Derivatives and Hedge Accounting Activities (Tables)

6 Months Ended

Jun. 30, 2011

Derivatives and Hedge Accounting Activities

Volumes of Derivative Activity

	Current		Noncurrent
Natural Gas (bcf):
Fixed price(1)		245		60
Basis		1,019		458
Electricity (MWh):
Fixed price(1)		19,363,209		24,512,834
FTRs		108,707,777		1,074,048
Capacity (MW)		201,416		297,985
Liquids (gallons)(2)		143,136,000		300,006,000
Interest rate	$	600,000,000	$	3,100,000,000

(1) Includes options.

(2) Includes NGLs and oil.

Selected Information Related to Gains (Losses) on Cash Flow Hedges Included in AOCI

	AOCI After-Tax			Amounts Expected to be Reclassified to Earnings during the next  12 Months After-Tax			Maximum Term
(millions)
Commodities:
Gas	$	(14	)	$	(5	)		42 months
Electricity		42			30			54 months
NGLs		(75	)		(32	)		42 months
Other		6			2			47 months
Interest rate		14			(6	)		378 months
Total	$	(27	)	$	(11	)

Fair Value of Derivatives

	Fair Value – Derivatives under Hedge Accounting		Fair Value – Derivatives not under Hedge Accounting		Total Fair Value
(millions)
June 30, 2011
ASSETS
Current Assets
Commodity	$	163	$	273	$	436
Interest rate		40		—		40
Total current derivative assets		203		273		476
Noncurrent Assets
Commodity		82		70		152
Interest rate		45		—		45
Total noncurrent derivative assets(1)		127		70		197
Total derivative assets	$	330	$	343	$	673
LIABILITIES
Current Liabilities
Commodity	$	172	$	344	$	516
Interest rate		27		—		27
Total current derivative liabilities(2)		199		344		543
Noncurrent Liabilities
Commodity		146		80		226
Interest rate		7		—		7
Total noncurrent derivative liabilities(3)		153		80		233
Total derivative liabilities	$	352	$	424	$	776
December 31, 2010
ASSETS
Current Assets
Commodity	$	291	$	425	$	716
Interest rate		23		—		23
Total current derivative assets		314		425		739
Noncurrent Assets
Commodity		44		83		127
Interest rate		31		—		31
Total noncurrent derivative assets(1)		75		83		158
Total derivative assets	$	389	$	508	$	897
LIABILITIES
Current Liabilities
Commodity	$	178	$	455	$	633
Total current derivative liabilities(2)		178		455		633
Noncurrent Liabilities
Commodity		86		106		192
Interest rate		5		—		5
Total noncurrent derivative liabilities(3)		91		106		197
Total derivative liabilities	$	269	$	561	$	830

(1) Noncurrent derivative assets are presented in other deferred charges and other assets in Dominion's Consolidated Balance Sheets.

(2) Current derivative liabilities are presented in other current liabilities in Dominion's Consolidated Balance Sheets.

(3) Noncurrent derivative liabilities are presented in other deferred credits and other liabilities in Dominion's Consolidated Balance Sheets.

Gains and Losses on Derivatives in Cash Flow Hedging Relationships

Derivatives in cash flow hedging relationships	Amount of  Gain (Loss) Recognized in AOCI  on Derivatives - Effective Portion(1)			Amount of Gain (Loss)  Reclassified from AOCI to Income			Increase (Decrease)  in Derivatives Subject to Regulatory Treatment(2)
(millions)
Three Months Ended June 30, 2011
Derivative Type and Location of Gains (Losses)
Commodity:
Operating revenue				$	32
Purchased gas					(7	)
Electric fuel and other energy-related purchases					1
Purchased electric capacity					1
Total commodity	$	49			27		$	(4	)
Interest rate(3)		(31	)		—			1
Total	$	18		$	27		$	(3	)
Three Months Ended June 30, 2010
Derivative Type and Location of Gains (Losses)
Commodity:
Operating revenue				$	114
Purchased gas					(19	)
Electric fuel and other energy-related purchases					(5	)
Purchased electric capacity					1
Total commodity	$	(16	)		91		$	2
Interest rate(3)		—			70			(23	)
Foreign currency(4)		—			(1	)		(1	)
Total	$	(16	)	$	160		$	(22	)
Six Months Ended June 30, 2011
Derivative Type and Location of Gains (Losses)
Commodity:
Operating revenue				$	60
Purchased gas					(55	)
Electric fuel and other energy-related purchases					2
Purchased electric capacity					2
Total commodity	$	(93	)		9		$	(9	)
Interest rate(3)		(32	)		—			—
Total	$	(125	)	$	9		$	(9	)
Six Months Ended June 30, 2010
Derivative Type and Location of Gains (Losses)
Commodity:
Operating revenue				$	295
Purchased gas					(116	)
Electric fuel and other energy-related purchases					(8	)
Purchased electric capacity					2
Total commodity	$	283			173		$	(11	)
Interest rate(3)		(3	)		110			(24	)
Foreign currency(4)		—			—			(2	)
Total	$	280		$	283		$	(37	)

(1) Amounts deferred into AOCI have no associated effect in Dominion's Consolidated Statements of Income.

(2) Represents net derivative activity deferred into and amortized out of regulatory assets/liabilities. Amounts deferred into regulatory assets/liabilities have no associated effect in Dominion's Consolidated Statements of Income.

(3) Amounts recorded in Dominion's Consolidated Statements of Income are classified in interest and related charges.

(4) Amounts recorded in Dominion's Consolidated Statements of Income are classified in electric fuel and other energy-related purchases.

Schedule of Derivatives not Designated as Hedging Instruments

Amount of Gain (Loss) Recognized in Income on Derivatives(1)
	Three Months Ended June 30,						Six Months Ended June 30,
Derivatives not designated as hedging instruments	2011			2010			2011			2010
(millions)
Derivative Type and Location of Gains (Losses)
Commodity
Operating revenue	$	23		$	(14	)	$	42		$	26
Purchased gas		(7	)		2			(18	)		(29	)
Electric fuel and other energy-related purchases		(24	)		5			(8	)		26
Interest rate(2)		—			(37	)		—			(37	)
Total	$	(8	)	$	(44	)	$	16		$	(14	)

(1) Includes derivative activity amortized out of regulatory assets/liabilities. Amounts deferred into regulatory assets/liabilities have no associated effect in Dominion's Consolidated Statements of Income.

(2) Amounts recorded in Dominion's Consolidated Statements of Income are classified in interest and related charges.