2010Annual Report.pdf

Item 1: 00 An Initial (Original)
Submission
OR D Resubmission No.
Form 2 Approved
OMS No. 1902-0028
(Expires 6/30/2011)
Form 3-0: Approved
OMB NO.1902-0205
(Expires 1/31/2012)
THIS FILING iS
AVU-b
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FERC FINANCIAL REPORT
FERC FORM No.2: Annual Report of
Major Natural Gas Companies and
Supplemental Form 3-Q: Quarterly
Financial Report
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These reports are mandatory under the Natural Gas Act, Sections 10(a), and 16 and 18
CFR Parts 260.1 and 260.300. Failure to report may result in criminal fines, civil
penalties, and other sanctions as provided by law. The Federal Energy Regulatory
Commission does not consider these reports to be of a confidential nature.
Exact Legal Name of Respondent (Company)
Avista Corporation
Year/Period of Report
End of 2010/04
FERC FORM No. 2/30 (02-04)
IDENTIFICATION
01 Exact Legal Name of Respondent YearlPeriod of Report
End of 2010/Q4
03 Previous Name and Date of Change (If name changed during year)
04 Address of Principal Ofce at End of Year (Street, City, State, Zip Code)
1411 East Mission Avenue, Spokane, WA 99207
05 Name of Contact Person 06 Title of Contact Person
Christy Burmeister-Smith VP, Controller, Prin. Accg Offcer
07 Address of Contact Person (Street, City, State, Zip Code)
1411 East Mission Avenue, Spokane, WA 99207
08 Telephone of Contact Person, Including Area Code This Report Is:10 Date of Report
(1 )I!An Original (Mo. Da, Yr)
509-495-4256 (2)DA Resubmission 04/1512011
ANNUAL CORPORATE OFFICER CERTIFICATION
The undersigned offcer certifies that:
I have examined this report and to the best of my knowledge, information, and belief all statements of fact contained in this report are correct
statements of the business affairs of the respondent and the financial statements, and other financial information contained in this report, conform in all
material respects to the Uniform System of Accunts.
11 Name 12 Title
Christy Burmeister-Smith II VP, Controller, Prin. Accg Ofcer
13 Signature li.l.- / ~-A-14 Date Signed
Christy Burmeister-snith .-0411512011
Title 18, U.S.C. 1001, makes it a crime for any person knowingly and willngly to make to any Agency or Departent of the United States any
false, fictitious or fraudulent statements as to any matter within its jurisdiction.
QUARTERLY/ANNUAL REPORT OF MAJOR NATURAL GAS COMPANIES
FERC FORM NO. 2/3Q (02-04)Page 1
Name of Respondent This oo0rt Is:Date of Report Year/Period of Repon
Avista Corporation (1) X An Original (Mo, Da. Yr)
(2) riA Resubmission 04/15/2011 End of 2010/04
LIst of Schedules (Natural Gas Company)
Enter in column (d) the terms "none," "not applicable," or "NA" as appropriate, where no information or amounts have been reported
for certin pages. Omit pages where the responses are "none," "not applicable," or "NA."
Tite of Schedule Refrenc Dat Revised Remrk
Une Page No.
No.(a)(b)(c)(d)
GENERAL CORPORATE INFORMATION AND FINANCIA STATEMENTS
1 General Information 101
2 Contrl Over Respondent 102 NIA
3 Corprations Contrlled by Respondent 103
4 Securi Holder and Voting Powers 107
5 Impont Changes During the Year 108
6 Comparatie Balance Shet 110-113
7 Statement of Income for the Year 114-116
8 Statement of Accmulated Comprhensive Income and Hedging Actities 117
9 Statement of Retained Eamings for th Year 118-119
10 Statements of Cash Flows 120-121
11 Note to Financial Statements 122
BALANCE SHEET SUPPORTING SCHEDULES (Aset and Oter Debit)
12 Summary of Utilit Plant and Accmulated Provisions for Depreatio, Amorzati, and Depletin 200-201
13 Gas Plant in Servic 204209
14 Gas Propert and Capacity Leased frm Others 212 NIA
15 Gas Propert and Capacit Leased to Oters 213 NIA
16 Gas Plant Held for Future Use 214
17 Constcton Work in Prores-Gas 216
18 Non- T raditonaJ Rate Treatment Affrded New Projec 217 NIA
19 General Descrption of Constrn Overhead Proure 218 NIA
20 Accmulated Proision for Deprecation of Gas Utilit Plant 219
21 Gas Store 220
22 Investments 222-223
23 Investments in Subsidiary Companies 224-225
24 Prepayments 230
25 Extordinary Propert Losses 230 NIA
26 Unrecover Plant and Regulatory Study Costs 230 NlA
27 Oter Regulatory Assets 232
28 Miscellaneous Deferrd Debit 233
29 Accumulated Deferred Income Taxes 234-235
BANCE SHEET SUPPORTING SCHEDULES (Liabilties and Otr Credit)
30 Capitl Stok 250-251
31 Capitl Stok Subscrbe, Capitl stock Liabilit for Conversion, Premium on Capitl Sto, and
Insllment Received on Capitl stock 252 NIA
32 Otr Paid.in Capitl 253
33 Discount on Capitl stock 254 NIA
34 Capitl Sto Expense 254
35 Securites isue or Assumed and Securis Refunded or Retired During the Year 255 NIA
36 Long-Term Debt 256-257
37 Unamoized Debt Expense, Premium, and Discont on Lon-Term Debt 258-259
FERC FORM NO.2 (REV 12-07)Page 2
Name of Respondent This wort Is:Date of Report YearlPeriod of Report
(1) X An Original (Mo, Da, Yr)Avista Corporation (2) riA Resubmission 04/1512011 End of 2010/04
List of Schedules (Natural Gas Company) (continued)
Enter in column (d) the terms "none," "not applicable," or "NA" as appropriate, where no information or amounts have been reported
for certain pages. Omit pages where the responses are "none," "not applicable," or "NA."
Tite of Schedule Reference Date Revised Remark
Line Page No.
No.(a)(b)(c)(d)
38 Unamortized Loss and Gain on Reacquired Debt 260
39 Recnciliation of Reported Net Income with Taxable Income for Federal Income Taxes 261
40 Taxes Acced, Prepaid, and Charged During Year 262-263
41 Miscllaneous Current and Accrd Liabilties 268
42 Oter Deferr Creit 269
43 Accumulated Deferred Income Taxes-Oter Propert 274-275
44 Accumulated Deferr Income Taxes-Oter 276-277
45 Oter Regulatory Liabilites 278
INCOME ACCOUNT SUPPORTING SCHEDULES
46 Monthly Quantity & Revenue Data by Rate Schedule 299 NIA
47 Gas Operating Revenues 300-301
48 Revenues frm Transporttion of Gas of Others Through Gathering Facilites 302-303 NIA
49 Revenues from Transporttion of Gas of Others Through Transmission Facilites 304-305 NIA
50 Revenues from Storae Gas of Others 306-307 NIA
51 Oter Gas Revenues 308
52 Discunted Rate Services and Negotiated Rate Servics 313 NIA
53 Gas Operation and Maintenance Expenses 317-325
54 Exchange and Imbalance Transactons 328 NIA
55 Gas Used in Utilit Operations 331 NIA
56 Transmission and Compression of Gas by Oters ,332 NIA
57 Oter Gas Suppl Expenses 334
58 Misellaneous General ExpensesGas 335
59 Depreciation, Depletion, and Amortzation of Gas Plant 336-338
60 Partculars Conceming Certin Incme Deducton and Interet Charges Accunts 340
COMMON SECTION
61 Regulatory Commission Expenses 350-351
62 Employee Pensions and Benefits (Account 926)352
63 Distributon of Salaries and Wages 354-355
64 Charges for Outside Professional and Other Consultative Service 357
65 Transactions with Asciated (Affliated) Companies 358 NIA 'c
GAS PLANT STATISTICAL DATA
66 Compresor Stations 508-509 NIA
67 Gas Storae Projct 512-513
68 Transmission Lines 514 NIA
69 Transmission System Peak Deliveries 518 NIA
70 Auxilary Peaking Facilites 519
71 Gas Accunt-Natural Gas 520
72 Shipper Supplied Gas for the Current Quarter 521 NIA
73 System Map 522
74 Footnote Refernce 551
75 Footnote Text 552
76 Stockholdets Report (check appropriate box)
I! Four copies wil be submitted .
o No annual report to stockholders is prepared
FERC FORM NO.2 (REV 12-07)Page 3
This ~ort Is:
(1) l.An Original
(2) 0 A Resubmission
General Information
1. Provide name and title of offr having custy of the general corprate boks of accunt and adre of of where the general corate boks are kept and addre of off
where any other corprate boks of accunt are kept, if different frm that where the general corprate boks are kept
Avista Corporation
Date of Report
(Mo, Da, Yr)
04/1512011
Year/Period of Report
End of 2010/04
Name of Respondent
Christy Burmeister-Smith. Vice President and Controller
1411 E Mission Avenue
Spokane, WA 99207
2. Provide the name of the State under the laws of which respondent is incorporated and date of incorpration. If incorporated under a special law, give reference to such law. If not
incorprated, state that fact and give Ibe type of organization and the date organized.
State of Washington, Incorporated March 15, 1889
3. If at any time during the year the propert of respondent was held by a reciver or trstee, give (a) name of reiver or trstee, (b) date such reiver or trstee tok poseion, (c)
the authori by which the receivership or trsteeship was crated, and (d) date when posssn by receiver or trstee ceased.
Not Applicable
4. State th classes of utilit and other services fumished by respondent during the year in each State in which the respondent operated.
Electric service in the states of Washington. Idaho and Montana
Natural gas service in the states of Washington, Idaho and Oregon
5. Have you engaged as the principal accuntant to audit your financial statements an accuntant who is not the principal accuntant for your previous year's cert financialstatements? '
(1) 0 Yes... Enter the date when such independent accountant was initially engaged:
(2) ~ No
FERC FORM NO.2 (12-96)Page 101
Name of Respondent This oo0rt Is:Date of Report YearlPeriod of Report
(1) X An Original (Mo, Da, Yr)Avista Corporation
(2) FîA Resubmission 04/15/2011 End of 2010/04
Corporations Controlled by Respondent
1. Report below the names of all corporations, business trusts, and similar organizations, controlled directly or indirectly by
respondent at any time during the year. If control ceased pnor to end of year, give particulars (details) in a footnote.
2. If control was by other means than a direct holding of voting rights, state in a footnote the manner in which control was held,
naming any intermediaries involved.
3. If control was held jointly with one or more other interests, state the fact in a footnote and name the other interests.
4. In column (b) designate type of control of the respondent as "0" for direct, an "I" for indirect, or a "J" for joint control.
------------------------
DEFINITIONS
------------------------
1.See the Uniform System of Accounts for a definition of control.
2.Direct control is that which is exercised without interposition of an intermediary.
3.Indirect control is that which is exercised by the interposition of an intermediary that exercises direct control.
4. Joint control is that in wliich neither interest can effectively control or direct action without the consent of the other, as where the
voting control is equally divided between two holders, or each part holds a veto power over the other. Joint control may exist by mutual
agreement or understanding between two or more parties who together have control within the meaning of the definition of control in
the Uniform System of Accounts, regardless of the relative voting rights of each part.
Une Name of Company Controlled Type of Control Kind of Business Percent Voting Footnote
No.Stock Owned Reference
(a)(b)(c)(d)(e)
1 Avista Capitl, Inc.D Parent company to the Company's 100 Not used
subsidiaries.
2 Advantage IQ, Inc.I Provides utility bil procesing services 76 Not used
3 Eco, Inc.I Formed in 2009 to acquire Eco 100 Not used
Consultng, Inc.
4 Avista Development, Inc.i Maintains investment portolio incl. rel 100 Not used
este
5 Avista Energy, Inc.I Inacte 100 Not used
6 Avista Power, LLC I Inacte 100 Not used
7 Avísla Turbine Power,lnc.I Recives assigned poer purcase 100 Not used
,
agreements
8 Avista Ventures, Inc.I Inactve 100 Not used
9 Pentzer Corpration I Parent of Bay Are Mfg and Pentzer 100 Not used
Venture Hldngs
10 Pentzer Venture Holdings I Inactve 100 Not used
11 Bay Area Manufctring I Holding co. of AM&D dba MetalFX 100 Not used
12 Advance Manufactring & Development I Custom mfg of electnic enclosure 83 Not used
13 dba MetalFX I Not used
14 Avista Recivables Corporation D Inactve 100 Not used
15 Spokane Energy, LLC D Owns an electc capacit contrct 100 Notuser;
16 Avista Capitl ii D Affliate busines trst isued pref 100 Not used
trst sec.
17 Avista Nortwest Resourcs, LLC I Owns an interet in a venture fund 100 Not used
investment
18 Steam Plant Square, LLC I Commercial offce and retail leasing 90 Not used
19 Courtard Offce Center I Commercal offce and retail leasing 100 Not used
20
21
22
23
24
25
26 .
27
28
FERC FORM NO.2 (12-96)Page 103
Name of Respondent This oo0rt Is:Date of Report YearlPeriod of Report
Avista Corporation (1) X An Original (Mo, Da, Yr)
(2) FiA Resubmission 04/15/2011 End of 2010/04
Security Holders and Voting Powers
1. Give the names and addresses of the 10 security holders of the respondent who, at the date of the latest closing of the stock book
or compilation of list of stockholders of the respondent, prior to the end of the year, had the highest voting powers in the respondent,
and state the number of votes that each could cast on that date if a meeting were held. If any such holder held in trust, give in a
footnote the known particulars of the trust (whether voting trust, etc.), duration of trust, and principal holders of beneficiary interests in
the trust. If the company did not close the stock book or did not compile a list of stockholders within one year prior to the end of the
year, or if since it compiled the previous list of stockholders, some other class of security has become vested with voting rights, then
show such 10 security holders as of the close of the year. Arrange the names of the security holders in the order of voting power,
commencing with the highest. Show in column (a) the titles of offcers and directors included in such list of 10 security holders.
2. If any security other than stock carries voting rights, explain in a supplemental statement how such security became vested with
voting rights and give other important details concerning the voting rights of such security. State whether voting rights are actual or
contingent; if contingent, describe the contingency.
3. If any class or issue of security has any special privileges in the election of directors, trustees or managers, or in the determination
of corporate action by any method, explain briefly in a footnote.
4. Furnish details concerning any options, warrants, or rights outstanding at the end of the year for others to purchase securities of
the respondent or any securities or other assets owned by the respondent, including prices, expiration dates, and other material
information relating to exercise of the options, warrants, or rights. Specify the amount of such securities or assets any offcer, director,
associated company, or any of the 10 largest security holders is entitled to purchase. This instruction is inapplicable to convertible
securities or to any securities substantially all of which are outstanding in the hands of the general public where the options, warrants,
1. Give date of the latest closing of the stock 2. State the total number of votes cast at the latest general 3. Give the date and place of
book prior to end of year, and, in a footnote, state meeting prior to the end of year for election of directors of the such meeting:
the purpose of such closing:respondent and number of such votes cast by proxy.
May 13, 2010-Total:49654254 Spokane, Washington
By Proxy:49654254
VOTING SECURITIES
4. Number of votes as of (date):1210212010
Une Name (Title) and Address of Total Votes Common Stock Preferred Stock other
No.Security Holder
(a),(b)(c)(d)(e)
5 TOTAL votes of all voting securities 54,894,340 54,894,340
6 TOTAL number of secrity holders 11,594 11,594
7 TOTAL votes of securi holders listed belo 508,540 508,540
8
9 Gary Ely; Libert Lake, WA 190,243 190,243
10 DBH Propertes, LP; Coeur d'Alene, ID 77,646 77,646
11 Gary Gail Ely; Libert Lake, WA 65,218 65,218
12 Margaret Anne Bronan; Fainawn, OH 55,000 55,000
13 Jack W. Gustavel; Coeur d'Alene, ID 33,970 33,970
14 John F. Kelly; Coral Gables, FL 19,831 19,831
15 Freerick W. Schott Tr; Santa Monica, CA 17,810 17,810
16 Noel Consultng Company, Inc.; Prescott, /J 16,853 16,853
17 Thomas A Lowe & Kathleen; Satellte Bch, FL 16,007 16,007
18 Edmund M Reeck Tr Ua Jun 1698; Salem, OR 15,962 15,962
19
20
.
FERC FORM NO.2 (12-96)Page 107
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1) 2Ç An Original (Mo, Da, Yr)
(2)A Resubmission 04/15/2011 2010104
FOOTNOTE DATA
¡Schedule Page: 107 Line No.: 1 Column: 1
December 2,2010, to pay the December 15, 2010, dividend.
I FERC FORM NO.2 (12-96)Page 552.1
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1 ) ~ An Original (Mo, Dat Yr)
(2)A Resubmission 04/15/2011 2010/04
Importnt Changes During the OuarterlYear
Give details concerning the matters indicated below. Make the statements explicit and precse, and number them in accordance with the
inquiries. Answer each inquiry. Enter "none" or "not applicable" where applicable. If the answer is given elsewhere in the report, refer to the
schedule in which it appears.
1. Changes in and important additions to franchise nghts: Descrbe the actal consideration and state from whom the franchise rights were
acquired. If the franchise rights were acquired without the payment of considertion, state that fact
2. Acquisition of ownership in other companies by reorganization, merger, or consolidation with other companies: Give names of companies
involved, pantculars conceming the trnsactions, name of the Commission authonzing the trnsaction, and reference to Commission
authorization.
3. Purchase or sale of an operating unit or system: Briefly descrbe the propert, and the related transactions, and cite Cominission
authorization. if any was required. Give date joumal entries called for by Uniform System of Accunts were submitted to the Commission.
4. Important leaseholds (other than leaseholds for natural gas lands) that have been acquired or given, assigned or surrendered: Give effective
dates, lengths of terms. names of pantes, rents, and other conditions. State name of Commission authorizing lease and give reference to such
authorization.
5. Important extension or reduction of transmission or distnbution system: State territory added or relinquished and date operations began or
ceased and cite Commission authonzation, if any was required. State also the approximate number of customers added or lost and approximate
annual revenues of each class of service.
Each natural gas company must also state major new continuing sources of gas made available to it from purchases, development. purchase
contract or otherwise. giving location and approximate total gas volumes available, penod of contracts, and other parties to any such
arrangements, etc.
6. Obligations incurred or assumed by respondent as guarantor for the performance by another of any agreement or obligation, including
ordinary commercial paper maturing on demand or not later than one year after date of issue: State on behalf of whom the obligation was
assumed and amount of the obligation. Cite Commission authorization if any was required.
7. Changes in articles of incorporation or amendments to charter: Explain the nature and purpose of such changes or amendments.
8. State the estimated annual effect and nature of any important wage scale changes during the year.
9. State briefly the status of any materially importnt legal proceedings pending at the end of the year, and the results of any such proceedings
culminated during the year. .
10. Describe briefly any materially importnt transactons of the respondent not disclosed elsewhere in this report in which an offcer, director,
security holder, voting trustee. associated company or known associate of any of these persons was a part or in which any such person had a
material interest.
11. Estimated increase or decrease in annual revenues caused by importnt rate changes: State effective date and approximate amount of
increase or decrease for each revenue classification. State the number of customers affected.
12. Describe fully any changes in offcers, directors, major security holders and voting powers of the respondent that may have occurred duringthe reporting period. .
13. In the event that the respondent pantcipates in a cash management program(s) and its proprietary capital ratio is less than 30 percent
please descnbe the significant events or transactions causing the propnetary capital ratio to be less than 30 percent, and the extent to which the
respondent has amounts loaned or money advanced to its parent, subsidiary, or affliated companies through a cash management program(s).
Additionally, please describe plans, if any to regain at least a 30 percent proprietary ratio.
1. None
2. None
3. None
4. None
5. None
6. On December 30,2010, Avista Corp., Avista Receivables Corporation (ARC), Bank of America,
N.A. and Ranger Funding Company, LLC terminated a Receivables Purchase Agreement at the direction of the
Company. ARC is a wholly owned, banptcy-remote subsidiar of the Company formed in 1997 for the
purose of acquiring or purchasing interests in cerain accounts receivable, both billed and unbiled, of the
Company. The Company elected to terminate the Receivables Purchase Agreement prior to its March 11,2011
expiration date based on the Company's forecasted liquidity needs. The Receivables Purchase Agreement was
originally entered into on May 29,2002 (and has been renewed on an anual basis) and provided the Company
with fuds for general corporate needs. Under the Receivables Purchase Agreement, the Company could
borrow up to $50.0 milion based on calculations of eligible receivables. -The Company did not borrow any
fuds under this revolving agreement in 201 O.
At December 31, 2010, A vista Corp. had a committed line of credit agreement with various bans in the
total amount of$320.0 milion with an expiration date of April 5, 2011. Under the credit agreement, the
Company could borrow or request the issuace ofletters of credit in any combination up to $320.0 milion. At
I FERC FORM NO.2 (12-96)108.1
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1 ) .~ An Original (Mo, Da, Yr)
(2)A Resubmission 04/15/2011 2010104
Importnt Changes During the QuarterlYear
December 31,2010, the Company had borrowed $110.0 millon under this committed line of credit and there
were $27.1 milion of letters of credit outstanding.
Additionally, the Company had a committed line of credit agreement with varous bans in the total
amount of$75.0 milion with an expiration date of April 5, 2011.
In Februar 2011, Avista Corp. entered into a new committed line of credit in the total amount of $400.0
milion with an expiration date of Februar 2015 that replaced its $320.0 milion and $75.0 milion committed
lines of credit.
The committed lines of credit are secured by non-transferable First Mortgage Bonds of the Company
issued to the agent ban that would only become due and payable in the event, and then only to the extent, that
the Company defaults on its obligations under the commtted lines of credit.
In December 2010, Avista Corp. issued $52.0 milion of 3.89 percent First Mortgage Bonds due in
2020 and $35.0 milion of 5.55 percent First Mortgage Bonds due in 2040. The total net proceeds from the sale
of the new bonds of$86.6 millon (net of placement agent fees and before Avista Corp.'s expenses) were used
to redeem $45.0 milion of6.l25 percent First Mortgage Bonds due in December 2013 and $30.0 million of
7.25 percent First Mortgage Bonds due in September 2013.
In December 2010, Avista Corp. issued $50.0 milion of 1.68 percent First Mortgage Bonds (Bonds)
due in 2013. The net proceeds from the issuance of the Bonds of$49.8 milion (net of placement agent fees and
before A vista Corp. ' s expenses) were used to repay a portion of the borrowings outstanding under the
Company's committed line of credit.
These debt issuance was approved by the respective regulatory commissions as follows:WUTC
(Docket No. U-I01722 Order No. 1); ¡PUC (Case No. AVU-U-10-02, Order No. 32120); and OPUC (Docket
UF 4267, Order No. 10-461).
In December 2010, $66.7 milion of the City of Forsyt, Montaa Pollution Control Revenue
Refuding Bonds (Avista Corporation Colstrp Project) due 2032, which had been held by Avista Corp. since
2008, were refuded by a new bond issue (Series 201OA). The new bonds were not offered to the public and
were purchased by Avista Corp. due to market conditions. The Company expects that at a later date, subject to
market conditions, these bonds wil be remarketed to unaffliated investors. So long as A vista Corp. is the
holder of these bonds, the bonds will not be reflected as an asset or a liability on A vista Corp. ' s Consolidated
Balance Sheet.
In December 2010, $17.0 milion of the City of Forsyt, Montana Pollution Control Revenue
Refuding Bonds, (A vista Corporation Colstrp Project) due 2034, which had been held by A vista Corp. since
2009, were refuded by a new bond issue (Seres 2010B). The new bonds were not offered to the public and
were purchased by A vista Corp. due to market conditions. The Company expects that at a later date, subject to
market conditions, the bonds wil be remarketed to unaffliated investors. So long as A vista Corp. is the holder
of these bonds, the bonds wil not be reflected as an asset or a Ilabilty on A vista Corp. ' s Consolidated Balance
Sheet.
The Pollution Control Revenue Bonds refuded owere approved by the respective regulatory
commissions as follows: WUTC (Docket No. UE-101615 Order No.1); ¡PUC (Case No. AVU-U-08-03, Order
No. 30674); and OPUC (Docket UF 4253, Order No. 10-424).
7. None
8. Average annual wage increases were 2.5% for non-exempt employees effective March 1,2010. Average
annual wage increases were 3.1 % for exempt employees effective March 1,2010. Officers received average
increases of 3 .8% effective March 1, 2010. Cerain bargaining unit employees received increases of 2.0%
effective March 1,2010. For the majority of bargaining unt employees a new contract was implemented in
I FERC FORM NO.2 (12-96) 108.2
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1) ~ An Original (Mo, Da, Yr)
(2)A Resubmission 04/15/2011 2010104
Important Changes During the OuarterlYear
October 2010, which provided for a 3.5% increase retroactive to April 1,2010.
9. Reference is made to Note 22 of the Notes to Financial Statements.
10. None
11. Reference is made to Note 24 of the Notes to Financial Statements.
12. On May 13,2010, the shareholders of Avista Corp. elected Rebecca A. Klein to serve as a director on the
board. Jack W. Gustavel, a director whose term expired on May 13, 2010, retired from Avista Corp.'s Board of
Directors as he has reaclied the mandatory retirement age of 70 as outlined in the Company's Bylaws. On
October 26,2010, Brian W. Dunham provided notification of his resignation from Avista Corp.'s Board of
Directors. On February 4,2011, Roy L. Eiguen provided notification of his resignation from Avista Corp.'s
Board of Directors effective Februar 5,2011.
i 3. Proprietary capital is not less than 30 percent.
I FERC FORM NO.2 (12-96)108.3
This Page Intentionally Left Blank
Name of Respondent
Avista Corporation
This ~ort Is:
(1) l!An Original
(2) A Resubmission
Comparative Balance Shet (As and Other Debits)
Date of Report
(Mo, Da, Yr)
0411512011
Year/Period of Report
End of 2010/04
Une Title of Account
No.
Reference
Page Number
Current Year End of
OuarterlYear Balance
(c)
(a)(b)
---- --1- ----------1 UTILITY PLANT
2 Utilit Plant (101-106,114)
3 Construction Work in Progress (107)
4 TOTAL Utilty Plant (Total of lines 2 and 3)
5 (Less) Accum. Provision for Depr., Amort., Depl. (108, 111, 115)
6 Net Utilty Plant (Total of line 4 less 5)
7 Nuclear Fuel (120.1 thru 1,20.4, and 120.6)
8 (Less) Accum. Provision for Amort., of Nuclear Fuel Assemblies (120.5)
9 Nuclear Fuel (Total of line 7 less 8)
10 Net Utilty Plant (Total of lines 6 and 9)
11 Utilty Plant Adjustments (116)
12 Gas Stored-Base Gas (117.1)
13 System Balancing Gas (117.2)
14 Gas Stored in Reservoirs and Pipelines-Noncurrent (117.3)
15 Gas Owed to System Gas (117.4)
16 OTHER PROPERTY AND INVESTMENTS
17 Nonutilty Property (121)
18 (Less) Accum. Provision for Depreciation and Amortization (122)
19 Investments in Associated Companies (123)
20 Investments in Subsidiary Companies (123.1)
21 (For Cost of Accunt 123.1 See Footnote Page 224, line 40)
22 Noncurrent Portion of Allowances
23 Other Investments (124)
24 Sinking Funds (125)
25 Depreciation Fund (126)
26 Amortization Fund - Federal (127)
27 Other Special Funds (128)
28 Long-Term Portion of Derivative Assets (175)
29 Long-Term Portion of Derivative Assets - Hedges (176)
30 TOTAL Other Property and Investments (Total of lines 17-20, 22-29)
31 CURRENT AND ACCRUED ASSETS
32 Cash (131)
33 Special Deposits (132-134)
34 Working Funds (135)
35 Temporary Cash Investments (136)
36 Notes Receivable (141)
37 Customer Accounts Receivable (142)
38 Other Accounts Receivable (143)
39 (Less) Accum. Provision for Uncollectible Accounts - Credit (144)
40 Notes Receivable from Associated Companies (145)
41 Accunts Receivable from Associated Companies (146)
42 Fuel Stock (151)
43 Fuel Stock Expenses Undistributed (152)
200-201
200-201
200-201
3,707,841,308
60,766,153
3,768,607,461
1,284,830,029
2,483,777,432
o
o
o
2,483,777,432
o
2,577,031
o
o
o
122
220
220
220
220
Prior Year
End Balance
12/31
(d)
3,546,192,091
57,217,478
3,603,409,569
1,219,877,922
2,383,531,647
o
o
o
2,383,531,647
o
o
o
o
o
--- - - 1--- - ---
222-223
224-225
5,403,010
908,291
12,047,000
77,733,569
5,031,620
897,684
12,047,000
81,243,239---- 1-- - - - -
222-223
o
21,346,632
o
o
o
12,391.,507
15,260,734
o
143,280,161
o
23,798,439
o
o
o
11,558,301
45,482,748
o
178,263,663
---- --r- - -- ---
I
222-223
1,722,379
7,981,895
762,784
17,455,810
226,712
197,906,612
8,919,486
3,846,839
o
211,095
6,288,853
o
2,462,480
1,630,323
848,613
652,010
629,625
188,271,550
6,484,963
3,710,770
o
101,231
4,294,013
o
FERC FORM NO.2 (REV 06-04)Page 110
Name of Respondent This oo0rt Is:Date of Report YearlPeriod of Report
(1) X An Original (Mo, Da, Yr)Avista Corporation (2) riA Resubmission 04/15/2011 End of 2010/Q4
Comparative Balance Sheet (Assets and Other Debits)(continued)
Une Title of Accunt Reference Current Year End of Prior Year
No.Page Number OuarterlYear Balance End Balance
(c)12/31
(a)(b)(d)
44 Residuals (Elec) and Extracted Products (Gas) (153)0 0
45 Plant Materials and Operating Supplies (154)23,335,143 18,386,509
46 Merchandise (155)0 0
47 Other Materials and Supplies (156)0 0
48 Nuclear Materials Held for Sale (157)0 0
49 Allowances (158.1 and 158.2)0 0
50 (Less) Noncurrent PortioI' of Allowances 0 0
51 Stores Expense Undistributed (163)0 12,832
52 Gas Stored Underground-Current (164.1)220 17,242,935 12,706,763
53 Uquefied Natural Gas Stored and Held for Processing (164.2 thru 164.3)220 0 0
54 Prepayments (165)230 10,754,149 9,985,760
55 Advances for Gas (166 thru 167)0 0
56 Interest and Dividends Receivable (171)0 197,040
57 Rents Receivable (172)1,488,593 553,237
58 Accrued Utiity Revenues (173)0 0
59 Miscellaneous Current and Accrued Assets (174)213,064 454,418
60 Derivative Instrument Assets (175)17,852,716 53,240,001
61 (Less) Long-Term Portion of Derivative Instrument Assets (175)15,260,734 45,482,748
62 Derivative Instrument Assets - Hedges (176)243,221 0
63 (Less) Long-Term Portion of Derivative Instrument Assests - Hedges (176)0 0
64 TOTAL Current and Accrued Assets (Total of lines 32 thru 63)293,497,874 251,717,850
65 DEFERRED DEBITS
66 Unamortized Debt Expense (181),12,854,887 15,732,877
67 Extraordinary Propert Losses (182.1)230 0 0
68 Unrecovered Plant and Regulatory Study Costs (182.2)230 0 0
69 Other Regulatory Assets (182.3)232 429,832,794 352,616,516
70 Preliminary Survey and Investigation Charges (Electric)(183)3,94Q,461 3,346,452
71 Preliminary Survey and Investigation Charges (Gas)(183.1 and 183.2)0 0
72 Clearing Accounts (184)0 0
73 Temporary Facilties (185)0 0
74 Miscellaneous Deferred Debits (186)233 17,414,947 26,105,547
75 Deferred Losses from Disposition of Utilty Plant (187)0 0
76 Research, Development, and Demonstration Expend. (188)0 0
77 Unamortized Loss on Reacquired Debt (189)25,454,075 15,196,145
78 Accumulated Deferred Income Taxes (190)234-235 119,988,040 91,975,547
79 Unrecovered Purchased Gas Costs (191)(22,074,295)(39,952,004)
80 TOTAL Deferred Debits (Total of lines 66 thru 79)587,416,909 465,021,080
81 TOTAL Assets and Other Debits (Total of lines 10-15,30,64,and 80)3,510,549,407 3,278,534,240
FERC FORM NO.2 (REV 06-04)Page 111
Name of Respondent
Avista Corporation
Date of Report
(Mo, Da, Yr)
04115/2011
YearlPeriod of Report
End of 2010/q4
This ~ort Is:
(1) ~An Original
(2) A Resubmission
Comparative Balance She (Liabilties and Other Creits)Une Title of Account
No.
Reference
Page Number
(a)(b)
Currnt Year
End of
OuarterlYear
Balance
Prior Year
End Balance
12/31
(d)------ -1-- ---- -1 PROPRIETARY CAPITAL
2 Common Stock Issued (201)
3 Preferred Stock Issued (204)
4 Capital Stock Subscribed (202, 205)
5 Stock Uabilty for Conversion (203, 206)
6 Premium on Capital Stock (207)
7 Other Paid-In Capital (206-211)
8 Installments Received on Capital Stock (212)
9 (Less) Discount on Capital Stock (213)
10 (Less) Capital Stock Expense (214)
11 Retained Eamings (215, 215.1, 216)
12 Unappropriated Undistributed Subsidiary Earnings (216.1)
13 (Less) Reacquired Capital Stock (217)
14 Accumulated Other Comprehensive Income (219)
15 TOTAL Proprietary Capital (Total of lines 2 thru 14)
16 LONG TERM DEBT
17 Bonds (221)
18 (Less) Reacquired Bonds (222)
19 Advances from Associated Companies (223)
20 Other Long-Term Debt (224)
21 Unamortized Premium on Long-Term Debt (225)
22 (Less) Unamortized Discount on Long-Term Debt-Dr (226)
23 (Less) Current Portion of Long-Term Debt
24 TOTAL Long-Term Debt (Total of lines 17 thru 23)
25 OTHER NONCURRENT LIABILITES
26 Obligations Under Capital Leases-Noncurrent (227)
27 Accumulated Provision for Property Insurance (228.1)
28 Accumulated Provision for Injuries and Damages (228.2)
29 Accumulated Provision for Pensions and Benefits (228.3)
30 Accumulated Miscellaneous Operating Provisions (228.4)
31 Accumulated Provision for Rate Refunds (229)
250-251
250-251
252
252
252
253
252
254
254
118-119
118-119
250-251
117
805,656,943
o
o
o
o
15,798,128
o
o
6,137,359)
326,861,303
24,343,433)
o
( 4,325,953)
1,125,784,347
759,057,747
o
o
o
o
17,498,634
o
o
2,090,961)
295,862,243
20,871,863)
o
( 2,350,286)
1,051,287,436- - - -- -I - --- - -
256-257
256-257
256-257
256-257
258-259
258-259
1,098,148,636
o
51,547,000
o
222,084
2,013,529
o
1,147,904,191
1,070,256,423
o
51,547,000
o
230,967
2,167,570
o
1,119,866,820--- - -- --- -- -
!
4,974,661
o
2,684,975
161,188,441
o
o
o
o
1,650,500
123,281,094
2,916,673
o
FERC FORM NO.2 (REV 06-04)Page 112
Name of Respondent
Avista Corporation
Year/Period of Report
End of 2010/Q4
This '30rt Is: Date of Report
(1) ~An Original (Mo, Da, Yr)
(2) A Resubmission 04/1512011
Comparative Balance Sheet (liabilties and Other Credits)(continued)
Reference
Page Number
Une Title of Account
No.
Current Year
End of
OuarterlYear
Balance
30,984,511
52,706
3,887,409
203,772,703
(a)
32 Long-Term Portion of Derivative Instrument Liabilities
33 Long-Term Portion of Derivative Instrument Uabilties - Hedges
34 Asset Retirement Obligations (230)
35 TOTAL Other Noncurrent Uabilties (Total of lines 26 thru 34)
36 CURRENT AND ACCRUED LIABILITIES
37 Current Portion of Long-Term Debt
38 Notes Payable (231)
39 Accounts Payable (232)
40 Notes Payable to Associated Companies (233)
41 Accunts Payable to Associated Companies (234)
42 Customer Deposits (235)
43 Taxes Accrued (236)
44 Interest Accrued (237)
45 Dividends Declared (238)
46 Matured Long-Term Debt (239)
47 Matured Interest (240)
48 Tax Collections Payable (241)
49 Miscellaneous Current and Accrued Liabilties (242)
50 Obligations Under Capital Leases-Current (243)
51 Derivative Instrument Liabilties (244)
52 (Less) Long-Term Portion of Derivative Instrument Liabilities
53 Derivative Instrument Liabilties - Hedges (245)
54 (Less) Long-Term Portion of Derivative Instrument Liabilties - Hedges
55 TOTAL Current and Accrued Uabilties (Total of lines 37 thru 54)
56 DEFERRED CREDITS
57 Customer Advances for Construction (252)
58 Accumulated Deferred Investment Tax Credits (255)
59 Deferred Gains from Disposition of Utilty Plant (256)
60 Other Deferred Credits (253)
61 Other Regulatory Uabilties (254)
62 Unamortized Gain on Reacquired Debt (257)
63 Accumulated Deferred Income Taxes - Accelerated Amortization (281)
64 Accumulated Deferred Income Taxes - Other Property (282)
65 Accumulated Deferred Income Taxes - Other (283)
66 TOTAL Deferred Credits (Total of lines 57 thru 65)
67 TOTAL Uabilties and Other Credits (Total of lines 15,24,35,55,and 66)
(b)
Prior Year
End Balance
12/31
(d)
2,871,255
o
3,971,453
134,690,975
262-263
o
110,000,000
1-21,798,025
7,374,317
866,285
7,958,557
397,450)
11,290,059
o
o
o
32,330
52,383,017
195,575
82,467,564
30,984,511
58,584
52,705
362,989,647
268
o
87,000,000
114,930,110
6,882,247
724,582
8,140,853
2,222,627
13,476,434
o
o
o
147,574
55,461,901
o
18,958,058
2,871,255
50,091
o
305,123,222----- - ------ ---
I
269
278
260
1,089,208
7,842-,362
o
17,050,733
31,545,561
2,655,731
o
369,622,132
240,292,792
670,098,519
3,510,549,407
1,280,331
5,632,508
o
22,330,799
61,709,913
2,957,426
o
348,074,981
225,579,829
667,565,787
3,278,534,240
FERC FORM NO.2 (REV 06-04)Page 113
Name of Respondent This oo0rt Is:Date of Report YearlPeriod of Report
(1) X An Original (Mo, Da, Yr)
Avista Corporation (2) Fi A Resubmission 04/151011 End of 2010/q4
Statement of Income
Quarterly
1. Enter in column (d) the balance for the reportng quarter and in column (e) the balance for th same three moth pe for th prior year.
2. Report in column (f) the quarter to date amounts for elecc utility functon; in column (h) the quarter to date amount for gas utlity, and in OJ the quarter to date amounts for
other utilty function for the currnt year quarter.
3. Report in column (g) the quarter to date amounts for elect utlity functon; in column (i) the quart to date amount for gas utlity, and in (k) the quarter to date amounts for
other utility function for the prior year quarter.
4. If additional columns are needed place them in a footnote.
Annual or Quarterly, if applicable
5. Do not repo fourth quarter data in columns (e) and (f)
6. Report amounts for accunts 412 and 413, Revenues and Expnses from Utility Plant Leased to Oters, in another utilit columnin a similar manner to a utilty departent.
Spread the amount(s) over lines 2 thru 26 as appropriate. Include these amounts in columns (c) and (d) totals.
7. Report amounts in accunt 414, Other Utility Operating Income, in the same manner as accunts 412 and 413 above.
8. Report data for lines 8, 10 and 11 for Natural Gas companies using accunts 404.1, 404.2, 404.3, 407.1 and 407.2.
9. Use page 122 for importnt notes regarding the statement of income for any accunt thereof.
10. Give concise explanations concerning unsetted rate proceedings where a contingency exists such that refunds of a material amount may nee to be made to the utilitys
customers or which may result in material refund to the utility with respec to power or gas purcases. State for each year effed the gross revenues or costs to which the
contingency relates and the tax effecs together with an explanation of the major factrs which affec the rights of the utilty to retain such revenues or recover amounts paid with
respe to power or gas purchases.
11 Give concise explanations concerning significant amounts of any rends made or reived during the year resulting fr settlement of any rate proing affcting revenues
received or costs incurred for power or gas purches, and a summary of the adjustments made to balance sheet, income, and expense accunts.
12. If any notes appearing in the report to stokholders are applicable to the Statement of Income, such notes may be included at page 122.
13. Enter on page 122 a concise explanation of only those changes in accunting mehods made during the year which had an effec on net income, including the basis of
allocations and apportionments from those used in the preceding year. Also, give the appropriate dollar eff of such changes.
14. Explain in a footnote if the previous year'slquarter's figures are diffrent frm that reported in prior report.
15. If the columns are insuffcient for reportng additional utility departments, supply the appropriate accunt tis report the information in a footnote to this schedule.
