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ODEC Annual Report 2006

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Old Dominion Electric Cooperative 2006 Annual Report

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Page 1: ODEC Annual Report 2006
Page 2: ODEC Annual Report 2006

Table of Contents

1Financial and Operational Highlights

A brief financial recap of what we accomplished in 2006

2Executive Letter

An overview of the major events of 2006

6 Strength in Our Structure

The building blocks for a solid foundation

7 It Begins with a Spark

It’s all about the spark that ignites inside each ODEC employee that defines our success

22Board of Directors

The architects of our growth

24Report of Management

Summary of management’s responsibilities for the consolidated financial statements and internal controls

25Securities and Exchange Commission Annual Report on Form 10-K

2006 ODEC Annual Report

Back CoverMember Distribution Cooperatives’ Service Territories

Map showing the individual service areas of ODEC member distribution cooperatives

ODEC is a not-for-profit wholesale power supply cooperative whose mission is to provide reliable wholesale electric service in a

cost-effective, environmentally sensitive manner to its member distribution cooperatives who serve

member-owners in Virginia, Delaware, Maryland and a small portion of West Virginia.

Page 3: ODEC Annual Report 2006

Financial and Operational Highlights

one

2006 2005 2004 2003 2002

MarginsforInterestRatio 1.39 1.22 1.25 1.31 1.20

EquityRatio 26.5% 24.6% 23.3% 22.1% 23.9%

EmbeddedDebtCost 6.5% 6.5% 6.4% 6.7% 7.4%

SalestoMembers(MWh) 11,026,284 11,191,729 10,518,241 9,716,029 9,835,412

CosttoClassAMembers(perMWh) 67.70 58.71 53.68 52.64 49.71

CloverCapacityFactor 91.1% 83.7% 87.2% 84.0% 82.4%

NorthAnnaCapacityFactor 94.0% 95.6% 91.5% 85.5% 84.7%

CombustionTurbineFacilitiesAvailabilityFactor 94.7% 97.1% 94.6% 96.5% –

Disposition of Revenue Dollars

(inthousands) %

PurchasedPowerandDeferredEnergy $470,461 57.5%

Operations 220,984 27.0%

Depreciation,Amortization,andAccretion 43,877 5.4%

Interest 60,949 7.5%

Margins 21,244 2.6%

TotalRevenue $817,515 100.0%

Members’ Revenue Base

(inthousands) %

ResidentialRevenue $784,871 69.4%

Commercial&Industrial-SmallRevenue 187,565 16.6%

Commercial&Industrial-LargeRevenue 130,598 11.6%

OtherRevenue 27,677 2.4%

TotalRevenue $1,130,711 100.0%

Page 4: ODEC Annual Report 2006

We are an electric cooperative by design.

ItwastheunanimousintentofthefoundersandmembersthatOldDominionElectricCooperative

(ODEC)beformedasagenerationandtransmission(G&T)cooperativetoprovideelectricpowerfortheaggregatedneeds

ofourmemberdistributioncooperatives.BeingaG&Telectriccooperativeisourbusinessmodel.

Itisourpurpose.Itiswhatwascreated,anditiswhoweare.

Being a generation and transmission cooperative.

BeingaG&Tcooperativemeansthatofallthebusinessmodelsavailable,wechoosethecooperativebusinessstructure.

Webelievein,operateunderandsupportthesevencooperativeprincipleslistedbelow.

Voluntary and Open Membership

Democratic Member Control

Members’ Economic Participation

Autonomy and Independence

Education, Training and Information

Cooperation among Cooperatives

Concern for Community

ODEChasanobligationtoensurethatpowerisavailabletoourmemberdistributioncooperatives

(sotheycanservetheirmember-owners)andthattogetherweprovidethispowertothebenefit

ofthoseattheendoftheline…todayandtomorrow.

AsanelectricutilityandaG&T,wehaveacommitmenttoprovidesafe,

reliable,environmentallyresponsiblepower,atthelowestpossiblecost,toourmemberdistributioncooperatives…whorepresentourmarket.Wehaveaccomplishedthismissionforover20years,andweremainfirmlycommittedtothisgoal

forthenext20yearsandbeyond.

