July 31, 2019 Important note to investors This presentation - PowerPoint PPT Presentation

Q2 2019 earnings call July 31, 2019

Important note to investors This presentation contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 regarding Dominion Energy. The statements relate to, among other things, expectations, estimates and projections concerning the business and operations of Dominion Energy. We have used the words "anticipate", "believe", "could", "estimate", "expect", "intend", "may", "plan", “outlook”, "predict", "project", “should”, “ str ategy”, “target”, "will“, “potential” and similar terms and phrases to identify forward-looking statements in this presentation. As outlined in our SEC filings, factors that could cause actual results to differ include, but are not limited to: unusual weather conditions and their effect on energy sales to customers and energy commodity prices; extreme weather events and other natural disasters; federal, state and local legislative and regulatory developments; changes to federal, state and local environmental laws and regulations, including proposed carbon regulations; cost of environmental compliance; changes in enforcement practices of regulators relating to environmental standards and litigation exposure for remedial activities; capital market conditions, including the availability of credit and the ability to obtain financing on reasonable terms; fluctuations in interest rates; changes in rating agency requirements or credit ratings and their effect on availability and cost of capital; impacts of acquisitions, divestitures, transfers of assets by Dominion Energy to joint ventures, and retirements of assets based on asset portfolio reviews; receipt of approvals for, and timing of, closing dates for acquisitions and divestitures; changes in demand for Dominion Energy’s services; additional competition in Dominion Energy’s industries; chang es to regulated rates collected by Dominion Energy; changes in operating, maintenance and construction costs; timing and receipt of regulatory approvals necessary for planned construction or expansion projects and compliance with conditions associated with such regulatory approvals; adverse outcomes in litigation matters or regulatory proceedings; and the inability to complete planned construction projects within time frames initially anticipated. Other risk factors are detailed from time to time in Dom inion Energy’s quarterly reports on Form 10 - Q or most recent annual report on Form 10-K filed with the Securities and Exchange Commission. The information in this presentation was prepared as of July 31, 2019. Dominion Energy undertakes no obligation to update any forward-looking information statement to reflect developments after the statement is made. Projections or forecasts shown in this document are based on the assumptions listed in this document and are subject to change at any time. In addition, certain information presented in this document incorporates planned capital expenditures reviewed and endorsed by Dominion Energy’s Board of Directors. Actual capital expenditures may be subject to regulatory and/or Board of Directors’ approval an d may vary from these estimates. This presentation shall not constitute an offer to sell or the solicitation of an offer to buy securities. Any offers, solicitations or offers to buy, or any sales of securities will be made in accordance with the requirements of the Securities Act of 1933, as amended. This presentation has been prepared primarily for security analysts and investors in the hope that it will serve as a convenient and useful reference document. The format of this document may change in the future as we continue to try to meet the needs of security analysts and investors. This document is not intended for use in connection with any sale, offer to sell, or solicitation of any offer to buy securities. This presentation includes various estimates of EBITDA which is a non-GAAP financial measure. Please see the second quarter 2019 Dominion Energy earnings release kit for a reconciliation to GAAP. Please continue to regularly check Dominion Energy’s website at www.dominionenergy.com/investors. 2 Please refer to page 2 for risks and uncertainties related to projections and forward looking statements.

Operating earnings per share Actual versus guidance ($ per share) Second quarter 2019 $0.80 $0.77 $0.75 $0.70 Favorable weather impact on utility earnings: $0.02 Actual¹ Weather-normalized¹ Guidance¹ ¹ See pages 23, 28 and 31 of the second quarter 2019 Earnings Release Kit for supporting information and a reconciliation to GAAP. 3 Please refer to page 2 for risks and uncertainties related to projections and forward looking statements.