TiDe of Accunt Referenc Tota Tota Current Three Pror Thre
Page Currnt Year to Pri Year to Dat Moths Ended Months Ended
Number Dil Baan Balan Quarterly Only Quarty Only
Une (a)
fo QuarerNear for QuarrN ea No Fourt Quarr No Fourt Quarr
No.(b)(c)(d)(e)(f)
1 UTILI OPERATING INCOME
2 Gas Opeating Revenues (40)30030,1 1,602,04,842 1,516,973,753 0 0
3 Operatng Expenses
4 opratin Expeses (401)317-325 1,175,254,102 1,100,224,196 .0 0
5 Maintenance Exnses (402)317-325 48,270,26 50,84,769 0 0
6 Depreaton Expense (403)33336 92,936,67 67,06,63 0 0
7 Dereian Expe fo Asset Retirement Cots (403.1)336-336 0 0 0 0
8 Amortzaton and Deletion of Utility Plant (405)336-338 10,067,62(9,143,602 0 0
9 Amorton of Utiity Plant Acu. Adjustment (40)336-33 99,047 99,047 0 0
10 Amo of Prop. Losses, Unrevere Plant and Reg. Study Costs (407.1)(0 0 0
11 Amozaton of Converion Exnses (407.2)0 0 0 0
12 Regulatory Debits (407.3)919,13'3,716,50 0 0
13 (Less) Regulatory Creits (407.4)11,60,921 10,397,606 0 0
14 Taxes Other than Income Taxes (406.1)262-263 73,392,44 76,582,590 0 0
15 Income Taxes-Federal (40.1)262-263 10,616,57 30,223,259 0 0
16 Income Taxes-Other (409.1)262-263 469,639 2,111,405 0 0
17 Provision of De Income Taxes (410.1)234235 41,45,197 23,050,105 0 0
18 (Les) Provision for Deferred Inco T axes-Creil (411.1)234235 1,521,709 6,214,995 0 0
19 Investmnt Tax Creit Adjustment-Net (411.4)(17,672)(93,914)0 0
20 (Less) Gains frm Disposition of Utilit Plant (411.6)C 0 0 0
21 Losse fr Dispoition of Utiity Plant (411.7)0 0 0 0
22 (Less) Gans frm Dispoition of Allowance (411.6)0 0 0 0
23 Loses from Dispositin of Allowance (411.9)0 0 0 0
24 Acretion Expense (411.10)0 0 0 0
25 TOTAL Utility Opratng Expenses (Total of line 4 thru 24)1,439,975,392 1,366,382,597 0 0
26 Net Utiit Operating Income (Total of lines 2 less 25) (Car foard to page 116,
line 27)162,06,450 150,591,156 0 0
-
FERC FORM NO.2 (REV 06-04)Page 114
Name of Respondent This oo0rt Is:Date of Report YearlPeriod of Report
Avista Corporation (1) X An Original (Mo, Da, Yr)
(2) Fi A Resubmission 04/15/2011 End of 2010/04
Statement of Income
,
Elec. Utility Elec. Utilty Gas Utility Gas Utilty Other Utilty Other UtiltyCurrentPreviousCurrentPreviousCurrentPrevious
Year to Date Year to Date Year to Date Year to Date Year to Date Year to Date
Line (in dollars)(in dollars)(in dollars)(in dollars)(in dollars)No.(g)(h)(i)(in dollars)(k)(I)
0)
4 724,521,516 621,221,944 450,732,586 479,002,252 0 0
5 39,000,254 42,044,915 9,270,010 8,801,854 0 0
6 75,862,701 71,109,022 17,073,976 15,980,813 °°
7 0 0 0 °0 °
8 8,110,496 7,467,875 1,957,124 1,675,727 0 °
9 99,047 99,047 °°0 °
10 0 0 0 °,°0
11 °0 0 °°0
12 (1,799,835)947,939 2,718,969 2,770,565 °°
13 9,787,351 7,405,420 2,017,569 2,992,386 °°
14 54,037,916 51,664,659 19,354,524 24,917,931 0 0
15 22,733,087 23,099,627 (12,116,514)7,123,632 0 °
16 686,110 1,263,060 (216,471)848,345 °..~
17 22,478,586 20,060,696 18,975,611 2,989,409 °°
18 1,625,776 5,234,188 (104,067)980,807 °°
19 (131,436)(44,606)(46,236)(49,308)0 °
20 °0 0 0 °°
21 0 0 0 0 0 0
22 0 °°°°°
23 0 0 0 °°°
24 0 °°°°0
25 934,185,315 826,294,570 505,790,077 540,088,027 °°
26 135,768,832 124,734,689 26,299,618 25,856,67 °°
.
FERC FORM NO.2 (REV 06-04)Page 115
Name of Respondent
Avista Corporation
This ~ort Is:
(1) l!An Original
(2) A Resubmission
Statement of Income(continued)
Rerenc Tot
Page Currt Yea to
Number Da Balanc
for QuarrlYear
(c)
Date of Report
(Mo, Da, Yr)
04/1512011
Year/Penod of Report
End of 2010/04
Tite of Accunt Tot
Pri Yea to Da
Balance
for QuarterlY ear
(d)
Current Thre
Moths End
Quary Only
No Fourt Quartr
(e)
PnorThre
Month End
Quarrty Only
No Fourt Quarter
(ijUne (a)
No.(b)
16206450 150591156 o o27 Net Utility Operating Income (Carr forwar from page 114)
28 OTHER INCOME AND DEDUCTIONS
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
51
52
53
54
55
56
57
58
59
60
61
62
63
64
65
66
67
68
69
70
71
72
73
74
75
76
77
78
I I II i I iI I I IOther Income
Nonutiity Operatng Income
Revenues form Merchandising, Jobbing and Cotrac Work (415)
(Less) Costs and Expese of Merchandising, Job & Corac Work (416)
Revenues fr Nonutility Opeations (417)
(Less) Expenses of Nonutilty Opeatons (417.1)
Nonoperang Rental Income (418)
Equity in Earnings of Subsidiary Compaies (418.1)
Interet and Dividend Inco (419)
Allowance for Otr Funds Used During Constrction (419.1)
Miscelaneous Nonoperating Inco (421)
Gain on Disposition of Propert (421.)
TOTAL Oter Income (Total of lines 31thru 40)
Other Income Deuctions
0 0 0 0
0 0 0 0
10,997)0 0 0
5,45,722 5,249,706 0 0
119,784)3,024)0 0
119 6,002,99 827,451 0 0
1,80.338 5,90,40 0 0
3,352,3,078,244 0 0
0 0 0
54.105 0 0
4,613,479 0 0I i I I
34
3.938 2,050)0 0
1,110,57 1,110,572 0 0
4,164,13 1.405.00 0 0
2,236.551 1,336.173 0 0
287,129 19.90)0 0
1,167,77 1,347,80 0 0
776,184 1,68,420 0 0
9,746,280 6,864,033 0 0
Loss on Disposition of Propert (421.2)
Miscllaneous Amrtzaon (425)
Donatons (426.1)
Ute Insurance (426.2)
Penalties (426.3)
Expenditures for Cen Civic, Political and Related Activities (426.4)
Otr Deuctins (426.5)
TOTAL Othr Inco Deuctions (T ola of lines 43 thru 49)
axes Applic. to Oter Income and Deuctions
Taxes Otr than Inc Taxes (40.2)
Income Taxes-Federal (40.2)
Income Taxes-Oter (409.2)
Provision for Deterr Inc Taxes (410.2)
(Less) Provision for Deferr Income Taxes-Creit (411.2)
Investmnt Tax Crit Adjustmnts-Net (411.5)
(Les) Investment Tax Credits (420)
TOTAL Taxes on Oter Inc and Deuctions (Tota of lines 52-58)
Net Oter Income and Deuctons (Tola of lines 41, 50, 59)
INTEREST CHAGES
Interest on Log-Term Debt (427)
Amortzaton of Debt Disc. and Expnse (428)
Amrtation of Loss on Reacuire Debt (428.1)
(Less) Amortzaton of Premium on Debt-Creit (429)
(Less) Amortzaon of Gan on Reacuire Debt-Crit (429.1)
Interest on Debt to Asiated Companies (43)
Oter Interest Expense (431)
(Les) Allowance for Borrow Funds Use During Constrclion-Credit (432)
Net Interest Charges (Total of lines 62thru 69)
Income Befre Exaordinar Items (Tola of line 27,60 and 70)
EXRAORDINAY ITEMS
Extaordinary Income (43)
(Less) Exaordinar Deuctons (435)
Net Extaoinary Items (T ola of line 73 less line 74)
Incme Taxes-Federal and Otr (400.3)
Exraordinary Items afr Taxes (Total of line 75 les line 76)
Net Income (Total of lines 71 an 77)
34 I I I i
262-26
262-263
262-263
234235
234235
9,752)(8,841)0 0
1,419,985 (98,412)0 0
(188,221)(269,492)0 0
(1,578,031)(223,696)0 0
4,255,497 3,386,934 0 0
0 0 0 0
0 0 0
4,874,375)0 0
2,623.821 0 0I I I I
55,436,849 0 0
25S259 2,100,201 0 0
3.572,358 0 0
25S259 8,883 0 0
0 0 0
34 2,144,50 0 0
340 3,434,267 0 0
54,569 0 0
66,143,727 0 0
87,071,250 0 0I I I I
0 0 0
0 0 0
0 0 0
262-263 0 0 0
0 0 0
87,071,250 0 0
FERC FORM NO.2 (REV 06-04)Page 116
This Page Intentionally Left Blank
Name of Respondent This wort Is:Date of Report Year/Period of Report
(1) An Original (Mo, Da, Yr)End of 2010/04Avista Corporation (2) FiA Resubmission 04/1512011
Statement of Accumulate ComDrehensive Income and Hedaina ActvIties
1. Report in columns (b) (c) and (e) the amounts of accmulated other comprehensive income items, on a net-of-tax basis, where appropriate.
2. Report in columns (f) and (g) the amounts of other categories of other cash flow hedges.
3. For each category of hedges that have been accounted for as "fair value hedges", report the accunts affected and the related amounts in a footnote.
Unrelized Gains Minimum Pension Foreign .Currncy Oter
Une and Los on Iiabilit Adjustment Hedges Adjustments
No.Item available-for-sle (net amount)
securiti
(a)(b)(c)(d)(e)
1 Balance of Accunt 219 at Beginning of Preceding
Year ,(6,092,318)
2 Preing QuarterlY ear to Date Recassifications
from Accunt 219 to Net Income
3 Preing QuarterlYear to Date Changes in Fair
Value 3,742,032
4 Total (lines 2 and 3)3,742,032
5 Balance of Accunt 219 at End of Preceding
QuarterlY ear (2,350,286)
6 Balance of Accunt 219 at Beginning of Currnt Year (2,350,286)
7 Current QuarterlY ear to Date Reclassifcations from
Accunt 219 to Net Income
8 Currnt QuarterlYear to Date Changes in Fair Value (1,975,667)
9 Total (lines 7 and 8)(1,975,667)
10 Balance of Accunt 219 at End of Currnt
QuarterlY ear (4,325,953)
,
,
.
FERC FORM NO.2 (NEW 06-02)Page 117
Name of Respondent
Avista Corporation
This ~ort Is:
(1) ~An Original
(2) A Resubmission
Date of Report
(Mo, Da, Yr)
04/15/2011
YearlPeriod of Report
End of 2010/04
Line
No.
Oter Cash Flow Hedges
Interest Rate Swaps
Other Cash Flow Hedes
(Insert Cateory)
(~(g)
1
2
3
4
5
6
7
8
9
10
Totals for each
category of
itms rerded in
Accunt 219
(h)
6,092,318)
3,742,032
3,742,032
2,350,286)
2,350,286)
1,975,667)
1,975,667)
4,325,953)
Net Income
(Carr Forward
from Page 116,
Line 78)
(i)
Total
Comprehensive
Income
FERC FORM NO.2 (NEW 06-02)Page 117a
This Page Intentionally Left Blank
Name of Respondent This ~ort Is:
(1) ~An Original
(2) A Resubmission
Statement of Retained Earnings
1. Report all changes in appropriated retained eamings, unappropriate retained eamings, and unappropriated undistrbuted subsidiary eamings for the year.
2. Each credit and debit during the year should be identid as to the reined eamings accunt in which rerded (Accunts 433, 43639 inclusive). Show the contr primary accunt
affeced in column (b).
3. State the purpse and amount for each rervatin or appropriation of retained eamings.
4. List first Accunt 439, Adjustments to Retained Eamings, reflectng adjustments to the opning balance of retained eamings. Follow by credit then debit items, in that order.
5. Show dividends for each class and series of capitl stock.
Avista Corporation
Date of Report
(Mo, Da, Yr)
04/15/2011
YearlPeriod of Report
End of 2010/04
Une
No.
Item
Contr Primary
Accunt Affect
(a)(b)
Currnt Quarter
Year to Date
Balance
(c)
Previous Quartr
Year to Date
Balance
(d)
UNAPPROPRIATED RETAINED EARNINGS
1 BalanceBeginning of Period
2 Changes (Identify by prescribed retained eamings accunts)
3 Adjustments to Retained Eamings (Accunt 439)
4 TOTAL Creits to Retained Eamings (Accunt 439) (footnote details)
5 TOTAL Debit to Retained Earnings (Accunt439)~footnote details)
6 Balance Transferr from Income (Acc 433 less Acc 418.1)
7 Appropriations of Retained Eamings (Accunt 436)
8 TOTAL Appropriations of Retained Eamings (Accunt 436) (footnote details)
9 Dividends Declared-Preferred Stock (Accunt 437)
10 TOTAL Dividends Declred-Preferrd Stock (Accunt 437) (footnote details)
11 Dividends Declared-Common Stock (Accunt 438)
12 TOTAL Dividends Declared-Common Stock (Accunt 438) (footnote details)
13 Transfers from Accunt 216.1, Unappropriated Undistrbuted Subsidiary Eamings
14 BalanceEnd of Period (Total of lines 1, 4, 5, 6, 8,10,12, and 13)
15 APPROPRIATED RETAINED EARNINGS (Accunt 215)
16 TOTAL Appropriated Retained Eamings (Accunt 215) (footnote details)
17 APPROPRIATED RETAINED EARNINGS-AMORTIZATION RESERVE, FEDERAL (Accunt
18 TOTAL Approprited Retained Eamings-Amortzation Reserve, Federal (Accunt
19 TOTAL Appropriated Retained Eamings (Accunts 215, 215.1) (Total of lines '
20 TOTAL Retained Eamings (Accunts 215, 215.1, 216) (Total of lines 14 and 1
21 UNAPPROPRIATED UNDISTRIBUTED SUBSIDIARY EARNINGS (Accunt 216.1)
Report only on an Annual Basis no Quartrly
22 Balance-Beinning of Year (Debit or Credit)
23 Equity in Eamings for Year (Credit) (Accunt 418.1)
24 (Less) Dividends Received (Debit)
25 Other Changes (Explain)
26 Balance-End of Year
------ - --- - --- ---- - --- - -_.._-------~~---- 1- --~-~- -~--~~~
86,331,688 86,243,799
( 9,564,562)
( 24,343,433)
3,789,583
20,871,863)
FERC FORM NO.2 (REV 06-04)Page 118-119
Name of Respondent Date of Report
(Mo, Da, Yr)
04/1512011 End of 2010/04
This ~ort Is:
(1) IlAn Original
(2) A Resubmission
Statement of Cash Flows
(1) Codes to be used:(a) Net Proceeds or Payments;(b)Bonds, debentures and other long-term debt; (c) Include commercial paper; and (d) Identify
separately such items as investments, fixed assets, intangibles, etc.
(2) Information about noncash investing and financing activities must be provided in the Notes to the Financial statements. Also provide a recnciliation
between "Cash and Cash Equivalents at End of Period" with related amounts on the Balance Sheet.
(3) Operating Activities - Other: Include gains and losses pertaining to operating activities only. Gains and losses pertaining to investing and financing
activities should be reported in those activities. Show in the Notes to the Financials the amounts of interest paid (net of amount capitalized) and income
taxes paid.
(4) Investing Activities: Include at Other (line 25) net cash outfow to acquire other companies. Provide a reconcilation of assets acquired with liabilties
assumed in the Notes to the Financial Statements. Do not include on this statement the dollar amount of leases capitalized per the USofA General
Instruction 20; instead provide a reconcilation of the dollar amount of leases capitalized with the plant cost.
Une Description (See Instructions for explanation of codes)
No.
Avista Corporation
(a)
Current Year
to Date
OuarterlYear
YearlPeriod of Report
Previous Year
to Date
OuarterlYear
1 Net Cash Flow frm Operating Actvies
2 Net Income (Line 78(c) on page 116)
3 Noncash Charges (Creits) to Income:
4 Depreciatin and Depletion
5 Amortzation of deferr power and gas costs, debt expense and exchange power
6 Deferrd Income Taxes (Net)
7 Investment Tax Credit Adjustments (Net)
8 Net (Increase) Decrease in Recivable
9 Net (Incrase) Decrease in Inventory
10 Net (Incre) Decase in Allowance Inventory
11 Net Increase (Decrease) in Payables and Acced Expenses
12 Net (Incrase) Decrease in Oter Regulatory Assets
13 Net Incrse (Decrase) in Oter Regulatory Liabilites
14 (Less) Allowance for Other Funds Used During Constrcton
15 (Less) Undistrbute Eamings from Subsidiary Companies
16 Oter (footnote details):
17 Net Cash Provided by (Used in) Operating Activites
18 (Total of Lines 2 thru 16)
19
20 Cash Flows frm Investment Actvities:
21 Constrcton and Acquisition of Plant (including land):
22 Gro Additns to Utility Plant (les nuclear fuel)
23 Gross Additns to Nuclear Fuel
24 Gro Additons to Common Utility Plant
25 Gro Additns to Nonutilit Plant
26 (Less) Allowance for Oter Funds Used During Constrcton
27 Oter (footnote details):
28 Cash Outfows for Plant (Total of lines 22 thru 27)
29
30 Acquisition of Oter Noncurrnt Assets (d)
31 Proceed frm Dispoal of Noncurrnt Assets (d)
32 Federal grant payments reived
33 Investments in and Advances to Assc. and Subsidiary Companies
34 Contrbutons and Advance from Assoc. and Subsidiary Companies
35 Disposition of Investments in (and Advance to)
36 Assciated and Subsidiary Companies
37
38 Purchase of Investment Securiies (a)
39 Proeds frm Sales of Investment Securities (a)
103,004,297
2,930,466)
36,084,184
2,209,854
11,666,672)
11,466,814)
1,486,305)
5,858,734
4,654,996)
3,352,964
6,092,992
10,427,541)
96,233,438
59,481,435
9,011,417
5,258,780
18,733,830
16,449,128
27,996,937)
10,391,960)
1,329,752
3,078,244
827,452
21,996,745)
( 206,800,158)
( 206,800,158)
( 206,916,479)
- - --- --- ---
I
( 206,916,479)
592,582
7,585,367
523,909
- ---- ---I ---- ---
4,689,731
128,775
FERC FORM NO.2 (REV 06-04)Page 120
Name of Respondent
Avista Corporation
YearlPeriod of Report
End of 2010/04
Une
No.
This ~ort Is:
(1) ~An Original
(2) A Resubmission
Statement of Cash Flows (continued)
Description (See Instructions for explanation of codes)
(a)
Date of Report
(Mo, Da, Yr)
04/15/2011
Current Year
to Date
OuarterlYear
Previous Year
to Date
OuarterlYear
40 Loans Made or Purchased
41 Collecons on Loans
42
43 Net (Incras) Decrase in Receivables
44 Net (Incrase) Decrease in Inventory
45 Net (Increase) Decrse in Allowance Held for Speculation
46 Net Incrase (Decase) in Payables and Accrued Expenses
47 Changes in other propert and investments
48 Net Cash Provided by (Used in) Investing Actvites
49 (Total of lines 28 thru 47)
50
51 Cash Flows from Financing Actites:
52 Proceeds from Issuance of:
53 Long-Term Debt (b)
54 Preferr Stock
55 Common Stock
5ò Oter (footnote details):
57 Net Increase in Short-term i:ebt (c)
58 Cash reived for settement of interest rate swap agrements
59 Cash Provided by Outside Source (Total of lines 53 thru 58)
60
61 Payments for Retirement of:
62 Long-Term Debt (b)
63 Preferrd Stock
64 Common Stoc
65 Long-term debt and short-term borrwing issuance costs
66 NelOecase in Short-Term Debt (c)
67 Premium paid to repurchase long-term debt
68 Dividends on Preferr Stock
69 Dividends on Common Stock
70 Net Cash Provided by (Used in) Financing Actvites
71 (Total of lines 59thru 69)
72
73 Net Increase (Decrease) in Cash and Cash Equivalents
74 (Total of line 18, 49 and 71)
75
76 Cash and Cash Equivalents at Beginning of Period
77
78 Cash and Cash Equivalents at End of Period
1,588,956)1,000,477)
136,365,000 249,425,000
46,235,329 2,621,946
23,000,000
10,776,222
205,600,329 262,823,168-- -- --r - --
I
- --- --- I -- ---- ---
( 110,129,764)78,931,206)
916,100)( 3,726,398)
( 163,000,000)
10,710,164)
55,682,184)44,360,372)
FERC FORM NO.2 (REV 06-04)Page 120a
Name of Respondent this Report is:Date of Report Year/Period of Report
Avista Corporation (1 ) ~ An Original (Mo, Da, Yr)
(2) A Resubmission 04115/2011 2010/04
Notes to Financial Statements
1. Provide importnt disclosures regarding the Balance Sheet, Statement of Income for the Year, Statement of Retained Eamings for the Year,
and Statement of Cash Flow, or any account thereof. Classif the disclosures accrding to each financial statement, providing a subheading for
each statement except where a disclosure is applicable to more than one statement. The disclosures must be on the same subject matters and
in the same level of detail that would be required if the respondent issued general purpse financial statements to the public or shareholders.
2. Fumish details as to any significant contingent assets or liabilties existing at year end, and briefly explain any action initiated by the Internal
Revenue Service involving possible assessment of additional income taxes of material amount, or a claim for refund of income taxes of a
material amount i.nitiated by the utilty. Also, briefly explain any dividends in arrears on cumulative preferred stock.
3. Fumish details on the respondent's pension plans, post-retirement benefits other than pensions (PBOP) plans, and post-employment benefi
plans as required by instruction no. 1 and, in addition, disclose for each individual plan the current yeats cash contributions. Fumish details on
the accunting for the plans and any changes in the method of accunting for them. Include details on the accunting for transition obligations 0
assets, gains or losses, the amounts deferred and the expected recovery periods. Also, disclose any current yeats plan or trst curtilments,
terminations, transfers, or reversions of assets. Entities that participate in multiemployer postretirement benefit plans (e.g. parent company
sponsored pension plans) disclose in addition to the required disclosures for the consolidated plan, (1) the amount of cost recognized in the
respondent's financial statements for each plan for the period presented, and (2) the basis for determining the respondent's share of the total
plan costs.
4. Fumish details on the respondent's asset retirement obligations (ARO) as required by instruction no. 1 and. in addition. disclose the amounts
recovered through rates to settle such obligations. Identify any mecanism or accunt in which recovered funds are being placed (Le. trust funds.
insurance policies, surety bonds). Fumish details on the accunting for the asset retirement obligations and any changes in the measurement or
method of accounting for the obligations. Include details on the accunting for settlement of the obligations and any gains or losses expected or
incurred on the settement.
5. Provide a list of all environmental credits received during the reporting period.
6. Provide a summary of revenues and expnses for each tracked cost and special surcharge.
7. Where Accunt 189, Unamortized Loss on Reacquired Debt, and 257, Unamortized Gain on Reacquired Debt. are not used. give an
explanation. providing the rate treatment given these item. See General Instruction 17 of the Uniform System of Accunts.
8. Explain concisely any retained eamings restrictions and state the amount of retained earnings affected by such restrictions.
9. Disclose details on any significant financial changes during the reportng year to the respondent or the respondent's consolidated group that
directly affect the respondent's gas pipeline operations, including: sales, transfers or mergers of affliates, investments in new partnerships, sales
of gas pipeline facilties or the sale of ownership interests in the gas pipeline to limited partnerships, investments in related industries (Le.,
production, gathering), major pipeline investments, acquisitions by the parent corpration(s), and distrbutions of capitaL.
10. Explain concisely unsetted rate proceedings where a contingency exists such that the company may need to refund a material amount to
the utilty's customers or that the utilty may receive a material refund with respect to power or gas purchases. State for each year affected the
gross revenues or costs to which the contingency relates and the tax effect and explain the major factors that affect the rights of the utilty to
retain such revenues or to recover amounts paid with respec to power and gas purchases.
11. Explain concisely significant amounts of any refunds made or recived during the year resulting frm settlement of any. rate proceeding
affecting revenues received or costs incurred for power or gas purchases, and summarize the adjustments made to balance sheet, income. and
expense accunts.
12. Explain concisely only those significant changes in accounting methods made during the year which had an effect on net income, including
the basis of allocations and apportionments from those used in the preceding year. Also give the approximate dollar effect of such changes.
13. For the 30 disclosures, respondent must provide in the notes suffcient disclosures so as to make the interim information not misleading.
Disclosures which would substantially duplicate the disclosures contained in the most recent FERC Annual Report may be omitted.
14. For the 30 disclosures. the disclosures shall be provided where events subsequent to the end of the most recent year have occurred which
have a material effect on the respondent. Respondent must include in the notes significant changes since the most recently completed year in
such items as: accounting principles and practices; estimates inherent in the preparation of the financial statements: status of long-term
contracts: capitalization including significant new borrowings or modifications of existing financing agreements: and changes resulting from
business combinations or dispositions. However were material contingencies exist, the disclosure of such matters shall be provided even though
a significant change since year end may not have occrred.
15. Finally. if the notes to the financial statements relating to the respondent appearing in the annual report to the stockholders are applicable
and fumish the data required by the above instructions, such notes may be included herein.
NOTES TO FIANCIAL STATEMENTS
NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Nature of Business
Avista Corporation (Avista Corp. or the Company) is an energy company engaged in the generation, tranmission and distrbution of
energy, as well as other energy-related businesses. Avista Corp. generates, trmits and distrbutes electrcity in par of eastern
Washigton and nortern Idaho. In addition, Avista Corp. has electrc generatig facilitiés in Monta and nortern Oregon. Avista
Corp. also provides natual gas distrbution servce in par of eastern Washigton and nortern Idaho, as well as pars of norteat and
southwest Oregon. Avista Capital, Inc. (Avista Capital), a wholly owned subsidiary of Avista Corp., is the parent company of all of
the subsidiar companies, except Spokae Energy, LLC. Avista Capital's subsidiares include Advantage IQ, Inc. (Advantage IQ), a
76 percent owned subsidiary as of December 31,2010. Advantage IQ is a provider of energy effciency and other facility information
and cost management programs and services for multi-site customers and utilities thoughout Nort Amenca.
I FERC FORM NO. 213.0 (REV 12-07)122.1
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1) ~ An Original (Mo, Da, Yr)
(2) A Resubmission 04/15/2011 2010104
Notes to Financial Statements
Basis of Reporting
The fiancial statements include the assets, liabilities, revenues and expenses of the Company and have been prepared in accordance
with the accounting requirements of the Federal Energy Regulatory Commssion (FERC) as set fort in its applicable Uniform System
of Accounts and published accountig releases, which is a comprehensive basis of accounting other than accounting priciples
generally accepted in the United States of America (U.S. GAA). As required by the FERC, the Company accounts for its investment
in majority-owned subsidiares on the equity method rather than consolidatig the assets, liabilities, revenues, and expenses of these
subsidiares, as required by U.S. GAA. The accompanyig ficial statements include the Company's proportionate shae ofutilíty
plant and related operations resulting from its interests in jointly owned plants. In addition, under the requirements of the FERC, there
are differences from U.S. GkA in the presentation of (I) curent porton oflong-term debt (2) assets and liabilities for cost of
removal of assets, (3) assets held for sale, (4) regulatory assets and liabilities, (5) deferred income taes and (6) comprehensive
income.
Use of Estimates
The preparation of the fiancial statements in conformty with accountig priciples generally accepted in the United States of
America (U.S. GAA) requires management to mae estites and assumtions tht affect amounts reported in the fiancial
statements. Signficant estimates include:
· determg the market value of energy commodity derivative assets and liabilities,
· pension and other postretirement benefit plan obligations,
· contingent liabilities,
· recoverability of reguatory assets,
· stock-based compensation, and
. unbiled revenues.
Changes in these estiates and assumptions are considered reasonably possible and may have a material effect on the financial
statements and, thus actual results could differ from the amounts reported and disclosed herein.
System of Accounts
The accounting records of the Company's utility operations are maintained in accordance with the unform system of accounts
prescribed by the Federal Energy Regulatory Commssion (FERC) and adopted by the state regulatory commssions in Washigton,
Idao, Montana and Oregon.
Regulation
The Company is subject to state regulation in Washigton, Idao, Montaa and Oregon. The Company is also subject to federal
regulation primarily by the FERC, as well as varous other federal agencies with regulatory oversight of paricular aspects of ouroperations. '
Operating Revenues
Revenues related to the sale of energy are recorded when servce is rendered or energy is delivered to customers. The detenntion of
the energy sales to individual customers is based on the reading of their meters, whch occur on a systematic basis thoughout the
month. At the end of each calendar month, the amount of energy delivered to customers since the date of the last meter reading is
estiated and the corrsponding unbiled revenue is estited and recorded. Accounts receivable includes unbiled energy revenues of
the followig amounts as of December 31 (dollars in thousands):
Unbiled accounts receivable
Advertiing Expenses
The Company expenses advertising costs as incured.
expenses in 2010 and 2009.
2010
$84,073
2009
$89,558
Advertsing expenses were not a material porton of the Company's operating
Depreciation
For utility operations, depreciation expense is estiated by a method of depreciation accounting utilizing composite rates for utility
plant. Such rates are designed to provide for retirements of properties at the expiration of their service lives. For utility operations, the
ratio of depreciation provisions to average depreciable propert was as follows for the years ended December 3 I:
2010 2009Ratio of depreciation to average depreciable propert 2.84% 2.78%
I FERC FORM NO. 213-Q (REV 12-07)122.2
Name of Respondent This Repor is:Date of Report Year/Period of Report
Avista Corporation (1 ) ~ An Original (Mo, Da, Yr)
(2)A Resubmission 0415/2011 2010/04
Notes to Financial Statements
The average service lives for the following broad categories of utiity plant in servce are:
. electrc thermal production - 32 year,
. hydroelectrc production - 74 years,
. electrc transmission - 50 year,
. electrc distrbution - 38 years, and
. natual gas distrbution propert - 49 year.
Taxes Other Than Income Taxes
Taxes other than income tas include state excise taes, city occupational and franchise taes, real and personal propert taxes and
certin other taxes not based on net income. These taxes are generally based on revenues or the value of propert. Utility related taxes
collected from customers (primarily state excise taxes and city utility taes) are recorded as operating revenue and expense and totaled
the following amounts for the years ended December 31 (dollars in thousands):
2010
$49,953Utility taes
2009
$56,818
Allowance for Funds Used During Construction
The Allowance for Funds Used Durng Constrction (AFUDC) represents the cost of both the debt and equity funds used to fiance
utilty plant additions durng the constrction period. As prescribed by regulatory authorities, AFUDC is capitalized as a part of the
cost of utility plant and the debt related porton is credite curently against total interest expene in the Statements ofIncome The
Company is permitted, under established regulatory rate practices, to recover the capitalized AFC, and a reasonable retu thereon,
though its inclusion in rate base and the provision for depreciation after the related utility plant is placed in service. Cash inflow
related to AFUDC does not occur until the related utility plant is placed in serce and included in rate base. The effective AFUDC
rate was the following for the years ended December 31:2010 2009
Effective AFUDC rate 8.25% (1) 8.22%
tn Rate was effective from January i, 2010 to November 30, 2010. Effective December i, 2010, rate was changed to 7.91%.
Income Taxes
A deferred income ta asset or liabilty is determed based on the encte ta rates that will be in effect when the differences between
the fiancial statement carg amounts and ta basis of existig assets and liabilities are expected to be reported in the Company's
consolidated income tax retus. The deferred income ta expense for the period is equal to the net change in the deferred income tax
asset and liability accounts from the beging to the end of the period. The effect on deferred income taes from a change in tax rates
is recognized in income in the period that includes the enactment date. Deferred income ta liabilties and regulatory assets are
established for income tax benefits flowed though to customers as prescribed by the respective regulatory cofnissions.
Stock-Based Compensation
Compensation cost relating to share-based payment transactions is recognized in the Company's financial statements based on the fair
value of the equity or liability instrments issued. See Note 20 for furter information.
Cash and Cash Equivalents
For the puroses of the Statements of Cash Flows, the Company considers all temporary investments with a matuty of thee month or
less when purchased to be cash equivalents. Cash and cash equivalents include cash deposits from counterparies.
Allowance for Doubtful Accounts
The Company maintains an allowance for doubtfl accounts to provide for estiated and potential losses on accounts receivable. The
Company determines the allowance for utility and other customer accounts receivable based on historical wrte-offs as compared to
accounts receivable and operating revenues. Additionally, the Company establishes specific allowances for certin individual
accounts.
Utility Plant in Service
The cost of additions to utility plant in servce, including an allowance for fuds used durng constrction and replacements of units of
propert and improvements, is capitalized. The cost of depreciable unts of propert retired plus the cost of removal less salvage ischarged to accumulated depreciation. -
Regulatory Deferred Charges and Credits
The Company prepares its fiancial statements in accordance with regulatory accountig practices because:
I FERC FORM NO. 2/3-0 (REV 12-07) 122.3
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1) 2S An Original (Mo, Da, Yr)i2) A Resubmission 04/15/2011 2010104
Notes to Financial Statements
· rates for regulated services are established by or subject to approval by independent thd-par regulators,
· the regulated rates are designed to recover the cost of providing the regulated services, and
· in view of demand for the regulated servces and the level of competition, it is reasonable to assume that rates can be charged
to and collected from customers at levels tht will recover costs.
Regulatory accountig practices require tht certin costs and/or obligations (such as incured power and natual gas costs not
curently included in rates, but expected to be recovered or refuded in the futue) are reflected as deferrd charges or credits on the
Balance Sheets. These costs and/or obligations are not reflected in the Statements of Income until the period durg which matching
revenues are recognzed. If at some point in the futue the Company determes tht it no longer meets the criteria for continued
application of regulatory accounting practices for all or a porton of its regulated operations, the Company could be:
· required to wrte off its reguatory assets, and
· precluded from the futue deferral of costs not recovered thugh rates at the time such costs are incured, even if the
Company expected to recover such costs in the futue.
See Note 23 for fuer details of regulatory assets and liabilties.
Investment in Exchange Power-Net
The investment in exchange power represents the Company's previous investment in Washigton Public Power Supply System Project
3 (WN-3), a nuclear project tht was termated prior to completion. Under a settement agreement with the Bonnevile Power
Admstration in 1985, Avista Corp. began receiving power in 1987, for a 32.5-year period, related to its investment in WN-3.
Through a settlement agreement with the Washington Utilities and Tranporttion Commission (WUTC) in the Washington
jursdiction, Avista Corp. is amortizing the recoverable porton of its investment in WN-3 (recorded as investment in exchange
power) over a 32.5-year period that began in 1987. For the Idao jursdiction, Avista Corp. fully amortzed the recoverable portion of
its investment in exchange power.
Unamortized Debt Expense
Unamortized debt expense includes debt issuance costs that are amortzed over the life of the related debt.
Unamortized Loss on Reacquired Debt
For the Company's Washigton regulatory jursdiction and for any debt reurchases begining in 2007 in all jurisdictions, premium
paid to repurchase debt are amortized over the remaing life of the origil debt that was repurchased or, if new debt is issued in
connection with the repurchase, these costs are amortzed over the life of the new debt. In the Company's other regulatory
jursdictions, premium paid to repurchase debt prior to 2007 are being amortd over the average remainig matuty of outstanding
debt when no new debt was issued in connection with the debt repurchase. These costs are recovered though retail rates as acomponent of interest expense. '
NOTE 2. NEW ACCOUNTING STANDARS
Effective Janua 1,2010, the Company adopted Accountig Stadards Update (ASU) No. 2009-16, "Tranfers and Servicing" (ASC
Topic 860). This ASU amends cert provisions of ASC 860 related to accountig for transfers of ficial assets and a tranferor's
continuing involvement in tranferred fiancial assets. In parcular, the Company evaluated its accounts receivable sales financing
facilty (see Note 1 1) and determed tht the tranactions no longer meet the criteria of sales of financial assets. As such, any
transactions will be accounted for as secured borrowigs. Durg 2010, the Company did not borrow any fuds under the revolving
agreement. As such, the adoption of ths ASU did not have any impact on the Company's financial condition, results of operations and
cash flows.
Effective Janua 1, 2010, the Company adopted ASU No. 2009-17, "Consolidations (Topic 810) - Improvements to Fincial
Reportg by Enterprises Involved with Varable Interest Entities (VIEs)." This ASU cares forward the scope of ASC 810, with the
addition of entities previously considered qualifyg special-purpose entities, as the concept of these entities was eliminated in ASU
No. 2009-16 (ASC 860). The amendments required the Company to reconsider previous conclusions relating to the consolidation of
VIEs, whether the Company is the VIE's pri beneficiary, and what tye of financial statement disclosures are required.' As
required by the FERC, the Company accounts for its investments in subsidiaries on the equity method rather than consolidatig the
assets, liabilities, revenues and expenses of subsidiaries, as required by U.S. GAA. As such, the adoption of ASU No. 2009-17 did
not have any effect on the Company's fiancial condition, results of operations and cash flows as reported in this report.
Effective January i, 2010, the Company adopted ASU No. 2010-06, "Fair Value Measurements and Disclosures (Topic 820):
I FERC FORM NO. 213-Q (REV 12-07) 122.4
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1 ) ~ An Onginal (Mo, Da, Yr)
I (2) A Resubmission 04115/2011 2010/04
Notes to Financial Statements
Improving Disclosues about Fair Value Measements." Ths ASU amends gudace relate to the disclosures offair value
measurements. In parcular, it amends ASC 820- 1 0 to clanfy existig disclosues and provides for fuer disaggregation within
classes of assets and liabilities, and fuer disclosue about inuts and valuation technques, It also requires disclosure of signficant
transfers between Level i and Level 2 and separate disclosure of purchases, sales, issuances and settements in the reconciliation of
Level 3 activity (ths will be required beginng in 201 1). See Note 18 for the Company's fair value disclosures.
NOTE 3. DISPOSITION OF A VISTA ENERGY
On June 30, 2007, A vista Energy and A vista Energy Canada completed the sale of substantially all of their contracts and ongoing
operations to Shell Energy Nort America (U.S.), L.P. (Shell Energy), formerly known as Coral Energy Holding, L.P., as well as to
certin other subsidiaries of Shell Energy. In connection with the tranaction, A vista Energy and its affliates entered into an
Indemnification Agreement with Shell Energy and its affliates. Under the Indemnfication Agreement, Avista Energy and Shell
Energy each agree to provide indemnification of the other and the other's affliates for certin events and matters described in the
purchase and sale agreement and certin other transaction agreements. Such events and matters include, but are not limited to, the
refud proceedings arising out of the western energy markets in 2000 and 2001 (see Note 22), existing litigation, tax liabilities, and
matters related to natual gas storage rights. In general, such indemnification is not required unless and until a part's claims exceed
$ 1 50,000 and is limited to an aggregate amount of $30 million and a term of thee years (except for agreements or transactions with
term longer than thee years). These limitations do not apply to cert thrd par claim.
Avista Energy's obligations under the Indemnfication Agrement are guaranteed by Avista Capital pursuant to a Guaranty dated June
30, 2007. This Guaranty is limited to an aggregate amount of $30 millon plus certn fees and expenses. The Guaranty will terminate
April 30, 20 II except for claims made prior to termation. The Company ha not recorded any liabilty related to ths guaranty.
NOTE 4. ADVANTAGE IQ ACQuiSmONS
Effective July 2,2008, Advantage IQ completed the acquisinon of Cadence Network, a privately held, Cincinati-based energy and
expense management company. As consideration, the owner of Cadence Network received a 25 percent ownership interest in
Advantage IQ. The total value of the tranaction was $37 millon.
The acquisition of Cadence Network was fuded with the issuance of Advantage IQ common stock. Under the transaction agreement,
the previous owners of Cadence Network can exercise a right to'have their shares of Advantage IQ common stock redeemed during
July 20 I I or July 20 12 if Advantage IQ is not liquidated though either an initial public offerig or sale of the business to a third par.
Their redemption rights expire July 3 i, 20 I 2. The redemption price would be determined based on the fair market value of
Advantage IQ at the time of the redemption election as determined by certin independent paries. Additionally, the certain minority
shareholders and option holders of Advantage IQ have the right to put their shares back to Advantage IQ at their discretion.
On August 31,2009, Advantage IQ acquired substantially all of the assets and liabilities of Ecos Consulting, Inc. (Ecos), a Portland,
Oregon-based energy effciency solutions provider. Under the terms of the transaction, the assets and liabilities ofEcos were acquired
by a wholly owned subsidiary of Advantage IQ.
On December 3 1,2010, Advantage IQ acquired substatially all of the assets and liabilities of The Loyalton Group, a
Minneapolis-based energy management firm known for its energy procurement and price risk management solutions.
