Derivatives and Hedge Accounting Activities (Tables)

3 Months Ended

Mar. 31, 2014

Derivative [Line Items]

Offsetting Assets

The tables below present Dominion's derivative asset and liability balances by type of financial instrument, before and after the effects of offsetting:

	March 31, 2014						December 31, 2013
	Gross Amounts of Recognized Assets		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Assets Presented in the Consolidated Balance Sheet		Gross Amounts of Recognized Assets		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Assets Presented in the Consolidated Balance Sheet
(millions)
Interest rate contracts:
Over-the-counter	$	73	$	—	$	73	$	137	$	—	$	137
Commodity contracts:
Over-the-counter	203		—		203		240		—		240
Exchange	372		—		372		506		—		506
Total derivatives, subject to a master netting or similar arrangement	648		—		648		883		—		883
Total derivatives, not subject to a master netting or similar arrangement	1		—		1		7		—		7
Total	$	649	$	—	$	649	$	890	$	—	$	890

			March 31, 2014								December 31, 2013
			Gross Amounts Not Offset in the Consolidated Balance Sheet								Gross Amounts Not Offset in the Consolidated Balance Sheet
	Net Amounts of Assets Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Received		Net Amounts		Net Amounts of Assets Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Received		Net Amounts
(millions)
Interest rate contracts:
Over-the-counter	$	73	$	43	$	—	$	30	$	137	$	—	$	—	$	137
Commodity contracts:
Over-the-counter	203		132		—		71		240		63		—		177
Exchange	372		368		—		4		506		505		—		1
Total	$	648	$	543	$	—	$	105	$	883	$	568	$	—	$	315

Offsetting Liabilities

	March 31, 2014						December 31, 2013
	Gross Amounts of Recognized Liabilities		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Gross Amounts of Recognized Liabilities		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet
(millions)
Interest rate contracts:
Over-the-counter	$	47	$	—	$	47	$	—	$	—	$	—
Commodity contracts:
Over-the-counter	341		—		341		262		—		262
Exchange	665		—		665		838		—		838
Total derivatives, subject to a master netting or similar arrangement	1,053		—		1,053		1,100		—		1,100
Total derivatives, not subject to a master netting or similar arrangement	1		—		1		2		—		2
Total	$	1,054	$	—	$	1,054	$	1,102	$	—	$	1,102

			March 31, 2014								December 31, 2013
			Gross Amounts Not Offset in the Consolidated Balance Sheet								Gross Amounts Not Offset in the Consolidated Balance Sheet
	Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Paid		Net Amounts		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Paid		Net Amounts
(millions)
Interest rate contracts:
Over-the-counter	$	47	$	43	$	—	$	4	$	—	$	—	$	—	$	—
Commodity contracts:
Over-the-counter	341		132		8		201		262		63		69		130
Exchange	665		368		297		—		838		505		333		—
Total	$	1,053	$	543	$	305	$	205	$	1,100	$	568	$	402	$	130

Volumes of Derivative Activity

The following table presents the volume of Dominion’s derivative activity as of March 31, 2014. These volumes are based on open derivative positions and represent the combined absolute value of their long and short positions, except in the case of offsetting transactions, for which they represent the absolute value of the net volume of their long and short positions.

	Current		Noncurrent
Natural Gas (bcf):
Fixed price(1)	77		15
Basis	504		272
Electricity (MWh):
Fixed price	17,786,691		14,597,007
FTRs	16,921,356		—
Capacity (MW)	33,550		18,300
Liquids (Gal)(2)	113,652,000		—
Interest rate	$	1,100,000,000	$	3,650,000,000

(1) Includes options.

(2) Includes NGLs and oil.

Cash Flow Hedges Included Accumulated Other Comprehensive Income (Loss)

The following table presents selected information related to gains (losses) on cash flow hedges included in AOCI in Dominion’s Consolidated Balance Sheet at March 31, 2014:

	AOCI After-Tax			Amounts Expected to be Reclassified to Earnings during the next 12 Months After-Tax			Maximum Term
(millions)
Commodities:
Gas	$	(6	)	$	(6	)	25 months
Electricity	(135		)	(145		)	33 months
Other	—			—			26 months
Interest rate	(137		)	(7		)	366 months
Total	$	(278	)	$	(158	)

Fair Value of Derivatives

The following table presents the fair values of Dominion’s derivatives and where they are presented in its Consolidated Balance Sheets:

