8-KOther EventsExhibits & Filings

DOMINION ENERGY, INC 8-K Report, Corporate Update (Nov 10, 2004)

Filed November 10, 2004For Securities:D

Summary

Dominion Energy, Inc. (D) has announced a significant adjustment to the interest rate on its 2000 Series G 8.05% Senior Notes due November 15, 2006. Effective November 16, 2004, the reset rate, determined by Lehman Brothers Inc., will lower the coupon from 8.05% to 3.66%. This change applies to the total outstanding principal amount of $412,500,000 and is a result of a Remarketing Agreement from October 12, 2000. This rate reset is a crucial development for investors holding these specific senior notes. The substantial reduction in the interest rate will directly impact the income generated by these notes. Investors should carefully consider the implications of this lower yield on their overall portfolio returns and Dominion's future interest expense. While the filing doesn't elaborate on the reasons for the reset, it is a standard mechanism in certain debt agreements that can be triggered by market conditions or other pre-defined terms.

Key Highlights

  • 1Dominion Energy (D) announced a reset interest rate for its 2000 Series G 8.05% Senior Notes due November 15, 2006.
  • 2The Reset Rate, determined by Lehman Brothers Inc., will lower the coupon from 8.05% to 3.66% starting November 16, 2004.
  • 3The affected notes have a total principal amount outstanding of $412,500,000.
  • 4This rate adjustment is part of a Remarketing Agreement dated October 12, 2000.
  • 5The filing incorporates by reference Exhibit 12.1, Statement re Computation of Ratios, from a Form S-4 Registration Statement.

Frequently Asked Questions

The interest rate is being reset as per the terms of a Remarketing Agreement dated October 12, 2000. The specific conditions that triggered this reset are not detailed in this filing, but it's a mechanism designed to adjust the coupon rate based on market conditions or other predefined factors.

If you hold these Dominion 2000 Series G Senior Notes, your income from these notes will decrease significantly. The annual interest payment will drop from 8.05% of the principal to 3.66%, impacting your overall yield on this particular investment.

No, this rate reset specifically applies only to the $412,500,000 principal amount of Dominion's 2000 Series G 8.05% Senior Notes due November 15, 2006. It does not impact other outstanding debt instruments of the company.