In January 201 1, Advantage IQ acquired substatially all of the assets and liabilties of Building Knowledge Networks, a Seattle-based
real-time building energy mangement servces provider.
NOTE 5. DERIATIVES AND RISK MANAGEMENT
Energy Commodit Derivatives
Avista Corp. is exposed to market risks relatig to changes in electrcity and natual gas commodity prices and certin other fuel prices.
Market risk is, in general, the risk of fluctuation in the market price of the commodity being traded and is influenced pririly by
supply and demand. Market risk includes the fluctuation in the market price of associated derivative commodity instrents. Market
risk may also be influenced by market parcipants' nonperformance of their contrctul oBligations and commitments, which affects
the supply of, or demad for, the commodity. Avista Corp. utilizes derivative instrents, such as forwards, futues, swaps and
options in order to manage the various risks relatig to these commodity price exposures. The Company has an energy resources risk
policy and control procedures to manage these risks. The Company's Risk Management Commttee establishes the Company's energy
resources risk policy and monitors compliance. The Risk Management Committee is comprised of certin Company offcers and other
management. The Audit Committee of the Company's Board of Directors periodically reviews and discusses risk assessment and risk
I FERC FORM NO. 2/3-0 (REV 12-07)122.5
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1 ) ~ An Original (Mo, Da, Yr)
(2)A Resubmission 04/15/2011 2010104
Notes to Financial Statements
management policies, including the Company's material fiancial and accounting risk exposures and the steps management has
undertaken to control them.
As par of its resource procurement and mangement operations in the electrc business, Avista Corp. engages in an ongoing process
of resource optimzation, which involves the economic selection from available energy resources to serve Avista Corp.'s load
obligations and the use of these resources to captue available economic value. Avista Corp. sells and purchases wholesale electrc
capacity and energy and fuel as par of the process of acquirg and balancing resources to serve its load obligations. These
transactions range from term of one hour up to multiple years.
Avista Corp. makes contiuing projections of:
· electrc loads at various points in tie (ranging from one hour to multiple years) based on, among other thgs, estimtes of
customer usage and weather, historical data and contract term, and
· resource availability at these points in time based on, among otler thgs, fuel choices and fuel markets, estimates of
streamows, availabilty of generatig unts, hitoric and forward maket inormation, contract term, and experience.
On the basis of these projections, Avista Corp. makes purhaes and sales of electrc capacity and energy and fuel to match expected
resources to expected electrc load requirements. Resource optimtion involves generating plant dispatch and scheduling available
resources and also includes tranactions such as:
· purchasing fuel for generation,
· when economical, selling fuel and substituting wholesale electrc purhaes, and
· other wholesale tranactions to captue tle value of generation and tranmission resources and fuel delivery capacity
contracts.
Avista Corp. 's optization process includes enterig into hedging transactions to mage risks.
As par of its resource procurement and management operations in the natual gas business, Avista Corp. makes continuing projections
of its natual gas loads and assesses available natual gas resoures. . Forward natual gas contracts are tyically for montWy delivery
periods. However, daily variations in natual gas demand can be signficantly different than montWy demand projections. On the
basis of these projections, A vista Corp. plans and executes a series of transactions to hedge a significant portion òf its projected
natual gas requirements though forward market tractions and derivative intrents. These transactions may extend as much as
four natual gas operating years (November though October) into the futue. A vista Corp. also leaves a signficant portion of its
natual gas supply requirements unedged for purchase in short-term and spot markets. Natual gas resource optimization activities
include:
· wholesale market sales of surlus natual gas supplies,
· optization of interstate pipeline tranportation capacity not needed to serve daily load, and
· sales of excess natual gas storage capacity.
Derivatives are recorded as eitler assets or liabilities on the balance sheet measured at estiated fair value. In certin defied
conditions, a derivative may be specifically designted as a hedge for a parcular exposure. The accountig for derivatives depends
on the intended use of tle derivatives and the resultig designtion.
The WUC and tle IPUC issued accountig orders autloriing Avista Corp. to offt commodity derivative assets or liabilties with a
regulatory asset or liability. Ths accountig tratment is intended to defer the recogntion of mark-to~market gains and losses on
energy commodity transactions until the period of settement The orders provide for Avista Corp. to not recognze the unealized gain
or loss on utility derivative commodity intrents in the Statements of Income. Realid gain or losses are recognzed in the period
of settement, subject to approval for recovery though retail rates. Realized gain and losses, subject to regulatory approval, result in
adjustments to retail rates though purchaed gas cost adjustments, the Energy Recovery Mechansm (ERM) in Washington, the Power
Cost Adjustment (PCA) mechanm in Idao, and periodic general rates cases. Regulatory assets are assessed regularly and are
probable for recovery though futue rates.
Substantially all forward contracts to purchae or sell power and natual gas are recorded as derivative assets or liabilities at estimated
fair value with an offsetting regulatory asset or liability. Contracts that are not considered derivatives are accounted for on the accrual
basis until they are settled or realized, unless there is a decline in the fair value of the contract that is determed to be other than
tempora.
I FERC FORM NO. 213-Q (REV 12-07)122.6
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1 ) ~ An Original (Mo, Da, Yr)
(2)A Resubmission 0411512011 2010/04
Notes to Financial Statements
The following table presents the underlyig energy commodity denvative volumes as of December 3 1,2010 tht are expected to sette
in each respective year (in thousands ofMW and mmTUs):
Purchases
Electrc Denvatives Gas Denvatives
Physical Financial Physical FinancialMWH MW mmTUs mmTUs
949 1,144 35,324 41,593
55 i 668 . 11,526 24,845368 6,008 6,275366 2,483 900379 675
1,315
Year
2011
2012
2013
2014
2015
Thereafter
Sales
Electrc Denvatives
Physical FinacialMW MW
267 142286 62
286
286
286
1,017
Gas Denvatives
Physical Financial
mmTUs mmTUs
13,426 46,525 .
1,525 19,510
1,500 1,125
1,475
Foreign Currency Exchange Contracts
A significant portion of Avista Corp.'s natual gas supply (including fuel for pqwer generation) is obtaed from Canadian sources.
Most of those transactions are executed in U.S. dollar, which avoids foreign curency nsk. A porton of Avista Corp.'s short-term
natual gas transactions and long-term Canadian tranporttion contrcts are commtted based on Canadian currency pnces and settled
withn sixty days with U.S. dollars. Avista Corp. economicaly hedges a porton of the foreign curency nsk by purchasing Candian
curency contracts when such commodity tranactions are intiated. Ths nsk ha not had a matenal effect on the Company's financial
condition, results of operations or cash flows and these differences in cost relate to curency fluctuations were included with natual
gas supply costs for ratemakg. The following table sumes the foreign curency hedges that the Company has entered into as of
December 31 (dollars in thousands):
Number of contracts
Notional amount (in United States dollars)
Notional amount (in Canadian dollars)
Denvative amount
2010
29
$10,916
10,989
116
2009
24
$10,210
10,637
(50)
Interest Rate Swap Agreements
Avista Corp. enters into forward-starting interest rate swap agreements to manage the nsk associated with changes in interest rates and
the impact on future interest payments. These interest rate swap agreements relate to the interest payments for anticipated debt
issuances. These interest rate swap agreements are considered economic hedges against fluctuations in future cash flows associated
with changes in interest rates.
The following table summanzes the interest rate swaps that the Company has entered into as of December 31,2010 (dollars in
thousands):
Entered
May/June 2010
Notional
$ 50,000
Number of
Contracts
2
Mandatory Cash
Settement Date
July 2012
The Company did not have any interest rate swap contracts outstadig as of December 31,2009. In September 2009, the Company
cash settled interest rate swap contracts (notional amount of $200.0 millon) and received a tota of$10.8 million. The interest rate
swap contracts were settled concurntly with the issuace of $250.0 milion of Firt Mortgage Bonds (see Note 13). The settlement of
the interest rate swaps was deferred as a regulatory liability (included as par oflong-term debt) and is being amortized as a component
of interest expense over the life of the associated debt issued in accordace with reguatory accountig practices.
Under the terms of the outstanding interest rate swap agreements, the value of the interest rate swaps is determned based upon Avista
Corp. paying a fixed rate and receiving a vanable rate based on LffOR for a term of ten y~ars. As of December 31, 2010, A vista
Corp. had a long-term denvative asset and an offetting regulatory liability of $0. 1 milion, as well as a long-term denvative liability
and an offsettng regulatory asset of less than $0.1 milion on the Balance Sheet in accordance with regulatory accounting practices.
Upon settlement of the interest rate swaps, the regulatory asset or liability (included as part oflong-term debt) will be amortized as a
component of interest expense over the life of the forecasted interest payments.
Derivative Instruments Summary
I FERC FORM NO. 2/3-0 (REV 12-07)122.7
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1) 2Ç An Original (Mo, Da, Yr)
(2)A Resubmission 04/15/2011 2010/04
Notes to Financial Statements
The following table presents the fair values and locations of derivative intrents recorded on the Balance Sheet as of December 31,
2010 (in thousands):
Fai Value
Net Asset
Derivative Balance Sheet Location Asset Liabilty (Liability
Foreign curency contracts Derivative intrent assets -
Hedges $116 $$116
Interest rate contracts Derivative intrent assets -
Hedges 127 127
Interest rate contracts Long-tenn portion of derivative
instrent liabilties - Hedges (53)(53)Commodity contracts Derivative instrent assets
curent 6,293 (3,701)2,592
Commodity contracts Long-tenn portion of
derivative assets 21,249 (5,988)15,261
Commodity contracts Derivative intrent liabilities
curent 5,934 (57,417)(51,483)Commodity contracts Long-tenn porton of
derivative intrent liabilities ~(32,371)(30,985)
Total derivative intrents recorded on the balance sheet $35.105 $(99,530)$(64.425)
The followig table presents the fair values and locations of derivative intrents recorded on the Balance Sheet as of December 31,
2009 (in thousands):
Fair Value
Net Asset
Asset Liability (Liability
$$(50)$(50)
8,976 (l,219)7,757
53,765 (8,282)45,483
5,783 (21,870)(16,087)
-M 0,521)(2,871)
$69,174 $(34.942)$34,232
Derivative
Foreign curency contracts
Balance Sheet Location
Derivative instrent liabilities -
Hedges
Derivative intrent assets
curent
Long-tenn porton of
derivative assets
Derivative intrent liabilities
curent
Long-tenn portion of
derivative instrent liabilties
Total derivative instrents recorded on the balance sheet
Commodity contracts
Commodity contracts
Commodity contracts
Commodity contracts
Exposure to Demands for Collateral
The Company's derivative contracts often require collateral (in the fonn of cash or lettrs of credit) or other credit enhcements, or
reductions or termnations of a porton of the contract though cash settement, in the event of a downgrade in the Company's credit
ratings or adverse changes in maet prices. In periods of price volatility, the level of exposure can chage signficantly. As a result,
sudden and signficant demands may be made againt the Company's credit facilties and cash. The Company actively monitors the
exposure to possible collateral calls and taes steps to mize capita requiements.
Cert of the Company's derivative intrents conta proviions that require the Company to maintain an investment grade credit
ratig from the major credit rating agencies. If the Company's credit ratigs were to fall below "investment grade," it would be in
violation of these provisions, and the counterpares to the derivative intrents could requ,est imediate payment or demand
immediate and ongoing collateralization on derivative intrents in net liabilty positions. The aggregate fair value of all derivative
instrments with credit-risk-related contingent featues that are in a liability position as of December 31, 2010 was $62.1 millon. If
the credit-risk-related contingent featues underlyig these agreements were trggered on December 31,2010, the Company would be
required to post $42.1 milion of collateral to its counterparies.
Credit Risk
I FERC FORM NO. 2/3-0 (REV 12-07)122.8
Name of Respondent This Repor is:Date of Report Year/Period of Report
Avista Corporation (1) ~ An Original (Mo. Da, Yr)
(2) A Resubmission 04/15/2011 2010104
Notes to Financial Statements
Credit risk relates to the potential losses that the Company would incur as a result of non-performance by counterparies of their
contractual obligations to deliver energy or make financial settements. The Company often extends credit to counterpartes and
customers and is exposed to the risk that it may not be able to collect amounts owed to the Company. Changes in market prices may
dramatically alter the size of credit risk with counterparties, even when conservative credit limits are established. Credit risk includes
potential counterpar default due to circumstances:
. relating directly to it,
. caused by market price changes, and
. relating to other m~ket parcipants that have a direct or indirt relationship with such counterpart.
Should a counterpart, customer or supplier fail to perform the Company may be required to honor the underlying commitment or to
replace existing contracts with contracts at then-curent market prices. The Company seeks to mitigate credit risk by:
. entering into bilateral contracts that specify credit term and protections againt default,
. applying credit limits and duration criteria to existig and prospective counterpares,
. actively monitorig current credit exposues, and
. conducting some of its transactions on exchages with clearg arangements that essentially eliminate counterpar default
risk.
These credit policies include an evaluation of the ficial condition and credit ratigs of counterpares, collateral requirements or
other credit enhancements, such as letters of credit or parent company guantees. The Company also uses standardized agreements
that allow for the nettng or offsettg of positive and negative exposues associate with a single counterpart or affliated group.
The Company has concentrations of suppliers and customers in the electrc and natual gas industres including:
. electrc utilties,
. electrc generators and transmission providers,
. natual gas producers and pipelines,
. financial institutions, and
. energy marketing and trading companies.
In addition, the Company has concentrations of credit risk related to geographic location as it operates in the western United States and
western Canada. These concentrations of counterparies and concentrations of geographic location may impact the Company's overall
exposure to credit risk, either positively or negatively, because the counterpares may be simlarly affected by changes in conditions.
As is common industr practice, Avista Corp. maintain margin agreements with certin counterparies. Margi calls are trggered
when exposures exceed predetermined contractul limts or when there are changes in a counterpar's creditwortness. Price
movements in electrcity and natual gas can generate exposure levels in excess of these contractul limits. Margin calls are
periodically made and/or received by A vita Corp. Negotiating for collateral in the form of cash, letters of credit, or performance
guarantees is common industr practice.
Cash deposits from counterparies totaled $ 1.2 millon as of December 3 I, 2010 and $3.2 millon as of December 31, 2009. These
funds were held by Avista Corp. to mitigate the potential impact of counterpar default risk. These amounts are subject to retu if
conditions warant because of contiuing portolio value fluctutions with those pares or substitution of non-cash collateraL.
NOTE 6. JOINTLY OWNED ELECTRIC FACILITIS
The Company has a 15 percent ownership interest in a tw-unt coal-fired generating facility, the Colstrp Generating Project
(Colstrp) located in southeastern Montana, and provides financing for its ownership interest in the project. The Company's shar of
related fuel costs as well as operating expenses for plant in service are included in the corresponding accounts in the Statements of
Income. The Company's share of utility plant in servce for Colstrp and accumulated depreciation were as follows as of December 31
(dollars in thousands):
Utility plant in service
Accumulated depreciation
2010
$336,796
(219,770)
2009
$334,773
(209,587)
NOTE 7. ASSET RETIREMENT OBLIGATIONS
I FERC FORM NO. 2/3-0 (REV 12-07)122.9
Name of Respondent This Report is:Oate of Report Year/Period of Report
Avista Corporation (1 ) ~ An Original (Mo, Oa, Yr)
(2) . A Resubmission 04/15/2011 2010/04
Notes to Financial Statements
The Company records the fair value of a liabilty for an asset retiement obligation in the penod in which it is incured. When the
liability is intially recorded, the associated costs of the asset retiement obligation are capitalized as part of the carg amount of the
related long-lived asset. The liabilty is accreted to its present value each penod and the related capitalized costs are depreciated over
the useful life of the related asset. Upon retiement of the asset, the Company either settes the retirement obligation for its recorded
amount or incurs a gain or loss. The Company records regulatory assets and liabilities for the difference between asset retirement costs
curently recovered in rates and asset retiement obligations recorded since asset retirement costs are recovered though rates charged
to customers. The regulatory assets do not ear a retu.
Specifically, the Company ha~ recorded liabilities for futue asset retiement obligations to:
. restore ponds at Colstrip,
. cap a landfill at the Kettle Falls Plant,
· remove plant and restore the land at the Coyote Spnngs 2 site at the termation of the land lease,
. remove asbestos at the corporate offce building, and
. dispose of PCBs in certin transformers.
Due to an inability to estimate a range of settlement dates, the Company canot estimate a liabilty for the:
· removal and disposal of certin trannnssion and distrbution assets, and
· abandonment and decommssionig of cert hydroelectrc generation and natual gas storage facilities.
The following table documents the changes in the Company's asset retiement obligation dung the year ended December 31 (dollars
in thousands):
Asset retiement obligation at beging of year
New liability recognized
Liability adjustment due to revision in estiated cash flows
Liability settled
Accretion expense
Asset retirement obligation at end of year
2010
$3,971
19
2009
$4,208
(460)
357am
(499)
262am
NOTE 8. PENSION PLANS AND OTHER POSTRETIRMENT BENEFIT PLANS
The Company has a defined benefit pension plan covenng substatially all reguar full-time employees. .Individual benefits under this
plan are based upon the employee's years of servce, date of hie and average compensation as specified in the plan. The Company's
fuding policy is to contrbute at least the nnnimum amounts that are required to be fuded under the Employee Retirement Income
Secunty Act, but not more than the maximum amounts that are curently deductible for income tax puroses. The Company
contributed $21 milion in cash to the pension plan in 2010 and $48 nnllon in 2009. The Company expects to contrbute $26 nnllon
in cash to the pension plan in 201 1.
The Company also has a Supplemental Executive Retiement Plan (SERP) tht provides additional pension benefits to executive
offcers of the Company. The SERP is intended to provide benefits to executive offcers whose benefits under the pension plan are
reduced due to the application of Section 415 of the Internal Revenue Code of 1986 and the deferral of salar under deferred
compensation plans. The liability and expense for ths plan are included as penion benefits in the tables included in ths Note.
The Company expects that benefit payments under the pension plan and the SERP wil tota (dollars in thousands):
Expected benefit payments
2011 2012 2013 2014 2015
$19.343 $20.521 $21.824 $23.105 $24.620
Total 2016-2020
$145.063
The expected long-term rate of retu on plan assets is based on past performance and econonnc forecasts for the tyes of investments
held by the plan. In selectig a discount rate, the Company considers yield rates for highly rated corporate bond portolios with
matuties simlar to that of the expected term of pension benefits.
In 2009, the Company reviewed the mortality table utilized in the actuanal calculations. The Company determed that the RP-2000
combined healthy mortality tables for males and females should be replaced with the RP-2000 combined healthy mortlity tables for
males and females projected to 20 i 0 using scale AA. The change resulted in an increase of $6.6 nnllon to the pension benefit
I FERC FORM NO. 213-Q (REV 12-07)122.10
Name of Respondent This Repor is:Date of Report Year/Period of Report
Avista Corporation (1) 2Ç An Onginal (Mo, Da, Yr)
(2)A Resubmission 04115/2011 2010/04
Notes to Financial Statements
obligation as of December 31, 2009.
The Company provides certain health care and life insurance benefits for substatially all of its retired employees. The Company
accrues the estimated cost of postretirement benefit obligations durng the year tht employees provide servces. The Company
elected to amortize the tranition obligation of $34.5 millon over a period of twenty years, beging in 1993.
The Company established a Health Reimbursement Arangement to provide employees with ta-advantaged funds to pay for allowable
medical expenses upon retirement. The amount eared by the employee is fied on the retiement date based on the employee's year
of servce and the ending salar. The liability and expense of ths plan are included as other postretiement benefits.
The Company provides death benefits to beneficiares of executive offcers who die durg their term of offce or after retiement.
Under the plan, an executive offcer's designted beneficiar will receive a payment equal to twce the executive offcer's anual base
salar at the time of death (or if death occurs after retiement, a payment equal to twce the executive offcer's total anual pension
benefit). The liabilty and expense for this plan are included as other postrtiement benefits.
The Company expects that benefit payments under other postretiement benefit plan will total (dollars in thousands):
Expected benefit payments
2011 2012~~2013 2014
~ $4.489
2015~Total 2016-2020
$22.439
The Company expects to contrbute $4.7 milion to other postretirement benefit plan in 2011, representing expected benefit payments
to be paid during the year.
The Company uses a December 31 measurement date for its pension and other postrtirement benefit plans.
The following table sets fort the pension and other postretirement benefit plan disclosures as of December 31, 2010 and 2009 and the
components of net periodic benefit costs for the year ended December 31,2010 and 2009 (dollars in thousands):
Pension Other
2010 2009 2010 2009
Change in benefi obligation:
Benefit obligation as of begining of year $378,235 $353,572 $39,560 $38,953
Servce cost 11,609 10,496 684 803
Interest cost 23,231 21,770 2,624 2,364
Actuarial loss 38,547 9,610 21,657 1,676..
Transfer of accrued vacation 367 98
Benefits paid 08,131)07,213)(4,553)(4,334)
Benefit obligation as of end of year $433.491 $378.235 $60.339 $39.560
Change in plan assets:
Fair value of plan assets as of beginnng of year $272,732 $190,637 $20,394 $16,048
Actual retu on plan assets 29,846 50,053 2,481 4,346
Employer contrbutions 21,000 48,000
Benefits paid (16,866)(15,958)----
Fair value of plan assets as of end of year $306.712 $272.732 $22.875 $20.394
Funded statu $(126,779)$(105,503)$(37,464)$(19,166)
Unrecognized net acturial loss 149,819 126,926 35,149 15,772
Unrecognized prior servce cost 1,140 1,790 (1,154)(1,303)
Unrecognzed net tranition obligation 1,011 1,516
Prepaid (accrued) benefit cost 24,180 23,213 (~,458)(3,181)
Additional liability (150,959)(128,716)05,006)(15,985)
Accrued benefit liability $(126.779)$005.503)$07.464)$09.166)
Accumulated pension benefit obligation $377.606 $331.081
Accumulated postretirement benefit obligation:
For retirees $27,921 $18,377
For fully eligible employees $15,618 $9,290
I FERC FORM NO. 2/3-0 (REV 12-07)122.11
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1) 2S An Original (Mo, Da, Yr)
(2)A Resubmission 04115/2011 2010/04
Notes to Financial Statements
For other parcipants $16,800 $11,893
Included in accumulated comprehensive loss (income) (net of tax):
Unrecognzed net transition obligation $$$657 $985
Unrecognd prior servce cost 741 1,163 (750)(847)
Unrecogned net actua110ss 97,382 82,502 22,847 10,252
Total 98,123 83,665 22,754 10,390
Less regulatory asset (92.570)(80,041)(23,981)(11,664)
Accumulated other comprehensive loss (income)~~$(1,227)$(1,274)
Weighted average assumptions as of December 31:
Discount rate for benefit obligation 5.69%6.29%5.50%6.00%
Discount rate for anual expense 6.28%6.25%6.00%6.25%
Expected long-term retu on plan assets 7.75%8.50%7.75%8.50%
Rate of compensation increase 4.72%4.65%
Medical cost trend pre-age 65 - initial 8.00%8.50%
Medical cost trend pre-age 65 - ultimate 5.00%5.00%
Ultimate medical cost trend year pre-age 65 2017 2017
Medical cost trend post-age 65 - intial 8.00%8.50%
Medical cost trend post-age 65 - ultimate 6.00%6.00%
Ultimate medical cosl trend year post-age 65 2015 2015
Components of net periodic benefit cost:
Service cost $11,609 $10,496 $684 $803
Interest cost 23,231 21,770 2,624 2,364
Expected retu on plan assets (21,381)(17,612)(1,581)(1,364)
Tranition obligation recogntion -505 505
Amortization of prior servce cost 650 654 (149)(149)
Net loss recogntion 7,189 10.539 1,379 1,279
Net periodic benefit cost $21,298 $25.847 ~am
Plan Assets
The Finnce Commttee of the Company's Board of Directors establishes investment policies, objectives and strategies that seek an
appropriate retu for the pension plan and other postretirment benefit plan and reviews and approves changes to the investment and
fuding policies.
The Company has contracted with investment consultats who are responsible for managing/monitoring the individual investment
managers. The investment managers' performance and related individual fud performance is periodically reviewed by an internal
benefits commttee and by the Finance Committee to monitor compliance with investment policy objectives and strategies.
Pension plan assets are invested primarly in marketable debt and equity securities. Pension plan assets may also be invested in real
estate, absolute retu, venrue capitaVprivate equity and commodity fuds. In seekig to obtain the desired return to fud the pension
plan, the investment consultant recommends allocation percentages by asset classes. These recommendations are reviewed by the
internal benefits committee, which then recommends their adoption by the Finance Commttee. The Fince Commttee has
established target investment allocation percentages by asset classes as indicated in the table below:
Equity securties
Debt securties
Real estate
Absolute retu
Other
2010
51%
31%
5%
10%
3%
2009
51%
31%
5%
10%
3%
The market-related value of pension plan assets invested in debt and equity securties was based priarily on fair value (market
prices). The fair value of investment securities traded on a nationa securties exchange is determed based on the last reported sales
price; securties traded in the over-the-counter market are valued at the last reported bid price. Investment securties for which market
prices are not readily available or for which maket prices do not represent the value at the tie of pricing, are fair-valued by the
investment manager based upon other inputs (including valuations of securties that are comparable in coupon, rating, matuty and
I FERC FORM NO. 213-Q (REV 12-07)122.12
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1 ) ~ An Original (Mo, Da, Yr)
(2)A Resubmission 04/1512011 2010/04
Notes to Financial Statements
industr). Investments in common/collective trt fuds are presente at estited fair value, which is determined based on the unit
value of the fud. Unit value is determined by an independent trtee, whch sponsors the fud, by dividing the fud's net assets by its
units outstading at the valuation date. The fair value of the closely held investments and parership interests is based upon the
allocated share of the fair value of the underlyig assets as well as the allocated shae of the undistrbuted profits and losses, including
realized and unealized gains and losses.
The market-related value of pension plan assets invested in real estate wa determed by the investment manger based on thee basic
approaches:
. curent cost of reproducing a propert less deterioration and fuctional economic obsolescence,
. capitalization of the propert's net eargs power, and
. value indicated by recent sales of comparable propertes in the maket.
The market-related value of pension plan asset was determined as of December 3 1,2010 and 2009.
The following table discloses by level within the fair value hierarchy (refer to Note 18 for a description of the fair value hierarchy) of
the pension plan's assets measured and reported as of December 3 1,2010 at fair value (dollars in thousands):
Level I Level 2 Level 3 Total$ 335 $ $ $ 335Cash equivalents
Mutual funds:
Fixed income securties
U.S. equity securities
International equity securties
Absolute return (1)
Commodities (2)
Common/collective trsts:
Fixed income securities
Absolute retu (1)
Real estate
Partership/closely held investments:
Absolute return (1)
Private equity fuds (3)
Total
96,026
104,232
53,964
12,662
7,133
96,026
104,232
53,964
12,662
7,133
95
423
13,653
95
423
13,653
$13.653
16,917
1,272
$18.707
16,917
1,272
$306.712$274.352
The following table discloses by level within the fair value hierarchy (refer to Note 18 for a description of the fair value hierarchy) of
the pension plan's assets measured and reportd as of December 31, 2009 at fair value (dollars in thousands):
Levell Level 2 Level 3 Total
Cash equivalents $19 $$$19
Mutual funds:
Fixed income securties 70,924 70,924
U.S. equity securities 87,562 87,562
International equity securties 46,548 46,548
Absolute return (1)11,671 I 1,671
Commodities (2)5,870 5,870
Common/collective trsts:
Fixed income securties 14,840 14,840
U.S. equity securities 11,070 11,070
Absolute retu (1)'844 844
Real estate 6,029 6,029
Parership/closely held investments:
Absolute return (1)15,794 15,794
Private equity funds (3)-1,561 1,561-
Total $222,594 $25,910 $24,228 $272.732
(I)
I FERC FORM NO. 2/3-0 (REV 12-07)122.13
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1) X An Original (Mo, Da, Yr)
(2)A Resubmission 04115/2011 2010/Q4
Notes to Financial Statements
(1) Ths category invests in multiple strategies to diversify risk and reduce volatility. The strategies include: (a) event drven,
relative value, convertible, and fied income arbitrage, (b) distressed investments, (c) long/short equity and fixed income, and
(d) maket neutral strategies.
(2) The fud priily invests in derivatives lined to commodity indices to gain exposure to the commodity makets. The fud
manager fully collateralizes these positions with debt securties.
(3) Ths category includes several private equity fuds tht invest priy in U.S. companes.
The table below discloses the sw of chages in the fair value of the pension plan's Level 3 assets for the year ended December
31,2010 (dollars in thousand~):
Common/collective trts
Balance, as ofJanuar 1,2010
Realized gains (losses)
Unrealized gain (losses)
Purchases (sales), net
Balance, as of December 31,2010
Absolute
retu
$844
(233)
(193)
(323)
$ 95
Real
estate
$6,029
630
(160)
(6,076)
$ 423
Parership/closely held investments
Absolute Private equityretu fuds
$15,794 $1,561
(148)1,123 (48) .- -m$16.917 n.
The table below discloses the summary of changes in the fair value of the pension plan's Level 3 assets for the year ended December
31,2009 (dollars in thousands):
Common/collective trts
Balance, as of Januar 1, 2009
Realizd gains (losses)
Unrealized gain (losses)
Purchases (sales), net
Balance, as of December 31, 2009
Absoluteretu
$2,351
(415)
(21)1J~
Real
estate
$11,987
520
(4,310)
(2,168)~
Parership/closely held investments
Absolute Private equity
retu funds
$13,983 $1,316
3
1,811 223- --$15.794 ~
The market-related value of other postretirement plan assets invested in debt and equity securties was based primaly on fair value
(market prices). The fair value of investment securties traded on a national securties exchage is determed based on the last
reported sales price; securities trded in the over-the-counter maket are valued at the last reported bid price. Investment securties for
which market prices are not readily available or for which maket prices do not represent the value at the time of pricing, are
fair-valued by the investment manager based upon other inputs (including valuations of securties that are comparable in coupon,
rating, matuty and industr). The taget asset allocation was 62 percent equity securties and 38 percent debt securties in 2010 and
2009.
The market-related value of other postretirement plan assets was determed as of December 31,2010 and 2009.
The followig table discloses by level withn the fair value hierarchy (refer to Note 18 for a description of the fair value hierarchy) of
other postretirement plan assets measured and reported as of December 3 I, 2010 at fair value (dollar in thousands):
Cash equivalents
Mutual fuds:
Debt securities
U.S. equity securities
International equity securties
Debt securties
U.S. equity securties
International equity securties
Total
Levell
$ 118
8,320
6,986
5,572
37
1,785--
$22.875
Level 2
$
$
Level 3
$
Total
$ 118
The followig table discloses by level with the fair value hierarchy (refer to Note 18 for a description of the fair value hierarchy) of
$
8,320
6,986
5,572
37
1,785--
$22.875
I FERC FORM NO. 2/3-0 (REV 12-07)122.14
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1 ) ~ An Original (Mo, Da, Yr)
(2)A Resubmission 0411512011 2010/04
Notes to Financial Statements
other postretirement plan assets measured and reported as of December 3 I, 2009 at fair value (dollars in thousands):
Cash equivalents
Mutul fuds:
Debt securties
U.S. equity securties
International equity securties
Debt securties
U.S. equity securities
Interntional equity securties
Total
Levell
$ 96
Level 2
$
Level 3
$
Total
$ 96
7,742
5,927
5,077
25
1,456--
$20.394 $$
7,742
5,927
5,077
25
1,456--
$20,394
Assumed health care cost trend rates have a signficant effect on the amounts reported for the health care plans. A
one-percentage-point increase in the assumed health care cost trend rate for each year would increase the accumulated postretirement
benefit obligation as of December 31, 2010 by $5.2 milion and the service and interest cost by $0.3 milion. A one-percentage-point
decrease in the assumed health care cost trend rate for each year would decrease the accumulated postretirement benefit obligation as
of December 31, 2010 by $4.4 milion and the servce and interest cost by $0.2 millon.
The Company has a salar deferral 40 I (k) plans that is a defied contrbution plans and covers substantially all employees.
Employees can make contrbutions to their respective accounts in the plan on a pre-ta basis up to the maximum amount permtted by
law. The Company matches a porton of the salar deferred by each parcipant according to the schedule in the plan.
Employer matching contrbutions were as follows for the years ended December 31 (dollar in thousands):
Employer 401 (k) matching contrbutions
2010
$4,797
2009
$4,439
The Company has an Executive Deferral Plan. Ths plan allows executive offcers and other key employees the opportnity to defer
until the earlier of their retiement, termintion, disability or death, up to 75 percent of their base salar and/or up to 100 percent of
their incentive payments. Deferrd compensation fuds are held by the Company in a Rabbi Trut There were deferred compensation
assets and corresponding deferr compensation liabilities on the Balance Sheets of the following amounts as of December 31 (dollars
in thousands):
Deferred compensation assets and liabilities
2010
$9,285
2009
$9,437
NOTE 9. ACCOUNTING FOR INCOME TAXS
Deferred income taes reflect the net ta effects of temporar differences between the carrg amounts of assets and liabilities for
financial reportng puroses and the amounts used for income ta puroses and ta credit carorwards.
As of December 31, 20 i 0, the Company had $11.2 milion of state tax credit carrorwards. State tax credits expire from 20 i 5 to
2023. The Company recognizes the effect of state tax credits generated from utility plant as they are utilized.
The realization of deferred income tax assets is dependent upon the abilty to generate taxable income in futue periods. The Company
evaluated available evidence supportng the realization of its deferred income ta assets and determined it is more likely than not that
deferred income tax assets will be realized.
The Company and its eligible subsidiares file consolidated federal income ta retu. The Company also files state income tax
retu in certin jursdictions, including Idaho, Oregon and Montaa. Subsidiares are chaged or credited with the ta effects of their
operations on a stand-alone basis. The Internal Revenue Servce (IRS) has completed its éxamation of all ta year though 2007
and all issues were resolved related to these years. The IRS has not examed the Company's 2008 or 2009 federal income tax return.
However, an estimate of the range of any such possible change canot be made at this tie. The Company does not believe that any
open ta years for federal or state income taes could result in any adjustments tht would be signficant to the fiancial statements.
The Company did not incur any penalties on income ta positions in 2010 or 2009.
I FERC FORM NO. 2/3-0 (REV 12-07)122.15
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1 ) ~ An Original (Mo, Da, Yr)i2) A Resubmission 04/15/2011 2010104
Notes to Financial Statements
The Company had net regulatory assets related to the probable recovery of certin deferred income ta liabilities from customers
though futue rates as of December 31 (dollars in thousands):
Regulatory assets for deferred income taes
2010
$90,025
2009
$97,945.
NOTE 10. ENERGY PURCHAE CONTRACT~
A vista Corp. has contracts for the purchase of fuel for therm generation, natual gas for resale and varous agreements for the
purchase or exchange of electrc energy with other entities. The termation dates of the contracts range from one month to the year
2055. Total expenses for power purchased, natul gas purchased, fuel for generation and other fuel costs were as follows for the years
ended December 31 (dollar in thousands):
Utility power resources
2010
$649,408
2009
$704,886
The following table details A vista Corp. 's future contractul commtments for power resources (including transmission contracts) and
natural gas resources (including transporttion contracts) (dollar in thousands):
Power resources
Natual gas resources
Total
201 I
$217,093
138,917
$356.010
2012
$159,409
100,658
$260.067
2013
$1l9,250
83,908
$203,158
2014
$105,974
65,192
$171.66
2015
$ 97,163
56,514
$153.677
Thereafter
$ 666,752
631.946
$1.298,698
Total
$1,365,641
1,077,135
$2,442.776
These energy purchase contracts were entered into as par of Avista Corp. 's obligation to serve its retail electrc and natual gas
customers' energy requirements. As a result, these costs are recovered either though base retail rates or adjustments to retail rates as
par of the power and natural gas cost deferral and recovery mechansms.
In addition, A vista Corp. has operational agreements, settements and other contractual obligations for its generation, transmission and
distrbution facilities, The following table details futue contractu commtments for these agreements (dollars in thousands):
Contractual obligations
2011
$21.551
2012
$23.307
2013
$22,643
2014
$23,100
2015
$24.525
Thereafter
$252,015
Total
$367.141
A vista Corp. has fixed contracts with certn Public Utility Distrcts (PUD) to purhase portons of the output of certin generatig
facilities. Although Avista Corp. has no investment in the PUD generatig facilties, the fied contracts obligate A vista Corp. to pay
certin minium amounts (based in par on the debt servce requirements of the PUD) whether or not the facilities are operating.
Expenses under these PUD contracts were as follows for the year ended December 31 (dollars in thousands):
PUD contract costs
2010
$8,287
2009
$12,633
Information as of December 31, 2010 perting to these PUD contracts is sumared in the followig table (dollar in thousands):
Company's Curent Shae of
Debt Expira-
Kilowatt Anual Service Bonds tion
Output Capability Costs (l Costs (1)Outstading Date
Chelan County PUD:
Rocky Reach Project 2.9%37,000 $ 2,172 $1,013 $ 436 20ll
Douglas County PUD:
Wells Project 3.3%28,000 1,734 698 3,773 2018
Grant County PUD:
Priest Rapids and
Wanpum Projects 3.3%65.800 4,381 1.803 19,537 2055
Totals 130,800 Rm $3,514 $23.746
I FERC FORM NO. 213-Q (REV 12-07)122.16
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1 ) ~ An Original (Mo, Da, Yr)
(2)A Resubmission 04/15/2011 2010/04
Notes to Financial Statements
(1) The anual costs will chage in proporton to the percentage of output allocate to A vista Corp. in a parcular year. Amounts
represent the operating costs for 2010. Debt servce costs are inclued in anual costs.
The estimated aggregate amounts of required mium payments (A vista Corp.'s share of existig debt servce costs) under these PUD
contracts are as follows (dollars in thousands):
Minimum payments
2011~2012~2013~2014~2015~Thereafter
$28.026
Total
$41.231
In addition, A vista Corp. will be required to pay its proportionate shae of the varable operating expenses of these projects.
NOTE 11. ACCOUNTS RECEIVABLE FINANCING FACILITY
On December 30, 2010, Avista Corp., Avista Receivables Corporation (ARC), Bank of America, N.A. and Ranger Funding Company,
LLC terminated a Receivables Purchase Agreement at the direction of the Company. ARC is a wholly owned, banptcy-remote
subsidiar of the Company formed in 1997 for the purose of acquiring or purchasing interests in certin accounts receivable, both
billed and unbiled, of the Company. The Company elected tö termnate the Receivables Purchase Agreement prior to its March i i,
2011 expiration date based on the Company's forecasted liquidity needs. The Receivables Purchase Agreement was originally entered
into on May 29, 2002 (and has been renewed on an annual basis) and provided the Company with fuds for general corporate needs.
Under the Receivables Purchase Agreement, the Company could borrow up to $50.0 millon based on calculations of eligible
receivables. The Company did not borrow any fuds under ths revolvig agreement in 2010.
NOTE 12. NOTES PAYABLE
At December 31,2010, Avista Corp. had a commtted line of credit agrement with varous ban in the total amount of$320.0 millon
with an expiration date of April 5, 2011. Under the credit agreement, the Company could borrw or request the issuace of letters of
credit in any combination up to $320.0 milion. Additionally, the Company had a commtted line of credit agreement with varous
ban in the total amount of $75.0 millon with an expiration date of April 5, 2011.
In Febru 2011, Avista Corp. entered into a new commtted lle of cret in the total amount of $400.0 millon with an expiration
date of Febru 2015 that replaced, its $320.0 millon and $75.0 millon commtted lines of credit.
The commtted lines of credit are secured by non-transferable Firt Mortgage Bonds of the Company issued to the agent bank that
would op.ly become due and payable in the event, and then only to the extent, that the Company defaults on its obligations under the
committed lines of credit.
The commtted line of credit agreements contain customar covenats and default provisions. The $320.0 million and $75.0 milion
credit agreements had a covenant that required the ratio of"eamgs before interest, taes, depreciatiòn and amortization" to "interest
expense" of Avista Corp. for the preceding twelve-month period at the end of any fiscal quaer to be greater than 1.6 to 1. As of
December 31,2010, the Company was in compliance with ths covenant. The new $400.0 milion committed line of credit does not
have ths covenant. The $320.0 milion and $75.0 milion credit agreements also had a covenant which did not permit the ratio of
"consolidated total debt" to "consolidated total capitalization" of Avista Corp. to be greater than 70 percent at any time. As of
December 31,2010, the Company was in compliance with this covenant. Under the new $400.0 milion committed line of credit, ths
ratio must not be greater than 65 percent at any tie. .
