Acquisitions And Dispositions (Tables)

12 Months Ended

Dec. 31, 2018

Business Acquisition, Pro Forma Information

The following unaudited pro forma financial information reflects the consolidated results of operations of Dominion Energy assuming the SCANA Combination had taken place on January 1, 2018. The unaudited pro forma financial information has been presented for illustrative purposes only and may change as Dominion Energy finalizes its valuation of certain assets acquired and liabilities assumed at the acquisition date. The unaudited pro forma financial information is not necessarily indicative of the consolidated results of operations that would have been achieved or the future consolidated results of operations of the combined company.


	Twelve Months Ended December 31,
	2018⁽¹⁾
(millions, except EPS)
Operating Revenue	$	17,505
Net income attributable to Dominion Energy		2,081
Earnings Per Common Share – Basic	$	2.78
Earnings Per Common Share – Diluted	$	2.77

(1)

Amounts include adjustments for non-recurring costs directly related to the SCANA Combination.

Schedule of Business Acquisitions, by Acquisition

The following table presents significant completed acquisitions of wholly-owned merchant solar projects by Dominion Energy.


Completed Acquisition Date	Seller	Number of Projects			Project Location	Project Name(s)	Initial Acquisition (millions)⁽¹⁾		Project Cost (millions)⁽²⁾		Date of Commercial Operations	MW Capacity
February 2017	Community Energy Solar, LLC		1		Virginia	Amazon Solar Farm Virginia—Southhampton	$	29	$	205	December 2017		100
March 2017	Solar Frontier Americas Holding LLC		1	⁽³⁾	California	Midway II		77		78	June 2017		30
May 2017	Cypress Creek Renewables, LLC		1		North Carolina	IS37		154		160	June 2017		79
June 2017	Hecate Energy Virginia C&C LLC		1		Virginia	Clarke County		16		16	August 2017		10
June 2017	Strata Solar Development, LLC/Moorings Farm 2 Holdco, LLC		2		North Carolina	Fremont, Moorings 2		20		20	November 2017		10
September 2017	Hecate Energy Virginia C&C LLC		1		Virginia	Cherrydale		40		41	November 2017		20
October 2017	Strata Solar Development, LLC		2		North Carolina	Clipperton, Pikeville		20		21	November 2017		10

(1)

The purchase price was primarily allocated to Property, Plant and Equipment.

(2)

Includes acquisition cost.

(3)

In April 2017, Dominion Energy discontinued efforts on the acquisition of the additional 20 MW solar project from Solar Frontier Americas Holding LLC.

SCANA

Schedule of Preliminary Allocation of Purchase Price to Assets Acquired and Liabilities Assumed

The table below shows the preliminary allocation of the purchase price to the assets acquired and liabilities assumed at closing to be reflected in Dominion Energy’s Consolidated Balance Sheet in the first quarter of 2019. The allocation is subject to change during the measurement period as additional information is obtained about the facts and circumstances that existed at closing. The allocation of the purchase price excludes certain contracts and intangible assets related to nonregulated operations, including SEMI, equity method investments and certain income tax-related amounts, which will be included as Dominion Energy completes its valuation analysis. As a result, the amount of goodwill included below may change by a material amount as Dominion Energy finalizes the allocation of the purchase price during the first quarter of 2019.


	Amount
(millions)
Total current assets	$	1,756
Investments		213
Property, plant and equipment, net		10,982
Goodwill		2,438
Regulatory assets		4,219
Other deferred charges and other assets, including intangible assets		314
Total Assets		19,922
Total current liabilities		1,506
Long-term debt		6,707
Deferred income taxes		1,097
Regulatory liabilities		2,664
Other deferred credits and other liabilities		1,109
Total Liabilities		13,083
Total purchase price	$	6,839

Business Acquisition, Pro Forma Information

The following unaudited pro forma financial information reflects the consolidated results of operations of Dominion Energy assuming the Dominion Energy Questar Combination had taken place on January 1, 2016. The unaudited pro forma financial information has been presented for illustrative purposes only and is not necessarily indicative of the consolidated results of operations that would have been achieved or the future consolidated results of operations of the combined company.


	Twelve Months Ended December 31,
	2016⁽¹⁾
(millions, except EPS)
Operating Revenue	$	12,497
Net income attributable to Dominion Energy		2,300
Earnings Per Common Share – Basic	$	3.73
Earnings Per Common Share – Diluted	$	3.73

(1)

Amounts include adjustments for non-recurring costs directly related to the Dominion Energy Questar Combination.

Dominion Energy Questar Corporation

Schedule of Preliminary Allocation of Purchase Price to Assets Acquired and Liabilities Assumed

The modifications relate primarily to the finalization of Dominion Energy Questar’s 2016 tax return for the period January 1, 2016 through the Dominion Energy Questar Combination, as well as certain regulatory adjustments.


	Amount
(millions)
Total current assets	$	224
Investments⁽¹⁾		58
Property, plant and equipment, net⁽²⁾		4,131
Goodwill		3,111
Total deferred charges and other assets, excluding goodwill		75
Total Assets		7,599
Total current liabilities⁽³⁾		793
Long-term debt⁽⁴⁾		963
Deferred income taxes		807
Regulatory liabilities		259
Asset retirement obligations		160
Other deferred credits and other liabilities		220
Total Liabilities		3,202
Total purchase price		4,397

(1)

Includes $40 million for an equity method investment in White River Hub. The fair value adjustment on the equity method investment in White River Hub is considered to be equity method goodwill and is not amortized.

(2)

Nonregulated property, plant and equipment, excluding land, will be depreciated over remaining useful lives primarily ranging from 9 to 18 years.

(3)

Includes $301 million of short-term debt, of which no amounts remain outstanding at December 31, 2018, as well as a $250 million variable interest rate term loan due in August 2017 that was paid in July 2017.

(4)

Unsecured senior and medium-term notes with maturities which range from 2017 to 2048 and bear interest at rates from 2.98% to 7.20%.