Dominion Energy Inc.'s Cumulative Preferred Shares Rated 'BBB-'

NEW YORK (S&P Global Ratings) Dec. 2, 2019--S&P Global Ratings today assigned its 'BBB-' issue-level rating to Richmond, Va.-based Dominion Energy Inc.'s series B cumulative redeemable preference shares. The company will use the proceeds from these preferred shares for general corporate purposes and to repay short-term debt. We are assigning intermediate equity credit (50% equity) to the preferred shares based on the proposed terms. Our intermediate equity treatment is largely premised on the instrument's permanence, subordination, and deferability features, as defined under our criteria for hybrid securities. The series B preferred stock is perpetual, with no maturity date and no incentive to redeem the issue for a long-dated period, meeting our standards for permanence. In addition, the dividend payments are

...December 2, 2019 NEW YORK (S&P Global Ratings) Dec. 2, 2019--S&P Global Ratings today assigned its '###-' issue-level rating to Richmond, Va.-based Dominion Energy Inc.'s series B cumulative redeemable preference shares. The company will use the proceeds from these preferred shares for general corporate purposes and to repay short-term debt. We are assigning intermediate equity credit (50% equity) to the preferred shares based on the proposed terms. Our intermediate equity treatment is largely premised on the instrument's permanence, subordination, and deferability features, as defined under our criteria for hybrid securities. The series B preferred stock is perpetual, with no maturity date and no incentive to redeem the issue for a long-dated period, meeting our standards for permanence. In addition, the dividend payments are deferrable, fulfilling the deferability element in our criteria. Furthermore, the instrument is subordinated to all existing and future senior debt obligations, satisfying...

Ratings Action