Balances outstanding and interest rates of borrowings (excluding letters of credit) under the Company's revolving committed lines of
credit were as follows as of and for the years ended December 31 (dollars in thousands):
Balance outstanding at end of period
Letters of credit outstanding at end of period
Average interest rate at end of period
2010
$110,000
$ 27,126
0.57%
2009
$ 87,000
$ 2'8,448
0.59%
NOTE 13. BONDS
The followig details bonds outstading as of December 31 (dollar in thousands):
I FERC FORM NO. 213-0 (REV 12-07)122.17
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1) ~ An Original (Mo, Da, Yr)
(2)A Resubmission 04115/2011 2010/04
Notes to Financial Statements
Matuty Interest
Year Description Rate 2010 2009
2010 Secured Medium-Term Notes 6.67%-8.02%$$ 35,000
2012 Secured Medium-Term Notes 7.37%7,000 7,000
2013 First Mortgage Bonds (l)6.13%45,000
2013 First Mortgage Bonds (1)7.25%30,000
2013 First Mortgage Bonds (2)1.68%50,000
2018 First Mortgage Bonds 5.95%250,000 250,000
2018 Secured Medium-Term Notes 7.39%-7.45%22,500 22,500
2019 First Mortgage Bonds 5.45%90,000 90,000
2020 First Mortgage Bonds (1)3.89%52,000
2022 First Mortgage Bonds 5.13%250,000 250,000
2023 Secured Medium-Term Notes 7.18%-7.54%13,500 13,500
2028 Secured Medium-Term Notes 6.37%25,000 25,000
2032 Secured Pollution Control Bonds (3)(3)66,700 66,700
2034 Secured Pollution Control Bonds (4)(4)17,000 17,000
2035 First Mortgage Bonds 6.25%150,000 150,000
2037 First Mortgage Bonds 5.70%150,000 150,000
2040 First Mortgage Bonds (1)5.55%35,000
Total secured long-term debt 1,178,700 1,151,700
2023 Unsecured Pollution Control Bonds 6.00%4,100 4,100
Settled interest rate swaps (951)(1,844)
Secured Pollution Control Bonds held by Avista
Corporation (3) (4)(83,700)(83,700)
Total bonds $1.098.149 $1.070,256
(1) In December 2010, Avista Corp. issued $52.0 million of3.89 percent Firt Mortgage Bonds due in 2020 and $35.0 millon of
5.55 percent First Mortgage Bonds due in 2040. The total net proceeds from the sale of the new bonds of$86.6 million (net
of placement agent fees and before Avista Corp.'s expenses) were used to redeem $45.0 milion of6.125 percent First
Mortgage Bonds due in December 2013 and $30.0 million of7.25 percent First Mortgage Bonds due in September 2013.
These First Mortgage Bonds were redeeed at par plus a mae-whole redemption premium of$10.7 millon. In accordance
with reguatory accounting practices, the mae-whole redemption premium will be amorted over the life of the new debt
issued.
(2) In December 2010, Avista Corp. issued $50.0 millon of 1.68 percent Firt Mortgage Bonds (Bonds) due in 2013. The net
proceeds from the issuace of the Bonds of $49.8 millon (net of placement agent fees and before Avista Corp.'s expenses)
were used to repay a porton of the borrowigs outstadig under the Company's commtted line of credit.
(3) In December 2010, $66.7 million of the City of Forsyt Montaa Pollution Control Revenue Refuding Bonds (Avista
Corporation Colstrp Project) due 2032, whch had been held by Avista Corp. since 2008, were refuded by a new bond issue
(Series 201 OA). The new bonds were not offered to the public and were purchased by Avista Corp. due to market conditions.
The Company expects tht at a later date, subject to maket conditions, these bonds will be remarketed to unaffliated
investors. So long as Avista Corp. is the holder of these bonds, the bonds will not be reflected as an asset or a liabilty on
Avista Corp.'s Balance Sheet.
(4) In December 2010, $17.0 millon of the City of Forsyt, Montaa Pollution Control Revenue Refunding Bonds, (Avista
Corporation Colstrp Project) due 2034, which had been held by Avista Corp. since 2009, were refuded by a new bond issue
(Series 2010B). The new bonds were not offered to the public and were purchased by Avista Corp. due to maket conditions.
The Company expects that at a later date, subject to market conditions, the bonds wil be remarketed to unaffliated investors.
So long as Avista Corp. is the holder of these bonds, the bonds will not be reflected as an asset or a liability on Avista Corp.'s
Balance Sheet.
The following table details futue long-term debt matuties including advances from associate companies (see Note 14) (dollars in
thousands):
Debt matuties
2011~201211 2013
$50,000
2014 2015 Thereafter
$ - $ - $1.093.647
Total
$1.50.647
I FERC FORM NO. 2/3-Q (REV 12-07)122.18
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1 ) ~ An Onginal (Moi Da, Yr)
(2) A Resubmission 04115/2011 2010/04
Notes to Financial Statements
Substatially all utility propertes owned by the Company are subject to the lien of the Company's mortgage indentue. Under the
Mortgage and Deed of Trust securg the Company's Fir Mortgage Bond (including Secured Medium-Term Notes), the Company
may issue additional First Mortgage Bonds in an aggrgate pricipal amount equal to the su of: 1) 70 percent of the cost or fair value
(whichever is lower) of propert additions which have not previously been made the basis of any application under the Mortgage, or 2)
an equal pricipal amount of retied First Mortgage Bonds whch have not previously been made the basis of any application under the
Mortgage, or 3) deposit of cash. However, the Company may not issue any additional First Mortgage Bonds (with certin exceptions
in the case of bonds issued on the basis of retied bonds) uness the Company's "net earngs" (as defied in the Mortgage) for any
period of 12 consecutive calendar months out of the preceding 18 calenda months were at least twce the annual interest requirements
on all mortgage securities a~ the time outstanding, including the First Mortgage Bonds to be issued, and on all indebtedness of prior
ran. As of December 31,2010, propert additions and retired bonds would have allowed the Company to issue $795.3 millon in
aggregate pricipal amount of additional First Mortgage Bonds. However, using an interest rate of 8 percent on additional First
Mortgage Bonds, and based on net earnings for the 12 month ended December 31, 2010, the net earnings test would limit the
principal amount of additional bonds the Company could issue to $758.8 million.
See Note 12 for informtion regarding First Mortgage Bonds issued to secure the Company's obligations under its committed lines of
credit agreements.
NOTE 14. ADVANCES FROM ASSOCIATED COMPANIES
In 1997, the Company issued Floating Rate Junor Subordinated Deferrable Interest Debentues, Series B, with a pricipal amount of
$51.5 millon to A vista Capital II, an affliated business trt formed by the Company. A vita Capital II issued $50.0 milion of
Preferred Trut Securties with a floating distrbution rate of LffOR pius 0.875 percent, calculated and reset quaerly. The
distrbution rates paid were as follows durng the years ended December 31:
2010
1.3%
1.41
1.17
Low distrbution rate
High distrbution rate
Distrbution rate at the end of the year
2009
1.22%
3.06
1.22
Concurrent with the issuance of the Preferred Trut Securties, Avista Capital II issued $1.5 millon of Common Trust Securities to the
Company. These debt securities may be redeemed at the option of Avista Capital II on or after June 1, 2007 and matue on June 1,
2037. In December 2000, the Company purchased $10.0 millon of these Preferred Trust Securties.
The Company has guaranteed the payment of distrbutions on, and redemption price and liquidation amount for, the Preferred Trust
Securities to the extent that A vista Capital II has fuds available for such payments from the respective debt securties. Upon matuty
or prior redemption of such debt securities, the Preferred Trust Securities will be mandatorily redeemed.
NOTE 15. LEASES
The Company has "multiple lease arangements involving varous assets, with minium term ranging from one to fort-five years.
Rental expense under operating leases was as follows for the year ended December 3 i (dollars in thousands):
Rental expense
2010
$2,885
2009
$3,244
Futue minimum lease payments required under operatig leases havig intial or remaing noncancelable lease terms in excess of one
year as of December 31, 2010 were as follows (dollars in thousands):
Minimum payments required
201 i 2012
$1.480 am
2013 2014~~2015
$437
Thereaftr~Total~
NOTE 16. GUARTEES
The Company has guanteed the payment of distrbutions on, and redemption price and liquidation amount for, the Preferred Trust
Securities issued by its affliate, Avista Capital II, to the extent that ths entity has fuds available for such payments from its debt
securties.
The output from the Lancaster Plant was contracted to Avista Turbine Power, Inc. (ATP), an affliate of Avista Energy, though 2026
under a power purchase agreement (PP A). The majority of the rights and obligations of ths PP A were conveyed to Shell Energy
I FERC FORM NO. 213-Q (REV 12.07) 122.19
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1 ) ~ An Original (Mo, Da, Yr)ì2) A Resubmission 04/15/2011 2010104
Notes to Financial Statements
though the end of2009. Beging in Janua 2010, the rights and obligations under the PPA were conveyed to Avista Corp.
Effective December 1,2010, the PPA was assigned to Avista Corp. Prior to the assignent, Avista Corp. had provided Rathdn
Power LLC, the owner of the Lancaster Plant, a guantee under which Avista Corp. has guaanteed ATP's performance under the
PPA. This guarantee was tenninated in connection with the assignent of the PPA to Avista Corp.
In connection with the transaction, on June 30,2007, Avista Energy and its affliates entered into an Indemnification Agreement with
Shell Energy and its affiliates. Under the Indemnfication Agreement, Avista Energy and Shell Energy each agree to provide
indemnfication of the other and the other's affliates for cert events and matters described in the purchase and sale agreement
entered into on April 16, 2007 and certin other tranaction agreements. Such events and matters include, but are not limted to, the
refud proceedings arsing out of the western energy markets in 2000 and 2001 (see Note 22), existig litigation, tax liabilties, and
matters related to storage rights at Jackson Praire. In general, such indemnfication is not required uness and until a part's claim
exceed $ i 50,000 and is limted to an aggrgate amount of $30 milion and a term of thee year (except for agreements or tranactions
with term longer th thee years). These litations do not apply to certin thd par claim.
A vista Energy's obligations under the Indemnfication Agreement are guaranteed by Avista Capital pursuat to a Guaty dated June
30,2007. This Guaanty is limited to an aggregate amount of$30 million plus certin fees and expenses. The Guaanty wil tennate
April 30, 201 I except for claims made prior to tennation. The Company has not recorded any liability related to this guaranty.
NOTE 17. PREFERRD STOCK-CUMULATIVE (SUBECT TO MANDATORY REDEMPTION)
The Company ha 10 millon authoried shaes of preferred stock. The Company did not have any preferred stock outstanding as of
December 31,2010 and 2009.
NOTE is. FAIR VALUE
Fair value represents the price tht would be received to sell an asset or paid to tranfer a liabilty (an exit price) in an orderly
tranaction between market parcipants at the measurement date. The carrg values of cash and cash equivalents, special deposits,
accounts and notes receivable, accounts payable and notes payable are reasonable estimtes of their fair values. Bonds and advances
from associated companies are reported at caring value on the aalance Sheets.
The following table sets fort the carrg value and estimated fair value of the Company's financial intrents not reported at
estimated fair value on the Balance Sheets as of December 31 (dollar in thousands):
Bonds
Advances from associated companies
Carg
Value
$1,099,100
51,547
2010
Estited
Fair Value
$1,139,765
37,114
Carg
Value
$1,072,100
51,547
2009
Estiated
Fair Value
$1,079,857
43,534
These estimates of fair value were priy based on available market inormation.
Energy commodity derivative assets and liabilties, deferred compensation assets, as well as derivatives related to interest rate swap
agreements and foreign curency exchange contracts, are reportd at estiated fair value on the Balane Sheets. U.S. GAA defies a
fair value hierarchy that prioritizes the inputs used to measure fair value. The hierachy gives the highest priority to undjusted quoted
prices in active markets for identical assets or liabilties (Level 1 measurement) and the lowest priority to unobservable inputs (Level 3
measurement).
The thee levels of the fair value hierarchy are defied as follows:
Level 1 - Quoted prices ar available in active makets for identical assets or liabilities. Active markets are those in which
transactions for the asset or liability occur with suffcient frequency and volume to provide pricing information on an ongoing
basis.
Level 2 - Pricing inputs are other th quoted prices in active markets included in Levell, which are either directly or
indirectly observable as of the reporting date. Level 2 includes those fiancial instrents that are valued using models or
other valuation methodologies. These models are primarily industr-standard models that consider various assumptions,
I FERC FORM NO. 213-Q (REV 12-07)122.20
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1 ) ~ An Original (Mo, Da, Yr)
(2) A Resubmission 04/15/2011 2010104
Notes to Financial Statements
including quoted forwd prices for commodities, time value, volatiity factors, and curent maket and contractul prices for
the underlying instrents, as well as other relevant economic measures. Substatially all of these assumptions are
observable in the marketplace thoughout the full term of the intrent, can be derived from observable data or are
supported by observable levels at which transactions are executed in the marketplace.
Level 3 - Pricing inputs include significant inputs that are generally unobservable from objective sources. These inputs may
be used with internally developed methodologies that result in management's best estimate of fair value.
Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value
measurement. The Company's assessment of the signficance ofa particular input to the fair value measurement requires judgment,
and may affect the valuation of fair value assets and liabilities and their placement within the fair value hierarchy levels. The
determination of the fair values incorporates vaous factors that not only include the credit stading of the counterparies involved and
the impact of credit enhancements (such as cash deposits and letters of credit), but also the impact of Avista Corp.'s nonperformnce
risk on its liabilities.
The following table discloses by level within the fair value hierarchy the Company's assets and liabilities measured and reported on the
Balance Sheets as of December 3 1,2010 and 2009 at fair value on a recurg basis (dollars in thousands):
Counterpar
Level i Level 2 Level 3 Nettg (1)Total
December 31, 2010
Assets:
Energy commodity derivatives $$15,124 $19,739 $(17,010)$17,853
Interest rate swaps 127 127
Foreign curency derivatives 116 116
Deferred compensation assets:
Fixed income securities (3)1,854 1,854
Equity securities (3)6,211 --..--
Total ~$15.367 $19.739 $(17,010)$26.161
Liabilties:
Energy commodity derivatives $$93,198 $6,280 $(17,010)$82,468
Interest rate swaps -----.--
Total ~$93.251 ~$(17,010)$82,521
December 31, 2009
Assets:
Energy commodity derivatives $$1l,898 $57,276 $(15,934)$ 53,240
Deferred compensation assets:
Fixed income securities (3)2,01l 2,011
Equity securties (3)5,863 --5,863--
Total rL $11.898 $57.276 $(15,934)$61. 14
Liabilties:
Energy commodity derivatives $$27,086 $7,806 $(15,934)$18,958
Foreign curency derivatives --2 -~--
Total ~$27.136 ~$(I5,934)$19,008
(1)The Company is permitted to net derivative assets and derivative liabilties when a legally enforceable master nettng
agreement exists.
Avista Corp. enters into forward contracts to purchase or sell a specified amount of energy' at a specified time, or durng a specified
period, in the futue. These contracts are entered into as par of A vista Corp.' s management of loads and resources and certain
contracts are considered derivative instrments. The difference between the amount of derivative assets and liabilities disclosed in
respective levels and the amount of derivative assets and liabilities disclosed on the Balance Sheets is due to netting arangements with
certain counterpartes. The Company uses quoted market prices and forward price cures to estimate the fair value of utility derivative
commodity instrents included in Level 2. In parcular, electrc derivative valuations are performed using broker quotes, adjusted
I FERC FORM NO. 213-Q (REV 12-07) 122.21
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1 ) ~ An Original (Mo, Da, Yr)
(2) A Resubmission 04/15/2011 2010104
Notes to Financial Statements
for periods in between quotable periods. Natual gas derivative valuations are estiated using New York Mercantile Exchange
(NMEX) pricing for simlar instrents, adjusted for basin differences, using broker quotes. Where obserable inputs are available
for substatially the full term of the contract, the derivative asset or liabilty is included in Level 2. The Company also has certin
contracts that, primarly due to the lengt of the respective contract, requie the use of internally developed forward price estimates,
which include signficant inputs that may not be observable or corroborated in the maket. These derivative contracts are included in
Level 3. Refer to Note 5 for fuer discussion of the Company's energy commodity derivative assets and liabilities.
Deferred compensation assets and liabilities represent funds held by the Company in a Rabbi Trust for an Executive Deferral Plan.
These fuds consist of activeLy traded equity and bond fuds with quoted prices in active markets. The balance disclosed in the table
above excludes cash and cash equivalents of$1.2 millon as of December 31,2010 and $1.6 millon as of December 31,2009.
The following table presents activity for energy commodity derivative assets and (liabilities) measured at fair value using significant
unobservable inputs (Level 3) for the years ended December 31 (dollars in thousands):
Balance as of Janua 1
Total gains or losses (realized/unealized):
Included in net income
Included in other comprehensive income
Included in regulatory assets/liabilities (1)
Purchases, issuances, and settements, net
Tranfers to other categories
Ending balance as of December 31
Assets
2010 2009
$57,276 $68,047
Liabilities
2010 2009
$(7,806) $(16,085)
(34,943) (7,202)
(2,594) (3,569)
1,209 7,747
317 532
$19,739 $57,276 $(6,280) $(7,806)
(1) The WUTC and the IPUC issued accounting orders authoÌ'ing Avista Corp. to offet commodity derivative assets or liabilities
with a regulatory asset or liability. This accountig treatment is intended to defer the recogntion of mark- to-market gain and losses
on energy commodity tranactions until the period of settlement. The orders provide for Avista Corp. to not recognize the unrealized
gain or loss on utility derivative commodity intrents in the Statements of Income. Realized gains or losses are recognzed in the
period of settement, subject to approval for recovery though retail rates. Realized gain and losses, subject to reguatory approval,
result in adjustments to retail rates though purchased gas cost adjustments, the ERM in Washigton, the PCA mechanism in Idaho,
and periodic general rates cases.
NOTE 19. COMMON STOCK
,
The Company has a Direct Stock Purchase and Dividend Reinvestment Plan under which the Company's shareholders may
automatically reinvest their dividends and make optional cash payments for the purchase of the Company's common stock at curent
market value.
The payment of dividends on common stock is restrcted by proviions of certin covenants applicable to preferred stock contained in
the Company's Aricles of Incorporation, as amended.
In Augut 2010, the Company entered into an amended and restate sales agency agreement with a sales agent to issue up to 3,087,500
shares of its common stock from tie to tie. The Company origilly entered into a sales agency agreement to issue up to 1,250,000
shares of its common stock in December 2009. Shas issued under sales agency agreements were as follows in the years ended
December 31:
Shares issued under sales agency agreement
2010
2,054,110
2009
NOTE 20. STOCK COMPENSATION PLANS
1998 Plan
In 1998, the Company adopted, and shaeholders approved, the Long-Term Incentive Plan (1998 Plan). Under the 1998 Plan, certin
key employees, offcers and non-employee directors of the Company and its subsidiaries may be granted stock options, stock
appreciation rights, stock awards (including restrcted stock) and other stock-based awards and dividend equivalent rights. In May
2010, the Company's shareholders approved an additional 1 millon shares of Company common stock to be made available for grant
I FERC FORM NO. 213.0 (REV 12-07)122.22
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1) 2. An Original (Mo, Da, Yr)
(2) A Resubmission 04/15/2011 2010/04
Notes to FinancIal Statements
under ths plan. However, as of December 31,2010, the Company has not received approvals from regulatory agencies to add these 1
milion share to the 1998 plan. The Company has available a maimum of 3.5 millon shares of its common stock for grant under the
1998 Plan. As of December 31, 2010, 0.5 milion shares were remaining for grt under ths plan.
2000 Plan
In 2000, the Company adopted a Non-Offcer Employee Long-Term Incentive Plan (2000 Plan), which was not required to be
approved by shareholders. The provisions of the 2000 Plan are essentially the same as those under the 1998 Plan, except for the
exclusion of non-employee directors and executive offcers of the Company. The Company has available a maximum of2.5 millon
shares of its common stock for grant under the 2000 Plan. However, the Company curently does not plan to issue any fuer options
or securities under the 2000' Plan. As of December 31, 20 I 0, 1.9 millon shares were remaining for grant under this plan.
Stock Compensation
The Company records compensation cost relatig to share-based payment tractions in the ficial statements based on the fair
value of the equity or liability instrments issued. The Company recorded stock-based compensation expense (included in other
operating expenses) and income ta benefits in the Statements ofIncome of the followig amounts for the years ended December 31
(dollars in thousands):
Stock-based compensation expense
Income tax benefits
2010
$4,916
1,720
2009
$2,906
1,017
Stock Options
The following summarizes stock options activity under the 1998 Plan and the 2000 Plan for the years ended December 31:
2010
Number of shares under stock options:
Options outstanding at beginnng of year
Options granted
Options exercised
Options canceled
Options outstanding and exercisable at end of year
Weighted average exercise price:
Options exercised
Options canceled
Options outstanding and exercisable at end of year
Cash received from options exercised (in thousands)
Intrinsic value of options exercised (in thousands)
Intrinsic value of options outstading (in thousands)
523,973
(101,649)
(220,650)
201.674
$11.51
$22.60
$11.53
$2,179
$1,006
$2,217
Information for options outstadig and exercisable as of December 31, 2010 is as follows:
Range of
Exercise Prices
$10.17-$12.41
$15.88-$19.34
$20.11-$23.00
Total
Number
of Shares
186,674
6,000
9,000
201.674
Weighte
Average
Exercise
Price
$10.97
15.88
20.11
$11.53
Weighted
AverageRemag
Life (in yeas)
1.4
1.4
0.4
1.4
2009
748,673
(200,225)
(24.475)
523.973
$13.83
$22.69
$16.30
$2,770
$1,180
$2,774
As of December 31, 2010 and 2009, the Company's stock options were fully vested and expensed.
Restricted Shares
Restrcted shares vest in equal thirds each year over a thee-year period and are payable in Avista Corp. common stock at the end of
each year if the service condition is met. In addition to the servce condition, the Company must meet a retu on equity taget in
I FERC FORM NO. 213-Q (REV 12-07)122.23
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1 ) ~ An Original (Mo. Da, Yr)
(2) A Resubmission 0411512011 2010/04
Notes to Financial Statements
order for the CEO's restrcted shares to vest. Durg the vestig period, employees are entitled to dividend equivalents which are paid
when dividends on the Company's common stock are declared. Restrcted stock is valued at the close of maket of the Company's
common stock on the grant date. The weighted averge remaing vestig period for the Company's restrcted shares outstading as
of December 31, 2010 was 1.3 year. The followig table sumaries restrcted stock activity for the years ended December 31:
Unvested shaes at beging of year
Shares grnted
Shares cancelled
Shares vested
Unvested shaes at end of year
Weighted average fair value at grant date
Unrecognzed compensation expense at end of year (in thousands)
Intric value, unvested shaes at end of year (in thousands)
Intrnsic value, shares vested durng the year (in thousands)
2010
71,904
43,800
(31,570)~
$19.80
$735
$1,895
$682
2009
55,939
44,400
(10,000)
(18.435)~
$18.18
$668
$1,552
$345
Performance Shares
Performnce share grants have vesting periods of thee years. Performance awards entitle the recipients to dividend equivalent rights,
are subject to forfeiture under certin circumtaces, and are subject to meetig specific performance conditions. Based on the
attinent of the performance condition, the amount of cash paid or common stock issued wil range from 0 to i 50 percent of the
performance shares granted depending on the change in the value of the Company's common stock relative to an externl benchmk.
Dividend equivalent rights are accumulated and paid out only on shares tht eventuly vest.
Performance share awards entitle the grtee to shaes of common stock or cash payable once the servce condition is satisfied. Based
on attainent of the performance condition, grantees may receive 0 to 150 percent of the origil shaes granted. The performance
condition used is the Company's Total Shaeholder Retu performce over a thee-year period as compared against other utilities;
ths is considered a market-based condition. Performance shaes may be settled in common stock or cash at the discretion of the
Company. Historically, the Company has setted these awards though issuace of stock and intends to continue this practice. These
awards vest at the end of the thee-year period. Performance shaes are equity awards with a market-based condition, which results in
the compensation cost for these awards being recognzed over the requisite service period, provided that the requisite service period is
rendered, regardless of when, if ever, the maket condition is satisfied.
The Company measures (at the grant date) the estimated fair value of performnce shares granted. The fair value of each performance
share award was estimated on the date of grant using a statistical model that incorporates the probability of meetig performance
targets based on historical retus relative to a peer group. Expected volatility was based on the historical volatility of Avista Corp.
common stock over a thee-year period. The expected term of the performance shares is thee year based on the performance cycle.
The risk-free interest rate was based on the U.S. Treasur yield at the time of grant. The compensation expense on these awards wil
only be adjusted for changes in forfeitues.
The followig sumarizes the weighted average assumptions used to determe the fair value of performance shares and related
compensation expense as well as the resulting estiated fair value of performance shaes granted:
Risk-free interest rate
Expected life, in years
Expected volatility
Dividend yield
Weighted average grant date fair value (per share)
2010
1.4%
3
27.8%
4.6%
$15.30
The fair value includes both performance shares and dividend equivalent rights.
The following summarizes performance share activity:
Opening balance of unvested performance shares
Performce shares granted
Performance shaes canceled
I FERC FORM NO. 2/3-0 (REV 12-07)
2010
300,601
168,700
122.24
2009
1.%
3
25.8%
3.6%
$17.22
2009
252,923
163,900
(43,758)
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1 ) ~ An Original (Mo, Da, Yr)
(2)A Resubmission 0411512011 2010/04
Notes to Financial Statements
Performance shares vested 043,601) (72,464)
Ending balance of un vested perfonnance shares 325.700 300.601
Intrsic value ofunvested perfonnance shaes (in thousands) $7,335 $6,490
Unrecognzed compensation expense (in thousands) $2,330 $2,453
The weighted average remaining vesting period for the Company's performce shaes outstading as of December 31,2010 was 1.5
years. Unrcognzed compensation expense as of December 31, 2010 will be recognized durg 201 I and 2012. The following
SUßarzes the impact of the market condition on the vested performce shaes:
,
Performance shares vested
Impact of market condition on shares vested
Shares of common stock earned
Intrsic value of common stock eared (in thousands)
. 2010
143,601
21,540
165.141
$3,719
2009
72,464
(72,464)
$
Shares earned under this plan are distrbuted to paricipants in the quarer followig vestig.
Awards outstanding under the perfonnance share grants include a dividend component that is paid in cash. This component of the
performance share grants is accounted for as a liability awad. These liability awards are revalued on a quarerly basis taking into
account the number of awards outstanding, historical dividend rate, and the chage in the value of the Company's common stock
relative to an external benchmark. Over the life of these awards, the cumulative amount of compensation expense recognized will
match the actul cash paid. As of December 3 1,2010 and 2009, the Company had recognzed compensation expense and a liability of
$0.9 milion and $0.4 milion related to the dividend component ofperfonnance shae grants.
NOTE 21. COMMITMENTS AND CONTINGENCIES
In the course of its business, the Company becomes involved in various claims, controversies, disputes and other contingent matters,
including the items described in this Note. Some of these claim, controversies, disputes and other contingent matters involve
litigation or other contested proceedings. For all such matters, the Company intends to vigorously protect and defend its interests and
pursue its rights. However, no assurance can be given as to the ultimate outcome of any parcular matter because litigation and other
contested proceedings are inerently subject to numerous uncertinties. After consultation with legal counsel, the Company accrues a
loss contingency ifit is probable that an asset is impaired or a liability has been incured and the amount of the loss or impainnent can
be reasonably estiated. For matters that affect Avista Corp.'s operations, the Company intends to seek, to the extent appropriate,
recovery of incured costs though the ratemag process.
Federal Energy Regulatory Commission Inquiry
In April 2004, the Federal Energy Regulatory Commssion (pERC) approved the contested Agreement in Resolution of Section 206
Proceeding (Agreement in Resolution) between Avista Corp., Avista Energy and the FERC's Trial Staff which stated that there was:
( i) no evidence that any executives or employees of A vista Corp. or A vista Energy knowigly engaged in or facilitated any improper
trading strategy durg 2000 and 200 i; (2) no evidence tht A vista Corp. or A vista Energy engaged in any effort to manipulate the
western energy markets durng 2000 and 2001; and (3) no fiding that Avista Corp. or Avista Energy witheld relevant infonnation
from the FERC's inquiry into the western energy markets for 2000 and 2001 (Trading Investigation). The Attorney General of the
State of California (Californa AG), the Californa Electrcity Oversight Board, Californa Pares aid the City of Tacoma, Washington
challenged the FERC's decisions approvig the Agreement in Resolution, which are now pending before the United States Cour of
Appeals for the Ninth Circuit (Ninth Circuit).
In May 2004, the FERC provided notice that A vista Energy was no longer subject to an investigation reviewing certin bids above
$250 per MW in the short-tenn energy markets operated by the California Independent System Operator (Call SO) and the California
Power Exchange (CaIPX) from May i, 2000 to October 2, 2000 (Bidding Investigation). That matter is also pending before the Ninth
Circuit, after the California AG, Pacific Gas & Electrc (PG&E), Southern California Edison Company (SCE) and the California
Public Utilities Commission (CPUC) fied petitions for review in 2005.
Based on the FERC's order approving the Agreement in Resolution and the FERC's denial of rehearng requests, the Company does
not expect that this proceeding wil have any material adverse effect on its financial condition, results of operations or cash flows.
Furennore, based on infonnation curently known to the Company regardig the Bidding Investigation and the fact that the FERC
I FERC FORM NO. 213.0 (REV 12-07)122.25
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1) ~ An Original (Mo, Da, Yr)
I (2) A Resubmission 04/15/2011 2010104
Notes to Financial Statements
Staff did not fid any evidence of mapulative behavior, the Company does not expect that ths matter will have a material adverse
effect on its fiancial condition, results of operations or cas flows.
California Refund Proceeding
In July 200 I, the FERC ordered an evidentiar hearg to determe the amount of refuds due to Californa energy buyers for
purchases made in the spot markets operated by the CalISO and the CalPX durg the period from October 2, 2000 to June 20, 200 I
(Refud Period). Proposed refunds are based on the calculation of mitigated market clearg prices for each hour. The FERC ruled
tht if the refunds requied by the formula would cause a seller to recover less than its actual costs for the Refud Period, sellers may
document these costs and limit their refud liabilty commensurately. In September 2005, Avista Energy submitted its cost filing claim
pursuant to the FERC's Augut 2005 order. That fiing was accepted in orders issued by the FERC in Januar 2006 and November
2006. In June 2009, the FERC reversed, in par, its previous decision and ordered a compliance filing requirg an adjustment to the
retu on investment component of Avista Energy's cost fiing. That compliance filing was made in July 2009. In March 2010, the
Californa AG, the CPUC, PG&E, and SCE filed a protest and comments on Avista Energy's compliance fiing. In April 2010, Avista
Energy filed a response and corrected a technical error from íts July 2009 filing. The correction increased its cost fiing claim. The
California AG, CPUC, PG&E and SCE fied an answer and protest to this fiing in April 2010, which Avista Energy answered in June
2010. In July 2010, the same pares again opposed Avista Energy's cost filing, and Avista Energy anwered that protest. The revised
compliance filing is pending before the FERC.
The CalISO continues to work on its compliance filing for the Refud Period, which will show "who owes what to whom." In April
2010 and May 2010, the CalISO and CalPX, respectively, fied updated compliance report concerng preparatory re-ru activity.
The CalPX filing requested gudance from the FERC on issues related to completig the fial determtion of "who owes what to
whom." The CalPX supplemented its compliance filing in October 2010. In June 2010, Avista Energy filed comments with the FERC
askig the FERC to assist the paries in brigig th matter to a close by expeditiously: I) approvig the compliance filings made by
the CalISO and the CalPX; 2) ruling on the outstadig issues presented by the CalPX; and 3) setting milestones for next steps
regarding the fial compliance fiing.
In July 2010, the CaUSO filed its 45th status report on the Californa recalculation process config tht the calculations related to
fuel cost allowance offets and emission offets ar complete, and, identifyg several open issues related to the refud reru
calculations that need to be resolved by the FERC. The CalISO states tht it will need to revise certain calculations related to
cost-recovery offets and interest calculations. In addition, the CalISO stated that it is in the process of mag adjustments to the
CalISO data to remove refuds associated with sales made by non-jursdictional entities. The CaUSO also says that it will need to
work with pares to the varous global settements to mae appropriate adjustments to the CaUSO's data in order to properly reflect
those adjustments. In a March 2010 filing, the CaUSO stated tht it does not intend to mae any compliance filing until, inter alia, the
FERC resolves issues related to the Ninth Circuit's remad regarding possible remedies for alleged tariff violations puruat to Federal
Power Act (FP A) section 309, prior to the refud effective date in ths proceeding (discussed below).
The 200 i banptcy of PG&E resulted in a default on its payment obligations to the CaIPX. As a result, A vista Energy has not been
paid for all of its energy sales during the Refud Period. Those fuds are now in escrow accounts and will not be released until the
FERC issues an order directing such release in the Californa refud proceeding. As of December 3 I, 20 i 0, A vista Energy's accounts
receivable outstanding related to defaultig paries in Californa were fully offset by reserves for uncollected amounts and fuds
collected from the defaulting paries.
Many of the orders tht the FERC ha issued in the Californa refud proceedings were appealed to the Ninth Circuit. In October
2004, the Ninth Circuit ordered that briefing proceed in two rounds. The fist round was limted to thee issues: (I) which paries are
subject to the FERC's refud jursdiction in light of the exemption for governent-owned utilities in section 201(f) of the FPA; (2) the
temporal scope of refuds under section 206 of the FPA; and (3) whch categories of tranactions are subject to refuds. The second.
round of issues and their correspondig briefig schedules have not yet been set by the Ninth Circuit.
In September 2005, the Ninth Circuit held tht the FERC did not have the authority to order ,refuds for sales made by muncipal
utilities in the Californa refud proceeding. In August 2006, the Ninth Circuit upheld October 2, 2000 as the refud effective date for
the FP A section 206 refud proceeding, but remaded to the FERC its decision not to consider an FP A section 309 remedy for tariff
violations prior to tht date. Petitions for rehearg were denied in April 2009. In July 2009, Avista Energy and Avista Corp. filed a
motion at the FERC, askig that the companes be dismised from any fuer proceedings arsing under section 309 pursuat to the
remand. The fiing pointed out that section 309 relief is based on taff violations of the seller, and as to Avista Energy and Avista
Corp., these allegations had already been fully adjudicated in the proceeding that gave risè to the Agreement in Resolution, discussed
I FERC FORM NO. 2/3-0 (REV 12-07) 122.26
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1) ~ An Original (Mo, Da, yr)
(2) A Resubmission 0411512011 2010/04
Notes to Financial Statements
above. There, the FERC absolved both companies of all allegations of market mapulation or wrongdoing that would justify or
permit FPA sections 206 or 309 remedies durng 2000 and 2001. In November 2009, the FERC issued an order establishing an
evidentiar heanng before an administrative law judge to address the issues remanded by the Ninth Circuit without addressing the
Company's pending motion. In December 2009, the Company again brought the issue to the FERC's attention but its motion remains
pending, as do a number ofreheang requests regarding the November 2009 heang order. In September 2010, the FERC issued a
"Supplemental Order Soliciting Comments" on the scope of the hearng. The Company responded in filings made on September 22,
2010 and October 6, 2010, and the parties are awaitig fuer rulings by the FERC before the heag commences.
Because the resolution ofth,e California refud proceeding remains uncertin, legal counel canot express an opinion on the extent of
the Company's liability, if any. However, based on information curently known, the Company does not expect that the refuds
ultimtely ordered for the Refud Penod will have a matenal adverse effect on its fiancial condition, results of operations or cash
flows. This is pnmarly due to the fact that the FERC orders have stated tht any refuds will be netted against unpaid amounts owed
to the respective pares and the Company does not believe tht refuds would exceed unaid amounts owed to the Company.
Pacifc Northwest Refund Proceeding
In July 2001, the FERC intiated a prelimiar evidentiary heang to develop a factul record as to whether pnces for spot market
sales of wholesale energy in the Pacific Nortwest between December 25,2000 and June 20, 2001 were just and reasonable. In June
2003, the FERC terminated the Pacific Nortwest refund proceedings, after finding that the equities do not justify the imposition of
refuds. In August 2007, the Ninth Circuit found that the FERC, in denying the request for refunds, had failed to take into account
new evidence of market manipulation in the California energy market and its potential ties to the Pacific Northwest energy market and
that such failure was arbitrary and capncious and, accordingly, remanded the case to the FERC, stating that the FERC's findings must
be reevaluated in light of the evidence. In addition, the Ninth Circuit concluded that the FERC abused its discretion in denying
potential relief for transactions involving energy that was purchased by the Californa Departent of Water Resources (CERS) in the
Pacific Nortwest and ultimately consumed in Californa. The Ninth Circuit expressly declined to direct the FERC to grant refuds.
Requests by vanous paries for rehearng on this ruling were denied in Apnl 2009.
In May 2009, the California AG filed a complaint againt both Avista Energy and Avista Corp. seekig refunds on sales made to
CERS durng the penod January 18, 2001 to June 20,2001 under section 309 of the FPA (the Brown Complaint). The sales at issue
are limited in scope and are duplicative of claims already at isSle in the Pacific Nortwest proceeding, discussed above. In August
2009, the City of Tacoma and the Port of Seattle filed a motion askig the FERC to sumarily re-price sales of energy in the Pacific
Nortwest dunng 2000 and 2001. In October 2009, Avista Corp. filed, as par of the Tranaction Finlity Group, an answer to that
motion and, in addition, made its own recommendations for fuer proceedings in ths docket. Those pleadings are pending before the
FERC.
Both A vista Corp. and Avista Energy were buyers and sellers of energy in the Pacific Nortwest energy maket durg the penod
between December 25,2000 and June 20, 2001 and, if refuds were ordered by the FERC, could be liable to make payments, but also
could be entitled to receive refuds from other FERC-jursdictional entities. The opportty to mae claims against entities not
subject to the FERC's jursdiction may be limted based on existig law. The Company canot predict the outcome of this proceeding
or the amount of any refuds that A vista Corp. or A vista Energy could be ordered to make or could be entitled to receive. Therefore,
the Company canot predict the potential impact the outcome of this matter could ultimately have on the Company's results of
operations, financial condition or cash flows.
California Attorney General Complaint (the "Lockyer Complaint'')
In May 2002, the FERC conditionally dismissed a complaint fied in March 2002 by the California AG that alleged violations of the
FPA by the FERC and all sellers (including Avista Corp. and its subsidianes) of electrc power and energy into California. The
complaint alleged that the FERC's adoption and implementation of market-based rate authonty was flawed and, as a result, individual
sellers should refund the difference between the rate charged and a just and reasonable rate. In May 2002, the FERC issued an order
dismissing the complaint but directing sellers to re-fie certin transaction sumes. It was not clear that Avista Corp. and its
subsidiares were subject to ths directive but the Company took the conservative approach and re-fied certin transaction summes
in June and July of2002. In September 2004, the Ninth Circuit upheld the FERC's market-based rate authonty, but held that the
FERC erred in ruling that it lacked authonty to order refuds for violations of its reportng requirement. The Court remanded the case
for fuer proceedings, but did not order any refuds, leavig it to the FERC to consider appropnate remedial options.
In March 2008, the FERC issued an order establishig a mal-tye hearing to address "whether any individual public utility seller's
violation of the FERC's market-based rate quarterly reportng requiement led to an unjust and unasonable rate for that parc~lar
I FERC FORM NO. 2/3-0 (REV 12-07) 122.27
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1) ~ An Original (Mo, Da, Yr)ì2) A Resubmission 04/15/2011 2010104
Notes to Financial Statements
seller in Californa during the 2000-2001 period." Purchasers in the Californa makets will be allowed to present evidence tht "any
seller tht violated the quaerly reportg requirement failed to disclose an increased maket shae suffcient to give it the ability to
exercise maket power and thus cause its maket-based rates to be unjust and uneasonable." In parcular, the pares were directed to
address whether the seller at any point reached a 20 percent generation maket share theshold, and if the seller did reach a 20 percent
market share, whether other factors were present to indicate tht the seller did not have the ability to exercise market power. The
Californa AG, CPUC, PG&E, and SCE filed their testiony in July 2009. Avista Corp. and Avista Energy's anwerig testiony was
fied in September 2009. On the same day, the FERC staff fied its anwerig testiony tag the position tht, using the test the
FERC directed to be applied in ths proceeding, neither A vista Corp. nor A vista Energy had market power for the period in question.
Cross answerig testimony and rebuttal testimony were fied in November 2009. In Janua 2010, Avista Corp. and Avista Energy
fied a motion for summar disposition, as did other paries to the proceeding. In March 2010, the Presiding Adminstrative Law
Judge (ALJ) granted the motions for sum disposition and found tht a hearg was "unnecessar" because the Californa AG,
CPUC, PG&E and SCE "failed to apply the appropriate test to determe maket power durg the relevant time period." The judge
determned that "(w)ithout a proper showing of maket power, the Californa Paries failed to establish a prima facie case." Briefs on
exceptions were fied in April 2010 and briefs opposing exceptions were filed in May 2010.
Based on information currently mown to the Company's mangement, the fact tht neither Avista Corp. nor Avista Energy ever
reached a 20 percent generation market share durg 2000 or 2001 and the AL's granting of Avista Corp. and Avista Energy's
summ disposition motion, the Company does not expect that ths matter will have a material adverse effect on its financial
condition, results of operations or cash flows.
