Dominion, Virginia Tech Announce Business Research and Education Center.

Business Editors/Education Writers

RICHMOND, Va.--(BUSINESS WIRE)--Feb. 16, 2001

Dominion (NYSE:D) and Virginia Tech today announced the opening of the Dominion Center for Energy Modeling and Optimization, a business research and education center that will be part of the Pamplin College of Business at Virginia Tech.

The new center will study the changing energy industry.

"A new industry with new rules requires new business strategies," said Thos. A. Capps, chairman, president and chief executive officer of Dominion. "We're pleased to join with the outstanding faculty and students at Virginia Tech to study new marketing and operations strategies for the energy industry."

The Dominion Center will work with the Dominion Energy Clearinghouse to identify techniques, technologies, and strategies necessary in today's energy market. Among the areas studied will be risk management, supply chain management, simulation, optimization, decision support systems, and e-commerce.

"We are delighted to assist the Dominion Energy Clearinghouse in addressing current and emerging business issues," said Richard E. Sorensen, dean of the Pamplin College of Business. "Funding of the Dominion Center reflects the outstanding research ability and reputation of the college's faculty, and will help us toward our goal of continuing to raise the level of our research grants and contracts funding."

The Dominion Center will work with other education centers at Virginia Tech and other universities, as well as government agencies. It also will develop training programs for the energy industry.

"The simple fact that `prices' are replacing `rates' is a dramatic change that affects all aspects of the energy industry," said Paul Koonce, senior vice president of Dominion Energy and head of the Dominion Energy Clearinghouse. "With careful planning and research we can provide the energy that consumers demand at prices they expect."

Dominion, headquartered in Richmond, Va., is one of the nation's largest producers of energy, with a production capability of 2.7 trillion British thermal units (Btu) of energy per day. Dominion has the largest Btu production capability among integrated utilities in the northeast quadrant of the United States. The company has a power generation portfolio of more than 19,000 megawatts, which is expected to grow to more than 28,000 megawatts by 2005. Dominion is also one of the largest independent oil and natural gas exploration and production companies in North America, with 2.8 trillion cubic feet of equivalent reserves. The company has 7,600 miles of interstate natural gas pipeline with more than 650 billion cubic feet of annual natural gas throughput and a delivery capability of 6.3 billion cubic feet per day. In addition, the company operates the nation's largest underground natural gas storage system, with over 950 billion cubic feet of storage capacity. Dominion also serves 3.8 million retail natural gas and electric customers, and owns a telecommunications business which plans to expand its existing fiber-optic network from 35,000 fiber miles to more than 800,000 fiber miles by 2004. For more information about Dominion, visit the company's web site at www.dom.com .