RICHMOND, Va., Dec. 17, 2013 /PRNewswire/ -- The board of directors of Dominion (NYSE: D) today affirmed the dividend policy it set in December 2012 to pay out to shareholders 65 percent to 70 percent of operating earnings. The board also established a 2014 dividend rate of $2.40 per share of common stock, up from $2.25 per share in 2013, or a 6.7 percent increase. Subject to board declaration in January, the first quarterly dividend of 60 cents per share will be payable in March 2014.
Thomas F. Farrell II, chairman, president and chief executive officer, said:
"As Dominion continues building energy infrastructure to meet market and customer demand, we expect 80 percent to 90 percent of our future earnings to come from our regulated businesses. This earnings mix should allow for continued strong growth in our dividend commensurate with our future operating earnings growth rate."
Dominion is one of the nation's largest producers and transporters of energy, with a portfolio of approximately 23,500 megawatts of generation, 11,000 miles of natural gas transmission, gathering and storage pipeline and 6,400 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 www.dom.com.
Payment of the 2014 dividend is subject to quarterly determination and declaration by the board of directors of specific record and payable dates.
This news release includes certain forward-looking information which is subject to various risks and uncertainties. We have identified in our SEC Reports on Forms 10-K and 10-Q, and will in the future identify, a number of factors that could cause actual results to differ from those in the forward-looking statements. We refer you to those discussions for further information. Any forward-looking statement speaks only as of the date on which it is made, and we undertake no obligation to update any forward-looking statement to reflect events or circumstances after the date on which it is made.