Colstrip Generating Project Complaint
In March 2007, two families that own propert near the holding ponds from Units 3 & 4 of the Colstrip Generating Project (Colstrp)
fied a complaint againt the owners of Colstrp and Hydrometrcs, Inc. in Montaa Distrct Cour. Avista Corp. own a 15 percent
interest in Units 3 & 4 of Colstrp. The plaintiff allege that the holding ponds and remediation activities have adversely impacted
their propert. They allege contation, decrease in water tables, reduced flow of streas on their propert and other simlar
.impacts to their propert. They also seek puntive damges, attorney's fees, an order by the cour to remove certin ponds, and the
fodeitue of profits eared from the generation of Colstrp. In September 2010, the owners of Colstrp filed a motion with the cour to
enforce a settement agreement that would resolve al issues between the pares. Under the settement, Avista Corp.'s portion of
payment (which was accrued in the second quarer of2010) to the plaintiff was not material to its financial condition, results of
operations or cash flows. The plaintiff have indicated tht they wi contest the existence of any settement, and will file a response to
the motion, with the matter to be decided by the cour. Although the fi resolution of ths complaint remain uncertin based on
inormation curently known to the Company's magement, the Company does not expect ths complaint wil have a material adverse
effect on its fincial condition, results of operations or cash flows.
Harbor Oil Inc. Site
Avista Corp. used Harbor Oil Inc. (Harbor Oil) for the recycling of waste oil and non-PCB tranformer oil in the late 1980s and early
1990s. In June 2005, the Environmental Protection Agency (EPA) Region 10 provided notification to AvistaCorp. and several other
partes, as customers of Harbor Oil, tht the EPA had determined that hazardous substaces were released at the Harbor Oil site in
Portland, Oregon and that Avista Corp. and several other paries may be liable for investigation and cleanup òfthe site under the
Comprehensive Environmental Response, Compensation, and Liability Act, commonly referred to as the federal "Superfud" law,
which provides for joint and several liabilty. The intial indication from the EPA is that the site may be contaated with PCBs,
petroleum hydrocarbons, chloriated solvents and heavy metals. Six potentially responsible partes, iIcluding Avista Corp., signed an
Admstrative Order on Consent with the EPA on May 31, 2007 to conduct a remedial investigation and feasibility study (RlFS),
which is expected to be filized in the fist half of 20 11. The actul cleanup, if any, will not occur until the RIS is complete. Based
on the review of its records related to Harbor Oil, the Company does not believe it is a major contrbutor to this potential
environmental containation based on the small volume of waste oil it delivered to the Harbor Oil site. However, there is curently
not enough information to allow the Company to assess the probability or amount of a liabilty, if any, being incured. The Company
has accrued its share of the RIS ($0.5 millon) for ths matter.
Spokane River Licensing
The Company own and operates six hydroelectrc plants on the Spokae River. Five of these (Long Lae, Nine Mile, Upper Falls,
Monroe Street, and Post Falls) are under one FERC license and are referred to as the Spokane River Project. The sixth, Little Falls, is
operated under separate Congressional authority and is not licensed by the FERC. The FERC issued a new 50-year license for the
Spokae River Project in June 2009. The license incorporated the 4(e) conditions that were included in the December 2008
I FERC FORM NO. 2/3-0 (REV 12-07) 122.28
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1 ) ~ An Original (Mo, Da, Yr)
(2)A Resubmission 04/1512011 2010104
Notes to Financial Statements
Settlement Agreement with the United States Deparent of Interior and the Coeur d Alene Tribe, as well as the mandatory conditions
that were agreed to in the Idaho 401 Water Quality Certfications and in the amended Washigton 401 Water Quality Certification.
As par of the Settlement Agreement with the Washington Deparent of Ecology (DOE), the Company parcipated in the Total
Maximum Daily Load (TMDL) process for the Spokae River and Lae Spokae, the reservoir create by Long Lake Dam. On May
20,2010, the EPA approved the TMDL and on May 27,2010, the DOE filed an amended 401 Water Quality Certification with the
FERC for inclusion into the licene. The amended 401 Water Quty Certcation includes the Company's level of responsibility, as
defined in the TMDL, for low dissolved oxygen levels in Lae Spokae. The Company ba until May 27,2012 to develop mitigation
strtegies to address the low, levels of dissolved oxygen. It is not possible to provide cost estiates at ths tie because the mitigation
measures have not been fully identified or approved by the DOE. On July 16, 2010, the City of Post Falls and the Hayden Area
Regional Sewer Board fied an appeal with the United States Distrct Cour for the Distrct ofIdao with respect to the EPA's
approval of the TMDL. The Company, the City of Coeur d'Alene, Kaiser Aluminum and the Spokae River Keeper subsequently
moved to intervene in the appeaL. The EPA, the City of Post Falls and the Hayden Area Regional Sewer Board are curently in
settlement negotiations in an attmpt to resolve the appeaL.
The Company is implementing the environmental and operational conditions required in the license for the Spokane River Project.
The estimated cost to implement the license conditions, which is the result of more than a dozen separate settlements, is $334 milion
over the 50-year license term. This will increase the Spokae River Project's cost of power by about 40 percent, while decreasing
anual generation by approximately one-half of one percent. Costs to implement mitigation measures related to the TMDL are not
included in these cost estimates. The IPUC and the WUC approved the recovery of licensing costs though the general rate case
settlements in 2009. The Company will continue to seek recovery, though the ratemakg process, of all operatig and capitalized
costs related to implementig the license for the Spokae River Project.
Cabinet Gorge Total Dissolved Gas Abatement Plan
Dissolved atmospheric gas levels in the Clark Fork River exceed state ofIdaho and federal water quality standards downtream of the
Cabinet Gorge Hydroelectric Generating Project (Cabinet Gorge) durg periods when excess river flows must be diverted over the
spilway. In 2002, the Company submitted a Gas Supersatuation Control Program (GSCP) to the Idaho Deparent of Environmental
Quality (Idaho DEQ) and U.S. Fish and Wildlife Service (USFWS). Ths submision was par of the Clark Fork Settlement Agreement
for licensing the use of Cabinet Gorge. The GSCP provided for'the openig and modification of possibly two diversion tuels around
Cabinet Gorge to allow streamflow to be diverted when flows are in excess of powerhouse capacity. In 2007, engineering studies
determined that the tunnels would not suffciently reduce Total Dissolved Gas (TG). In consultation with the Idaho DEQ and the
USFWS, the Company developed an addendum to the GSCP. The GSCP addendum abandons the concept to reopen the two diversion
tuels and requires the Company to evaluate a vanety of different options to abate TDG over the next severa years. In March 2010,
the FERC approved the GSCP addendum of prelimar design for alterntive abatement measures. In May 4010, the Company
initiated preliminar feasibilty assessments for several alterntive abatement measures, the results of which are anticipated in March
2011. The Company will continue to seek recovery, though the ratemakg process, of all operating and capitalized costs related to
ths issue.
Fish Passage at Cabinet Gorge and Noxon Rapids
In 1999, the USFWS listed bull trout as threatened under the Endangered Species Act. The Clark Fork Settlement Agreement
describes programs intended to help restore bull trout populations in the project area. Using the concept of adaptive management and
working closely with the USFWS, the Company is evaluating the feasibility of fish passage at Cabinet Gorge and Noxon Rapids. The
results of these studies will help the Company and other parties determine the best use of funds toward continuing fish passage efforts
or other bull trout population enhancement measures. In the fall of2009, the Company selected a contractor to design a permanent
upstream passage facility at Cabinet Gorge. The Company anticipates that the design and cost estimates will be completed by the end
of20l i.
In Januar 2010, the USFWS proposed to revise its 2005 designation of critical habitat for the bull trout. The proposed revisions
include the lower Clark Fork River as critical habitat. In April 2010, the Company submitt comments recommending the lower
Clark Fork River be excluded from critical habitat designation based in part on the eXtensive bull trout recovery effort the Company is
already undertking. The Company will contiue to seek recovery, though the rateing process, of all operatig and capitalized
costs related to fish passage at Cabinet Gorge and Noxon Rapids.
Aluminum Recycling Site
In October 2009, the Company (though its subsidiar Pentzer Ventue Holdings II, Inc. (Pentzer)) received notice from the DOE
I FERC FORM NO. 213-0 (REV 12-07) 122.29
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1) ~ An Original (Mo, Da, Yr)
(2)A Resubmission 04/15/2011 2010104
Notes to Financial Statements
proposing to find Pentzer liable for a release of haardous substaces under the Model Toxics Control Act, under Washigton state
law. Pentzer owns propert that adjoins land owned by the Union Pacific Railroad (UPR). UPR leased their propert to operators of a
facility designated by DOE as "Alumum Recycling - Trentwood." Operators of the UPR propert maintained piles of aluminum
"black dross," which can be designated as a state-only dangerous waste in Washigton State. In the course of its business, the
operators placed a portion of the alumum dross pile on the propert owned by Pentzer. Pentzer does not believe it is a contrbutor to
any environmenta contamition associ,ted with the dross pile, and submitted a response to the DOE's proposed fidigs in
November 2009. In December 2009, Pentzer received notice from the DOE that it ha been designated as a potentially liable part for
any hazardous substances located on ths site. UPR completed a RIS Work Plan in June 2010. At that time, UPR requested a
contrbution from Pentzer towards the cost of performg the RIS and also an access agreement to investigate the material deposited
on the Pentzr propert. Pentzer concluded an access agreement with"UPR in October 2010. UPR commenced the remedial
investigation durg the fourt quarter of2010, which is expected to be completed in 201 i. There is curently not enough information
to allow the Company to assess the probability or amount of a liability, if any, being incured.
Injury from Overhead Electric Line (Munderloh v. Avista)
On March 4, 2010, the plaintiff and hi wife filed a complaint againt Avista Corp. in Spokae County Superior Cour. Plaintiffs
allege that while the plaintiff was employed by a thd par as a laborer at their constrction site, he came into contact with A vista
Corp.'s electrc line, was injured and suffered economic and non-economic daages. Plaintiff furter allege that Avista Corp. was at
fault for failing to relocate the overhead electrc line which it controlled and operated adjacent to the constrction site. In addition to
economic and non-economic dages, plaintiff also seek damages for loss of consortium, attorney's fees and costs, prejudgment
interest and puntive damages. Trial has been scheduled to begin in September 20 i i. The case is in the early stage of discovery and
plaintiffs have not yet provided a statement specifyg damages. Because the resolution of this claim remains uncertain, legal counsel
canot express an opinion on the extent, ifany, of the Company's liability. However, based on inormation curently known to the
Company's management, the Company does not expect ths complaint will have a material adverse effect on its fiancial condition,
results of operations or cash flows.
Natural Gas Line Safety Complaint
In June 2010, the WUTC staff fied a complaint against the Company related to a natual gas explosion and fire tht occured in
Odessa, Washington in December 2008 that injured two people. The WUC staff alleges certin violations related to the installation
of the low pressure natual gas distrbution line, as well as the removal of the line followig the explosion and fie. The WUTC staff
made recommendations of fies tht could exceed $1.1 million and that the Company imlement certÎI measures to ensure
compliance with WUC laws and rules. In Januar 201 1, the Company filed a settlement agreement with the WUC that was
approved by the WUTC in Febru 2011, and resolved all issues in th matter. As par of the settement agreement, the Company
accrued a fie of$0.2 million. In the four quaer of2010, the Company reached separte legal settlement with the injured
individuals in an amount that was not material to the Company's ficial condition, results of operations or cash flows.
Damages from Fire in Stevens County, Washington
In August 2010, a fie in Stevens County, Washigton occurd durg a wid storm. The apparent cause of the fie may be a tree
located outside of A vista Corp.'s right-of-way that came in contact with an electrc line owned by A vista Corp. The fie area is a rual
far and timber landscape. The fie destroyed two residences and six outbuildings. The Company is not aware of any personal
injures resulting from the fie. Although no lawsuits have been filed, Avista Corp. has received several claim and it is possible that
additional claim may be made and lawsuits may be filed againt the Company. Because the resolution of this issue remains uncertain,legal counsel canot express an opinon on the extent, if any, of the Company's liabilty. However, based on informtion curently
known to the Company's management, the Company does not expect ths complaint wil have a material adverse effect on its fiancial
condition, results of operations or cash flows.
Collective Bargaining Agreements
The Company's collective bargainig agreement with the International Brotherhood of Electrcal Workers represents approximately 45
percent of all of Avista Corp.'s employees. The agreement with the local unon in Washington and Idaho representing the majority
(approximtely 90 percent) of the bargainng unit employees expired on March 26,2010. A,new agreement was reached in October
2010 (expirg in March 2014). Two local agreements in Oregon, which cover approximately 50 employees, expired in April 2010.
New agreements were reached in December 2010 (expirg in March 2014).
Other Contingencies
In the normal course of business, the Company has varous other legal claim and contigent matters outstading. The Company
believes that any ultiate liabilty arsing from these actions will not have a material adverse impact on its ficial condition, res!11ts
I FERC FORM NO. 213.Q (REV 12-07) 122.30
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1) ~ An Onginal (Mo, Da, Yr)
(2)A Resubmission 04/1512011 2010/04
Notes to Financial Statements
of operations or cash flows. It is possible that a chage could occu in the Company's estiates of the probabilty or amount of a
liability being incurred. Such a change, should it occur, could be signficant
The Company routinely assesses, based on studies, expert analyses and legal reviews, its contigencies, obligations and commitments
for remediation of contamiated sites, including assessments of ranges and probabilties of recoveries from other responsible paries
who either have or have not agreed to a settement as well as recoveries from inance carers. The Company's policy is to accrue
and charge to curent expene identified exposures related to envionmental remediation sites based on estimates of investigation,
cleanup and monitoring costs to be incured. For matters tht affect Avista Corp.'s operations, the Company seeks, to the extent
appropriate, recovery of inc~ed costs though the ratemakg process.
The Company has potential liabilties under the Endagered Species Act for species of fish that have either already been added to the
endangered species list, listed as "theatened" or petitioned for listig. Thus far, measures adopted and implemented have had minimal
impact on the Company. However, the Company will continue to seek recovery, though the ratemaking process, of all operating and
capitalized costs related to this issue.
Under the federal licenses for its hydroelectrc projects, the Company is obligated to protect its propert rights, including water rights.
The state of Montana is examining the status of all water right çlaims within state boundares.' Claims withn the Clark Fork River
basin could adversely affect the energy production of the Company's Cabinet Gorge and Noxon Rapids hydroelectrc facilities. The
state of Idaho has initiated an adjudication in nortern Idaho, which will ultitely include the lower Clark Fork River, the Spokane
River and the Coeur d Alene basin. In addition, the state of Washigton has indicated its intent to intiate an adjudication for the
Spokane River basin in the next several years. The Company is and will contiue to be a parcipant in these adjudication processes.
The complexity of such adjudications makes each unikely to be concluded in the foreseeable futue. As such, it is not possible for the
Company to estimate the impact of any outcome at ths time.
NOTE 22. INFORMTION SERVICES CONTRCTS
The Company has information servces contracts tht expire 'at varous ties though 2017. The largest of these contracts provides for
increases due to changes in the cost ofliving index and fuer proVides flexibility in the anual obligation from year-to-year subject to
a thee-year tre-up cycle. Total payments under these contracts were as follows for the year ended December 31 (dollars in
thousands):
Information servce contract payments
2010
$13,426
2009
$15,529
Minimum contractual obligations under the Company's inormtion services contracts are $12.8 milion in 201 1, $11.8 milion in
2012, $9.3 milion in 2013, $7.5 milion in 2014 and $7.0 million in each of2015, 2016 and 2017.
NOTE 23. REGULATORY MATTERS
Power Cost Deferrals and Recovery Mechanisms
Deferrd power supply costs are recorded as a deferred charge on the Balance Sheets for futue review and recovery though retail
rates. The power supply costs deferred include certin differences between actual net power supply costs incurred by Avista Corp. and
the costs included in base retail rates. This difference in net power supply costs primarily results from changes in: .
. short-term wholesale market prices and sales and purchase volumes,
. the level of hydroelectrc generation,
. the level of thermal generation (including changes in fuel prices), and
. retail loads.
In Washington, the Energy Recovery Mechanism (ER) allows Avista Corp. to periodically increase or decrease electrc rates with
WUC approval to reflect changes in power supply costs. The ERM is an accountig method used to track certin differences
between actual net power supply costs and the amount included in base retail rates for Washigton customers. In the 2010
Washigton general rate case settlement, the paries agreed tht there would be no deferrls under the ERM for 2010. Deferrals under
the ERM will resume in 201 1. The Company must make a filing (no sooner than June 2011), to allow all interested pares the
opportnity to review the ERM, and make recommendations to the WUC related to the continuation, modification or elimation of
the ERM.
The intial amount of power supply costs in excess or below the level in retail rates, which the Company either incur the cost of, or
I FERC FORM NO. 2/3-0 (REV 12-07) 122.31
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1) ~ An Original (Mo, Da, Yr)
(2)A Resubmission 04115/2011 2010/04
Notes to Financial Statements
receives the benefit from. is referred to as the deadband. The anual (calenda year) deadband amount is currently $4.0 millon. The
Company wil incur the cost of, or receive the benefit from. i 00 percent of th intial power supply cost varance. The Company
shaes annual power supply cost varances between $4.0 millon and $10.0 million with its customers. There is a 50 percent
customers/50 percent Company sharig when actul power supply expenses are higher (surchage to customers) than the amount
included in base retail rates with ths band. There is a 75 percent customers/25 percent Company sharig when actual power supply
expenses are lower (rebate to customers) than the amount included in base retail rates with ths band. To the extent that the annual
power supply cost varance from the amount included in base rates exceed $10.0 million, 90 percent of the cost varance is deferred
for futue surcharge or rebate. The Company absorbs or receives the benefit in power supply costs of the remaing i 0 percent of the
anual varance beyond $10.0 million without affectig curent or futue customer rates.
The following is a sumar of the ERM:
Anual Power Supply
Cost Varabilty
+/- $0 - $4 millon
+ between $4 millon - $10 million
- between $4 million - $ 1 0 millon
+/- excess over $ 1 0 million
Deferred for Futue
Surchage or Rebate
to Customers
0%
50%
75%
90%
Expense or Benefit
to the Company
100%
50%
25%
10%
Avista Corp. has a Power Costs Adjustment (PCA) mechansm in Idaho tht allows it to modify electrc rates on October i of each
year with Idao Public Utilities Commssion (IPUC) approval. Under the PCA mechasm, A vista Corp. defers 90 percent of the
difference between certain actual net power supply expenses and the amount included in base retail rates for its Idaho customers. In
June 2007, the IPUC approved continuation of the PCA mechanism with an anual rate adjustment provision. These anual October 1
rate adjustments recover or rebate power costs deferred during the preceding July-June twelve-month period.
The followig table shows activity in deferred power costs for Washigton and Idaho durg 2008,2009 and 2010 (dollars in
thousands):
Washigton Idaho Total
Deferred power costs as of January 1,2009 $36,952 $20,655 $57,607
Activity from Januar 1 - December 31, 2009:
Power costs deferred 17,985 17,985
Interest and other net additions 879 388 1,267
Recovery of deferred power costs though retail rates (31.567)07,521)(49,088)Deferred power costs as of December 31, 2009 6,264 21,507 27,771
Activity from Januar 1 - Dec~mber 31,2010:
Power costs deferred 9,768 9,768
Interest and other net additions 538 26 564
Recovery of deferred power costs though retail rates (6,802)02,996)09,798)Deferred power costs as of December 31, 2010 ~$18.305 $18.305
Natural Gas Cost Deferrals and Recovery Mechanisms
A vista Corp. fies a purchased gas cost adjustment (pGA) in all thee states it serves to adjust natual gas rates for: 1) estiated
commodity and pipeline tranporttion costs to serve natual gas customers for the comig year, and 2) the difference between actual
and estimated commodity and tranporttion costs for the prior year. These anual PGA fiings in Washington and Idaho provide for
the deferral, and recovery or refud, of 100 percent of the difference between actul and estited commodity and pipeline
tranportation costs, subject to applicable regulatory review. The anual PGA fiing in Oregon provides for deferral, and recovery or
refud, of 100 percent of the difference between actual and estimated pipeline transportation costs and commodity costs tht are fixed
though hedge tranactions. Commodity costs that are not hedged for Oregon customers are subject to a sharg mechasm whereby
Avista Corp. defers, and recovers or refuds, 90 percent of the difference between these actul and estiated costs. Total net deferred
natual gas costs to be refunded to customers were a liability of $22. 1 milion as of Decembér 31, 2010 and $40.0 milion as of
December 31, 2009.
General Rate Cases
The following is a summar of the Company's authorized rates of retu in each jursdiction:
Authorized Authoried Authorized
I FERC FORM NO. 2/3-Q (REV 12-07)122.32
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1 ) ~ An Onginal (Mo, Da, Yr)
1(2) . A Resubmission 04/15/2011 2010/04
Notes to Financial Stateents
Junsdiction and service
Washington electnc and natual gas
Idaho electnc and natual gas
Oregon natual gas
Implementation
Date
December 2010
October 2010
November 2009
Overl Rate
of Retu
7.91%
(1)
8.19%
Retu on
Equity
10.2%
(1)
10.1%
Equity
Level
46.5%
(1)
50.0%
(1) The rate adjustment implemented on October 1, 2010 resulting from the Idaho electrc and natural gas general rate case
settlement did not have a specific authoried rate of retu retu on equity or equity leveL. The prior rate case settement
implemented in Augut 2009 had an authorized rate of retu of 8.55 percent, a retu on equity of 10.5 percent and
authorized equity level of 50.0 percent
Washington General Rate Cases
In December 2009, the WUTC issued an order on Avista Corp. 's electrc and natural gas rate general rate cases that were filed with the
WUTC in Janua 2009. The WUC approved a base electnc rate increase for the Company's Washington customers of2.8 percent,
which was designed to increase anual revenues by $12.1 milion. Base natual gas rates for the Company's Washington customers
increased by an average of 0.3 percent, which was designed to increase anual revenues by $0.6 millon. The new electrc and natual
gas rates became effective on Janua 1,2010. In ths general rate case order, the WUC did not allow the Company to include the
costs associated with the power purchase agreement for the Lancaster Plant in rates. The Company subsequently fied for and received
approval for deferred accounting treatment for these net costs.
In August 2010, the Company entered into an all-par settlement agreement tht resolved all issues with respect to its general rate case
filed with the WUC in March 2010. This settement agreement was approved by the WUC in November 2010. As agreed to in the
settlement stipulation, electrc rates for the Company's Washigtn customers increased by an average of 7.4 percent, which was
designed to increase annual revenues by $29.5 millon. Natual gas rates for the Company's Washigton customers increased by an
average of2.9 percent, which was designed to increase anual revenus by $4.6 millon. The new electrc and natural gas rates became
effective on December 1, 2010. As par of the settlement, the pares agrd tht the Company would not file a general rate case in the
Washington junsdiction before April 1, 201 1.
The pares agreed that recovery of the deferred net costs associated with the power purhase agreement for the Lancaster Plant were
limited to $6.8 milion for 2010. These net deferred costs will De recovered over a five-year amortzation period with a rate of retu
on the unamortized balance. The paries agreed that the costs for the Lacaster Plant for 201 1 and going forward are reasonable and
should be recovered in rates.
As part of the settlement related to the 2010 Lancaster Plant defered net costs, the pares agreed that there would be no deferrls
under the ERM for 2010 in either the surcharge or rebate direction. For 2010, the Company received all of the benefit from the
amount of power supply costs below the level in retail rates in Washington. Deferrals under the ERM will resume in 2011.
Idaho General Rate Cases
In June 2009, the Company entered into an all-part settlement stipulation in its electrc and natual gas general rate cases that were
filed with the IPUC in January 2009. This settlement stipulation was approved by the IPUC in July 2009. The new electrc and natural
gas rates became effective on Augut 1,2009. As agreed to in the settlement, base electrc rates for the Company's Idaho customers
increased by an average of 5.7 percent, which was designed to increase anual revenues by $12.5 milion. Offettng the base electrc
rate increase was an overall 4.2 percent decrease in the PCA surchage, which wa designed to decrease anual PCA revenues by $9.3
milion, resulting in a net increase in annual revenues of$3.2 milion. Base natual gas rates for the Company's Idaho customers
increased by an average of 2.1 percent, which was designed to increase anual revenues by $ 1.9 millon. Offetting the natural gas rate
increase for residential customers was an equivalent PGA decrease of 2. 1 percent Lage general servces customers received a PGA
decrease of2.4 percent and interrptible servces customers received a PGA decrease of2.8 percent. The overall PGA decrease
resulted in a $2.0 million decrease in annual PGA revenues, resultig in a net decrease in anl revenues of $0. 1 millon. The PGAs
are designed to pass though changes in natual gas costs to customers with no chage in gross margin or net income.
In September 2010, the IPUC approved a settlement agreement with respect to the Compaiy's general rate case filed in March 2010.
The new electnc and natural gas rates became effective on October 1, 2010. As agree to in the settement, base electnc rates for the
Company's Idaho customers increased by an average of9.3 percent, which was designed to increase annual revenues by $21.2 millon.
Base natural gas rates for the Company's Idaho cutomers increased by an average of2.6 percent, which was designed to increase
annual revenues by $ 1.8 millon.
I FERC FORM NO. 2/3-0 (REV 12-07)122.33
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1 ) ~ An Original (Mo, Da, Yr)
(2) . A Resubmission 04/15/2011 2010104
Notes to Financial Statements
The settlement agreement includes a rate mitigation plan under which the impact on customers of the new rates will be reduced by
amortzing $ I I. I million ($ I 7.5 milion when grossed up for income taes and other revenue-related items) of previously deferred
state income taxes over a two-year period as a credit to customers. Whle the Company's cash collections from customers will be
reduced by this amortzation durig the two-year period, the mitigation plan wil have no impact on the Company's net income. Retail
rates will increase on October I, 20 I i and October I, 2012 as the deferred state income ta balance is amortized to zero.
Oregon General Rate Cases
In September 2009, the Company entered into an all-par settlement stipulation in its general rate case that was filed with the OPUC
in June 2009. This settlement stipulation was approved by the OPUC in October 2009. The new natual gas rates became effective on
November 1,2009. As agree'd to in the settement, base natual gas rates for Oregon customers increased by an average of7.1 percent,
which was designed to increase annual revenues by $8.8 millon.
In Febru 201 1, the Company entered into an all-par settlement stipulation in its general rate case tht was filed with the OPUC in
September 2010. The settement, which is subject to approval by the OPUC, provides for an overall rate increase of 3. I percent for the
Company's Oregon customers, designed to increae anual revenues by $3.0 million. Par of the rate increase would become effective
March 15, 2011; with the remaing increase effective June 1,2011. The settement is based on an overall rate òfretu of8.0 percent,
with a common equity ratio of 50.0 percent and a 10.1 percent retu on equity. The Company's original request was for an overall
rate increase of5.6 percent, designed to increase annual revenues by $5.4 millon. The Company's original request was based on an
overall rate of retu of 8.6 1 percent, with a common equity ratio of 50.8 percent and a 10.9 percent retu on equity.
NOTE 24. SUPPLEMENTAL CASH FLOW INFORMTION (in thousands)
Cash paid for interest
Cash paid for income taes
2010
$68,638
10,641
Other Cash Flows from Operating Activities:
Other non-eurent assets and liabilties
Net chage in receivables allowance
Power and natual gas deferrals
Change in special deposits
Change in other curent assets
Non-cash stock compensation
Gain on sale of assets
$(7,567)
136
1,383
(6,352)
(1,509)
3,603
(122)
2009
$58,197
22,695
$(20,201)
(2,134)
(216)
(30)
(1,923)
2,596
(89)
I FERC FORM NO. 2/3-0 (REV 12-07)122.34
IS ~o s:
(1) ~An Original
(2) A Resubmission
Summary of Utilty Plant and Accumulated Provisions for Depriation, Amortzation and Depletion
End of 201 0/04Avista Corporation
Une ItemNo. (a)Total Company
For the Current
OuarterlYear
1 UTILITY PLANT
2 In Service
3 Plant in Service (Classified)
4 Property Under Capital Leases
5 Plant Purchased or Sold
6 Completed Construction not Classified
7 Experimental Plant Unclassified
8 TOTAL Utilty Plant (Total of lines 3 thru 7)
9 Leased to Others
10 Held for Future Use
11 Construction Work in Progress
12 Acquisition Adjustments
13 TOTAL Utilty Plant (Total of lines 8 thru 12)
14 Accumulated Provisions for Depreciation, Amortization, & Depletion
15 Net Utilty Plant (Total of lines 13 and 14)
16 DETAIL OF ACCUMULATED PROVISIONS FOR DEPRECIATION, AMORTIZATION AND DEPLETION
17 In Service:
18 Depreciation
19 Amortization and Depletion of Producing Natural Gas Land and Land Rights
20 Amortization of Underground Storage Land and Land Rights
21 Amortization of Other Utiit Plant
22 TOTAL In Service (Total of lines 18 thru 21)
23 Leased to Others
24 Depreciation
25 Amortization and Depletion
26 TOTAL Leased to Others (Total of lines 24 and 25)
27 Held for Future Use
28 Depreciation
29 Amortization
30 TOTAL Held for Future Use (Total of lines 28 and 29)
31 Abandonment of Leases (Natural Gas)
32 Amortization of Plant Acquisition Adjustment
33 TOTAL Accum. Provisions (Should agree with line 14 above)(Total of tines 22, 26, 30, 31, and 32)
í --------- ---
I
3,676,391,997
7,203,329
3,683,595,326
2,218,041
60,766,153
22,027,941
3,768,607,461
1,284,830,029
2,483,777,432I - ---
---- _~~
1,238,948,043
24,281,139
1,263,229,182
21,600,847
1,284,830,029
FERC FORM NO.2 (12-96)Page 200
Name of Respondent This ~ort Is: Date of Report
(1) l!An Original (Mo, Da, Yr)Avista Corporation (2) A Resubmission 0411512011 End of 2010/04
Summary of Utilty Plant and Accumulated Provisions for Depreciation, Amortization and Depletion (continued)
YearlPeriod of Report
Une
No.
Electric
(c)
Gas
(d)
Other (specify)
(e)
Common
(f)--- -- -- --I --- - - --- --- - -- -I i~-I---------~------' --- -~~--, I
2,796,018,893 712,126,860
1,619,845
168,246,244
5,583,484
2,796,018,893 713,746,705 173,829,728
2,033,223 184,818
39,513,487 4,365,975 16,886,691
22,027,941
2,837,565,603 740,325,439 190,716,419
969,323,143 268,765,035 46,741,851
1,868,242,460 471,560,404 143,974,568
---- - -- --- --r - --- - - -- - -- - I - - - -I ,
21,600,847
268,765,035 46,741,851969,323,143
FERC FORM NO.2 (12-96)Page 201
Avista Corporation
Date of Report
(Mo, Da, Yr)
04/1512011
YearlPeriod of ReportThis ~ort Is:
(1) ~An Original
(2) A Resubmission
Gas Plant in Service (Account 101, 102, 103, and 106)
1. Report below the original cost of gas plant in service accrding to the prescrbe accunts.
2. In addition to Accunt 101, Gas Plant in Service (Classified), this page and the next include Accunt 102, Gas Plant Purchased or Sold, Accunt
103, Experimental Gas Plant Unclassified, and Accunt 106, Completed Construction Not Classifi-Gas.
3. Include in column (c) and (d), as appropriate corrections of additions and retirements for the currnt or preceing year.
4. Enclose in parenthesis credit adjustments of plant accunts to indicate the negative effect of such accunts.
5. Classify Accunt 106 accrding to prescribed accunts, on an
estimated basis if necessary, and include the entries in column (c).Also to be included in column (c) are entries for reversals of tentative distributions of
prior year reported in column (b). Ukewise, if the respondent has a significant amount of plant retirements which have not been classified to primary
accounts at the end of the year, include in column (d) a tentative distribution of such retirements, on an estimated basis, with appropriate contra entry to
the accunt for accumulated depreciation provision. Include also in column (d) reversals of tentative distributions of prior yeats unclassifed retirements.
Attach supplemental statement showing the accunt distributions of these tentative classifications in columns (c) and (d),Accunt Balance at
Beginning of Year
End of 2010/04
Name of Respondent
AdditionsUne
No.a ---- --- - -1- -- - --- - -1 INTANGIBLE PLANT
2 301 Organization
3 302 Franchises and Consents
4 303 Miscellaneous Intangible Plant
5 TOTAL Intangible Plant (Enter Total of lines 2 thru 4)
6 PRODUCTION PLANT
7 Natural Gas Production and Gathering Plant
8 325.1 Producing Lands
9 325.2 Producing Leaseholds
10 325.3 Gas Rights
11 325.4 Rights-of-Way
12 325.5 Other Land and Land Rights
13 326 Gas Well Structures
14 327 Field Compressor Station Structures
15 328 Field Measuring and Regulating Station Equipment
16 329 Other Structures
17 330 Producing Gas Wells-Well Construction
18 331 Producing Gas Wells-Well Equipment
19 332 Field Lines
20 333 Field Compressor Station Equipment
21 334 Field Measuring and Regulating Station Equipment
22 335 Drillng and Cleaning Equipment
23 336 Purification Equipment
24 337 Other Equipment
25 338 Unsuccessful Exploration and Development Costs
26 339 Asset Retirement Costs for Natural Gas Production and
27 TOTAL Production and Gathering Plant (Enter Total of lines 8
28 PRODUCTS EXTRACTION PLANT
29 340 Land and Land Rights
30 341 Structures and Improvements
31 342 Extraction and Refining Equipment
32 343 Pipe Lines
33 344 Extracted Products Storage Equipment
--_~_~-------_~ --_~-_~_---1,698,296
1,698,296
1,661,867
1,661,867
- ----------------------
FERC FORM NO.2 (12-96)Page 204
Name of Respondent Year/Period of ReportThis ~ort Is: Date of Report
(1) llAn Original (Mo, Da, Yr)
(2) A Resubmission 04/1512011
Gas Plant in Service (Accounts 101, 102, 103, and 106) (continued)
including the reversals of the prior years tentative accunt distributions of these amounts. Careful observance of the above instructions and the texts of
Account 101 and 106 wil avoid serious omissions of respondent's reported amount for plant actually in service at end of year.
6. Show in column (f) reclassifications or transfers within utilty plant accunts. Include also in column (f) the additions or reductions of primary accunt
classifications ansing from distribution of amounts initially recorded in Account 102. In showing the clearance of Account 102, include in column (e) the
amounts with respect to accumulated provision for depreciation, acquisition adjustments, etc., and show in column (f) only the offet to the debits or
credits to primary accunt classifications.
7. For Accunt 399, state the nature and use of plant included in this accunt and if substantial in amount submit a supplementary statement showing
subaccunt classification of such plant conforming to the requirements of these pages.
8. For each amount comprising the reported balance and changes in Account 102, state the property purchased or sold, name of vendor or purchaser,
and date of transaction. If proposed journal entries have been filed with the Commission as required by the Uniform System of Accounts, give date of
such filing.
Avista Corporation End of 2010/Q4
Une
No.
Retirements Adjustments Transfers
--- --- -- r---- -- - -- --- - --- - - - ----- - - -(d)(e)(f)
Balance at
End of Year
(g)
2
34 508,0515 508,051
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
2
29
30
31
32
33
=--=~=,-- --=~2,852,112
2,852,112
--~-~-I--~~----------- -- --------- -1- ----- -----
FERC FORM NO.2 (12-96) Page 205
Name of Respondent
Avista Corporation
This '!0rt Is: Date of Report
(1) IlAn Original (Mo, Da, Yr)
(2) A Resubmission 04/1512011
Gas Plant in Service (Accounts 101,102,103, and 106) (continued)Accunt Balance at
Beinning of Yeara b
YearlPeriod of Report
End of 2010/04
AdditionsUne
No.c
34 345 Compressor Equipment
35 346 Gas Measuring and Regulating Equipment
36 347 Other Equipment
37 348 Asset Retirement Costs for Products Extraction Plant
38 TOTAL Products Extraction Plant (Enter Total of lines 29 thru 37)
39 TOTAL Natural Gas Production Plant (Enter Total of lines 27 and
40 Manufactured Gas Production Plant (Submit Supplementary
41 TOTAL Production Plant (Enter Total of lines 39 and 40)
42 NATURAL GAS STORAGE AND PROCESSING PLANT
43 Underground Storage Plant
44 350.1 Land
45 350.2 Rights-of-Way
46 351 Structures and Improvements
47 352 Wells
48 352.1 Storage Leaseholds and Rights
49 352.2 Reservoirs
50 352.3 Non-recoverable Natural Gas
51 353 Unes
52 354 Compressor Station Equipment
53 355 Other Equipment
54 356 Purification Equipment
55 357 Other Equipment
56 358 Asset Retirement Costs for Underground Storage Plant
57 TOTAL Underground Storage Plant (Enter Total of lines 44 thru
58 Other Storage Plant
59 360 Land and Land Rights
60 361 Structures and Improvements
61 362 Gas Holders
62 363 Purifcation Equipment
63 363.1 Uquefaction Equipment
64 363.2 Vaporizing Equipment
65 363.3 Compressor Equipment
66 363.4 Measuring and Regulating Equipment
67 363.5 Other Equipment
68 363.6 Asset Retirement Costs for Other Storage Plant
69 TOTAL Other Storage Plant (Enter Total of lines 58 thru 68)
70 Base Load Liquefied Natural Gas Terminaling and Processing Plant
71 364.1 Land and Land Rights
72 364.2 Structures and Improvements
73 364.3 LNG Processing Terminal Equipment
74 364.4 LNG Transportation Equipment
75 364.5 Measuring and Regulating Equipment
76 364.6 Compressor Station Equipment
77 364.7 Communications Equipment
78 364.8 Other Equipment
79 364.9 Asset Retirement Costs for Base Load Uquefied Natural Gas
80 TOTAL Base Load Uquefied Nat'l Gas, Terminaling and
~ -- ------ -_~---------~63,431)
63,431)
71,059
71,059
413,080
59,812
1,302,865
9,982,121
254,354
203,330
5,971,926
1,102,696
14,086,908
173,784
407,618
1,431,235
10,541
961,309)
41,849
1,601,003)
4,086
39,988
27,069
----_~-----I------_~_--35,389,729 2,438,779)
~__~~_-------_~_--
FERC FORM NO.2 (12-96)Page 206
Name of Respondent
Une
No.
Retirements
This ~ort Is: Date of Report
(1) IlAn Original (Mo, Da, Yr)
(2) A Resubmission 04/15/2011
Gas Plant in Service (Accounts 101, 102, 103, and 106) (continued)
Adjustments Transfers
YearlPeriod of Report
End of 2010/04Avista Corporation
(d)(e)(f)
Balance at
End of Year
(g)
34
35
36
37
38
39
40
41
4
4
44
45
46
47
48
49
50
51
52
53
54
55
56
57
5
59
60
61
62
63
64
65
66
67
68
69
7
71
72
73
74
75
76
77
78
79
80
------¡-~----,----------~-~---------~~~~7,628
7,628
22,710
413,080
59,812
1,313,406
9,020,812
254,354
245,179
4,370,923
1,106,782
14,104,186
173,784
407,618
1,458,304
-------¡-~----~-~-~---i_--- ---22,710 32,928,240
------ì~--i---- -------~~-------
FERC FORM NO.2 (12-96)Page 207
This ~ort Is: Date of Report
(1) ~An Original (Mo, Da, Yr)
(2) A Resubmission 04/1512011
Gas Plant in Service (Accounts 101, 102,103, and 106) (continued)Account Balance at
Beginning of Year
b
Name of Respondent
Avista Corporation
Une
No.
81
82
83
84
85
86
87
88
89
90
91
92
93
94
95
96
97
98
99
100
101
102
103
104
105
106
107
108
109
110
111
112
113
114
115
116
11
118
119
120
121
122
123
124
125
126
127
128
129
a
TOTAL Nat'l Gas Storage and Processing Plant (Total of lines 57,
TRANSMISSION PLAN
365.1 Land and Land Rights
365.2 Rights-of-Way
366 Structures and Improvements
367 Mains
368 Compressor Station Equipment
369 Measuring and Regulating Station Equipment
370 Communication Equipment
371 Other Equipment
372 Asset Retirement Costs for Transmission Plant
TOTAL Transmission Plant (Enter Totals of lines 83 thru 91)
DISTRIBUTION PLANT
374 Land and Land Rights
375 Structures and Improvements
376 Mains
377 Compressor Station Equipment
378 Measuring and Regulating Station Equipment-General
379 Measuring and Regulating Station Equipment-eity Gate
380 Services
381 Meters
382 Meter Installations
383 House Regulators
384 House Regulator Installations
385 Industrial Measuring and Regulating Station Equipment
386 Other Propert on Customers' Premises
387 Other Equipment
388 Asset Retirement Costs for Distribution Plant
TOTAL Distribution Plant (Enter Total of lines 94 thru 108)
GENERAL PLANT
389 Land and Land Rights
390 Structures and Improvements
391 Offce Furniture and Equipment
392 Transporttion Equipment
393 Stores Equipment
394 Tools, Shop, and Garage Equipment
395 Laboratory Equipment
396 Power Operated Equipment
397 Communication Equipment
398 Miscellaneous Equipment
Subtotal (Enter Total of lines 111 thru 120)
399 Other Tangible Propert
399.1 Asset Retirement Costs for General Plant
TOTAL General Plant (Enter Total of lines 121, 122 and 123)
TOTAL (Accunts 101 and 106)
Gas Plant Purchased (See Instruction 8)
(Less) Gas Plant Sold (See Instruction 8)
Experimental Gas Plant Unclassifed
TOTAL Gas Plant In Service (Enter Total of lines 125 thru 128)
Year/Period of Report
End of 2010/04
Additions
c
35,389,729 2,438,779)- ---- --~-_~
I
_~- -_~--_~~-_~_-
258,667
903,371
332,703,135
4,978
131,770
12,970,844
7,146,656
7,625,158
190,029,230
88,134,936
1,267,028
6,115)
5,560,267
6,195,051
3,744,281 271,938
539
630,545,973 26,395,761----~-_~_---
956,878 1,240)
4,468,664 372,861
386,250 10,563
6,431,751 1,514,189
141,498
3,823,072 204,128
601,181 68,766
3,763,392 1,179,089
2,099,293 366,500
2,367
22,671,979 3,717,223
22,671,979 3,717,223
690,242,546 29,407,131----
690,242,546 29,407,131
FERC FORM NO.2 (12-96)Page 208
Name of Respondent
Une
No.