Likeanold,well-designedcathedral,whichhasmaintaineditsreverenceandusefulnessthroughoutthedecadesandinto

the21stcentury,weareaseasoned,establishedbusinessmodelthatcontinuestothriveandbringvaluetothoseitserves

inamodernglobaleconomy.

Welcome to Our Home

Executive Letter

Page 5: ODEC Annual Report 2006

Going about our business.

Wereviewandconfirmourfoundationandmakethechangesnecessary

tomeetourobligations.Twocriticalfactorsdictate

ourfutureandourdecisions–ourbusinessmodelandourmarket.

OurbusinessmodelisthatofaG&T,anelectriccooperative.Cooperativescan

betracedtoEuropehundredsofyearsago.ElectriccooperativesbeganintheUnitedStates

withlegislationpassedbyCongressinthemid-1930s.Beingownedbyourcustomersisanadvantageous

formofbusiness,andthemodelcontinuestoprovebeneficialformember-owners,especiallyintheelectricutilityindustry.

Cooperativesworkwellforthedistributionandgenerationprocessesofelectricity,

andmanyargueitmayultimatelybethebestmodelfortransmission,aswell.

ODECiscommittedtocontinuingasaG&Tandmeetingtheneedsofourmember-owners.

Weareoneorganizationoftwelvememberdistributioncooperativesallcommitted

tothemember-ownersweserve.

Theyearof2006sawmanyactivitiesrelatedtostrengtheningourfoundation.

Thebatonwaspassedfromkeyleadersofthepasttwentyyearstonewleadersforthefuture.

InMay,LisaJohnsonjoinedODECasSeniorVicePresidentofPowerSupply.

RobertKeeswaspromotedfromVicePresidentandControllerto

SeniorVicePresidentandChiefFinancialOfficer.

Theirknowledge,experienceandleadership–whichalsodefineseachandeveryone

ofourdedicatedemployees–willcontinuemovingODECforward

wellintothefuture.

three

Page 6: ODEC Annual Report 2006

ODECmemberdistributioncooperativesrecognizedtheneedforfuturesecurityinachangingworldsowebegantheprocessofextendingtheWholesalePowerContract.Aboardcommitteeisintheprocessofstudyingmodificationstothecurrentcontractandshouldcompletethatworkin2007.ThiswillprovideODECwithasolidbasisforfuturefinancialandoperationalgrowthandactivities.

ThegeographicareasoftheCommonwealthofVirginiaandtheDelmarvaPeninsulaservedbythePJMRegionalTransmissionOrganizationdefineourwholesalepowersupplymarket.

Thecharacteristicsofthismarketarehighgrowthrates,highenergycosts,growinggenerationandtransmissionneeds,environmentalconcerns

anddiverseserviceareasfromverysparseruralareastoverydensesuburbs.Eachcharacteristicbringsuniqueconcerns,andthecombinationofallprovidesrichchallenges.

Throughout2006,ODECcontinuedtomeetmarketchallenges.Ourfinancialpositionisstrong.Wehavesuccessfullydefendedattacksagainstourcurrent

WholesalePowerContractandtherelationshipofourmembers.Wehaveconsistentlymaintainedourwholesalepowerratesatlevelsbelowtheavailablewholesaleratesinourmarket.

Wehavesuccessfullyassumedoperationsofournewestgeneratingplants.

Page 7: ODEC Annual Report 2006

JacksonE.ReasorPresident and CEO

M.JohnsonBowmanChairman of the Board

There is more to do.

WewillcompleteanewWholesalePowerContractthatwillcarryusforwardwellintothefuture.Wemustsuccessfullydoourparttomoveourratesmoreinlinewithotherretailrateswithinour

market.Oureffortstooffermoreenvironmentallyfriendlyenergymustexpand.Significantpowersupplydecisionsforthefuturemustbeginin2007.

