NEW YORK (S&P Global Ratings) Aug. 8, 2016--S&P Global Ratings today assigned its 'BBB-' long-term issue rating to Dominion Resources Inc.'s announced offering of $1.25 billion in equity units. The equity units consist of a purchase contract that obligates the owner to purchase Dominion's common stock on Aug. 15, 2019, and a re-marketable subordinated note. Dominion will use the equity unit proceeds as part of financing for the Questar Corp. merger and for general corporate purposes. We classify these securities as hybrids that have high (100%) equity content. The 'BBB-' rating on Richmond, Va.-based Dominion's $1.25 billion equity unit hybrid securities incorporate equity risk similar to preferred stock. Under our criteria, we notch the equity units two notches below our
