Though cautious, the firms believe that the company has a market-leading position in the energy-intensive Midwest, mid-Atlantic, and Northeast regions of the U.S. Though the firms currently consider the stock as fairly valued, they see it as an attractive defensive play given the company's large base of regulated or fee-based assets, its dividend yield, and its longer-term upside at its merchant fleet tied to a rebound in commodity prices and likely CO2 legislation. The firms prefer to remain on the sidelines as they expect low natural gas/power prices and few interest rate tailwinds. The firms are also concerned about Dominion’s earnings in 2011 mainly due to its unhedged generation assets in New England, and rehedging of its Midwest baseload plants beyond 2012.