ODEChadasolidyearin2006.Wearestrongertodaythaninyearspast.Theyear2007willbeoneofdecisionforusaswecontinuetoadapttomarketlandscapechangesandpreparetomeetour

members’powersupplyneedsofthefuture.

ODECiswell-positionedtomoveforwardsuccessfullywithourstrongfoundationandthesupportofourmemberdistributioncooperativesandourstaff.

Page 8: ODEC Annual Report 2006

A19th-centuryarchitectputforththetheorythathumansneedtohaveasenseofdwellingandmembership

inanorganizationbeforetheycanbuildaformalstructure.

Atthecenterofthissenseofdwellingisanidea~ a spark igniting into fire ~

theprimaryelementofarchitecture.

Architecture,therefore,becomestheexpressionofsocialinteraction

andofsocietyasawhole.Itisthecreativefunctionthatgrowsoutofa

collectivesocialsensetoprotectourlife-givingfiresfromtheforcesofnature.

Wedothisbybuildingaclayhearthinwhichtoprotectourfire

uponasolidstonefoundationsupportingastrongwoodenroof

andwallsthatprotectthefurnishingswithin–theotherelementsofarchitecture.

AtODECweembodythatsenseofmembershipanddwelling.Thesparkignitesintofireineveryoneofus,

providingnewideastoserveourmemberdistributioncooperatives

inthebestwaythatwecan.

Wenurtureourfiresothatitburnsbrightlythroughoutourentireorganization

–anorganizationbuiltonasolidfoundation,supportingastrongroofthatsheltersallofuswithin.

Thereisstrengthinourstructure.

It’sstrengththatcomesfromourexpertise,passion,innovation,

commitmenttohighethicalstandardsandquietconfidence.

Strength in Our Structure

foundationhearth

roofwalls

Page 9: ODEC Annual Report 2006

It begins with a spark .

We see it all around us.

It’swithineveryoneofouremployeeseverydayastheyworktogethertomeettheelectricityneedsof

ourmemberdistributioncooperatives.

It’stheirsenseofprideindoingajobwell.

Weseeitintheirpassiontobethebesttheycanbeatwhattheydobest.Weseeitintheirquietconfidenceofknowingthateveryonearoundthemisascommittedtomaintainingthehighestqualityservicestandards–standardsthatcanonlybeachieved

throughdedicationandperseveranceeachandeveryday.

Weseethesparkintheircompassionforeachotherandforourmemberdistributioncooperatives.

Weseeitinthevisionoftheirnextgreatidea.

It’salwaysreadytoigniteinto

f lame.

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Page 10: ODEC Annual Report 2006

Home is Where the Hearth is

TheflameburnsbrightlyintheemployeesofODECandinourtwelvememberdistributioncooperatives.

Wenurtureitandprotectitatalltimesbecauseweknowthatit’scriticalinsuccessfullymeetingourgrowingneeds.

It’sallaboutmakingsureourfireissafeinourhearth.

Ourhomeisinanevolvingmarketandwithevolutioncomesopportunity.

Butonlyifwerecognizeitandembraceit.Thereisopportunityinprovidingreliableserviceto

ourmemberdistributioncooperativesandtheirmember-owners.

There’sopportunityinthewaywegenerate,purchaseandsellelectricity

andinthewaywemanagecosts.

Fuelingourflametokeepitburningbrightlyensuresourstabilityasacompany.

Oursolidfinancialperformanceyearafteryear–afactsupportedbyoursolidratingsfromStandard&Poor’s,

Moody’sInvestorsServiceandFitchRatings–isastrongtestamentto

howstrongourflameburnsinsideeachofus.

That’swhyweguardit.

Ourflamedrivesourabilitytogenerateelectricityefficientlyanddeliveriteconomicallytoourmemberdistributioncooperativessotheycan,inturn,distributeitto

theirmember-ownerswhentheyneeditmost.

