Cooperatives demonstrate the power of individuals joining together to accomplish what none of us could do alone.

2016 YEAR IN REVIEW

Cooperatives demonstrate the power of individuals joining together to accomplish what none of us could do alone.

EXECUTIVE LETTER Old Dominion Electric Cooperative s (ODEC) 11 member-owners share a history of providing outstanding service to their local communities, improving the standard of living, meeting the needs of people, and enhancing their lives. ODEC provides wholesale power to the 11 member distribution cooperatives that own and govern us. Together we serve more than 560,000 homes, farms, and businesses across Virginia, Delaware, and Maryland representing a total population of approximately 1.4 million people. Our greatest resource is the nature of our business the fact that as cooperatives, we are bound by the strength of our members and guided by cooperative principles. Into the future, ODEC will continue meeting and exceeding the needs of our members, continuing what we have become known for innovation, forward-thinking, and progressive navigation through the turbulence of a constantly changing landscape. At ODEC you will see ideas taking root and becoming critical strategies that will ensure our long-term success. We remain focused on generating and transmitting reliable and affordable electricity in harmony with a sustainable environment, while discovering ways to evolve with changes in our industry. 11 560,000 1.4 1

390K 1000 Wildcat Point 2

EXECUTIVE LETTER In 2016, construction of ODEC s newest generation facility Wildcat Point continued moving forward. Wildcat Point will be one of the cleanest natural gas facilities of its size on the East Coast and will generate approximately 1000 megawatts, enough to power 390,000 homes in the region annually. 3

The project is named for a popular cliff along the Susquehanna River 3.5 miles west of the planned facility. Located adjacent to Rock Springs Generation Facility, which has provided power since 2003, Wildcat Point will help to meet the demands of a region that will lose an estimated 16,000 megawatts of power over the next eight years as older power plants approach retirement. $33.5 M $124 M The Wildcat Point project embodies ODEC s proud tradition of service meeting real requirements in an efficient, affordable, responsible way. The facility will provide an economical source of new generating capacity to meet our members growing energy requirements. Wildcat Point also represents our cooperative principal of concern for community. For Cecil County that means the plant will create an estimated 33.5 million dollar annual impact. ODEC has also signed a revenue agreement that will dedicate roughly 124 million dollars to the county over 30 years. And, this new source of cleaner, cost-effective power will improve reliability on the region s electricity grid, benefiting all regional and local electricity users whether or not they are ODEC members. During the construction phase, Wildcat Point has employed around 1,000 construction workers, a higher number than originally estimated, and has had an annual economic impact of $100 million. During the construction process, in September of 2016, a transformer on the site, caught fire. Although the transformer had to be replaced, there were no workers injured in the incident, the Maryland Department of the Environment found no environmental impact; and aside from that isolated incident, the site has a great safety record 2.5 million work hours with no lost time due to an accident. 4

1000 EXECUTIVE LETTER $100 M 2.5 M 5

6 Also in 2016:

EXECUTIVE LETTER Engineering and procurement was finalized, all major equipment was delivered and erected, the electrical connection expansion was finished and the facility s water and gas supply lines were both completed at Wildcat Point. The major construction and testing of the Monterey Generation Station was completed and the station became commercially available on May 2, 2016. The Monterey delivery point, located in Shenandoah Valley Electric Cooperative s territory involved the installation of approximately 5MWs of generation at the Monterey location and general improvement to the existing substation electrical equipment. 7