	Fair Value – Derivatives under Hedge  Accounting		Fair Value – Derivatives not under Hedge  Accounting		Total Fair Value
(millions)
March 31, 2014
ASSETS
Current Assets
Commodity	$	149	$	261	$	410
Interest rate	62		—		62
Total current derivative assets	211		261		472
Noncurrent Assets
Commodity	92		74		166
Interest rate	11		—		11
Total noncurrent derivative assets(1)	103		74		177
Total derivative assets	$	314	$	335	$	649
LIABILITIES
Current Liabilities
Commodity	$	394	$	397	$	791
Interest rate	11		—		11
Total current derivative liabilities	405		397		802
Noncurrent Liabilities
Commodity	77		139		216
Interest Rate	36		—		36
Total noncurrent derivative liabilities(2)	113		139		252
Total derivative liabilities	$	518	$	536	$	1,054
December 31, 2013
ASSETS
Current Assets
Commodity	$	49	$	522	$	571
Interest rate	116		—		116
Total current derivative assets	165		522		687
Noncurrent Assets
Commodity	28		154		182
Interest rate	21		—		21
Total noncurrent derivative assets(1)	49		154		203
Total derivative assets	$	214	$	676	$	890
LIABILITIES
Current Liabilities
Commodity	$	267	$	561	$	828
Total current derivative liabilities	267		561		828
Noncurrent Liabilities
Commodity	119		155		274
Total noncurrent derivative liabilities(2)	119		155		274
Total derivative liabilities	$	386	$	716	$	1,102

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

(2) 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

The following tables present the gains and losses on Dominion's derivatives, as well as where the associated activity is presented in its Consolidated Balance Sheets and Statements of Income:

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 March 31, 2014
Derivative Type and Location of Gains (Losses)
Commodity:
Operating revenue				$	(269	)
Purchased gas				(1		)
Electric fuel and other energy-related purchases				13
Total commodity	$	(183	)	$	(257	)	$	2
Interest rate(3)	(47		)	(3		)	(23		)
Total	$	(230	)	$	(260	)	$	(21	)
Three Months Ended March 31, 2013
Derivative Type and Location of Gains (Losses)
Commodity:
Operating revenue				$	(84	)
Purchased gas				(34		)
Electric fuel and other energy-related purchases				(3		)
Total commodity	$	(157	)	$	(121	)	$	7
Interest rate(3)	13			(3		)	16
Total	$	(144	)	$	(124	)	$	23

(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.

Schedule of Derivatives not Designated as Hedging Instruments

	Amount of Gain (Loss) Recognized in Income on Derivatives(1)
	Three Months Ended March 31,
Derivatives not designated as hedging instruments	2014			2013
(millions)
Derivative Type and Location of Gains (Losses)
Commodity
Operating revenue	$	(361	)	$	3
Purchased gas	7			18
Electric fuel and other energy-related purchases	133			3
Total	$	(221	)	$	24

(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.

Virginia Electric and Power Company

Derivative [Line Items]

Offsetting Assets

The tables below present Virginia Power's derivative asset and liability balances by type of financial instrument, before and after the effects of offsetting:

	March 31, 2014						December 31, 2013
	Gross Amounts of Recognized Assets		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Assets Presented in the Consolidated Balance Sheet		Gross Amounts of Recognized Assets		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Assets Presented in the Consolidated Balance Sheet
(millions)
Interest rate contracts:
Over-the-counter	$	—	$	—	$	—	$	48	$	—	$	48
Commodity contracts:
Over-the-counter	14		—		14		4		—		4
Exchange	3		—		3		1		—		1
Total derivatives, subject to a master netting or similar arrangement	17		—		17		53		—		53
Total derivatives, not subject to a master netting or similar arrangement	1		—		1		—		—		—
Total	$	18	$	—	$	18	$	53	$	—	$	53

			March 31, 2014								December 31, 2013
			Gross Amounts Not Offset in the Consolidated Balance Sheet								Gross Amounts Not Offset in the Consolidated Balance Sheet
	Net Amounts of Assets Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Received		Net Amounts		Net Amounts of Assets Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Received		Net Amounts
(millions)
Interest rate contracts:
Over-the-counter	$	—	$	—	$	—	$	—	$	48	$	—	$	—	$	48
Commodity contracts:
Over-the-counter	14		4		—		10		4		4		—		—
Exchange	3		—		—		3		1		—		—		1
Total	$	17	$	4	$	—	$	13	$	53	$	4	$	—	$	49