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Page 11: ODEC Annual Report 2006

Itlightsourpassionforgivingbacktothecommunityasevidencedbyourbeingthe2006recipientoftheUnitedTelecomCouncil’sApexAward.

ThisawardrecognizesODEC’sprimaryroleintheformationoftheMid-AtlanticBroadbandCooperative(MABC),anorganizationdedicated

todevelopingbroadbandservicetocommunitiesinruralVirginia.WhileODEChasnoownershipinMABC,ODECsupportstheefforttorejuvenatetheseeconomieshardhitbyeconomiclossesinthetobacco,

textileandfurnitureindustries.

OurflamefuelsthedesiretohelpothersaswecontinuallyrankamongRichmond,Virginia’sbestindollarsperemployeecontributedtotheUnitedWay,withouremployeecontributionshavingincreasedeachyearforthepastsixyears.

InadditiontotheUnitedWay,weorganizeacharitydriveeachyear.Ourthemein2006was“People,PetsandPlaces.”

Recipientsofouremployees’generosityweretheCentralVirginiaFoodBank,McGuireVeteransHospital,theAmericanCancerSociety,

theRichmondSPCAandMealsonWheels.

ItkindlesthespiritofvolunteerismasODECemployeesspreadoutintheircommunitiesandserveincivicandyouthorganizationroles

asboardmembers,coaches,fundraisersandprojectcoordinators.

WeembraceourflameatODEC.Itsenergygeneratesnewideas.

Wetalkaboutthosenewideas.

Andplanaroundthem.

Thenweactontheplans.

Ourflamelightsourway.Oursuccessdependsonit.

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Our Foundation is Solid

Ittakesmorethantherightideas,executedwell,

tomeetODEC’scommitmenttoourmemberdistributioncooperatives.

Ittakeswell-managedpowergenerationfacilities,ofwhichwehavefive:

Clover,locatedinHalifaxCounty,Virginia;NorthAnna,locatedinLouisaCounty,Virginia;

Louisa,locatednearGordonsville,Virginia;MarshRun,locatednearRemington,Virginia;andRockSprings,locatednearRockSprings,Maryland.

OurpowergenerationfacilitiesformthefoundationuponwhichODECisbuilt.

TheCloverandNorthAnnafacilitiesproduceefficient,cleanandreliablebaseloadenergy.

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Clover,ourflagshippowerstation,standsasatestamenttoODEC’scommitmenttoenvironmentalquality.Cloverisoutfittedwithover$400millioninstate-of-the-artequipmentdesignedtokeepourairandwaterclean

–makingitoneofthecleanestcoalburningplantsintheUnitedStates.This860-megawattpowerstation,rankingamongthebestinthenationinoperatingefficiency,burnspulverizedcoalinits220-footboilersreachingtemperaturesof2,000degreesFahrenheit.

AshiningexampleofourfuelandtechnologydiversityisourpartownershipoftheNorthAnnagenerationfacility.Thiswidelyacclaimednuclearpowerfacilitygenerates1,786megawattsannuallyandconsistentlyranksas

oneofthebest-operatedstationsinthenationintermsofperformance,productivityandinnovation.

OurgenerationfacilitiesatLouisa,MarshRunandRockSpringsensureourmemberdistributioncooperativesareliableeconomicalpowersupplyfortheirmember-ownersduringpeakdemandperiods.Allarecomprisedofsimple-cyclecombustionturbinesthatburnnaturalgastoproduceelectricityquicklyandcleanly.Louisaand

MarshRunhavetheaddedcapabilityofburninglow-sulfurfueloilasabackupsource,whenneeded.

Page 16: ODEC Annual Report 2006

Theday-to-dayoperationsofourLouisaandMarshRunfacilitiesarenowsuccessfullyunderthedirectcontrolofODEC.Bringingtheoperationsinhouseenablesusto

maximizethevalueoftheunitsinourmarketplaceandmeettheever-increasingneedsofourmemberdistributioncooperatives.

Ourcommitmenttobeingrespectfuloftheenvironmentlightsthewayatallofourpowergenerationfacilities.Werecyclewaterfromalocalwastewater

treatmentplantsoitwillnotbereleasedintoanearbyriver.