Retirements
This ~ort Is: Date of Report
(1) !!An Original (Mo, Da, Yr)
(2) A Resubmission 04/15/2011
Gas Plant in Service (Accounts 101, 102, 103, and 106) (continued)
Adjustments Transfers
YearlPeriod of Report
End of 2010/04Avista Corporation
(d)(e). (f)
Balance at
End of Year
(g)
81
8
83
84
85
86
87
88
89
90
91
92
9
94
95
96
97
98
99
100
101
102
103
104
105
106
107
108
109
1
111
112
113
114
115
116
11
118
119
120
121
122
123
124
125
1
127
128
129
~------~i---~----~--- ~-_._---..~..---22,710 32,928,240
-~~~-- --I----------------.---~------ ---~ --I i I
512,040
263,645
1,035,141
345,161,939
200,408
54,170
591,714
2,638,817
8,213,276
7,564,873
. 194,997,783
91,691,170
54,107 3,962,112
539
--------I-._-~------------I-----------4,051,256 652,890,478
6,398
404,868
48,668
949,240
4,436,657
396,813
7,897,272
141,498
3,867,523
543,324
4,381,788
2,451,765
2,367
25,068,247
159,677
126,623
560,693
14,028
1,320,955
-~-~-----1,320,955
5,902,972
25,068,247
713,746,705
5,902,972 713,746,705
FERC FORM NO.2 (12-96)Page 209
Avista Corporation
Date of Report
(Mo, Da, Yr)
04/15/2011
YearlPeriod of ReportThis ~ort Is:
(1) ~An Original
(2) A Resubmission
Gas Plant Held for Futre Use (Account 105)
1. Report separately each property held for future use at end of the year having an original cost of $1,000,000 or more. Group other
items of propert held for future use.
2. For propert having an original cost of $1,000,000 or more previously used in utility operations, now held for future use, give in
column (a), in addition to other required information, the date that utilty use of such propert was discontinued, and the date the
original cost was transferred to Account 105.
End of 2010/q4
Name of Respondent
Une
No.
Descptin and Loction
of Propert
(a)
Date Oriinally Included
in lhis Accunt
(b)
Date Expeed to be Used
in Utility Service
(c)
Balance at
End of Year
(d)
1 Gas Distrbuton Mains and Servics
2 located in Coeur d'Alene, Idaho
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45 Total
03/0112007 184,818
1- - - - - - I 184,818
FERC FORM NO.2 (12-96)Page 214
Name of Respondent This wort Is:Date of Report Year/Period of Report
(1) X An Original (Mo, Da, Yr)Avista Corporation (2) FîA Resubmission 04/15/2011 End of 2010/04
Construction Work in Progress-Gas (Account 107)
1. Report below descriptions and balances at end of year of projects in process of construction (Accunt 107).
2. Show items relating to "research, development, and demonstration" projects last, under a caption Research, Development,
and Demonstration (see Account 107 of the Uniform System of Accunts).
3. Minor projects (less than $1,000,000) may be grouped.
Construction Work in Estimated Additional
Une Description of Project Progress-Gas Cost of Project
No.(Accunt 107)
(a)(b)(c)
1
2 State of Washington
3 Minor Projects (45) under'$1,OOO,OOO 1,664,765 4,211,014
4
5
6
7 State of Idaho
8 Minor Projects (17) under $1,000,000 86,019 589,639
9
10
11
12 State of Oregon
13 Minor Projects (54) under $1 ,000,000 2,462,042 5,311,047
14
15
16
17 Common-WNID
18 Minor Projects (5) under $1,000,000 54,507 506,272
19
20
21 Common-WNID/OR
22 Minor Projects (4) under $1,000,000 98,642 1,100,300
23
24
25 "
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45 Total 4,365,975 11,718,272
FERC FORM NO.2 (12-96)Page 216
Name of Respondent YearlPeriod of ReportThis ~ort Is: Date of Report
(1) ~An Original (Mo, Da, Yr)
(2) A Resubmission 04/1512011
Accumulated Provision for DepreIation of Gas Utility Plant (Account 108)
1. Explain in a footnote any important adjustments during year.
2. Explain in a footnote any difference between the amount for book cost of plant retired, line 10, column (c), and that reported for gas
plant in service, page 204-209, column (d), excluding retirements of nondepreciable propert.
3. The provisions of Accunt 108 in the Uniform System of Accounts require that retirements of depreciable plant be recorded when
such plant is removed from service. If the respondent has a significant amount of plant retired at year end which has not been
recorded and/or classified to the various reserve functional classifications, make preliminary closing entries to tentatively functionalize
the book cost of the plant retired. In addition, include all costs included in retirement work in progress at year end in the appropriate
functional classifications.
4. Show separately interest credits under a sinking fund or similar method of depreciation accounting.
S. At lines 7 and 14, add rows as necessary to report all data. Additional rows should be numbered in sequence, e.g., 7.01, 7.02, etc.
Item Total Gas Plant in Gas Plant Heid Gas Plant Leased(c+d+e) Service for Future Use to Others~ ~ ~ 00
End of 2010/04Avista Corporation
Une
No.(a)
Secon A. BALANCES AND CHANGES DURING YEAR
Balance Beginning of Year
Depreciation Provisions for Year, Charged to
(403) Depreiation Expense
(403.1) Deprecition Expense for Asset Retirement Costs
(413) Expense of Gas Plant Leased to Oters
Transporttin Expenses - Clearing
Oter Clearing Accunts
Oter Clearing (Speif) (footnote details):
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
TOTAL Depree. Provo for Year (Total of lines 3 thru 8)
Net Charges for Plant Retired:
Book Cost of Plant Retired
Cost of Removal
Salvage (Creit)
TOTAL Net Chrgs for Plant Ret. (Total of lines 12 thru 14)
Oter Debit or Creit Items (Descrbe) (footnote details):
Bok Cost of Asset Retirement Costs
Balance End of Year (Total of lines 1,10,15,16 and 18)
Secn B. BALANCES AT END OF YEAR ACCORDING TO
FUNCTIONAL CLASSIFICATIONS
Prouctons-Manufacture Gas
Producton and Gathering-Natural Gas
Prouct Extcton-Natural Gas
Underground Gas Storage
Oter Storage Plant
Base Load LNG Terminaling and Prosing Plant
Transmission
Distrbution
General
TOTAL (Total of lines 21 thru 29)
246,503,256 246,503,256
21
22
23
24
25
26
27
28
29
30
11,598,821 11,598,821
225,949,369
8,955,066
246,503,256
225,949,369
8,955,066
246,503,256
FERC FORM NO.2 (12-96)Page 219
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1) ~ An Original (Mo. Da, Yr)
(2)A Resubmission 04/15/2011 2010104
FOOTNOTE DATA
I FERC FORM NO.2 (12-96)Page 552.1
Nami ot ~se:ondent .This oo0rt Is:Date of Report Year/Period of ReportViS orporation (1) X An Original (Mo, Da, Yr)
(2) Fí A Resubmission 04/15/2011 End of 2010104
Gas Stored (Accounts 117.1, 117.2, 117.3, 117.4, 164.1, 164.2, and 164.3)
1. If during the year adjustments were made to the stored gas inventory reported in columns (d), (f), (g), and (h) (such as to correct cumulative inaccuracies
of gas measurements), explain in a footnote the reason for the adjustments, the Dth and dollar amount of adjustment, and accunt charged or credited.
2. Report in column (e) all encroachments during the year upon the volumes designated as base gas, column (b), and system balancing gas, column (c),
and gas propert recordable in the plant accunts.
3. State in a footnote the basis of segregation of inventory betwen current and noncurrnt portions. Also, state in a footnote the method used to report
storage (i.e., fixed asset method or inventory method).
inE Description Noncurrent Current LNG LNG
No (Accunt (Account (Accunt (Accunt (Accunt (Accunt (Accunt Total
117.1)117.2)117.3)117.4)164.1)164.2)164.3)
(a)(b)(c)(d)(e)(f)(g)(h)(i)
1 Balance at Beinning of ,12,706,7&12.706,763
2 Gas Delivere to Stoag 2,57.031 32,273,53 34,850,56
3 Ga Withraw from 27,737,'J 27,73,36
4 Oter Debit and Creits
5 Balance at End of Year 2,571,031 17,242,931 19,819.96
6 Dt 461,834 4,730,46i 5,192,299
7 IAmount Per Dt 5.580 3.64 3.817
FERC FORM NO.2 (REV 04-04)Page 220
This Page Intentionally Left Blank
Name of Respondent This oo0rt Is:Date of Report Year/Period of Report
Avista Corporation (1) X An Original (Mo, Da, Yr)
(2) FiA Resubmission 04/15/2011 End of 2010/04
Investments (Account 123,124, and 136)
1. Report belo investments in Accunts 123, Investments in Assocate Companie, 124, Otr Invetmnts, and 136, Temporary Cash Invests.
2. Provide a subheading for each accunt and list thereunder the informatin called for.
(a) Investment in Securies-List and descrbe each seurity owned, givng name of issuer, date acquire and date of maturi. For bonds, als give principal amount, date of isue,
maturity, and interest rate. For capitl stoc (including capitl sto of respondent reacquire under a definite plan for rele pursuant to authorizatin by the Board of Dirers, and
included in Accunt 124, Oter Investments) state number of shares, class, and seri of stoc Minor invesnls may be grope by clas. Investments included in Accunt 136,
Temporary Cash Investments, also may be groupe by class.
(b) Investmnt Advances-Report separately for each persn or company th amounts of lons or invent advnce that are properl includable in Accunt
123. Include advances
subject to currnt repayment in Accunt 145 and 146. With repe to each advance, show whether the advance is a note or open accunt.
Descrption of Investment Book Cost at Beginning of Year Purcases or
(If bok cost is diferent frm Additons
Line .cost to repondent, give co to During the Year
No.repondent in a footnote and
explain diference)
(a)(b)(c)(d)
1 Spokane Energy (123000)500,000
2 Avista Capitl (123010)11,547,000
3 WZN Loans Sandpoint (124350)65,177
4 Exec Deferrl Cash (124600)13,041,397 (1,019,051)
5 Goodwil & other (124610)(13,041,397)1,019,051
6 WZN Loans Oreon (124680)50,024 (1,776)
7 WNP3 Exchange (124900)79,626,000
8 AMT WNP3 Exchange (124930)(55,942,762)(2,450,031)
9 Temp Cash Investments 652,010 16,803,800
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39 .
40
FERC FORM NO.2 (12-96)Page 222
Name of Respondent This oo0rt Is:Date of Report YearlPeriod of Report
(1) X An Original (Mo, Da, Yr)Avista Corporation (2) FiA Resubmission 04/15/2011 End of 2010/04
Investments (Account 123,124, and 136) (continued)
List each note, giving date of issuance, maturi date, and specifyng whether note is a renewaL. Designate any advances due from offrs, direors, stholders, or employee.
3. Designate with an asterisk in column (b) any securies, note or accunts that were pleged, and in a fotnote state the name of pledes and purp of the pledge.
4. If Commission approval was required for any advance made or securi acquired, deignate such fact in a footnote and ci Commission, date of authorition, and case or docet
number.
5. Report in column (h) interest and dividend revenues from investments including such revenues from securies dispo of during the year.
6. In column (i) report for each investment dispose of during the year the gain or loss repreented by the diference between co of the investmnt (or the other amount at which
carred in the boks of accunt if diferent from cost) and the sellng price theref, not including any dividend or interet adjustment includible in column (h).
Sales or Oter Principal Amount or Book Cost at End of Year Revenues for Gain or Los frm
Dispositions No. of Shares at (If bok cot is diferent from cot Year InvestmentUneDuring Year End of Year to repondent, give co to Dispoed ofNo.
repondent in a footnote and,
explain diference)
(e)(Q (g)(h)(Q
1 500,000
2 11,547,000
3 65,177
4 12,022,346
5 (12,022,346)
6 48,248
7 79,626,000
8 (58,392,793)
9 17,455,810
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39 .
40
FERC FORM NO.2 (12-96)Page 223
Name of Respondent This oo0rt Is:Date of Report YearlPeriod of Report
(1) X An Original (Mo, Da, Yr)
Avista Corporation -(2) FiA Resubmission 04/15/2011 End of 2010/04
Investments in Subsidiary Companie (Account 123.1)
1. Report below invesents in Accunt 123.1, Investments in Subsidiary Companie.
2. Provide a subheading for each company and list thereunder the information called for belo. Sub-total by company and give a tol in coumn (e), (f), (g) and (h).
(a) Investmnt in Secris-List and descrbe each secri owned. For bonds give also princpal amount date of is, maturi, and intere rate.
(b) Investment Advances. Report separately the amounts of loans or investment advances which are subje to reymt but whic are not subject to currnt settement. Wjt respe
to each advance show whether the advance is a note or open accunt. List each note giving date of isuance, matri date, and speng whether note is a renewal.
3. Report separately the equity in undistrbuted subsidiary eamings since acquisition. The total in column (e) should equal the amont entered for Accunt 418;1.
Description of Investment Date Date of Amount of
Acquire Maturi Investmnt at
Une Beginning of Year
No.,(a)(b)(c)(d)
1 Avista Capitl. Common Stock 01/01/1997 187,935,344
2 Avista Capital. Equit in Eamings (107,001,757)
3 OCllnvestment in Subs
4 Avista Capitl. Oter Changes in Net Investment
5 Avista Capitl. Oter Changes in Net Investmnt
6 Avista Capitl- Oter Changes in Net Investmnt 309,652
7
8
9
10 -
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40 TOTAL Cost of Account 123.1 $TOTAL 81,243,239
.
FERC FORM NO.2 (12-96)Page 224
Name of Respondent This wort Is:Date of Report Year/Period of Report
(1) X An Original (Mo, Da, Yr)Avista Corporation (2) FiA Resubmission 04/15/2011 End of 2010/04
Investments in Subsidiary Companies (Account 123.1) (continued)
4. Designate in a footnote, any securities, notes, or accunts that were pledged, and state the name of pledgee and purpose of the pledge.
5. If Commission approval was required for any advance made or secri acquired, designate such fact in a footnote and give name of Commission, date of authorizatin, and case or
docket number.
6. Repo in column (n interest and dividend revenues from investments, including such revenues from series disposed of during the year.
7. In column (h) report for each investment disposed of during the year, the gain or los reprented by the diffrence between cost of the investmnt (or the other amount at which
carred in the boks of accunt if diferent from cot), and the selling price thereof, not including intere adjustments includible in column (n.
8. Report on Line 40, coumn (a) the total cost of Accunt 123.1.
Equity in Subsidiary Revenues for Year Amount of Investment Gain or Los from
Eamings for Year at End of Year . InvestmentUne
Disposed of No.
(e),(n (g)(h)
1 10,915,535 177,019,809
2 6,092,992 (9)(100,908,756)
3
4
5
6 (1,312,864)1,622,516
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40 6,092,992 9,602,662 77,733,569
FERC FORM NO.2 (12-96)Page 225
Name of Respondent This oo0rt Is:Date of Report YearlPeriod of Report
(1) X An Original (Mo, Da, Yr)
Avista Corporation (2) nA Resubmission 04/1512011 End of 2010/04
Prepayments (Acct 165), Exraordinary Propert Losses (Acct 182.1), Unreovered Plant and Regulatry Study Costs (Acct 182.2)
PREPAYMENTS (ACCOUNT 165)
1. Report below the particulars (details) on each prepayment.
Nature of Payment Balance at End
Une of Year
No.(in dollars)
(a)(b)
1 Prepaid Insurance 4.647,355
2 Prepaid Rents
3 Prepaid Taxes
4 Prepaid Interest
5 Miscellaneous Prepayments 6,106,794
6 TOTAL 10,754,149
.
FERC FORM NO.2 (12-96)Page 230a
Name of Respondent This wort Is:Date of Report Year/Period of Report
(1) X An Original (Mo, Da, Yr)Avista Corporation (2) riA Resubmission 04/15/2011 End of 2010104
Other Regulatory Assets (Account 182.3)
1. Report below the details called for conceming other regulatory assets which are created through the ratemaking actions of regulatory agencies (and not includable
in other accounts).
2. For regulatory assets being amortized, show penod of amortization in column (a).
3. Minor items (5% of the Balance at End of Year for Accunt 182.3 or amounts less than $250,000, whichever is less) may be groupe by classes.
4. Report separately any 'Deferred Regulatory Commission Expenses' that are also reported on pages 350-351, Regulatory Commission Expenses.
5. Provide in a footnote, for each line item, the regulatory citation where authonzation for the regulatory asset has ben granted (e.g. Commission Order, state
commission order, court decision).
Une Descriptin and Purpse of Balance at Debits Wrin off During Wrienoff Written off Balance at End ofNo.Oter Regulatory Assets Beginning QuartrlY ear During Period During Period Currnt
Currnt Accunt Amount Recvered Amount Deemed Quarterl ear
QuartrlY ear Charged Unrecverable
(a)(b)(cl (d)(e)(n (g)
1 Regulatory Asset FAS 106 1,418,256 926 472,752 945,504
2 Guaranteed Residual Value-Airplane
3 Reg Asset Post Ret Liab 141,084,84 37,899,90 178,984,752
4 Reg Asset FAS 109 Utilit Plant 82,355,236 283 6,778,073 75,577,163
5 Reg Asset FAS 109 DSIT Non Plant 2,387,826 283 232,356 2,155,470
6 Reg Asst FAS 109 DSIT State Tax cr 6,248,158 283 196,871 6,051,287
7 Reg Asset FAS 109 WNP3 7,128,805 283 737,48 6,391,322
8 Reg Asset-Spokane River Relicense 802,034 407 22,20 77,834
9 Reg Asset-Spokane River PM&E 44,35 279,160 722,510
10 Reg Asset-Lake CDA Fund 10,062,735 407 203,00 9,859,729
11 Reg Ast- Decuplings Surcharge 378,929 92,730 471,659
12 Regulatory Asset AMR 29,605 29,605
13 Reg Asset RTO Deposit ID 141,611 560 70,806 70,805
14 Reg Asst BPA Residental Exchange 663,953 663,953
15 Reg Asset ERM Approved for Recovery 6,233,995 557 6,233,995
16 ID Wind Gen AFUDC 120,476 119,12 239,60
17 Reg Asset Wartila Unit 1,765,181 407 337,788 1,427,393
18 MTM St Regulatory Asset .8,331,750 40,559,32 48,891,073
19 Reg Asset- FAS 143 Asset Retirement Obligation 3,130,245 111 65,214 3,065,031
20 Reg Asset AN CDA Lake Sellement 37,202,198 3,183,778 40,38,976
21 Reg Asset WA CDA Lake Sellement 1,553,54 407 45,042 1,50,50
22 Reg Asset Workers Comp 2,921,174 9,58 .-2,930,760
23 CS2 Lev Ret 1,50,659 407 60,300 1,44,359
24 Reg AssetlD PCA Deferrl 1 10,457,471 4,280,973 14,738,44
25 Reg Asset ID PCA Deferrl 2 3,56,30 3,56,30
26 Reg Asset ID PCA Deferrl 3 11,049,788 557 11,049,788
27 Reg Asset. Future Payments Lake CDA 4,00,00 182 4,00,00
28 DSMAsset 4,251,311 4,251,311
29 Lancaster Generation 6,686,66 6,68,667
30 CDA Fund 2,00,00 2,00,00
31 MTM L T Reg Asset 15,723,m 15,723.775
32
33 .
34
35
36
37
38
39
40 Total 340,722,268 119,616,200 30,505,674 0 42,832,794
.
FERC FORM NO. 213Q (REV 12-07)Page 232
Name of Respondent This oo0rt Is:Date of Report YearlPeriod of Report
Avista Corporation (1) X An Original (Mo, Da, Yr)
(2) FiA Resubmission 041512011 End of 2010/04
Miscellaneous Deferr Debits (Account 186)
1. Report below the details called for conceming miscellaneous deferred debits.
2. For any deferred debit being amortized, show period of amortization in column (a).
3. Minor items (less than $250,000) may be grouped by classes.
Une Descption of Miscellaneous Balance at Debit Credit Creit Balance at
No.Deferr Debit Beinning End of Year
of Year Accunt Amount
Charged
(a)(b)(c)(d)(e)(Q
1
2 Colstrip Common Fac.1,110,999 406 1,110,999
3 Regulatory Asset-Decoupling def 254,614 407 299,390 (44,776)
4 WA Deferred Power Costs 29,449 29,449
5 WA ERM YTD Company Band (3,037,637)3,037,637
6 WA ERM YTD Contra Accunt 3,037,637 3,037,637
7 Regulatory Asset ROT Deposit 237,321 560 158,214 79,107
8 Regulatory Asset-Mt lease pymt 2,434,617 540 360,684 2,073,933 .
9 Regulatory Asset-Mt lease pymt 4,736,376 540 676,632 4,059,744
10 Colstrip Common Fac.2,355,642 406 2,355,642
11 Regulatory Asset- COLS 58,330 506 584,330
12 Guaranteed Residual Value-Plane 2,916,673 2,916,673
13 Prepaid airplane Lease L T 28,743 584,448 613,191
14 Misc DD- Airplane lase cap 48,316 48,316
15 Payroll Accrual VAR
16
17 PI,ant Allocation of clearing jr 2,837,265 VAR 1,551,959 1,285,306
18 Mise DD-IR Swaps 52,705 245 52,705
19 Mise Error Suspense (15,154)455,407 440,253
20
21 Renewable Energy-Cert Fees 174,000 557 174,000
22 Misc susp acc-non wlo 47,415 47,415
23 Unamortized AIR sale 35,445 35,445
24
25 Intangible Pension Asset
26
27 Nez Perce Settlement 176,385 557 5,212 171,173
28 Misc Deferred Debit Centralia 678,434 678,434
29
30 Long Term Note Rec acc 277,158 282,270 143 559,428
31 Reg Asset ID-Lake Cda 315,120 506 13,115 302,005
32 ID Panhandle Forest Use Permit 226,097 45,080 181,017
33 Credit Union Labor & Exp 20,275 40,836 61,111
34 Reclass IPA Acc deposit 2,000,000 2,000,000
35 Horizon Wind Interco 47,020 14,323 61,343
36 Insurance Recv CDA Lake
37 Corp reorg stk iss. costs
38 Reclass Idaho Clk Fork Relic 976,731 260,633 716,098
39 Miscellaneous Work in Progress
-
FERC FORM NO.2 (12-96)Page 233
Name of Respondent This oo0rt Is:Date of Report Year/Period of Report
(1) X An Original (Mo, Da, Yr)Avista Corporation (2) nA Resubmission 04/15/2011 End of 2010/04
Miscellaneous Deferred Debits (Account 186) (continued)
1. Report below the details called for concerning miscellaneous deferred debits.
2. For any deferred debit being amortized, show period of amortization in column (a).
3. Minor items (less than $250,000) may be grouped by classes.
Une Deription of Miscllaneous Balance at Debit Creit Creit Balance at
No.Deferrd Debits Beginning End of Year
of Year Accunt Amount
Charged
(a)(b)(c)(d)(e)(f)
1 Noxon Living Facilty Exp,67,001 67,001
2
3
4 PG&E Canada to N Cal trans 867,043 19,130 886,17
5 Misc Work Orders 00$50,000 (71,696)98,013 VAR 26,317
6 Subsidiary Bilings 87,699 VAR 54,323 33,376
7 "Null" Projects directly to 186 12,645 8,188 4,457
8 Mise Work in Progress
9 Deferred Regulatory Comm. Expenses (See)
10 Regulatory Assets Consv 229,213 229,213
11 Regulatory Assets Consv 63,569 2,049,197 2,112,766
12 Regulatory Assets Consv 2,072,766 2,072,766
13 Regulatory Assets Consv 152,407 101,144 51,263
14 Regulatory Assets Consv 139,945 139,945
15
16 .
17
18 .
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39 Miscellaneous Work in Progress 26'057~40 Total 17,414,947
.
FERC FORM NO.2 (12-96)Page 233.1
Avista Corporation
Date of Report
(Mo, Da, Yr)
04/1512011
Year/Period of ReportThis ~ort Is:
(1) I!An Original
(2) A Resubmission
Accumulated Deferrd Income Taxes (Account 190)
1. Report th informtion called for below conceming the respondents accunting for defrr incme taes.
2. At Oter (Spec), include deferrls relating to other income and deductons.
3. Provide in a footnote a summary of the type and amount of deferr income taes repo in the beinning-of-year and end-o-year balance for deferred income
taxes that the respondent estimates could be included in the development of juriictonal rers ra.Accunt Subdivisions Balance at
Beinning
of Year
End of 2010/04
Name of Respondent
Changes During
Year
Changes During
Year
Une
No.
(a)- - - --- - - --- 1- --- --- - -I
(b)
Amounts Debitd
to Accunt 410.1
(c)
Amounts Creited
to Accunt 411.
(d)
1 Accunt 190
2 Elecc
3 Gas
4 Oter (Define) (footnote details)
5 Total (Total of lines 2 thru 4)
6 Oter (Specif) (footnote details)
7 TOTAL Accunt 190 (Total of lines 5 thru 6)
8 Classification ofTOTAL
9 Federal Income Tax
10 State Income Tax
11 Locl Income Tax
5,391,538 171,210)696,715)
267,755)352,307)491,528
86,851,764 1,572,989 619,302
91,975,547 1,049,472 414,115
91,975,547 1,049,472 414,115---- --- - --- - -- --- -- -- --- - - -
I
91,975,547 1,049,472 414,115
FERC FORM NO.2 (REV 12-07)Page 234
Name of Respondent
Avista Corporation
This ~ort Is:
(1) ~An Original
(2) A Resubmission
Accumulated Deferred Income Taxes (Account 190) (continued)
Date of Report
(Mo, Da, Yr)
04/1512011
YearlPeriod of Report
End of 2010/04
Changes During
Year
Changes During
Year
Adjustments Adjustents Adjustments Adjustments Balance at
End of YearUne
No.Debit Debit Creit Creit
Amounts Debited
to Accunt 41 0.2
(e)
Amounts Credited
to Accunt 411.2
(Q
Accunt No.
(g)
Amount
(h)
Accunt No.
(i)
Amount
OJ (k)-- - --- --- - I ---I -- - - -- ~---- --, I i I
2
3
4
5
6
7
8
9
10
11
- -- - --- , - - -- - - - - I - - I - - - : - - -- - --1- --- -
5,368 210,246 6,866,235)11,937,146
(201,909)77,989
21,374,828)107,272,905
5,368 210,246 28,42,972)119,988,040
5,368 210,246 28,442,972)119,988,040
5,368 210,246 28,442,972)119,988,040
FERC FORM NO.2 (REV 12-07)Page 235
Name of Respondent This oo0rt Is:Date of Report YearlPeriod of Report
(1) X An Original (Mo, Da, Yr)
Avista Corporation (2) nA Resubmission 04/1512011 End of 2010/04
Capital Stock (Account 201 and 204)
1. Report below the details called for conceming common and preferred stoc at end of year, distinguishing separate sees of any genel clss. Show separate totals fo common and
preferr sto.
2. Entres in column (b) should represent the number of shares authoried by the artcles of incorpratin as ameed to end of year.
3. Give details conceming share of any class and seri of sto autoried to be issued by a reulatry commision whic have not yet ben issued.
Class and Series of Stoc and Numbe of Share Par or Stted Value Call Price at
Name of Stock Exchange Autri by Chart per Share End of Year
Une
No.
(a)(b)(c)(d)
1 Acc. 201 . Common Stock Issúed:
2 No Par Value 200,000,000
3 Restrce shares
4 TOTAL Common 200.000,000
5
6
7 Accunt 204 . Preferrd Stock Issued 10,000,000
8
9 Total Preferred 10,000,000
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
FERC FORM NO.2 (12-96)Page 250
Name of Respondent This wort Is:Date of Report Year/Period of Report
(1) X An Original (Mo, Da, Yr)Avista Corporation (2) nA Resubmission 04/15/2011 End of 2010/04
Capital Stock (Accounts 201 and 204)
4. The identiiction of each class of preferrd stock should show the divdend rate and whether the dividends are cumulative or noncumulatie.
5. State in a footnote if any capitl stock that has been nominally isued is nominally outsnding at end of year.
6. Give partculars (details) in column (a) of any nominally isued capitl stock, reacquire stoc, or stck in sinking and other funds which is pledged, stang name of pledgee and
purpose of pledge.
Outstanding per Bal. Sheet Outstanding per Bal.Held by Held by Held by Held by
(total amt outstanding Sheet Respondent Respondent Respondent RespondentUnewiout reductn for amls As Reacquire As Reacquire In Sinking and In Sinking andNo.held by repondent)Stock (Acc 217)Sto (Acc 217)Oter Funds Otr Funds
Shares
(e)Amount Shares Cost Shares Amount
(Q (g)(h)(i)OJ
1 ,
2 57,119,723 805,656,943 84,134.00 1,665,853.00
3
4 57,119,723 805,656,943 84,134.00 1,665,853.00
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
FERC FORM NO.2 (12-96)Page 251
Name of Respondent This oo0rt Is:Date of Report Year/Period of Report
(1) X An Original (Mo, Da, Yr)
Avista Corporation (2) DA Resubmission 04/1512011 End of 2010/04
Other Paid-ln Capital (Accounts 208.211)
1. Report below the balance at the end of the year and the information specied below for the respective other paid-in capital
accounts. Provide a subheading for each accunt and show a total for the accunt, as well as a total of all accounts for reconcilation
with the balance sheet, page 112.Explain changes made in any accunt during the year and give the accounting entries effecting
such change.
(a) Donations Received from Stockholders (Accunt 208) - State amount and briefly explain the origin and purpose of each donation.
(b) Reduction in Par or Stated Value of Capital Stock (Accunt 209) - State amount and briefly explain the capital changes that gave
rise to amounts reported under this caption including identification with the class and series of stock to which related.
(c) Gain or Resale or Cancellation of Reacquired Capital Stock (Accunt 210) - Report balance at beginning of
year, credits, debits,
and balance at end of year with a designation of the nature of each credit and debit identified by the class and series of stock to which
related.
(d) Miscellaneous Paid-In Capital (Accunt 211) - Classify amounts induded in this accunt accrding to captions that, together with
brief explanations, disdose the general nature of the transactions that gave rise to the reported amounts.
Une Item Amount
No.(a)(b)
1 Equity transactions of subsidiaries 15,798,128
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39 .
40 Total 15,798,128
FERC FORM NO.2 (12-96)Page 253
Name of Respondent This wort Is:Date of Report YearlPeriod of Report
Avista Corporation (1) X An Original (Mo, Da, Yr)
(2) nA Resubmission 04/15/2011 End of 2010104
DISCOUNT ON CAPITAL STOCK (ACCOUNT 213)
1. Report the balance at end of year of discount on capitl stok for each clss and series of capitl stk. Use as many rows as neceary to report all data.
2. If any change occurr during the year in the balance with repect to any class or series of stck, attch a statement giving details of the change. State the reaso for any charge-off
during the year and specify the accunt charged.
Class and Series of Stoc Balance at
Line End of Year
No.(a)(b)
1
2
3
4
5
6
7
8
9
10
11
12
13
14
TOTAL
CAPITAL STOCK EXPENSE (ACCOUNT 214)
1. Report the balance at end of year of capital stoc expenses for each class and series of capitl stock. Use as many ro as necessary to report all data. Number the rows in
sequence startng from the last row number used for Discount on Capitl Sto above.
2. If any change occurr during the year in the balance with respe to any class or series of stock, attch a statement giving details of the change. State the reson for any charge-ff
of capital stock expense and speify the accunt charged.
Class and Series of Stoc Balance at
Une End of Year
No.(al (b)
16 Common Stoc Expense. Common Public Issue ~17
18
19
20
21
22
23
24
25
26
27
28
TOTAL (6,137,359)
.-
FERC FORM NO.2 (12-96)Page 254
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1) ~ An Original (Mo, Da, Yr)
(2)A Resubmission 04/15/2011 2010104
FOOTNOTE DATA
¡Schedule Page: 254 Line No.: 16 Column: b
Capital stock expense activity, 2010
Beginning balance
Issuance of common stòck
Repurchase of common stock
Excess tax benefits on stock compensation
Stock compensation accrual
Ending balance '
$(2,090,960)558,660
209,498
(404,293)
(4,410,265)
$(6,137,359)
I FERC FORM NO.2 (12-96)Page 552.1
This Page Intentionally Left Blank
Name of Respondent This wort Is:Date of Report Year/Period of Report
Avista Corporation (1) X An Original (Mo, Da, Yr)
(2) Fí A Resubmission 04/151011 End of 2010/04
Long-Term Debt (Account 221, 222, 223, and 224)
1. Report by Balanc Sheet Accunt the details conceming long-term debt inclded in Accnt 221, Bonds, 222, Reacquired Bo, 223, Advance frm Assate Companies, and
224, Oter Long-Term Debt
2. For bonds assumed by the repondent include in column (a) the name of the issuing company as well as a desptn of the bonds.
3. For Advance frm Associated Companies, report separately advances on notes and advance on open accunts. Designate demand note as such. Include in column (a) names
of assated companies from which advance were received.
4. For receivers' certcates, show in column (a) the name of the court and date of court order under which such certcaes were issued.
Class and Series of Obligation and Nominal Date Date of Outstanding
Name of Stock Exchange of Issue Maturi (Total amount
Une outstanding wit
No.reducton for amt
held by repondent)
(a)(b)(c)(d)
1 FMBS - SERIES A. 7.53% DUE 05105/2023 05/06/1993 05/05/2023 5,500,000
2 FMBS - SERIES A - 7.54% DUE 5/05/2023 05/07/1993 05/0512023 1,000,000
3 FMBS. SERIES A - 7.37% DUE 5/1012012 05/10/1993 05/10/2012 7,00,000
4 FMBS - SERIES A - 7.39% DUE 5/11/2018 05/11/1993 05/1112018 7,000,00
5 FMBS - SERIES A. 7.45% DUE 6/11/2018 06/09/1993 0611112018 15,500,000
6 FMBS - SERIES A -7.18% DUE 8/11/2023 08/1211993 08/11/2023 7,00,000
7 KETILE FALLS P C REV BONDS 07/29/1993 1210112023 4,100,000
8 ADVANCE ASSOCIATED-AVISTA CAPITAL II (ToPRS)06/03/1997 06/01/2037 51,547,000
9 FMBS - 6.37% SERIES C 06/19/1998 06/19/2028 25,00,000
10 FMBS - 5.45% SERIES 11/181004 12/01/2019 90,000,000
11 FMBS - 6.25% SERIES 111172005 12101/2035 150,000,000
12 FMBS - 5.70% SERIES 1211512006 07/01/2037 150,000,000
13 FMBS - 5.95% SERIES 04/0212008 06/01/2018 250,000,000
14 FMBS - 5.125% SERIES 09/22/2009 0410112022 250,000,000
15 FtyBS -1.68% SERIES 12130/2010 12/30/2013 50,000,000
16 FMBS - 3.89% SERIES 12/20/2010 12/20/2020 52,000.000
17 FMBS c 5.55% SERIES 12/20/2010 12/20/2040 35,000,000
18 COLSTRIP 2010A PCRBs DUE 2032 1211512010 10/0112032 66,700,000
19 COLSTRIP 2010B PCRBs DUE 2034 12115/2010 03/01/2034 17,000,000
20 INTEREST RATE SWAPS (951,364)
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40 TOTAL 1,233,395,636
FERC FORM NO.2 (12-96)Page 256
Name of Respondent This wort Is:Date of Report Year/Period of Report
(1) X An Original (Mo, Da, Yr)Avista Corporation (2) FiA Resubmission 04/15/2011 End of 2010104
Long-Term Debt (Accounts 221, 222, 223, and 224)
5. In a supplemental statement give explanatory details for Accunts 223 and 224 of net changes dunng the year. With respec to long-term advance, show for each company: (a)
principal advanced during year (b) interest added to principal amount and (c) principal repaid during year. Give Commission authorition numbers and dates.
6. If the respondent has pledged any of its long-term debt seurities, give partculars (details) in a footnote, including name
of the pledgee and purpose of the pledge.
7. If the respondent has any long-term secries that have been nominally isued and are nominally outtanding at end of year, descrbe such secries in a footnote.
8. If interet expense was incurred during the year on any obligations retire or reacquire before end of year, include such interet expense in column (t). Explain in a fotnote any
diference between the total of column (t) and the total Accunt 427, Intere on Long-Term Debt and Accunt 430, Intere on Debt to Assoated Companies.
9. Give details conceming any long-term debt authorized by a reulatory commission but not yet isued.
Interest for Interest for Held by Held by Redemption Price
Year Year Respondent Respondent per $100 atUne
End of Year No.Rate Amount Reacquire Bonds Sinking and
(in%)(Acc222)Oter Funds
(e)(t)(g)(h)(i)
1 7.530 414,150
2 7.540 75,00
3 7.370 515,900
4 7.390 517,300
5 7.450 1,154,750
6 7.180 502,600
7 6.000 246,000
8 1.423 685,019 11,547,000
9 6.370 1,592,500
10 5.450 4,905,000
11 6.250 9,375,000
12 5.700 5,880,000
13 5.950 14,875,00
14 5.125 12,812,500
15 1.680
16 3.890
17 5.550
18 66,700,000
19 17,000,000
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39~58,356,419 95,247,000
FERC FORM NO.2 (12-96)Page 257
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1 ) 2S An Original (Mo, Da. Yr)
(2)A Resubmission 04115/2011 2010/04
FOOTNOTE DATA
¡Schedule Page: 256 Line No.: 15 Column: f
This is the annual interest amount payable. These bonds only accrued interest in 2010 from their nominal date of
issuance.
¡Schedule Page: 256 Line No.: 16 Column: f
This is the annual interest amount payable. These bonds only accrued interest in 2010 from their nominal date of
issuance.¡Schedule Page: 256 Line No.: 17 Column: f .
This is the annual interest,amount payable. These bonds only accrued interest in 2010 from their nominal date of
issuance.
I FERC FORM NO.2 (12-96)Page 552.1
This Page Intentionally Left Blank
Name of Respondent This oo0rt Is:Date of Report YearlPeriod of Report
(1) X An Original (Mo, Da, Yr)Avista Corporation (2) nA Resubmission 04/15/2011 End of 2010/04
Unamortized Debt Expense, Premium and DIscount on Long-Term Debt (Accounts 181, 225, 226)
1. Report under separate subheadings for Unamortze Debt Expense, Unamort Premium on Long-Ter Debt and Unamortze Disunt on Long- Term Debt details of expense,
premium or discount applicable to each class and seris of long-term debt
2. Show premium amounts by enclosing the liure in parenthess.
3. In column (b) show the principai amount of bonds or other lo-term debt orinally isued.
4. In column (c) show the expense, premium or discunt wit repe to the amont of bonds or other lo-term debt oriinally isued.
Designation of Princpal Amount Total Expense Amortzation Amortzation
Long-Term Debt of Debt Iss Premium or Period Period
Une Discount
No.Date From Date To
(a)(b)(c)(d)(e)
1 FMBS. SERIES A - 7.53% DUE 05/0512023 5,500,000 42,712 05/06/1993 05/05/2023
2 FMBS - SERIES A - 7.54% DUe 5105/2023 1,000,000 7,766 05/07/1993 0510512023
3 FMBS - SERIES A - 7.37% DUE 5/10/2012 7,000,000 49,114 05110/1993 05/10/2012
4 FMBS - SERIES A - 7.39% DUE 5/1112018 7,000,000 54,364 05111/1993 05/1112018
5 FMBS - SERIES A - 7.45% DUE 6/11/2018 15,500,000 170,597 06109/1993 0611/2018
6 FMBS - SERIES A - 7.18% DUE 8/1112023 7,000,000 54,364 0811211993 081112023
7 KETILE FALLS P C REV BONDS DUE 14 4,100,000 35,855 07129/1993 121112023
8 ADVANCE ASSOCIATED-AVISTA CAPITAL II (ToPRS)51,547,000 1,296,086 06/03/1197 06/0112037
9 SERIES C SET UP COST 666,169 06/15/1998 0611512013
10 FMBS - 6.37% SERIES C 25,00,000 158,304 06/1911998 06/1912028
11 FMBS - 5.45% SERIES 90,00,000 1,432,081 11/181200 121112019
12 FMBS - 6.25% SERIES 150,000,000 2,713,435 11/1712005 1210112035
13 FMBS - 5.70% SERIES 150,000,000 4,924,304 1211512006 07/0112037
14 FMBS - 5.95% SERIES 250,000,000 3,081,419 04/021008 06/0112018
15 FMBS - 5.125% SERIES 250,000,000 2,859,788 091221009 0410112022
16 FMBS - 1.68% SERIES 50,000,000 310,352 1213012010 1213012013
17 FMBS - 3.89% SERIES 52,000,000 388,095 1212012010 121012020
18 FMBS - 5.55% SERIES 35,000,000 262,035 1212012010 1212012040
19 Short- Term Credit Facilit 03/15/2006 04/051201120.-
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
FERC FORM NO.2 (12-96)Page 258
Name of Respondent This oo0rt Is:Date of Report YearlPeriod of Report
(1) X An Original (Mo, Da, Yr)Avista Corporation (2) OA Resubmission 04/1512011 End of 201Q/Q4
Unamortzed Debt Expense, Premium and Discount on Long-Term Debt (Accounts 181, 225, 226)
5. Fumish in a footnote details rearding the tratment of unamortzed debt expense, premium or discount associated wit issues redeemed during th year. Als, give in a fotne
the date of the Commission's autorition of tratment other than as specied by the Uniform System of Accunts.