Offsetting Liabilities

	March 31, 2014						December 31, 2013
	Gross Amounts of Recognized Liabilities		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Gross Amounts of Recognized Liabilities		Gross Amounts Offset in the Consolidated Balance Sheet		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet
(millions)
Interest rate contracts:
Over-the-counter	$	4	$	—	$	4	$	—	$	—	$	—
Commodity contracts:
Over-the-counter	4		—		4		12		—		12
Exchange	—		—		—		—		—		—
Total derivatives, subject to a master netting or similar arrangement	8		—		8		12		—		12
Total derivatives, not subject to a master netting or similar arrangement	—		—		—		—		—		—
Total	$	8	$	—	$	8	$	12	$	—	$	12

			March 31, 2014								December 31, 2013
			Gross Amounts Not Offset in the Consolidated Balance Sheet								Gross Amounts Not Offset in the Consolidated Balance Sheet
	Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Paid		Net Amounts		Net Amounts of Liabilities Presented in the Consolidated Balance Sheet		Financial Instruments		Cash Collateral Paid		Net Amounts
(millions)
Interest rate contracts:
Over-the-counter	$	4	$	—	$	—	$	4	$	—	$	—	$	—	$	—
Commodity contracts:
Over-the-counter	4		4		—		—		12		4		7		1
Exchange	—		—		—		—		—		—		—		—
Total	$	8	$	4	$	—	$	4	$	12	$	4	$	7	$	1

Volumes of Derivative Activity

The following table presents the volume of Virginia Power’s derivative activity as of March 31, 2014. These volumes are based on open derivative positions and represent the combined absolute value of their long and short positions, except in the case of offsetting transactions, for which they represent the absolute value of the net volume of their long and short positions.

	Current		Noncurrent
Natural Gas (bcf):
Fixed price	17		—
Basis	14		—
Electricity (MWh):
Fixed price	490,400		—
FTRs	16,307,498		—
Capacity (MW)	30,500		18,300
Interest rate	$	—	$	250,000,000

Fair Value of Derivatives

The following table presents the fair values of Virginia Power’s derivatives and where they are presented in its Consolidated

Balance Sheets:

	Fair Value – Derivatives under Hedge  Accounting		Fair Value – Derivatives not under Hedge  Accounting		Total Fair Value
(millions)
March 31, 2014
ASSETS
Current Assets
Commodity	$	5	$	13	$	18
Total current derivative assets(1)	5		13		18
Total derivative assets	$	5	$	13	$	18
LIABILITIES
Current Liabilities
Commodity	$	2	$	2	$	4
Total current derivative liabilities(2)	2		2		4
Noncurrent Liabilities
Interest Rate	4		—		4
Total noncurrent derivatives liabilities (3)	4		—		4
Total derivative liabilities	$	6	$	2	$	8
December 31, 2013
ASSETS
Current Assets
Commodity	$	2	$	3	$	5
Interest rate	48		—		48
Total current derivative assets(1)	50		3		53
Total derivative assets	$	50	$	3	$	53
LIABILITIES
Current Liabilities
Commodity	$	1	$	11	$	12
Total current derivative liabilities(2)	1		11		12
Total derivative liabilities	$	1	$	11	$	12

(1) Current derivative assets are presented in other current assets in Virginia Power's Consolidated Balance Sheets.

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

(3) Noncurrent derivative liabilities are presented in other deferred credits and other liabilities in Virginia Power’s Consolidated Balance Sheets.

Gains and Losses on Derivatives in Cash Flow Hedging Relationships

The following tables present the gains and losses on Virginia Power's derivatives, as well as where the associated activity is presented in its Consolidated Balance Sheets and Statements of Income:

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 March 31, 2014
Derivative Type and Location of Gains (Losses)
Commodity:
Electric fuel and other energy-related purchases				$	5
Total commodity	$	6		$	5	$	2
Interest rate(3)	(3		)	—		(23		)
Total	$	3		$	5	$	(21	)
Three Months Ended March 31, 2013
Derivative Type and Location of Gains (Losses)
Commodity:
Electric fuel and other energy-related purchases				$	—
Total commodity	$	1		$	—	$	7
Interest rate(3)	2			—		16
Total	$	3		$	—	$	23

(1) Amounts deferred into AOCI have no associated effect in Virginia Power’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 Virginia Power’s Consolidated Statements of Income.

(3) Amounts recorded in Virginia Power’s Consolidated Statements of Income are classified in interest and related charges.

Schedule of Derivatives not Designated as Hedging Instruments

	Amount of Gain (Loss) Recognized in Income on Derivatives(1)
	Three Months Ended March 31,
Derivatives not designated as hedging instruments	2014		2013
(millions)
Derivative Type and Location of Gains (Losses)
Commodity(2)	$	119	$	2
Total	$	119	$	2

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

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