Page 17: ODEC Annual Report 2006

Claybermsandwaterretentionpoolsarebuilttotrapandabsorbstormwaterrunoffallowingustouserainfallratherthanpreciousgroundwater.

Treesareplantedtohelppreservethenaturalbeautyofthelandscapesurroundingourfacilities.Conservationareasandwetlandsarecreatedtominimizetheimpactour

powerstationshaveonthelocalenvironment.

ODECpowergenerationfacilitiesplayakeyroleinprovidingpowersafelytoalltwelveofourmemberdistributioncooperatives.

Page 18: ODEC Annual Report 2006

A Strong Roof Protects Us Overhead

Oursisabusinessthatmustconstantlyevolveinordertomeetthedynamicsofourever-changingmarketlandscapeandtheever-increasingneedsoftheAmericanconsumer.

Ourexecutiveteammustmanagetheorganizationinawaythatwearealwaysabletomeettheneedsofourmemberdistributioncooperatives,allofthetime.

It’snotenoughtodependsolelyonthepowerwegenerateourselvestomeetincreaseddemandwhenandwhereitisrequired.Wemustcollaboratewithenergymarketingentitiesand

externalprocurementsourcestomanageourbusinessmosteffectively.Tothatend,ODECcontinuedourmembershipwithPJMInterconnection(PJM)

andACESPowerMarketing(ACES)in2006.

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Page 19: ODEC Annual Report 2006

OurserviceterritoryisnowfullyintegratedintothePJMgrid.

PJM,aregionaltransmissionorganization,istheworld’slargestcentrallydispatchedgridoperatorandadministersthelargest

competitivewholesaleelectricitymarketontheplanet.AsamemberofPJMwehavethe

abilitytobuyorsellpoweratcompetitiveprices–dependingontheneedsofour

memberdistributioncooperatives.

In2001,ODECbeganitspartnershipwithACES,anationallyrecognizedwholesale

energytradingandriskmanagementfirm.ACESisinstrumentalinexecutingourpower

transactionsintheenergymarket.

Ourabilitytoprocuremarketenergyeffectivelyformstheroofunderwhichwelive.

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Page 20: ODEC Annual Report 2006

Furnishing Our Place for the Future

ODEChadanotherbusyandproductiveyearinsideourhome.

Thepriceoffuelsandenergypurchasesfluctuatedagainthroughout2006.Wemitigatethisvolatilitybythecontinuoususeofourhedgingprogram.

Thatwaywecanassureourmemberdistributioncooperativesandtheirmember-ownersthebestavailablebalance

betweenratestabilityandenergycosts.

Ouremployeessuccessfullyexecutethecooperative’senergyhedgingprogramundertheguidance

ofourRiskManagementCommittee.Weusemanyreportingtoolstomonitorandmeasure

theimpactofvolatileenergycostsonourbusiness.

ODECisintheprocessofimplementingtherequirementsoftheSarbanes-OxleyAct.Wearecommittedtothisprocessasitcontinuesto

improveourinternalcontroleffectivenessoverfinancialreporting.

Page 21: ODEC Annual Report 2006

Ourmemberdistributioncooperativesarevitaltoourfuturesuccess.Withoutthemtherewouldbenofuture.

That’swhywestrivetobethebestwecanbeforthemandthemember-ownerstheyserveeachandeveryday.

Weallsharethesamehome.

ODEC’sstrategicinvolvementinthewholesalepowermarketenablesustoproactivelymanagethewaythatwecurrentlyprocureenergy

andhowwe’llmeetthefutureneedsofthoseweserve.

Furnishingourfuturerequiresvision.Ourvisionisbuiltonasolidfoundation

sothatwearealwaysinpositiontoembraceopportunitiesinourindustry–todayandtomorrow.

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Page 22: ODEC Annual Report 2006
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We’re Proud of Our House

AtODEC,oursparkissafe.Itignitesintoflameeveryday

bringingusnewandinnovativeideastodowhatwedobetter.

