Dominion Board Of Directors Sets New Dividend Policy; Increases Dividend Rate

Dominion Board Of Directors Sets New Dividend Policy; Increases Dividend Rate

PR Newswire

RICHMOND, Va., Dec. 18, 2012

RICHMOND, Va., Dec. 18, 2012 /PRNewswire/ --The board of directors of
Dominion (NYSE: D) today set a new goal to achieve a 65-70 percent dividend
payout ratio. The new policy replaces one established in December 2010 to
achieve a 60-65 percent payout ratio. The board also set a 2013 dividend rate
of $2.25 per share of common stock, up from $2.11 per share in 2012, or a 6.6
percent increase. Subject to board declaration in January, the first quarterly
dividend of 56.25 cents per share will be payable in March 2013.

Thomas F. Farrell II, chairman, president and chief executive officer, said:

"The new dividend payout ratio and rate reflect the recent refinement of
Dominion's business model — reducing our reliance on commodity-based earnings
resulting in a more heavily weighted shift in the operating earnings mix
toward regulated enterprises — and expected earnings growth. We believe our
shareholders should share in the company's success."

The expected 2013 dividend rate increase would mark the 10th consecutive year
in which the annual dividend rate rose from the prior year. After such a
dividend rate hike, the annual dividend rate will have increased 63 percent
since 2006, when Dominion announced it would transform the company by selling
its non-Appalachian exploration and production business.

Dominion is one of the nation's largest producers and transporters of energy,
with a portfolio of approximately 27,400 megawatts of generation, 11,000 miles
of natural gas transmission, gathering and storage pipeline and 6,300 miles of
electric transmission lines. Dominion operates one of the nation's largest
natural gas storage systems with 947 billion cubic feet of storage capacity
and serves retail energy customers in 15 states. For more information about
Dominion, visit the company's website at

Payment of the 2013 dividend is subject to quarterly determination and
declaration by the board of directors of specific record and payable dates.

SOURCE Dominion

Contact: Media: Ryan Frazier, +1-804-819-2521,;
Analysts: Nathan Frost, +1-804-819-2187,
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