Jan32002_letter_sw.doc

January 3, 2002

VIA FACSIMILE

Potlatch Corporation

Conley Ward
Givens Pursley LLP
277 N. 6th Street, Suite 200
PO Box 2720
Boise, ID 83701
Avista Corporation

Thomas DeBoer
Paine, Hamblen, Coffin, Brooke & Miller
717 W. Sprague Avenue, Suite 1200
Spokane, WA 99201-3505
RE: Supreme Court Docket No. 26861

Dear Counsel:

The Commission tenders the attached Stipulation for Dismissal for your signature. The previous service contract between Avista and Potlatch (Tr. Exh. 204) having expired December 31, 2001, the parties by their signature acknowledge that effective January 1, 2002, there exists no impediment, contractual or otherwise, to Potlatch's right to prospectively share in the remaining customer portion of Centralia sale proceeds. The pending appeal is therefore moot.

Sincerely,

Idaho Public Utilities Commission
Scott D. Woodbury
Deputy Attorney General

Enclosure

cc: David Meyer
Kelly Norwood

bls/O:AVUE991_Appeal_Jan32002_letter_sw