It’stheseideasthatburnbright–blazing into action.

Ourgenerationfacilitiesformthesolidfoundationforourhouse.Theydotheirpart,alongwithourapproachtonewenergymarketing

strategies,inprovidingourmemberdistributioncooperativeswithareliablesourceforeconomicalpower.

Wethriveunderourstrongroofandwithinourresilientwalls.

ODECembracesthefuture.Theplansandprocesseswehaveinplacetoday

furnishuswiththemeanstomanagechangeeffectivelysothatwemayalwaysbeinapositiontomeet

alloftheelectricityneedsofourmemberdistributioncooperatives–anytime,anywhere.

Thatiswhatwilldefineoursuccess.

Weprotectthesparkinourhouse.

So our light can burn bright.

twenty-one

Page 24: ODEC Annual Report 2006

A & N

VernonN.Brinkley

PhilipB.Tankard

BARC

BruceM.King

WilliamM.Leech,Jr.

Choptank

FrederickL.Hubbard

CarlR.Widdowson

Community

CarlR.Eason

JamesM.Reynolds

Delaware

J.WilliamAndrew,Jr.

BruceA.Henry

Mecklenburg

M.JohnsonBowman

DavidJ.Jones

Northern Neck

HunterR.Greenlaw,Jr.

GregoryW.White

Northern Virginia

StanleyC.Feuerberg

WadeC.House

Prince George

MDaleBradshaw

GlennF.Chappell

Rappahannock

KentD.Farmer

WilliamC.Frazier

Shenandoah Valley

FredC.Garber

MyronD.Rummel

Southside

CalvinP.Carter

M.LarryLongshore

JacksonE.ReasorPresident and Chief Executive Officer

M.JohnsonBowmanChairman of the Board

JamesM.ReynoldsVice Chairman

FrederickL.HubbardSecretary/Treasurer

LisaD.JohnsonSenior Vice President of Power Supply

RobertL.KeesSenior Vice President and Chief Financial Officer

ElissaM.EckerVice President of Human Resources

JohnC.Lee,Jr.Vice President of Member and External Relations

Board of Directors

Officers

twenty-two

Page 25: ODEC Annual Report 2006

EXECUTIVE COMMITTEE

M.JohnsonBowman,ChairmanoftheBoard

JamesM.Reynolds,ViceChairman

FrederickL.Hubbard,Secretary/Treasurer

HunterR.Greenlaw,Jr.

BruceA.Henry

WadeC.House

POWER SUPPLY AND RESOURCES COMMITTEE

M.LarryLongshore,Chairman

VernonN.Brinkley

GlennF.Chappell

CarlR.Eason

StanleyC.Feuerberg

WilliamC.Frazier

HunterR.Greenlaw,Jr.

BruceA.Henry

FrederickL.Hubbard

WilliamM.Leech,Jr.

MyronD.Rummel

FINANCE COMMITTEE

JamesM.Reynolds,Chairman

J.WilliamAndrew,Jr.

MDaleBradshaw

CalvinP.Carter

KentD.Farmer

FredC.Garber

WadeC.House

DavidJ.Jones

BruceM.King

PhilipB.Tankard

GregoryW.White

CarlR.Widdowson

HUMAN RESOURCES COMMITTEE

J.WilliamAndrew,Jr.

VernonN.Brinkley

CarlR.Eason

GregoryW.White

NOMINATING COMMITTEE

HunterR.Greenlaw,Jr.,Chairman

GlennF.Chappell

WilliamC.Frazier

WilliamM.Leech,Jr.