Operating EBIT Actual versus guidance ($M) Second quarter 2019 Operating Guidance range segment (midpoint) Actual¹ / Select driver(s) $260M — $290M Power Delivery $275M ($275M) O&M $360M — $400M Power Generation $408M ($380M) Weather $405M — $435M Gas Infrastructure $418M ($420M) $155M — $180M Weather Southeast Energy $172M ($168M) ¹ See pages 28 and 35 of the second quarter 2019 Earnings Release Kit for supporting information and a reconciliation to GAAP. 4 Please refer to page 2 for risks and uncertainties related to projections and forward looking statements.

Reporting segment restructuring Enhanced clarity and transparency Dominion Energy Dominion Energy Dominion Energy Dominion Energy Dominion Energy Gas Transmission Contracted Virginia Gas Distribution South Carolina & Storage Generation CT NY UT CT OH PA VA States of OH CA WY MD ID IN WV SC WY WV operation VA UT NC CO Southeast NC UT U.S. SC NC GA 2020E operating 40% — 25% — 10% — 10% — <10% earnings 45% 30% 15% 15% contribution  Electric  Gas pipelines &  Gas distribution  Integrated  Millstone  Long-term distribution, storage electric  Cove Point transmission, & distribution, contracted solar Select assets generation transmission, and wind generation & gas distribution = Will report to a single business unit CEO 5 Please refer to page 2 for risks and uncertainties related to projections and forward looking statements.

Initiative updates Summary  Incremental to existing “Flat O&M” initiative, not additive to existing earnings guidance  Savings available to overcome potential unexpected challenges; de-risks growth plan  ~12% of total workforce elected to participate Voluntary  Retirement Up to one third of vacated positions to be backfilled Program  Embracing new technologies to complement human capital deployment  Cost savings associated with regulated employees to be passed through to regulated customers  Consistent with guidance, $1.6B equity-linked unit offering completed in June Equity-  Nearly 5x oversubscribed, record pricing linked  offering No near-term common equity issuance related to the financing 6 Please refer to page 2 for risks and uncertainties related to projections and forward looking statements.

Operating earnings per share Prior year actual versus guidance ($ per share) Third quarter Select second half 2019 drivers $1.20 Relative to 2H 2018 $1.15 Driver (operating EPS) Millstone refueling $0.08 — $0.10 $1.12 3Q18 Net capacity expense $0.06 — $0.08 $1.00 Guidance: $0.95 — $1.15 Southeast Energy Group $0.04 — $0.06  Regulated investment  Southeast Energy Grp.  Regulated investment  O&M controls  Millstone PPA Positive impact  2018 asset sales  O&M control initiatives  Share issuances  Farmout timing  Normal weather 2H 2019 VRP savings of 5 to 6 cents per share available to address unplanned challenges Example: YTD weather ($0.04) Affirm 2019 full year guidance range of Actual: Weather-normalized: Guidance: Q3 2018¹ Q3 2018² Q3 2019¹ $4.05 — $4.40 ¹ See pages 29 and 37 of the second quarter 2019 Earnings Release Kit for supporting information and a reconciliation to GAAP. 2 See page 22 of the third quarter 2018 Earnings Release Kit for weather information. 7 Please refer to page 2 for risks and uncertainties related to projections and forward looking statements.

Core values One Dominion Embrace Excellence Safety Ethics Energy Change (Teamwork) Changing the Our highest Sustainable Striving for way we think priority is keeping Doing right and performance excellence in about the today our employees doing well are depends on how everything we inseparable and tomorrow of and communities well we support do our businesses safe one another 8 Please refer to page 2 for risks and uncertainties related to projections and forward looking statements.

Business updates Top states for business Top Ten States for Primary state regulated utility operations Business (2019)¹ #1 Virginia North #3 Carolina Regulated utility #4 Utah operations centered around 5 key states ~65 — 70% Ohio #10 2020E operating earnings ¹ CNBC America’s Top States for Business in 2019 9 Please refer to page 2 for risks and uncertainties related to projections and forward looking statements.