6. Identi separately undispoed amounts applicable to issues which were reeemed in prior years.
7. Explain any debit and crit other than amorttion debited to Accunt 428, Amortzation of Debt Disunt and Expense, or credited to Accunt 429, Amorttin of Premium on
Debt-ereit
Balance at Debit During Creit During Balance at
Beginning Year Year End of Year Une of Year No.
m (g)(h)(i)
1 19,101 1,423 17,678
2 3,473 259 3,214
3 6,246 2,585 3,661
4 18,303 2,175 16,128
5 58,003 6,824 51,179
6 24,766 1,812 22,954
7 54,921 3,923 50,998
8 385,07 14,015 371,392
9 165,134 47,181 117,953
10 97,621 5,277 92,34
11 932,113 98,947 833,166
12 2,348,725 90,336 2,258,389
13 4,441,789 161,032 4,280,757
14 2,551,011 303,090 2,247,921
15 2,579,020 227,561 2,351,459
16 296,372 296,372
17 375,867 375,867
18 252,988 252,988
19 1,019,945 43,885 812,636 -=
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40 .
FERC FORM NO.2 (12-96)Page 259
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1 ) 2Ç An Original (Mo, Da, Yr)
(2)A Resubmission 04/15/2011 2010104
FOOTNOTE DATA
¡Schedule Page: 258 Line No.: 20 Column: a
In December 2010, $66.7 milion of the City of Forsyt, Montana Pollution Control Revenue Refunding Bonds
(Avista Corporation Colstrp Project) due 2032, which had been held by Avista Corp. since 2008, were refunded
by a new bond issue (Series 201 OA). The new bonds were not offered to the public and were purchased by
A vista Corp. due to market conditions. The Company expects that at a later date, subject to market conditions,
these bonds will be remarketed to unaffliated investors. So long as Avista Corp. is the holder of these bonds, .
the bonds will not be ret1ected as an asset or a liabilty on A vista Corp.'s Consolidated Balance Sheet. There are
issuance costs related to these bonds not included in ths FERC form 2.
In December 2010, $17.0 millon öfthe City ofForsyt, Montan Pollution Control Revenue Refuding Bonds,
(Avista Corporation Colstrp Project) due 2034, which had been held by Avista Corp. since 2009, were refuded
by a new bond issue (Series 2010B). The new bonds were not offered to the public and were purchased by
A vista Corp. due to market conditions. The Company expects that at a later date, subject to market conditions,
the bonds will be remarketed to unaffliated investors. So long as Avista Corp. is the holder of these bonds, the
bonds will not be reflected as an asset or a liability on Avista Corp.'s Consolidated Balance Sheet. There are
issuance costs related to these bonds not included in this FERC form 2.
¡Schedule Page: 258 ~Line No.: 19 Column:;
There were additional debits that were not amortized during 2010. This was because it was related to the Line of Credit
that replaced this Short Term Line of Credit. Those debits are now being amortized over the new Line of Credit.
I FERC FORM NO.2 (12-96)Page 552.1
This Page Intentionally Left Blank
Name of Respondent This wort Is:Date of Report YearlPeriod of Report
(1) X An Onginal (Mo, Da, Yr)
Avista Corporation (2) n A Resubmission 04/1512011 End of 2010/04
Unamortized Loss and Gain on Reacquired Debt (Accounts 189, 257)
1. Report under separate subheadings for Unamortized Loss and Unamortized Gain on Reacquired Debt, details of gain and loss,
induding matunty date, on reacquisition applicable to each class and series of long-term debt. If gain or loss resulted from a refunding
transaction, include also the matunty date of the new issue.
2. In column (c) show the principal amount of bonds or other long-term debt reacquired.
3. In column (d) show the net gain or net loss realized on each debt reacquisition as computed in accrdance with General Instruction
17 of the Uniform Systems of Accounts.
4. Show loss amounts by enclosing the figures in parentheses.
5. Explain in a footnote any debits and credits other than amortization debited to Accunt 428.1 , Amortization of Loss on Reacquired
Debt, or credited to Accunt 429.1, Amortization of Gain on Reacquired Debt-Credit.
Une Designation of Date Principal Net Gain or Balance at Balance at
No.Long-Term Debt Reacquired of Debt Loss Beginning End of Year
Reacquired of Year
(a) ,(b)(c)(d)(e)(f)
1 FMBS. 7.25% SERIES 12120/2010 30,000,000 (5,263,821)(5,263,821)
2 FMBS .6.125% SERIES 12/20/2010 45,000,000 (6,273,664)(6,273,66)
3 AVA Capital Trust II 04/0112009 60,000,000 (2,904,144)(2,827,719)(2,598,445)
4 Mise Debt Repurchases I 05/10/1993 (6,425,093)(1,830,135)(1,569,137)
5 Misc Debt Repurcase II 06/19/1998 (188,649)(116.334)(110,045)
6 Mise Debt Repurchase II 07/29/1993 (146,393)(67,381)(62,568)
7 Cit of Forsyt Pollution Control Bonds Repurcased (5,935,113)(4,685,624)(4,485,484)
8 Mise 2008 Repurchase Costs 01/0112008 43,132 37,879 35,183
9 Misc 2006 Repurchase Costs 01/01/2006 (483,582)(128,522)(112,557)
10 Mise 2005 Repurcase Cos 01/01/2005 (1,700,371)(1,181,150)(1,082,509)
11 Mise 200 Repurcase Costs 01/01/2004 (7,244,895)(3,819,973)(3,245,985)
12 Misc 2003 Repurchase Costs 01/0112003 (4,090,500)(796,584)(554,163)
13 Mise 2002 Repurcase Costs 01/01/2002 (4,445,540)(636,166)(133,266)
14 Repurchase of 10 milion of Capitl II 12/0112000 1,769,12!1,338,028 1,289,224
15 Mise 2002 Repurcase Gains 01/01/2002 2,45,898 1,118,412 949,374
16 Mise 2003 Repurcase Gains 01/0112003 1,001,864 490,113 417,133
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
FERC FORM NO.2 (12-96)Page 260
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1).6 An Original (Mo, Da, Yr)
(2)A Resubmission 04/15/2011 2010104
FOOTNOTE DATA
¡Schedule Page: 260 Line No.: 7 Column: b
In December 2010, $66.7 million of the City of Forsyth, Montaa Pollution Control Revenue Refunding Bonds
(Avista Corporation Colstrp Project) due 2032, which had been held by Avista Corp. since 2008, were refunded
by a new bond issue (Series 201 OA). The new bonds were not offered to the public and were purchased by
A vista Corp. due to market conditions. The Company expects that at a later date, subject to market conditions,
these bonds will be remarketed to unaffliated investors. So long as Avista Corp. is the holder of these bonds, .
the bonds will not be renected as an asset or a liability on Avista Corp.'s Consolidated Balance Sheet. There has
been multiple repurchases.
(4) In December 2010, $17.0 millon of the City ofForsyth, Montan Pollution Control Revenue Refuding Bonds,
(Avista Corporation Colstrp Project) due 2034, which had been held by Avista Corp. since 2009, were refuded
by a new bond issue (Series 2010B). The new bonds were not offered to the public and were purchased by
A vista Corp. due to market conditions. The Company expects that at a later date, subject to market conditions,
the bonds will be remarketed to unaffliated investors. So long as Avista Corp. is the holder of these bonds, the
bonds will not be reflected as an asset or a liabilty on Avista Corp.'s Consolidated Balance Sheet. There has
been multiple repurchases
=i
ective debt issuances
These debt securities may be redeemed at the option of A vista Capital II on or after June 1, 2007 and matue on June 1, 2037. In
December 2000, the Company purchased $10.0 millon of these Preferred Trust Securities.
Column: c
urchases.
I FERC FORM NO.2 (12-96)Page 552.1
This Page Intentionally Left Blank
Name of Respondent This ~ort Is: Date of Report
(1) ~An Original (Mo, Da, Yr)
(2) A Resubmission 04/15/2011
Reconcilation of Reported Net Income with Taxable Income for Feder Income Taxes
1. Report the reconciliation of reported net income for the year with taxable income used in computing Federal Income Tax accruals
and show computation of such tax accruals. Include in the reconciliation, as far as practicable, the same detail as furnished on
Schedule M-1 of the tax return for the year. Submit a reconcilation even though there is no taxable income for the year. Indicate
clearly the nature of each reconcilng amount.
2. If the utility is a member of a group that files consolidated Federal tax return, reconcile reported net income with taxable net income
as if a separate return were to be filed, indicating, however, intercompany amounts to be eliminated in such a consolidated return. State
names of group members, tax assigned to each group member, and basis of allocation, assignments, or sharing of the consolidated tax
among the group members.
Year/Period of Report
Avista Corporation End of 2010/04
Une
No.
Details
(a)
Amount
(b)
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
Net Income for the Year (Page 116)
Reconcilng Items for the Year
92,424,689
Ii~- ---
II -- -----ITaxable Income Not Reported on Books
4,217,908
TOTAL
Deductions Recorded on Books Not Deducted for Return
4,217,908
Federal Income Tax
Deferred Income Tax & Investment Tax Credit
TOTAL
Income Recorded on Books Not Included in Return
Equit in Sub Earnings
Corporate Overhead
TOTAL
Deductions on Retum Not Charged Against Book Income
( 201,378,590)
TOTAL
Federal Tax Net Income
Show Computation of Tax:
State Tax C92%, less Idaho ITC
Federal Tax Net Income, less state tax
Federal Tax C935%
Prior Year Returns & misc true ups
Cabinet Gorge Tax Credits
Total Federal Tax Expense
201,378,590)
39,376,401
469,639
39,846,040
13,946,114
( 1,967,645)
( 130,132)
11,848,337
FERC FORM NO.2 (12-96)Page 261
Name of Respondent This oo0rt Is:Date of Report YearlPeriod of Report
(1) X An Original (Mo, Da, Yr)
Avista Corporation (2) DA Resubmission 04/1512011 End of 2010/q4
Taxes Accrued, Prepaid and Charged During Year, Distributon of Taxes Charged (Show utility dept where applicable and acct charged)
1. Give details of the cobined preid and acced ta accunts and show the total taes chared to operatins and other accunts during the year. Do not include gasoline and
other sales taxes whic have been charged to the accunts to whic the taxed materil was charged. If the actal or estimate amounts of such taes are known, show the amounts in a
footnote and designate whether estimated or actual amounts.
2. Include on this page, taes paid during the year and charged dire to final accunts. (not charged to prepaid or acced taes). Enter the amounts in both columns (d) and (e). The
balancing of this
page is not affeced by the inclusion of these taxes.
3. Include in column (d) taxes charged during the year, taxes charged to operatins and other accunts through (a) accals crit to taes acced, (b) amounts crdit to the
pórton of prepaid taxes charged to currnt year, and (c) taxes paid and charged direct to operatins or accunts other than acced and prepaid ta accunts.
4. List the aggreate of each kind of tax in such manner that the total ta for each State and subdivision can readily be ascrtined.
Balance at Balance at
Une Kind ofTax Beg. of Year Beg. of Year
No.(See Instrcton 5)
Taxes Acced Prepaid Taxes
(a)(b)(c)
1 FEDERAL:
2 Income Tax Prior 25,778.732
3 Income Tax 2006 (23,788,097)
4 Income Tax 2007 (454,486)
5 Income Tax 2008.10,768,896
6 Income Tax 2009 (18,895,541 )
7 Income Tax (Currnt)
8 Retained Eamings
9 Prir Retained Eamings (5.015,936)
10 Prir Retained Eamings (2.127,838)
11 Prior Retained Eamings (1,435,621)
12 Prior Retained Eamings (1,210,371)
13 Currnt Retained Earings
14 Total Federal (16,380,262)
15
16 STATE OF WASHINGTON
17 Propert Tax (2009)7,086,606
18 Propert Tax (2010)
19 Excie Tax (2005)91,452
20 Excise Tax (2006)(464)
21 Excise Tax (2007)400,000
22 Excie Tax (2008)
23 Excie Tax (2009)Ü65.543
24 Excie Tax (2010)
25 Natural Gas Use Tax 15,109
26 Municipal Ocpation Tax 2,435.373
27 Sales & Use Tax (2006)(8,173)
28 Sales & Use Tax (2007)
29 Sales & Use Tax (2008)
30 Sales & Use Tax (2009)84,190
31 Sales & Use Tax (2010)
32 Motor Vehicle Tax (2010)
33 Total Washington 12,369,636
34
35 STATE OF IDAHO:
36 Income Tax (2006)346,389
37 Income Tax (2007)(104,516)
38 Income Tax (2008)(101,560)
39 Income Tax (2009)(290,110)
.
FERC FORM NO.2 (REV 12-07)Page 262a
Name of Respondent This oo0rt Is:Date of Report YearlPeriod of Report
(1) X An Original (Mo, Da, Yr)Avista Corporation (2) riA Resubmission 04/15/2011 End of 2010/04
Taxes Accrued, Prepaid and Charged During Year, Distribution of Taxes Charged (Show utilit dept where applicable and acct charged)
(continued)
5. If any tax (exclude Federal and State income taes) covers more than one year, show the require informatin separately for each tax year, identiing th year in column (a).
6. Enter all adjustments of the accrued and prepaid ta accunts in column (Q and explain each adjustment in a fotnote. Designate debtt adjustments by parentheses.
7. Do not include on this page entres wit respe to deferr income taxes or taes colleed through payroll deductons or otherwise pending trnsmitl of such taes to the taing
authority.
8. Show in columns (I) thru (p) how the taes accunts were distrbuted. Show both the utlity departent and number of accunt charged. For taxes charged to utilit plant show the
number of the appropriate balance sheet plant accunt or subaccunt
9. For any tax apportoned to more than one utilit departent or accunt state in a footnote the basis (necsity) of apportoning such ta.
10. Items under $250,000 may be grouped.
11. Report in column (q) the applicable effece state income tax rate.
Balance at Balanc at
Une Taxes Charged Taxes Paid End of Year End of Year
No.During Year During Year Adjustments Taxes Accrued Prepaid Taxes
(Accunt 236)(Include in Acc165)
(d)(e)(Q (g)(h)
1
2 25,778,732
3 (2,700,913)(26,489,010)
4 (728,828)(1,183,314)
5 (1,293,655)9,475,241
6 13,198,286 (5,697,255)
7 12,116,921 23,841,641 (11,724,719)
8
9 (4,77,830)(9,789,766)
10 .2,127,838
11 1,435,621
12 1,210,371
13 (386,409)(386.10)
14 20,205,402 23,841,641 (20,016,501 )
15
16
17 (736,257)6,342,069 8,281
18 8,027,008 8,027,008
19 (91,452)
20 (464)
21 121,563 400,000 121,563
22
23 (20,970)2,244,573
24 22,135,679 19,553,738 2,581,941
25 34,014 41,293 7,830
26 20,011,536 19,792,189 2,654,719
27 (8,173)
28
29
30 84,190
31 855,271 805,723 49,549
32 26,109 26,109
33 50,362,501 49,289,884 13,442,254
34
35
36 346,389
37 (104,516)
38 (202,872)101,312
39 (5,21)(295,531)
.
FERC FORM NO.2 (REV 12-07)Page 263a
Name of Respondent This oo0rt Is:Date of Report YearlPeriod of Report
(1) X An Original (Mo, Da, Yr)
Avista Corporation (2) DA Resubmission 041512011 End of 2010/04
Taxes Accrued, Prepaid and Charged During Year, Distribution of Taxes Charged (Show utilty dept whre applicable and acct charged)
1. Give details of the combined prpaid and accrued tax accunts and show the total taes charged to operatins and other accunts duri the year. Do not include gasline and
other sales taes whic have been charged to the accunts to which th taxed materil was charged. If the acal or estimate amonts of suc taes are known, show the amounts in a
fotnote and designate whether estimated or actal amounts.
2. Include on this page, taes paid during the year and charged dire to final accunts, (not charged to prepaid or acc taes). Enter the amounts in both columns (d) and (e). The
balancing of this
page is not affected by the inclusion of these taxes.
3. Include in column (d) taxes charged during the year, taxes charged to operations and other acunts through (a) accals crited to taes acced, (b) amounts crited to the
portn of prepaid taxes charged to current year, and (c) taxes paid and charged dire to operations or accunts othr than acced and prepaid tax accunts.
4. List the aggreate of each kind of tax in such manner that the total ta for each State and subdivision can reily be asrtined.
DISTRIBUTION OF TAXES CHARGED (Show utilty department where applicable and accunt charged.)
Electc Gas Oter Utilit Dept.Oter Income and
Une (Accúnt 408.1,(Accunt 408.1,(Accunt 408.1,Deductons
No.409.1)409.1)409.1)(Accunt 408.2,
409.2)
(i)ij (k)(I)
1
2
3
4 (524,756)(204,072)
5 (90,526)(351,760)
6 (714,210)2,889,672
7 22,794,744 (12,36,519)1,231,764
8
9
10
11
12
13
14 20,651,252 (12,924,351)4,121,436
15
16
17 (530,742)(211,493)6,324
18 6,148,008 1,843,000 36,000
19 102,921 95,304 (289.67)
20
21 122,903
22 (71)
23 (18,691)(2,329)50
24 16,730,929 5,350,966 107,584
25 6,417 (1,050)
26 14,849,283 5,112,214
27
28
29
30
31
32
33 37,288,125 12,187,662 (17,937)
34
35
36
37
38
39 (4,337)(1,084)
.
FERC FORM NO.2 (REV 12-07)Page 262b
Name of Respondent This oo0rt Is:Date of Report YearlPeriod of Report
(1) X An Original (Mo, Da, Yr)Avista Corporation (2) Fi A Resubmission 04/15/2011 End of 2010/04
Taxes Accrued, Prepaid and Charged During Year, Distribution of Taxes Charged (Show utilty dept where applicable and acct charged)
(continued)
5. If any tax (exclude Federal and State income taxes) covers more than one year, show the require information separately for each ta year, identifying the year in column (al.
6. Enter all adjustmts of the accrued and prepaid tax accunts in column (n and explain each adjustment in a footnote. Designate debit adjustments by parentheses.
7. Do not include on this page entres wit reped to deferr income taes or taes colleced through payroll deuctons or otherwise pending trnsmitl of such taes to the taxing
authori.
8. Show in columns (i) thru (p) how the taxes accunts were distrbuted. Show both the utilit departent and number of accunt charged. For taxes charged to utilit plant show the
number of the appropriate balance sheet plant accunt or subaccunt
9. For any ta apportoned to more than one utiit departent or accunt, state in a footnote the basis (necesit) of apportoning such tax.
10. Items under $250,000 may be groupe.
11. Report in column (q) the applicable effecte stte income ta rate.
DISTRIBUTION OF TAXES CHARGED (Show utility department where applicable and accunt charged.)
Extordinary Items Other Utility Opn.Adjustment to Ret StateIocl
Une (Accunt 409.3)Income Eamings Oter Income Tax
No.(Accnt 408.1,(Accnt 439)Rate
409.1)
(m)(n)(0)(p)(q)
1 /
2
3 (2,700.913)
4
5 (37,369)
6 11,022,824
7 458,932
8
9
10
11
12
13 (386,409)
14 8.357,065
15
16
17 (346)
18
19
20
21 (1.340)
22 71
23
24 (53,799)
25 28,646
26 50,038
27
28
29
30
31 855,271
32 26,109
33 904,650
34
35
36
37
38
39 .
FERC FORM NO.2 (REV 12-07)Page 263b
Name of Respondent This wort Is:Date of Report YearlPeriod of Report
(1) X An Original (Mo, Da, Yr)
Avista Corporation (2) riA Resubmission 04/15/2011 End of 2010/04
Taxes Accrued, Prepaid and Charged During Year, Distribution of Taxes Charged (Show utilty dept where applicable and acct charged)
(continued)
Balance at Balance at
Une Kind of Tax Beg. of Year Beg. of Year
No.(See Instcton 5)
Taxes Acced Prepaid Taxes
(a)(b)(c)
1 Income Tax (2010)
2 Propert Tax (2009)1,958,891
3 Propert Tax (2010)
4 Motor Vehicl Tax (2010)
5 Sales & Use Tax (2005)436
6 Sales & Use Tax (2008)4,348
7 Sales & Use Tax (2009)4,150
8 Sales & Use Tax (2010)
9 Irration Creit (2009)444
10 KWH Tax (2009)16,185
11 KWH Tax (2010)
12 Franchise Tax (2009).1,703,625
13 Franchise Tax (2010)
14 Total Idaho 3,538,282
15
16 STATE OF MONTANA
. 17 Income Tax (2006)520,245
18 Income Tax (2008)(180,574)
19 Income Tax (2009)(209,972)
20 Income Tax (2010)
21 Propert Tax (2009)3,084,410
22 Propert Tax (2010)
23 Colstrp Generation Tax
24 KWH Tax (2009)220,298
25 KWH Tax (2010)
26 Motor Vehicle Tax (2010)
27 Consumer Council Tax 3
28 Public Commision Tax 808
29 Total Montana 3,435,218
30
31 STATE OF OREGON
32 Income Tax (2006)-266,087
33 Income Tax (2007)(5)
34 Income Tax (2008)1Ò9,583
35 Income Tax (2009)(368,312)
36 Income Tax (2010)
37 Propert Tax (2009)(1,317,390)
38 Propert Tax (2010)
39 Motor Vehicle Tax (2010)
.
FERC FORM NO.2 (REV 12-07)Page 262a.1
Name of Respondent This wort Is:Date of Report Year/Period of Report
(1) X An Original (Mo, Da, Yr)Avista Corporation (2) FiA Resubmission 04/15/2011 End of 2010104
Taxes Accrued, Prepaid and Charged During Year, Distribution of Taxes Charged (Show utilty dept where applicable and acct charged)
(continued)
Balance at Balance at
Line Taxes Charged Taxes Paid End otYear End of Year
No.During Year During Year Adjustmnts Taxes Acced Prepaid Taxes
(Accunt 236)(Included in Acc 165)
(d)(e)(ij (g)(h)
1 293,319 600,000 (306,681)
2 (2,930)1,954,314 1,647
3 4,636,980 2,324,276 2,312,704
4 4,722 4,722
5 436
6 (4,349)
7 8,97 4,349 2
8 83,354 75,12 7,941
9 (444)
10 817 17,002
11 313,304 285,450 27,855
12 1,703,625 ...
13 4,148,926 2,651,701 1,497,225
14 9,472,627 9,422,127 3,588,783
15
16
17 520,245
18 (180,574)
19 4,524 (205,273)(175)
20 196,651 370,000 (173,349)
21 (9,620)3,075.220 (430)
22 6,614,757 3,314,570 3,300,187
23 3,129 3,129
24 (481)219,818
25 1,114,299 864,n8 249,521
26 4,675 4,675
27 7,070 1,737 5,336
28 1,293 2,091 9
29 7,936.297 7,470,171 3,901,34
30
31
32 (34,444)300,531
33 (241,886)(241,891)
34 241,886 351,469
35 (249,611)(280,000)(337,923).
36 228,576 215,000 13,576
37 1,747,230 3,182 426,657
38 1,751,024 3,931,888 (2,180,863)
39 2,475 2,475
.
FERC FORM NO.2 (REV 12-07)Page 263a.1
Name of Respondent This wort Is:Date of Report YearlPeriod of Report
(1) X An Original (Mo, Da, Yr)
Avista Corporation (2) DA Resubmission 04/1512011 End of 2010/04
Taxes Accrued, Prepaid and Charged During Year, Distribution of Taxes Charged (Show utilty dept where applicable and acct charged)
(contnued)
DISTRIBUTION OF TAXES CHARGED (Show utilit department where applicable and accunt charged.)
Elecc Gas Oter Utilit Dept Otr Income and
Une (Accunt 408.1,(Accunt 408.1,(Accunt 408.1,Deuctns
No.409.1)409.1)409.1)(Accunt 408.2,
409.2) .
(i)0)(k)(I)
1 494,532 (201,212)
2
3 3,829,944 802,707 8,186
4 ,
5
6
7
8
9
10 817
11 313,304
12
13 3.011,831 1,129,625
14 7,646,091 1,730,036 8,186
15
16 .,
17
18
19 4,524
20 196,651
21 (183,863)
22 6,789,000
23 3,129
24
25 1,113,819
26
27 8,340
28 22
29 7.931,622
30
31
32
33
34
35 (62,403)(187,208)
36 57,143 171,433
37 922,031 824,338
38 926,276 825,609
39
.
FERC FORM NO.2 (REV 12-07)Page 262b.1
Name of Respondent This oo0rt Is:Date of Report Year/Period of Report
(1) X An Original (Mo, Da, Yr)Avista Corporation (2) FiA Resubmission 04/15/2011 End of 2010/04
Taxes Accrued, Prepaid and Charged During Year, Distribution of Taxes Charged (Show utilty dept where applicable and acct charged)
(continued)
DISTRIBUTION OF TAXES CHARGED (Show utility department where applicable and accunt charged.)
Extordinary Items Other Utility Opn.Adjustment to Ret StaleLocl
Une (Accunt 409.3)Income Eamings Oter Income Tax
No.(Accunt 408.1,(Accunt 439)Rate
409.1)
(m)(n)(0)(p)(q)
1 (1)
2 (2,930)
3 (3,856)
4 4,722
5
6
7
8 83,354
9 (444)
10
11
12
13 7,470
14 88,315
15
16
17
18
19
20
21 174,243
22 (174,243)
23
24 (481)
25 481
26 4,675
27 (1,271)
28 1,271
29 4,675-
30
31
32
33
34
35
36
37 861
38 (861)
39 2,475
.
FERC FORM NO.2 (REV 12-07)Page 263b.1
Name of Respondent This wort Is:Date of Report YearlPeriod of Report
(1) X An Original (Mo, Da, Yr)
Avista Corporation (2) nA Resubmission 04/1512011 End of 2010/04
Taxes Accrued, Prepaid and Charged DurIng Year, Distribution of Taxes Chargd (Show utilty dept where applicable and acct charged)
(contnued)
Balance at Balance at
Une KindofTax Be. of Year Beg. of Year
No.(See Instctn 5)
Taxes Acced Prepaid Taxes
(a)(b)(c)
1 BETC Credit (2006 & Prir)(420,805)
2 BETC Credit (2007)243,353
3 BETC Credit (2008)(40,383)
4 BETC Creit (2009)(91,881)
5 BETC Credit (201 0)
6 Glendate Regulatory Cr. 2008 (210,889),
7 Glendate Regulatory Cr. 2009 '70,289
8 Franchise Tax (2006)755
9 Franchis Tax (2008)30,327
10 Franchise Tax (2009)996,981
11 Franchise Tax (2010)
12 Total Oreon (732,290)
13
14 STATE OF CALIFORNIA
15 Income Tax (2005)(1,869)
16 Income Tax (2006)(314)
17 Income Tax (2008)(2,400)
18 Income Tax (2009)
19 Income Tax (2010)
20 Total Califomia (4,583)
21
22 MISCELLANEOUS STATES:
23 Income Tax (200)
24 Inoome Tax (2010)
25 Total Mise States
26
27 COUNTY & MUNICIPAL
28 WA Renewable Energy
29 Misc.(3,374)
30 Total County (" 3,374)
31
32
33
34
35
36
37
38
39
TOTAL 2,222,627
.
FERC FORM NO.2 (REV 12-07)Page 262a.2
Name of Respondent This oo0rt Is:Date of Report Year/Period of Report
(1) X An Original (Mo, Da, Yr)Avista Corporation (2) FíA Resubmission 04/15/2011 End of 2010/04
Taxes Accrued, Prepaid and Charged During Year, Distribution of Taxes Charged (Show utilty dept where applicable and acct charged)
(continued)
Balance at Balance at
Une Taxes Charged Taxes Paid End of Year End of Year
No.During Year During Year Adjustments Taxes Acced Prepaid Taxes
(Accunt 236)(Included in Acc 165)
(d)(e)(Q (g)(h)
1 (420,805)
2 243,353
3 (40,383)
4 (297)(92,178)
5 (68,844)(68,844)
6 (210,889)
7 70,289
8 (755)
9 (30,327)
10 998,078 1,097
11 3,598,576 2,724,573 29,986 903,988
12 7,009,129 7,560,752 1 (1,283,913)
13
14
15 3,342 (5,211)
16 (314)
17 2,400
18 1,600 (2,400)(800)
19 2,400 (2,400)
20 1,600 5,742 (8,725)
21
22
23
24 (17,884)(17,884)
25 (17,884)(17,884)
26
27
28 (39,290)(39,290)
29 23,419 22,853 (2,808)
30 (15,871)(16,437)(2,808)
31
32
33
34
35
36
37
38
39
TOTAL 94,953,801 97,573,880 1 (397,450)
FERC FORM NO.2 (REV 12-07)Page 263a.2
Name of Respondent This oo0rt Is:Date of Report YearlPeriod of Report
(1) X An Original (Mo, Da, Yr)Avista Corporation (2) DA Resubmission 04/151011 End of 2010/04
Taxes Accrued, Prepaid and Charged During Year, Distribution of Taxes Charg (Show utilty dept where applicable and acc charged)
(continued)
DISTRIBUTION OF TAXES CHARGED (Show utilty department where applicable and accunt charged.)
Electc Gas Otr Utilit Dept Oter Income and
Une (Accunt 408.1,(Accunt 408.1 ,(Accunt 408.1,Deductons
No.409.1)409.1)409.1)(Accunt 408.2,
409.2)
(i)OJ (k)(i)
1
2
3
4
5
6
7
8
9
10
11 3,584,583
12 1,843,047 5,218,755
13
14
15
16
17
18 1,600
19
20 1,600
21
22
23
24
25
26
27
28 ,
29 15,139
30 15,139
31
32
33
34
35
36
37
38
39
TOTAL 75,375,276 6,213,702 4,111,685
.
FERC FORM NO.2 (REV 12-07)Page 262b.2
Name of Respondent This wort Is:Date of Report YearlPeriod of Report
(1) X An Original (Mo, Da, Yr)Avista Corporation (2) riA Resubmission 04/15/2011 End of 2010/04
Taxes Accrued, Prepaid and Charged During Year, Distrbuton of Taxes Charged (Show utilty dept where applicable and acct charged)
(continued)
DISTRIBUTION OF TAXES CHARGED (Show utilty department where applicable and account charged.)
Extraordinary Items Other Utility Opn.Adjustment to Ret State/Locl
Une (Accunt 409.3)Income Eamings Oter . Income Tax
No.(Accunt 408.1,(Accunt 439)Rate
409.1)
(m)(n)(0)(p)(q)
1
2
3
4 (297)
5 ,(68,84)
6
7
8
9
10
11 13,993
12 (52,673)
13
14
15
16
17
18
19
20
21
22
23
24 (17,884)
25 (17,884)
26
27
28 (39,290)
29 8,280-
30 (31,010)
31
32
33
34
35
36
37
38
39
TOTAL 9,253,138
.
FERC FORM NO.2 (REV 12-07)Page 263b.2
Name of Respondent This wort Is:Date of Report YearlPeriod of Report
(1) X An Original (Mo, Da, Yr)
Avista Corporation (2) DA Resubmission 04/151011 End of 2010/04
Miscellaneous Currnt and Accrued Liabilties (Account 242)
1.Describe and report the amount of other current and acced liabilities at the end of year.
2.Minor items (less than $250,000) may be grouped under appropriate title.
Une Item Balance at
No.End of Year
(a)(b)
1 Margin Call Deposit 1,220,000
2 Forest Use Permits 3,956,339
3 Settlement Payable 500,000
4 FERC Admin Fee Acc 499,998
5 MT Lease Payments 4,282,000
6 DSM Tariff Rider ,823,051
7 Payroll EOLZN 15,050,734
8 Low Income Energy Assist 2,754,106
9 Avista Grants Eng Sustain WSU 353,305
10 Mobius 200,000
11 Workers Comp Reg Liabilty 2,930,760
12 Accunts Payable Inventory Accruals 465,970
13 Accounts Payble Expense Accrual 1,809,527
14 Current Portion Benefit Liab 4,476,440
15 Misc 135,324
16 Misc relcasses 387,134
17 Credit balances in customer accounts receivable 7,686,707
18 Bank Account balance 4,851,622
19
20
21
22
23
24
25
26
27
28 .-
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45 Total 52,383,017
FERC FORM NO.2 (12-96)Page 268
Name of Respondent This oo0rt Is:Date of Report YearlPeriod of Report
Avista Corporation (1) X An Original (Mo, Da, Yr)
(2) riA Resubmission 04/1512011 End of 2010/04
Other Deferred Credits (Account 253)
1. Report below the details called for concerning other deferred credits.
2. For any deferred credit being amortized, show the period of amortization.
3. Minor items (less than $250,000) may be groupe by classes.
Une Balance at Debit Debit
No.Descrption of Oter Beginning Contr Creit Balance at
Deferr Creits of Year Accunt Amount End of Year
(a)(b)(c)(d)(e)(0
1 Defer Gas Exchange (253028)2,119,525 130,435 2,249,960
2 Pacificorp Capacitor (253080)
3 Centralia Enviromental (253110)966,323 421 966,323
4 Rathdrum Refund (253120)341,042 550 33,822 307,220
5 NE Tank Spil (253130)87,105 1 87,106
6 Bils Pole Rentals (253140)215,203 7,938 223,141
7 CR-CS2 GE LTSA (253150)2,412,558 232 2,412,558
8 IR Swaps (254170)126,864 126,864
9 Regulatory Accruals (253650)
10 Sale/Leaseback on Bldg(253850)522,912 931 261,456 261,456
11
12 Defer Comp Retired Execs (253900)119,174 431,232 25,218 93,956
13 Defer Camp Active Execs (253910)9,436,629 128 151,516 9,285,113
14 Executive Incent Plan (253920)140,000 140,000
15 Unbiled Revenue (253990)5,970,328 90 2,694,428 3,275,900
16
17 DOC EECE Grant 900,017 900.017
18 DOC EECE Admin Fee 100,000 100,000
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45 Total 22,330,799 6,54,321 1,25,255 17,050,733
FERC FORM NO.2 (12-96)Page 269
Name of Respondent This ~ort Is: Date of Report
(1) !!An Original (Mo, Da, Yr)
(2) A Resubmission 04/151011
Accumulated Deferred Income Taxes-oer Propert (Account 282)
1. Report the informatin calle for below conceming the repondenfs accunting for deferr incme taes reting to prpert no subjec to accra amortzati.
2. At Oter (Speci), include deferrls relating to other income and deducons.
Year/Penod of Report
Avista Corporation End of 2010/04
(a)
Balance at
Beginnin
of Year
(b)
Amounts
Debitd to
Accunt 410.1
(c)
Amounts
Creit to
Accunt 411.1
(d)
Une
No.Accunt Subdivisions
1 Accunt 282
2 Elec
3 Gas
4 Other (Define) (footnote details)
5 Total (Enter Total of lines 2 thru 4)
6 Oter (Speif) (footnote details)
7 TOTAL Accunt 282 (Enter Total of lines 5 thr
8 Classification ofTOTAL
9 Federal Income Tax
10 State Income Tax
11 Locallncome Tax
255,283,307
76,033,192
16,758,482
348,074,981
15,267,229
12,627,052
4,248,441
32,142,722
348,074,981 32,142,722--- - -- -- -- ---- -- --
I
337,008,658
11,066,323
32,142,722
FERC FORM NO.2 (REV 12-07)Page 274
Name of Respondent Year/Period of ReportThis ~ort Is: Date of Report
(1) ~An Original (Mo. Da, Yr)
(2) A Resubmission 04/15/2011
Accumulated Deferred Income Taxes-Other Propert (Account 282) (continued)
3. Provide in a footnote a summary of the type and amount of deferred income taes report in the beinning-of-year and end-of-year balance for deferrd income taes that the
repondent estimates could be included in the development of jurisdictonal recours rates.
Avista Corporation End of 2010/04
Changes during Changes during Adjustmnts Adjustmnts Adjustments Adjustments
Year Year Balance at Une Amounts Debited Amounts Creite Debit Debit Creit Creit End of Year No.to Accunt 410.2 to Accunt 411.2 Acc No.Amount Accunt No. Amount
(e)(n (g)(h)(i)ù1 (k)
1
2 16,612,764 253,937,77
3 874,213 87,786,031
4 201,483)7,092,889 27,898,329
5 201,483)7,092,889 17,486,977 369,622,132
6
7 201,483)7,092,889 17,486,977 369,622,132- ---- - ,--- --- í- -- I - - I ------- --- -- -
201,483)7,092,889 17,486,977 358,555,809
11,066,323
9
10
11
FERC FORM NO.2 (REV 12-07)Page 275
Name of Respondent This ~ort Is:
(1) I!An Original
(2) A Resubmission
Accumulated Deferred Incoe Taxes-oher (Account 283)
1. Report the informatin called for below conceming the respondenfs accunting for deferr income taes relating to amounts reed in Accunt 283.
2. At Oter (Speci), include deferrls relating to other income and deductons.
Avista Corporation
Date of Report
(Mo, Da, Yr)
04/15/2011
Year/Period of Report
End of 2010/04
1 Accunt 283
2 Electc
3 Gas
4 Oter (Define) (footnote details)
5 Total (Total of lines 2 thru 4)
6 Oter (Spec) (footnote details)
7 TOTAL Accunt 283 (Total of lines 5 thru
8 Classifcation ofTOTAL
9 Federal Income Tax
10 State Income Tax
11 Locallncome Tax
Changes During Year Changes During Year
Balance at Amonts Amounts
Beinning Debit to Creitd to
of Year Accunt 410.1 Accunt 411.
(b)(c)(d)
44,250,108 1,785,900 415,630
12,942,723)5,061,282 226,664)
194,272,444 63,966)4,016,875
225,579,829 6,783,216 4,205,841
225,579,829 6,783,216 4,205,841
Une
No.
Accunt Subdivisions
(a)
- -- - -- ----- - -- -- -- ---
221,346,023
4,233,806
6,783,216 4,205,841
FERC FORM NO. 2/3Q (REV 12-07)Page 276
Name of Respondent YearlPeriod of ReportThis ~ort Is: Date of Report
(1) ~An Original (Mo, Da, Yr)
(2) A Resubmission 04/15/2011
Accumulated Deferred Income Taxes-Other (Account 283) (continued)
3. Provide in a footnote a summary of the type and amount of deferr income taxes reported in the beinning-of-year andend-of-year balance for deferr income taxes tht the
respondent estmates could be included in the development of jurisdictonal recours ras.
Avista Corporation End of 2010/04
Changes during Changes during Adjustments Adjustments Adjustments Adjustments
Year Year Balance atUneAmounts Debited Amounts Creited Debit Debit Creit Credit End of Year No.to Accunt 410.2 to Accunt 411.2 Acc No.Amount Accunt No. Amount
(e)(Q (g)(h)(i)OJ (k)
------ - - -- - 1 - 1- - - -- - -- - ------ - - -- -I i I
2 167,220 1,494,390 44,293,208
3 2,62)189,419 7,468,000)
4 13,275,982 203,467,585
5 164,578 13,465,401 1,494,390 240,292,793
6
7 164,578 13,465,01 1,494,390 240,292,793
- - - --1--- --- ---I --- 1-------- -------- i -----
164,578 13,465,401 1,494,390 236,058,987
4,233,806
9
10
11
FERC FORM NO. 2/3Q (REV 12-07)Page 277
This Page Intentionally Left Blank
Name or KesponOent I nis ~ort IS:~~te l?r K.epOrt Year/PeríOd of Repor
Avista Corporation (1) X An Original (Mo, Da, Yr)
(2) OA Resubmission 04/1512011 End of 2010/04
Other Regulatory Liabilties (Account 254)
1. Report below the details called for concerning other regulatory liabilties which are created through the ratemaking actions of regulatory agencies (and not
includable in other amounts).
2. For regulatory liabilties being amortzed, show period of amortization in column (a).
3. Minor items (5% of the Balance at End of Year for Accunt 254 or amounts less than $250,000, whichever is less) may be grouped by classes.
4. Provide in a footnote, for each line item, the regulatory citation where the respondent was direced to refund the regulatory liabilty (e.g. Commission Order, state
commission order, court decision).