CarlR.Widdowson

AUDIT COMMITTEE

MDaleBradshaw,Chairman

VernonN.Brinkley

CalvinP.Carter

KentD.Farmer

FredC.Garber

DavidJ.Jones

BruceM.King

BY-LAWS AND POLICY COMMITTEE

KentD.Farmer,Chairman

GlennF.Chappell

StanleyC.Feuerberg

BruceA.Henry

FrederickL.Hubbard

M.LarryLongshore

MyronD.Rummel

PhilipB.Tankard

GregoryW.White

GENERAL COUNSEL

LeClairRyan

AProfessionalCorporation

4201DominionBoulevard

GlenAllen,VA23060

INDEPENDENT AUDITORS

Ernst&YoungLLP

901EastCaryStreet

Richmond,VA23219

Standing Committees of the Board of Directors

twenty-three

Page 26: ODEC Annual Report 2006

ManagementisresponsibleforthepreparationofallinformationcontainedinthisAnnualReport.TheconsolidatedfinancialstatementsfromwhichcertaininformationwasextractedforinclusioninthisAnnualReportwereprepared

inconformitywithaccountingprinciplesgenerallyacceptedintheUnitedStatesconsistentlyappliedduringtheperiod.Managementusesitsbestjudgementtoensurethatsuchstatementsreflectfairlythefinancialposition,

resultsofoperations,comprehensiveincome,andcashflowsofODEC.

ODECmaintainsasystemofinternalcontrols,whichprovidesreasonableassurancethattransactionsareexecutedinaccordancewithmanagement’sauthorization,andthatassetsareproperlyaccountedforandsafeguarded.

TheBoardofDirectors,throughitsAuditCommitteeconsistingonlyofdirectors,hasresponsibilityfordeterminingthatmanagementfulfillsitsresponsibilitiesforthepreparationoffinancialstatementsandfinancialcontrolof

operations.TheAuditCommitteeperiodicallymeetswithmanagementandtheindependentaccountantstodiscussauditing,internalcontrolandfinancialreportingmatters.

Report of Management

JacksonE.Reasor

President and CEO

RobertL.Kees,CPA

Senior Vice President and CFO

* Was available for commercial operation in June 2003 ** Was available for commercial operation in September 2004

twenty-four

Operating Revenues& Expenses

(in millions of dollars)

PatronageCapital

(in millions of dollars)

CloverCapacity(percent)

North AnnaCapacity(percent)

Louisa*Marsh Run**Rock Springs*

Availability(percent)

Annual Energy Salesto Members

(in millions of MWh’s)

2006 2005 2004 2003 20020

200

400

600

800

1000

0

3

6

9

12

15

2006 2005 2004 2003 20020

75

150

225

300

375

2006 2005 2004 2003 2002

0

20

40

60

80

100

2006 2005 2004 2003 20020

20

40

60

80

100

2006 2005 2004 2003 20020

20

40

60

80

100

2006 2005 2004 2003 2002

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Member Distribution Cooperatives’ Service Territories

Additional Information

A digital pdf file of the Old Dominion Electric Cooperative 2006 Annual Reportor SEC Form 10-K may be obtained from our web site at www.odec.com

Old Dominion Electric Cooperative’s 2006 SEC Form 10-K may also be obtained from the SEC at www.sec.gov

Requests should be made by writing to:

Old Dominion Electric CooperativeVice President and Controller

P.O. Box 2310Glen Allen, Virginia 23058-2310

Conceptual Design by Brand FacilitatorsPhotography by Karl Steinbrenner

printed on recyclable paper

Baltimore

Maryland

Pennsylvania

Maryland

Virg

inia

Wes

t Virg

inia

VirginiaNorth Carolina

New Jersey

MARSH RUN

Atlantic Ocean

Chesapeake Bay

13

495

95

95

695

95

9585

64

64

64

64

64

81

81

66

81

295

13

13

13

95 New Jersey Turnpike

113

77

MarylandDelaware

Delaw

are

Dover

Maryland

Washington D.C.

Richmond

Norfolk

VirginiaLOUISANORTH ANNA

ROCK SPRINGS

CLOVER

A&NBARC

ChoptankCommunity

DelawareMecklenburg

Northern NeckNorthern Virginia

Prince GeorgeRappahannock

Shenandoah ValleySouthside

ExistingGenerating

Facilities

Page 140: ODEC Annual Report 2006