3Q14
|
4Q14
|
YTD 2014
|
2
|
|
Operating earnings
|
$607
|
$361
|
$545
|
$490
|
$2,003
|
||
Items excluded from operating earnings (after-tax):
|
|||||||
North Anna and offshore wind facilities
|
(191)
|
(28)
|
(29)
|
(248)
|
|||
Producer Services repositioning
|
(193)
|
(193)
|
|||||
Charges associated with liability management exercise
|
(2)
|
(172)
|
(174)
|
||||
Future ash pond closure costs
|
(74)
|
(74)
|
|||||
Goodwill write-off at unregulated electric retail
|
(31)
|
(31)
|
|||||
Other items
|
(4)
|
(11)
|
14
|
28
|
27
|
||
Total items excluded from operating earnings (after-tax) 1
|
(228)
|
(202)
|
(16)
|
(247)
|
(693)
|
||
Reported net income
|
$379
|
$159
|
$529
|
$243
|
$1,310
|
||
Common shares outstanding (average, diluted)
|
582.9
|
583.9
|
584.6
|
586.5
|
584.5
|
||
Operating earnings per share
|
$1.04
|
$0.62
|
$0.93
|
$0.84
|
$3.43
|
||
Items excluded from operating earnings (after-tax)
|
(0.39)
|
(0.35)
|
(0.03)
|
(0.42)
|
(1.19)
|
||
Reported earnings per share
|
$0.65
|
$0.27
|
$0.90
|
$0.42
|
$2.24
|
||
1)
|
Pre-tax amounts for items excluded from operating earnings are reflected in the following table:
|
||||||
Items excluded from operating earnings:
|
1Q14
|
2Q14
|
3Q14
|
4Q14
|
YTD 2014
|
||
North Anna and offshore wind facilities
|
(287)
|
(43)
|
(44)
|
(374)
|
|||
Producer Services repositioning
|
(319)
|
(319)
|
|||||
Charges associated with liability management exercise
|
(3)
|
(281)
|
(284)
|
||||
Future ash pond closure costs
|
(121)
|
(121)
|
|||||
Goodwill write-off at unregulated electric retail
|
(31)
|
(31)
|
|||||
Other items
|
(2)
|
(15)
|
(8)
|
(12)
|
(37)
|
||
Total items excluded from operating earnings
|
($352)
|
($302)
|
($54)
|
($458)
|
($1,166)
|
||
2)
|
YTD EPS may not equal sum of quarters due to share count differences.
|
Schedule 4 - Reconciliation of 2Q15 Earnings to 2Q14
|
|||
Preliminary, unaudited
|
Three Months Ended
|
||
(millions, except EPS)
|
June 30,
|
||
2015 vs. 2014
|
|||
Increase / (Decrease)
|
|||
Reconciling Items
|
Amount
|
EPS
|
|
Dominion Virginia Power
|
|||
Regulated electric sales:
|
|||
Weather
|
$6
|
$0.01
|
|
Other
|
1
|
0.00
|
|
FERC Transmission equity return
|
8
|
0.01
|
|
Other operations and maintenance expense
|
(9)
|
(0.02)
|
|
Depreciation and amortization
|
(3)
|
0.00
|
|
Other
|
(2)
|
0.00
|
|
Change in contribution to operating earnings
|
$1
|
$0.00
|
|
Dominion Energy
|
|||
Gas Distribution margin
|
$9
|
$0.01
|
|
Blue Racer Midstream JV
|
(2)
|
0.00
|
|
Depreciation and amortization
|
(3)
|
0.00
|
|
Noncontrolling interest
|
(3)
|
(0.01)
|
|
Other
|
(2)
|
0.00
|
|
Change in contribution to operating earnings
|
($1)
|
$0.00
|
|
Dominion Generation
|
|||
Regulated electric sales:
|
|||
Weather
|
$13
|
$0.02
|
|
Merchant generation margin
|
35
|
0.06
|
|
Rate adjustment clause equity return
|
10
|
0.02
|
|
PJM ancillary services
|
(2)
|
0.00
|
|
Outage costs
|
20
|
0.03
|
|
Depreciation and amortization
|
(6)
|
(0.01)
|
|
Renewable energy investment tax credits
|
30
|
0.05
|
|
Other
|
(9)
|
(0.02)
|
|
Change in contribution to operating earnings
|
$91
|
$0.15
|
|
Corporate and Other
|
|||
Renewable energy investment tax credits
|
($23)
|
($0.04)
|
|
Change in contribution to operating earnings
|
($23)
|
($0.04)
|
|
Change in consolidated operating earnings
|
$68
|
$0.11
|
|
Change in items excluded from operating earnings 1
|
$186
|
$0.32
|
|
Change in reported earnings (GAAP)
|
$254
|
$0.43
|
|
1)
|
Refer to Schedules 2 and 3 for details of items excluded from operating earnings, or find "GAAP Reconciliation"
|
||
on Dominion's website at www.dom.com/investors.
|