53 A ODEC claimed a place on the 2016 Co-Op 100 list, which recognizes the nation s top earning cooperatives. Ranked at spot No. 53, up from No. 59 last year, ODEC was one of 20 electric cooperatives to make the list, contributing combined revenues of more than $19.3 billion to the overall $223 billion generated by the ranking cooperatives. National Cooperative Bank annually compiles the Co-op 100 list to highlight the substantial economic impact cooperatives have in the United States. Credit rating agency Standard & Poor s (S&P) revised Old Dominion Electric Cooperative s (ODEC) financial outlook from stable to positive and reaffirmed its A issuer credit rating and A rating on its rated utility bonds. According to S&P, the outlook revision reflects [ODEC s] track record of consistently strong debt service coverage, fixed charge coverage, plausible projections indicating the potential to perpetuate these trends, the manageable debt additions related to the capital program, and a track record of regulatory decisions that are consistent with sound financial performance. Old Dominion Electric Cooperative s (ODEC) Board of Directors elected new officers at its annual membership meeting. J. William Andrew, Jr., president and CEO of Delaware Electric Cooperative, was elected to serve as chairman of the board; Kent Farmer, president and CEO of Rappahannock Electric Cooperative, was elected as vice-chairman; and John C. Lee president and CEO of Mecklenburg Electric Cooperative, was elected secretary/treasurer. ODEC was inducted into the Cecil County (Maryland) Business Hall of Fame and was named Cecil County s 2016 Business of the Year. The award was given by the Cecil County Chamber of Commerce. 13.7% ODEC lowered the average cost of energy to members by 13.7 percent during 2016. 8

Each year brings unique challenges and exciting opportunities. As always, our energies are focused on providing our 11 memberowners with affordable and reliable power to meet the needs of their communities. We keep our focus on our member-owners as we consistently challenge ourselves to be better and to find new and innovative ways to manage our business and achieve our goals. EXECUTIVE LETTER J. William Andrew, Jr. Chairman of the Board Jackson E. Reasor President & Chief Executive Officer 9

ODEC Leadership Team Jackson E. Reasor President & Chief Executive Officer Robert L. Kees Senior Vice President & Chief Financial Officer D. Richard Beam Senior Vice President of Power Supply 2016 Finance Summary 2016 2015 2014 Operating Revenues $877.9 MM $1,020.0 MM $951.6 MM Net Margin* $17.6 MM $11.9 MM $9.1 MM Total Assets $2,130.1 MM $2,001.6 MM $1,633.2 MM Total Debt $1,170.4 MM $1,046.2 MM $829.8 MM Equity Ratio 25.6% 27.2% 31.4% Revenues from Sales to Member-Owners $847.1 MM $969.0 MM $908.0 MM Energy Sales to Member-Owners (in MWh) 11,961,760 12,668,672 12,356,005 Average Total Cost to Member-Owners (per MWh) $70.82 $76.36 $71.50 10 MM = millions *Net Margin = Net Margin attributable to ODEC

ODEC s Credit Ratings Creditor: Rating: Outlook: Energy Resources (12,655 GWH sold) 41% Long-term and Short-term Purchases 21% Clover (coal) S&P A positive outlook Fitch A stable outlook Moody s A2 stable outlook ODEC LEADERSHIP TEAM / 2016 FINANCIALS 14% North Anna (nuclear) 10% CTs (natural gas) 8% Spot Market Purchases 6% Renewable Purchases Capacity Resources (2,750 MW peak) 48% CTs (natural gas) 27% Purchases 17% Clover (coal) 8% North Anna (nuclear) To view ODEC s 2016 SEC Form 10-K, please visit our website: www.odec.com 11

All cooperatives, including ODEC and our 11 member electric distribution cooperatives, are guided by the Seven Cooperative Principles 1 Voluntary and Open Membership Cooperatives are voluntary organizations, open to all persons able to use their services and willing to accept the responsibilities of membership without gender, social, racial, political or religious discrimination. 2 Democratic Member Control Cooperatives are democratic organizations controlled by their members, who actively participate in setting policies and making decisions. 3 Members Economic Participation Members contribute equitably to, and democratically control, the capital of their cooperative. 12

4 Autonomy and Independence Cooperatives are autonomous, self-help organizations controlled by their members. 5 Education, Training and Information Cooperatives provide education and training for their members, elected representatives, managers and employees so they can contribute effectively to the development of their cooperatives. COOPERATIVE PRINCIPLES 6 Cooperation Among Cooperatives Cooperatives serve their members most effectively and strengthen the cooperative movement by working together through local, national, regional and international structures. 7 Concern for Community While focusing on member needs, cooperatives work for the sustainable development of their communities through policy. 13

Board Officers J. William Andrew, Jr. Chairman of the Board Kent D. Farmer Vice Chairman of the Board John C. Lee, Jr. Secretary / Treasurer of the Board Board Members SHENANDOAH VALLEY Fred C. Garber Michael W. Hastings President & CEO, Shenandoah Valley Electric Cooperative BARC Michael J. Keyser CEO & General Manager, BARC Electric Cooperative Keith L. Swisher RAPPAHANNOCK Darlene H. Carpenter Kent D. Farmer President & CEO, Rappahannock Electric Cooperative Vice Chairman of the Board MECKLENBURG David J. Jones John C. Lee, Jr. President & CEO, Mecklenburg Electric Cooperative Secretary/Treasurer of the Board SOUTHSIDE Earl C. Currin, Jr. Jeffery S. Edwards President & CEO, Southside Electric Cooperative A PDF file of ODEC s 2016 Year in Review may be obtained from our website at www.odec.com 14

DELAWARE CHOPTANK A&N NORTHERN NECK J. William Andrew, Jr. President & CEO, Delaware Electric Cooperative Chairman of the Board Bruce A. Henry John J. Burke, Jr. Michael I. Wheatley President & CEO, Choptank Electric Cooperative E. Garrison Drummond Belvin Butch Williamson President & CEO, A&N Electric Cooperative Hunter R. Greenlaw, Jr. Gregory W. White President & CEO, Northern Neck Electric Cooperative BOARD OFFICERS AND MEMBERS / MEMBER SERVICE TERRITORIES PRINCE GEORGE Paul H. Brown Micheal E. Malandro President & CEO, Prince George Electric Cooperative Natural Gas Power Station Nuclear Power Station Coal Power Station COMMUNITY Chad Fowler Steven A. Harmon President & CEO, Community Electric Cooperative 15

Board Committees [c] = Chairperson Audit Paul Brown [c] Darlene Carpenter Hunter Greenlaw Steve Harmon Michael Hastings Michael Keyser Butch Williamson By-Laws & Policy John Burke Darlene Carpenter Jeffrey Edwards [c] Chad Fowler Fred Garber Bruce Henry Butch Williamson Director s Compensation John Burke Darlene Carpenter Earl Currin David Jones Keith Swisher [c] Executive Bill Andrew [c] Paul Brown Earl Currin Kent Farmer Hunter Greenlaw John Lee Finance Paul Brown Darlene Carpenter Earl Currin Fred Garber Hunter Greenlaw Steve Harmon [c] David Jones Michael Keyser Michael Wheatley Butch Williamson Human Resources Jeffrey Edwards Kent Farmer Fred Garber Steve Harmon Michael Keyser [c] John Lee Michael Wheatley 16

BOARD COMMITTEES Nominating Paul Brown Earl Currin [c] E. Garrison Drummond Steve Harmon Gregory White Power Supply John Burke E. Garrison Drummond Jeffrey Edwards Kent Farmer Chad Fowler Michael Hastings Bruce Henry John Lee Micheal Malandro Gregory White [c] Rate Design Jeffrey Edwards Kent Farmer Chad Fowler Michael Hastings Bruce Henry David Jones Michael Keyser Micheal Malandro Butch Williamson Michael Wheatley [c] Gregory White Strategic Planning E. Garrison Drummond Jeffrey Edwards Kent Farmer Chad Fowler Fred Garber Bruce Henry John Lee [c] Micheal Malandro Keith Swisher Michael Wheatley Gregory White 17

4201 Dominion Boulevard Glen Allen, Virginia 23060 804-747-0592 804-747-3742 www.odec.com