Line Balance at Wrien off during Wrien off Writlenoff Balance at
No.Descrption and Purpse of Beginning of Quartr/Period During Period During Period Credits End of Currnt
Oter Regulatory Liabilties Currnt Accunt Amount Amount Deemed .QuarterlY ear
(a),QuartrlY ear Creited Refunded Non-Refundable (ij (g)
(b)(c)(d)(e)
1 Idaho Investment Tax Credit (254005)11,603,72 190 470,351 .11,133,372
2 Oregon BETC Credit (254010)104,733 104,733
3 Noxon, ITC (254025)1,441,11 595,399 2.036,509
4 Defer Gas Exchange (254028)
5 FAS 109 Invest Tax Credit (254180)174,6&190 24,90 149,784
6 Nez Perce (254220)748,38 557 22,00 726,38
7 Oregon Senate Bil (254250)1,789,65 755,285 2,54.937
8 Reg Uabiltv CCX CR ID (254300)34,51 407 34,512
9 Accrue Lake CDA IPA int (254325)64,41(407 64,410
10 SPA Res Exch Regulatory Liab (254345)2,90,39 407 2,900,393
11 Unrealized Currencv Exchange (254399)35,54 143 9,259 26,289
12 Reg Uabilty Other (254700)
13 Mark to Market ST (254740)245 5,878 (5,878)
14 Mark to Market FAS133 (254750)42,611,49 244,175 42,611,493
15 Idaho DSIT 14,713,202 14,713,202
16 Oreoon Commercial 116,233 116.233
17
18
19
20
21
22
23
24 ,
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45 Total 61,709,913 46,4,2~0 16,284,852 .31,54,51
FERC FORM NO. 2/3Q (REV 12-07)Page 278
Name of Respondent This oo0rt Is:Date of Report Year/Period of Report
(1) X An Original (Mo, Da, Yr)Avista Corporation (2) nA Resubmission 04/1512011 End of 2010/04
Gas Operating Revnues
1. Report below natural gas operating revenues for each prescrbed acunt total. The amounts mus be consisnt wit the detile data on succing pages.
2. Revenues in columns (b) and (c) include trnsition costs from upsm pipelines.
3. Oter Revenues in columns (Q and (g) include reservation charges reived by the pipeline plus use chrges, les renues refl in columns (b) through (e). Include in
columns (Q and (g) revenues for Accunts 480-495.
Revenues fo Revnues for Revenues lor Revenues for
Transon Transitn GRI and ACA GRI andACA
Costs and Cos and
Line Take-r-Pay Take-r -Pay
No.
Tite of Accunt Amount fo Amont for Amount for Amount for
Currnt Year Previo Year Currnt Year Previous Year
(a)(b)(c)(d)(e)
1 480 Residential Sales ,
2 481 Commercal and Industral Sales
3 482 Oter Sales to Public Authorities
4 483 Sales for Resale
5 484 Interdepartental Sales
6 485 Intrcompany Transfers
7 487 Forfeited Discounts
8 488 Miscllaneous Servic Revenues
9 489.1 Revenues frm Transporttion of Gas of Oters
Through Gathering Facilites
10 489.2 Revenues from Transporttion of Gas of Oters
Through Transmission Facilit
11 489.3 Revenues from Transporttion of Gas of Oters
Through Distbutin Facilities
12 489.4 Revenues from Storing Gas of Oters
13 490 Sales of Prod. Ext. from Natural Gas
14 491 Revenues frm Natural Gas Pro. by Oters
15 492 Incidental Gasoline and Oil Sales
16 493 Rent frm Gas Propert
17 494 Interdepartental Rents
18 495 Other Gas Revenues
19 Subtotal:,
20 496 (Les) Provision for Rate Refunds
21 TOTAL:
.
FERC FORM NO.2 (REV 12-07)Page 300
Name of Respondent This oo0rt Is:Date of Report YearlPeriod of Report
Avista Corporation (1) X An Original (Mo, Da, Yr)
(2)A Resubmission 04/15/2011 End of 2010/04
Gas Operating Revenues
4. If increases or decase frm previous year are not deried frm previously reported liures, explain any inconsistencies in a footnot.
5. On Page 108, include information on major changes during the year, new servic, and importnt rate incrase or decreases.
6. Report the revenue from trnsporttion service that are bundled wit storage services as trnsporttion service revenue.
Oter Oter Total Total Dekatherm of Dekatherm of
Revenues Revenues Operating Operating Natral Gas Natural Gas
Revenues Revenues
Line
No.
Amount for Amount for Amount for Amount for Amount for Amount for
Currnt Year Previous Year Currnt Year Previous Year Currnt Year Previous Year
(I)(g)(h)(i)OJ (k)
1 193,169,378 '251,021,762 193,169,378 251,021,762 18,854,641 20,797,890
2 104,750,598 . 145,180,519 104,750,598 145,180,519 12,317,713 13,726,339
3
4 218,204,139 155,050,847 218,204,139 155,050,847 52,44,562 43,04,654
5 288,882 516,261 288,882 516,261 39,272 50,236
6
7
8 168,318 173,812 168,318 173,812
9
10
11
6,70,438 6,067,048 6,70,438 6,067,048 14,209,259 14,458,00
12
13
14
15
16 1,460 27,766 1,460 27,766
17
18 9,036,483 7,906,79 9,036,482 7,906,479
19 532,089,696 565,944,494 532,089,695 565,944,494
20
21 532,089,696 565,944,494 532,089,695 565,94,494
. FERC FORM NO.2 (REV 12-07)Page 301
Name of Respondent This oo0rt Is:Date of Report YearlPeriod of Report
(1) X An Original (Mo, Da, Yr)
Avista Corporation (2) riA Resubmission 04/1512011 End of 2010/04
Other Gas Revenues (Account 495)
Report below transactions of $250,000 or more included in Account 495, Other Gas Revenues. Group all transactions below $250,000
in one amount and provide the number of items.
Une Description of Transaction Amount
No.(in dollars)
(a)(b)
1 Commissions on Sale or Distbution of Gas of Oters
2 Compensation for Minor or Incidental Service Provided for Oters
3 Profit or Loss on Sale of Materil and Supplies not Ordinarily Purchased for Resle
4 Sales of Stram, Water, or Electcit, including Sales or Transfers to Oter Departents
5 Miscellaneous Royaltes
6 Revenues frm Dehydratin and Oter Prossing of Gas of Oters except as provided for in the Instns to Accunt 495
7 Revenues for Right and/or Benefi Recived frm Oters which are Realiz Through Researc, Development and Demonsttion Venture
8 Gains on Settements of Imbalance Recivables and Payables
9 Revenues frm Penaltes eamed Pursuant to Tari Provisions, including Penaltes Associate wit Cash-out Settements
10 Revenues from Shipper Supplied Gas
11 Oter revenues (Specß):
12 MiscBills 121,492
13 DSM Lost Margin (Oreon)45,425
14 Deferr Exchange Revenue 8,869,565
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
Total I 9,036,482
.
FERC FORM NO.2 (12-96)Page 308
Name of Respondent
Avista Corporation
This ,!ort Is:
(1) ~An Original
(2) A Resubmission
Gas Operation and Maintnance Expenses
Account
Date of Report
(Mo, Da, Yr)
04/15/2011
Year/Period of Report
End of 2010/04
Line
No.
(a)
Amount for
Current Year
(b)
Amount for
Previous Year
(c)
1. PRODUCTION EXPENSES
2 A. Manufactured Gas Production
3 Manufactured Gas Production (Submit Supplemental Statement)
4 B. Natural Gas Production
5 81. Natural Gas Production and Gathering
6 Operation
7 750 Operation Supervision and Engineering 0 0
8 751 Production Maps and Records 0 0
9 752 Gas Well Expenses 0 0
10 753 Field Lines Expenses 0 0
11 754 Field Compressor Station Expenses 0 0
12 755 Field Compressor Station Fuel and Power 0 0
13 756 Field Measuring and Regulating Station Expenses 0 0
14 757 Purification Expenses 0 0
15 758 Gas Well Royalties 0 0
16 759 Other Expenses 0 0
17 760 Rents 0 0
18 TOTAL Operation (Total of lines 7 thru 17)0 0
19 Maintenance
20 761 Maintenance Supervision and Engineering 0 0
21 762 Maintenance of Structures and Improvements 0 0
22 763 Maintenance of Producing Gas Wells 0 0
23 764 Maintenance of Field Lines 0 0
24 765 Maintenance of Field Compressor Station Equipment 0 0
25 766 Maintenance of Field Measuring and Regulating Station Equipment 0 0
26 767 Maintenance of Purification Equipment 0 0
27 768 Maintenance of Drillng and Cleaning Equipment 0 0
28 769 Maintenance of Other Equipment 0 0
29 TOTAL Maintenance (Total of lines 20 thru 28)0 0
30 TOTAL Natural Gas Production and Gathering (Total of lines 18 and 29)0 0
FERC FORM NO.2 (12-96)Page 317
Name of Respondent
Avista Corporation
This ~ort Is:
(1) llAn Original
(2) A Resubmission
Gas Operation and Maintenance Expenses(continued)
Date of Report
(Mo, Da, Yr)
041512011
Year/Period of Report
End of 2010/Q4
(a)
Amount for
Currnt Year
(b)
Amount for
Previous Year
(c)
Line
No.
Account
31 B2. Products Extraction
32 Operation
33 770 Operation Supervision and Engineering
34 771 Operation Labor
35 772 Gas Shrinkage
36 773 Fuel
37 774 Power
38 775 Materials
39 776 Operation Supplies and Expenses
40 777 Gas Processed by Others
41 778 Royalties on Products Extracted
42 779 Marketing Expenses
43 780 Products Purchased for Resale
44 781 Variation in Products Inventory
45 (Less) 782 Extracted Products Used by the Utilty-Credit
46 783 Rents
47 TOTAL Operation (Total of lines 33 thru 46)
48 Maintenance
49 784 Maintenance Supervision and Engineering
50 785 Maintenance of Structures and Improvements
51 786 Maintenance of Extraction and Refining Equipment
52 787 Maintenance of Pipe Unes
53 788 Maintenance of Extracted Products Storage Equipment
54 789 Maintenance of Compressor Equipment
55 790 Maintenance of Gas Measuring and Regulating Equipment
56 791 Maintenance of Other Equipment
57 TOTAL Maintenance (Total of lines 49 thru 56)
58 TOTAL Products Extraction (Total of lines 47 and 57)
-- - - -- -- - ---
-- -- --- -- ---
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
FERC FORM NO.2 (12-96)Page 318
Name of Respondent
Avista Corporation
This ~ort Is:
(1) IlAn Original
(2) A Resubmission
Gas Operation and Maintenance Expenses(continued)
Date of Report
(Mo, Da, Yr)
04/15/2011
Year/Period of Report
End of 2010104
Line
No.
Accunt
(a)
Amount for
Current Year
(b)
Amount for
Previous Year
(c)
59 C. Exploration and Development
60 Operation
61 795 Delay Rentals
62 796 Nonproductive Well Drillng
63 797 Abandoned Leases
64 798 Other Exploration
65 TOTAL Exploration and Development (Total of lines 61 thru 64)
66 D. Other Gas Supply Expenses
67 Operation
68 800 Natural Gas Well Head Purchases
69 800.1 Natural Gas Well Head Purchases, Intracompany Transfers
70 801 Natural Gas Field Line Purchases
71 802 Natural Gas Gasoline Plant Outlet Purchases
72 803 Natural Gas Transmission Une Purchases
73 804 Natural Gas City Gate Purchases
74 804.1 Uquefied Natural Gas Purchases
75 805 Other Gas Purchases
76 (Less) 805.1 Purchases Gas Cost Adjustments
77 TOTAL Purchased Gas (Total of lines 68 thru 76)
78 806 Exchange Gas
79 Purchased Gas Expenses
80 807.1 Well Expense-Purchased Gas
81 807.2 Operation of Purchased Gas Measuring Stations
82 807.3 Maintenance of Purchased Gas Measuring Stations
83 807.4 Purchased Gas Calculations Expenses
84 807.5 Other Purchased Gas Expenses
85 TOTAL Purchased Gas Expenses (Total of lines 80 thru 84)
- - -- --- -------- ---- ---- ---- --
o
o
o
o
o
o
o
o
o
o- -- -- -- - -
--- -- --- --- ----
,
0 0
0 0
0 0
0 0
0 0
413,492,742 383,241,588
0 0
0 0
18,740,662 20,256,209)
394,752,080 403,497,797
0 0------- -- -- 1- --
I
o
o
o
o
o
o
o
o
o
o
o
o
FERC FORM NO.2 (12-96)Page 319
Avista Corpration
This ~ort Is:
(1) ~An Original
(2) A Resubmission
Gas Operation and Maintnance Expenses(continued)
Date of Report
(Mo, Da, Yr)
04/1512011
Year/Period of Report
End of 2010/04
Name of Respondent
(a)
Amount for
Currnt Year
(b)
Amount for
Previous Year
(c)
Line
No.
Accunt
86 808.1 Gas Withdrawn from Storage-Debit
87 (Less) 808.2 Gas Delivered to Storage-eredit
88 809.1 Withdrawals of Uquefied Natural Gas for Processing-Debit
89 (Less) 809.2 Deliveries of Natural Gas for Processing-Credit
90 Gas used in Utilty Operation-Credit
91 810 Gas Used for Compressor Station Fuei-eredit
92 811 Gas Used for Prodúcts Extraction-Creit
93 812 Gas Used for Other Utilty Operations-Credit
94 TOTAL Gas Used in Utilty Operations-Credit (Total of lines 91 thru 93)
95 813 Other Gas Supply Expenses
96 TOTAL Other Gas Supply Exp. (Total of lines 77,78,85,86 thru 89,94,95)
97 TOTAL Production Expenses (Total of lines 3, 30, 58,65, and 96)
98 2. NATURAL GAS STORAGE, TERMINALING AND PROCESSING EXPENSES
99 A. Underground Storage Expenses
100 Operation
101 814 Operation Supervision and Engineering
102 815 Maps and Records
103 816 Wells Expenses
104 817 Lines Expense
105 818 Compressor Station Expenses
106 819 Compressor Station Fuel and Power
107 820 Measuring and Regulating Station Expenses
108 821 Purification Expenses
109 822 Exploration and Development
110 823 Gas Losses
111 824 Other Expenses
112 825 Storage Well Royalties
113 826 Rents
114 TOTAL Operation (Total of lines of 101 thru 113)
27,737,360
32,273,531
o
o
46,430,654
28,417,046
o
o
o
1,330,609
o
1,330,609
1,694,333
390,579,633
390,579,633
o
695,434
o
695,434
1,744,919
422,560,890
422,560,890- - --
I
---- ~r -----~ ------------ ----
I
I
84 614
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
288,676 296,899
0 0
0 0
289,520 297,513
FERC FORM NO.2 (12-96)Page 320
Name of Respondent
Avista Corporation
This ~ort Is:
(1) 1lAn Original
(2) A Resubmission
Gas Operation and Maintenance Expenses(continued)
Date of Report
(Mo, Da, Yr)
04/15/2011
YearlPeriod of Report
End of 2010/04
Line
No.
Account Amount for
Current Year
(b)
Amount for
Previous Year
(c)(a)- ------- --
115 Maintenance
116 830 Maintenance Supervision and Engineering
117 831 Maintenance of Structures and Improvements
118 832 Maintenance of Reservoirs and Wells
119 833 Maintenance of Lines
120 834 Maintenance of Compressor Station Equipment
121 835 Maintenance of Measuring and Regulating Station Equipment
122 836 Maintenance of Purification Equipment
123 837 Maintenance of Other Equipment
124 TOTAL Maintenance (Total of lines 116 thru 123)
125 TOTAL Underground Storage Expenses (Total of lines 114 and 124)
126 B. Other Storage Expenses
127 Operation
0 0
0 0
0 0
0 0
0 0
0 0
0 0
282,892 316,064
282,892 316,064
572,412 613,577- -------- - - ------ ------ ~- - ----
,
128
129
130
131
132
133
840 Operation Supervision and Engineering
841 Operation Labor and Expenses
842 Rents
842.1 Fuel
842.2 Power
842.3 Gas Losses
o
o
o
o
o
o
o
o
o
o
o
o
o
o134 TÖTAL Operation (Total of lines 128 thru 133)
135 Maintenance
136
137
138
139
140
141
142
143
144
843.1 Maintenance Supervision and Engineering
843.2 Maintenance of Structures
843.3 Maintenance of Gas Holders
843.4 Maintenance of Purification Equipment
843.5 Maintenance of Uquefaction Equipment
843.6 Maintenance of Vaporizing Equipment
843.7 Maintenance of Compressor Equipment
843.8 Maintenance of Measuring and Regulating Equipment
843.9 Maintenance of Other Equipment
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
145 TOTAL Maintenance (Total of lines 136 thru 144)
146 TOTAL Other Storage Expenses (Total of lines 134 and 145)
FERC FORM NO.2 (12-96)Page 321
Avista Corporation
This ~ort Is:
(1) ~An Original
(2) A Resubmission
Gas Operation and Maintnance Expenses(continued)
Date of Report
(Mo, Da, Yr)
04/1512011
Year/Period of Report
End of 2010/04
Name of Respondent
Une
No.
(a)
Amount for
Current Year
(b)
Amount for
Previous Year
(c)
Account
147 C. Liquefied Natural Gas Terminaling and Processing Expenses
148 Operation
149 844.1 Operation Supervision and Engineering
150 844.2 LNG Processing Terminal Labor and Expenses
151 844.3 Uquefaction Processing Labor and Expenses
152 84.4 Uquefaction Transportation Labor and Expenses
153 84.5 Measuring and Régulating Labor and Expenses
154 84.6 Compressor Station Labor and Expenses
155 84.7 Communication System Expenses
156 84.8 System Control and Load Dispatching
157 845.1 Fuel
158 845.2 Power
159 845.3 Rents
160 845.4 Demurrage Charges
161 (less) 845.5 Wharfage Receipts-Credit
162 845.6 Processing Liquefied or Vaporized Gas by others
163 846.1 Gas Losses
164 846.2 Other Expenses
165 TOTAL Operation (Total of lines 149 thru 164)
166 Maintenance
167 847.1 Maintenance Supervision and Engineering
168 847.2 Maintenance of Structures and Improvements
169 847.3 Maintenance of LNG Processing Terminal Equipment
170 847.4 Maintenance of LNG Transportation Equipment
171 847.5 Maintenance of Measuring and Regulating Equipment
172 847.6 Maintenance of Compressor Station Equipment
173 847.7 Maintenance of Communication Equipment
174 847.8 Maintenance of Other Equipment
175 TOTAL Maintenance (Total of lines 167 thru 174)
176 TOTAL Uquefied Nat Gas Terminaling and Proc Exp (Total of lines 165 and 175)
177 TOTAL Natural Gas Storage (Total of lines 125, 146, and 176)
~ ~ -----------------
I--------- -- - - ----------
i
I
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
0 0
572,412 613,577
FERC FORM NO.2 (12-96)Page 322
Name of Respondent
Avista Corporation
This fiort Is:
(1) ~An Original
(2) A Resubmission
Gas Operation and Maintenance Expenses(continued)
Date of Report
(Mo, Da, Yr)
04115/2011
YearlPeriod of Report
End of 2010/04
Une
No.
Accunt Amount for
Current Year
(b)
Amount for
Previous Year
(c)(a)
178 3. TRANSMISSION EXPENSES
179 Operation
180 850 Operation Supervision and Engineering
181 851 System Control and Load Dispatching
182 852 Communication System Expenses
183 853 Compressor Station Labor and Expenses
184 854 Gas for Compressor Station Fuel
185 855 Other Fuel and Power for Compressor Stations
186 856 Mains Expenses
187 857 Measuring and Regulating Station Expenses
188 858 Transmission and Compression of Gas by Others
189 859 Other Expenses
190 860 Rents
191 TOTAL Operation (Total of lines 180 thru 190)
192 Maintenance
- -- - ------ - - -- ~----- ---- ~--~-- ----
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
193
194
195
196
197
198
199
861 Maintenance Supervision and Engineering
862 Maintenance of Structures and Improvements
863 Maintenance of Mains
864 Maintenance of Compressor Station Equipment
865 Maintenance of Measuring and Regulating Station Equipment
866 Maintenance of Communication Equipment
867 Maintenance of Other Equipment
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
o
200 TOTAL Maintenance (Total of lines 193 thru 199)
201 TOTAL Transmission Expenses (Total of lines 191 and 200)
202 4. DISTRIBUTION EXPENSES
-- - -- - --- -------- - ---
203 Operation
204
205
206
207
870 Operation Supervision and Engineering
871 Distribution Load Dispatching
872 Compressor Station Labor and Expenses
873 Compressor Station Fuel and Power
1,118,971
o
o
o
968,934
o
o
o
FERC FORM NO.2 (12-96)Page 323
Name of Respondent
Avista Corporation
This ~ort Is:
(1) I!An Original
(2) A Resubmission
Gas Operation and Maintenance Expenses(continued)
Accunt
Date of Report
(Mo, Da, Yr)
04115/2011
Year/Period of Report
End of 2010/04
(a)
Amount for
Currnt Year
(b)
Amount for
Previous Year
(c)
Une
No.
208 874 Mains and Services Expenses
209 875 Measuring and Regulating Station Exnses-General
210 876 Measuring and Regulating Station Expenses-Industrial
211 877 Measuring and Regulating Station Expenses-Cit Gas Check Station
212 878 Meter and House Regulator Expenses
213 879 Customer Installations Expenses
214 880 Other Expenses
215 881 Rents
216 TOTAL Operation (Total of lines 204 thru 215)
217 Maintenance
218 885 Maintenance Supervision and Engineering
219 886 Maintenance of Structures and Improvements
220 887 Maintenance of Mains
221 888 Maintenance of Compressor Station Equipment
222 889 Maintenance of Measuring and Regulating Station Equipment-General
223 890 Maintenance of Meas. and Reg. Station Equipment-Industrial
224 891 Maintenance of Meas. and Reg. Station Equip-City Gate Check Station
225 892 Maintenance of Services
226 893 Maintenance of Meters and House Regulators
227 894 Maintenance of Other Equipment
228 TOTAL Maintenance (Total of lines 218 thru 227)
229 TOTAL Distribution Expenses (Total of lines 216 and 228)
230 5. CUSTOMER ACCOUNTS EXPENSES
231 Operation
232 901 Supervision
233 902 Meter Reading Expenses
234 903 Customer Records and Collection Expenses
3,473,113
416,318
13,565
169,792
1,736,929
2,286,059
2,518,721
35,429
11,768,897
3,109,908
438,100
9,227
214,489
1,501,542
2,477,086
2,461,299
24,847
11,205,432
219,666
o
2,518,799
o
258,822
138,600
114,396
1,676,274
1,280,066
348,250
6,554,873
18,323,770
198,793
o
2,324,454
o
239,035
274,546
60,597
1,206,293
1,545,122
201,034
6,049,874
17,255,306-- ------ ------ ---- ---
525,998
1,835,341
6,640,573
503,024
1,757,134
6,936,961
FERC FORM NO.2 (12-96)Page 324
Name of Respondent
Avista Corporation
This ~ort Is:
(1 ) I. An Orig inal
(2) A Resubmission
Gas Operation and Maintenance Expenses(continued)
Date of Report
(Mo, Da, Yr)
04/1512011
YearlPeriod of Report
End of 2010/04
Une
No.
Account
(a)
Amount for
Currnt Year
(b)
Amount for
Previous Year
(c)
235 904 Uncollectible Accunts
236 905 Miscellaneous Customer Accounts Expenses
237 TOTAL Customer Accounts Expenses (Total of lines 232 thru 236)
238 6. CUSTOMER SERVICE AND INFORMATIONAL EXPENSES
239 Operation
1,485,533
116,224
10,603,669
2,423,718
216,923
11,837,760
240 907 Supervision
- - - --- - --- --- -
,
241 908 Customer Assistance Expenses
242 909 Informational and Instructional Expenses
243 910 Miscellaneous Customer Service and Informational Expenses
244 TOTAL Customer Service and Information Expenses (Total of lines 240 thru 243)
245 7. SALES EXPENSES
o
13,937,153
998,589
149,634
15,085,376
o
12,488,656
66,884
90,480
12,646,020
246 Operation
247 911 Supervision
248 912 Demonstrating and Sellng Expenses
249 913 Advertising Expenses
250 916 Miscellaneous Sales Expenses
251 TOTAL Sales Expenses (Total of lines 247 thru 250)
252 8. ADMINISTRATIVE AND GENERAL EXPENSES
253 Operation
254 920 Administrative and General Salaries
255 921 Offce Supplies and Expenses
256 (Less) 922 Administrative Expenses Transferrd-Credit
257 923 Outside Services Employed
258 924 Property Insurance
259 925 Injuries and Damages
260 926 Employee Pensions and Benefis
261 927 Franchise Requirements
262 928 Regulatory Commission Expenses
263 (Less) 929 Duplicate Charges-Credit
264 930.1 General Advertising Expenses
265 930.2Miscellaneous General Expenses
266 931 Rents
267 TOTAL Operation (Total of lines 254 thru 266)
268 Maintenance
269 932 Maintenance of General Plant
270 TOTAL Administrative, and General Expenses (Total of lines 267 and 269)
271 TOTAL Gas O&M Expenses (Total of lines 97,177,201,229,237,244,251, and 270)
- - - - -- - ---- - - -- - - --
I
I
0 0
4,562)497,304
680 121,787
118,997 190,057
115,115 809,148- - -- - ---- - - ---- -----
9,171,229 8,396,564
1,589,228 1,54,167
31,599 31,272
5,690,760 4,291,825
432,386 433,137
1,589,704 1,111,478
326,710 254,246
0 0
1,854,784 2,131,461
0 0
78,132 94,868
1,286,718 1,278,133
302,324 140,882
22,290,376 19,645,489
2,432,245 2,435,916
24,722,621 22,081,405
460,002,596 487,804,106
FERC FORM NO.2 (12-96)Page 325
This Page Intentionally Left Blank
Name of Respondent This oo0rt Is:Date of Report YearlPeriod of Report
Avista Corporation (1) X An Original (Mo, Da, Yr)
(2) riA Resubmission 04/1512011 End of 2010/Q4
Oter Gas Supply Expenses (Account 813)
1. Report other gas supply expenses by descrptie tiUe that clearl indicate the nature of such expenses. Show maintenance expenss, revaluation of monthly encrachments
rerded in Accunt 117.4, and losses on settements of imbalance and gas loss not associated wi stge separately. Indicate the functnal classifcation and purpse of propert
to whic any expenses relate. List separately items of $250,000 or more.
Descrption Amount
Une (in dollars)No.(a)(b)
1 Gas Resourc Management
2 Labor 702,380
3 Labor Loading 531,851
4 Oter Expenses (Profesional Servic, Travel, Ofic Supplies, Subsptins, Training)147,653
5
6 Amorttions of Gas Operations Database 19.893
7
8 Regulatory Affirs
9 Labor 141,948
10 Labor Loading 106,48
11 Other Expense (Travel)1,060
12
13
14
15
16
17
18
19
20
21
22
23
24
25 Total 1,651,233
-
FERC FORM NO.2 (12-96)Page 334
Name of Respondent This~rtIS:Date of Report Year/Period of Report
(1) X An Original (Mo, Da, Yr)
Avista Corporation (2) FiA Resubmission 04/1512011 End of 2010/04
Miscellaneous General Expenss (Account 930.2)
1. Provide the infoation requeste below on miscellaneous general expenses.
2. For Oter Expenses, show the (a) purpse, (b) reipient and (c) amount of such items. List separately amount of $250,00 or more however, amount less than $250,00 may be
groupe if the number of items of so grouped is shown.
Desption Amount
Une (in dollars)
No.(a)(b)
1 Industry association dues.~2 Experimental and general research expenses.
a. Gas Research Institute (GRI)
b. Other ..3 Publishing and distributing information and reports to stockholders, trustee, registrar, and transfer
agent fees and expenses, and other expenses of servicing outstanding securities of the respondent
4 Directors fees and expenses 234,721
5 Miscellaneous general expenses 551,645
6 Community Relations 176,08
7 Educational - informational 15,239
8 Other misc. general expenses 20,909
9 Une 4 Detail
10 Directors Expenses
11 Heidi B Stanley 28,412
12 Brian W Dunham 12,352
13 Marc F Racicot 13,984
14 Erik J Anderson 28,762
15 Kristiannne Blake 24,211
16 Rebecc Klein 12,599
17 John F Kelly 27,373
18 Michael L Noel 19,617
19 R: John Taylor 29,580
20 Roy Eiguren 28,525
21 Scott L. Morris 9,325
22
23
24
25 Total 1,286,718
.
FERC FORM NO.2 (12-96)Page 335
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1) ~ An Original (Mo, Da, Yr)
(2)A Resubmission 04/15/2011 2010104
FOOTNOTE DATA
Column: b
Directors 2010
Vendor Name
HEIDI B STANLEY
BRIAN W DUNHAM
MARC F RACICOT
ERIK J ANDERSON
KRISTIANNE BLAKE
REBECCA A KLEIN
JOHN F KELLY
MICHAEL L NOEL
R JOHN TAYLOR
ROYEIGUREN
SCOTT L MORRIS
Expenses
$28,412
$12,352
$13,984
$28,762
$24,211
$12,599
$27,373
$19,617
$29,560
$28,525
$9,325
ISchedule Page: 335 Line No.: 8 Column: b
Test
--~
I FERC FORM NO.2 (12-96)Page 552.1
Name of Respondent This oo0rt Is:Date of Report YearlPeriod of Report
Avista Corporation (1) X An Original (Mo, Da, Yr)
(2) FiA Resubmission 04/151011 End of 2010/04
Depreciation, Depletion and Amortization of Gas Plant (Acct 403, 404.1, 404.2, 404.3, 405) (Except Amortzation of
Acquisition Adjustments)
1. Report in Secon A the amounts of depreiation expense, depletin and amortzatin for the accunts indic and clifed accrding to the plant functonal groups shown.
2. Report in Secon B, column (b) all depreciable or amortzable plant balance to whic rate are applie and show a compoit tol. (If more desirable, report by plant accunt
subaccunt or functonal classiftions other than thos preprinted in column (a). Indicte in a fotnot the manner in whic column (b) balance are
Section A. Summary of Depreiation, Depleton, and Amortization Charges
Amorttion Amortzation and Amortzation of
Expense for Depletion of Underground Storage
Une Depreti Ast Proucing Natural Land and Land
No.Functonal Classification Expense Retirement Gas Land and Land Rights
,(Accunt 403)Cos Rights (Accunt 40.2)
(Accunt (Accunt 404.1 )
(a)(b)403.1) (c)(d)(e)
1 Intangible plant 227 264,611
2 Producton plant manufctured gas
3 Producton and gathering plant natural gas
4 Prouc extrcton plant
5 Underground gas storage plant 580,677
6 Oter storage plant
7 Base load LNG terminaling and prossing plant
8 Transmission plant
9 Distrbuton plant 13,296,510
10 General plant 66,129
11 Common plant-gas 2,532,660 1,684,582
12 TOTAL 17,073,976 227 1,949,193
FERC FORM NO.2 (12-96)Page 336
Name of Respondent This oo0rt Is:Date of Report Year/Period of Report
(1) X An Original (Mo, Da, Yr)Avista Corporation (2) FiA Resubmission 04/15/2011 End of 2010104
Depreciation, Depletion and Amortization of Gas Plant (Accts 403, 404.1, 404.2, 404.3, 405) (Except Amortization of
Acquisition Adjustments) (continued)
obtained. If average balances are used, state the method of averaging used. For column (c) report available information for each plant functonal classifcation liste in column (a). If
composit depreiation accunting is used, report available information called for in columns (b) and (c) on this basis. Where the unit-o-proucon method is used to determine
depreciation charges, show in a footnte any revisions made to estimated gas reserves.
3. If provisions for depreciation were made during the year in additon to depreation provided by application of repo rates, state in a footnote the amounts and nature of the
provisions and the plant items to whic relate.
Section A. Summary of Depreciation, Depletion, and Amortzation Charges
Amortzation of Amortion of
Other Limite-term Oter Gas Plant Total
Une Gas Plant (Accnt 405)(btog)
No.(Accunt 404.3)Functonal Classifcatin
en (g)(h)(a)
1 264,838 Intangible plant
2 Proucton plant manufactre gas
3 Proucton and gathering plant natural gas
4 Prouct extcton plant
5 580,677 Underground gas storage plant
6 Oter storae plant
7 Base load LNG terminaling and processing plant
8 Transmission plant
9 13,296,510 Distrbutin plant
10 4,839 668,968 General plant
11 2,865 4,220,107 Common plant-gas
12 7,704 19,031,100 TOTAL
.
FERC FORM NO.2 (12-96)Page 337
Name of Respondent This oo0rt Is:Date of Report YearlPeriod of Report
(1) X An Original (Mo, Da, Yr)
Avista Corporation (2) DA Resubmission 04/151011 End of 2010/04
Depreiation, Depletion and Amortization of Gas Plant (Accts 403, 404.1, 404.2, 404.3, 405) (Except Amortzaon of
Acquisition Adjustments) (contnued)
4. Add rows as necary to copleely report all data. Number the additonal ro in sequenc as 2.01, 2.02, 3.01, 3.02, etc.
Section B. Factors Used in Estimating DepreIation Charges
Applied Depreatin
Une Plant Base or Amortzation Rates
No.Functonal Classifiction (in thousands)(percnt)
(a)(b)(c)
1 Proucton and Gathering Plant
2 Ofhore (footnote details)
3 Onshore (footnote details)
4 Underground Gas Storage Plant (fotnote details)
5 Transmission Plant
6 Ofore (footnote details)
7 Onshore (footnote details)
8 General Plant (footnote details)
9
10
11
12
13
14
15
.-
FERC FORM NO.2 (12-96)Page 338
Name of Respondent This oo0rt Is:Date of Report Year/Period of Report
(1) X An Original (Mo, Da, Yr)Avista Corporation (2) Fi A Resubmission 04/15/2011 End of 2010/04
Partculars Concerning Certin Income Deductions and Interest Charges Accounts
Report th information specied below, in the order given, for the repecve income deducton and interest charges accunts.
(a) Miscellaneous Amorttion (Accunt 425)-Describe the nature of items included in this accunt the contr accunt charged, the total of amortzatin charges for the year, and the
period of amortzation.
(b) Miscellaneous Income Deductons-Report the nature, payee, and amount of other income deductons for the year as reuired by Accunts 426.1, Donations; 426.2, Life Insurance;
426.3, Penalties; 426.4, Expenditres for Certin Civic, Politcal and Related Actities; and 426.5, Oter Deductons, of the Uniform Sysem of Accnts. Amounts of less than $250,000
may be grouped by classes witin the above accunts.
(c) Interest on Debt to Assoated Companies (Accunt 430)-For each assoiated company that incurr intrest on debt during the year, indicte the amount and interet rate
repectvely for (a) advances on notes, (b) advance on open accunt, (c) note payable, (d) accunts payable, and (e) other debt and total intere Explain the nature of other debt on
which interes was incurr during the year.
(d) Oter Interest Expense (Accunt 431) - Report details including the amount and interet rate for other interet charges incurrd during the year.
Une Item Amount
No.(a)(b)
1 Accunt 425 - Misc. Amortzation
2 Natural gas plant acquisiton adjustment from 1991 acquisition of CP National
3 Oreon and Califomia distrbution propertes Contr accunt 115 1,110,572
4 Total 1,110,572
5 Accunt 426.1 Donatins
6 Avista Foundation 1,200,000
7 Projec Share 400,000
8 Items under $250,000 2,564,132
9 Total 4,164,132
10 Accunt 426.2 Life Insurance
11 Ofcers lif insurance 217,226
12 SERP 2,019,325
13 Total 2,236,551
14 Accunt 426.3 Penaltes
15 WUTC 262,100
16 Iteni under $250,000 25,029
17 Total 287,129
18 Accunt 426.4 Expenditures for Certin Civic, Politcal and Related Actvites
19 Items under $250,000 1,167,774
20 Total 1,167,774
21 Accunt 426.5 Oter Deductons
22 Executive deferrd compensation .'603,883
23 Items under $250,000 172,301
24 Total 776,184
25 Accunt 430 Interet on Debt to Assocated Companies
26 Avista Capitl II (variable rate ranging frm 1.13 to 1.41 percnt)634,833
27 Avista Capitl, Inc.248,611
28 Total 883,44
29 Accunt 431 Oter Interest Expense
30 Intere on natural gas deferrls 861,087
31 Interest on short-term borrwings 1,199,574
32 Interest on customer depoits 62,144
33 Oter 96,295
34 Total 2,219,100
35
FERC FORM NO.2 (12-96)Page 340
Name of Respondent This wort Is:Date of Report Year/Period of Report
(1) X An Original (Mo, Da, Yr)
Avista Corporation (2) riA Resubmission 04/15/2011 End of 2010/04
Regulatory Commission Expens (Account 928)
1. Report below details of reulatory commission expense incurr during the current year (or in preious years, if being amorze) relating to formal ca before a reulatory boy,
or cases in which such a boy was a part.
2. In column (b) and (c), indicate whether the expenses were assss by a reulatory boy or were oteiis incrrd by the utilit.
Description Deferr in
Une (Fumish name of regulatory commission As by Expenses Total Accunt 182.3
No.or boy, the docket number, and a Regulary of Expenses at Beinning
descrptin of the case.)Commison Utilit to Date of Year
, (a)(b)(c)(d)(e)
1 Federal Energy Regulatory Commission
2 Charges include annual fee and license fee
3 for the Spokane River Project, the Cabinet ..
4 Gorge Project and Noxon Rapids Project
2,247,187 345,541 2,592,728
5
6 Washington Utilties and Transportation Commission
7 Includes annual fee and various other electric dockets
907,189 285,206 1,192,395
8
9 Includes annual fee and various other natural gas
dockets 421,053 127,029 548,082
10
11 Idaho Public Utilties Commission
12 Includes annual fee and various other electric dockets
505,813 190,597 696,10
13
14 Includes annual fee and various other natural gas
dockets 170,468 96,189 266,657
15
16 Public Utilty Commission of Oregon
17 Includes annual fee and various other dockets
566,667 61,737 628,04
18
19 Not directly assigned electric
1,068,709 1,068,709
20 Not directly assigned natural gas
411,641 411,641
21
22
23
24
25 Total 4,818,377 2,586,649 7,405,026 .
FERC FORM NO.2 (12-96)Page 350
Name of Respondent This oo0rt Is:Date of Report YearlPeriod of Report
(1) X An Original (Mo, Da, Yr)Avista Corporation (2) riA Resubmission 04/15/2011 End of 2010/04
Regulatory Commission Expenses (Account 928)
3. Show in column (k) any expense incurr in prior years that are being amortze. List in column (a) th period of amortzation.
4. Identi separately all annual charge adjustments (ACA).
5. List in column (f), (g), and (h) expenss incurr during year which were charges currntl to income, plant or other accunts.
6. Minor items (les than $250,000) may be groupe.
Expenses Expenses Expenses Expenses Amortzed Amortze
Incurrd Incurr Incurr Incurr During Year During Year
Une During Year During Year During Year During Year Deferr in
No.Charged Charged Charged Accunt 182.3
CurrnllyTo CurrnllyTo CurrnllyTo Deferr to Contr Amount End of Year
Accunt Accunt
Departent Accunt No. Amount 182.3
(f), (g)(h)(i)OJ (k)(I)
1
2
3
4
Elecc 928 2,592,728
5
6
7
Electc 928 1,192,395
8
9
Gas 928 548,082
10
11
12
Elecric 928 696,410
13
14
Gas 928 266,657
15
16
17
Gas 928 628,04
18
19
Electc 928 1,068,709
20
Gas 928 411,641
21
22
23
24
25 7,405,026
FERC FORM NO.2 (12-96)Page 351
Name of Respondent This oo0rt Is:Date of Report Year/Period of Report
(1) X An Oriinal (Mo, Da, Yr)
Avista Corporation (2) FiA Resubmission 04/1512011 End of 2010/04
Employee Pensions and Benef (Account 926)
1. Report below the items contained in Accunt 926, Employee Pensions and Benefits.
Une Expense Amount
No.(a)(b)
,
1 Pensions - defined benefi plans 271,149
2 .Pensions - other
3 Post-retirement benefits othr than pensions (PBOP)55,561
4 Post- employment benefit plans
5 Otr (Specif)
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
Total I 326,710
.
FERC FORM NO.2 (NEW 12-07)Page 352
This Page Intentionally Left Blank
Avista Corporation
Date of Report
(Mo, Da, Yr)
04/1512011
YearlPeriod of ReportThis ~ort Is:
(1) I!An Original
(2) A Resubmission
Distribution of Salaries and Wages
Report below the disbutn of tol salari and wages for the year. Segreate amonts oriinally charged to claring accunts to Utilit Depmnnts, Constrcton, Plant Remoals
and Oter Accunts, and enter such amounts in the appropriate lines and columns provided. Salari and waes billed to th Respondent by an affliate copany must be assigne to
the partular operating functn(s) relating to the expens.
In determining this segreatin of salaries and wages oriinally charged to clring acnts, a meUiod of approximatin giving substantiall corrct reult may be used. When
reportng detail of other accunts, enter as many rows as necssry numbere seuentilly strtng wit 75.01, 75.02, etc
End of 2010/04
Name of Respondent
Une
No.
Classifcation Dire Payrll
Distbution
Payroll Billed
by Affliate
Companies
Allocation of
Payroll Charged
for Clearing
Accunts
(d)
Total
(a)
1 Elecc
2 Operation
3 Producton
4 Transmision
5 Distrbution
6 Customer Accunts
7 Customer Service and Informational
8 Sales
9 Administrtie and General
10 TOTAL Operation (Total of lines 3 thru 9)
11 Maintenance
12 Prouctn
13 Transmission
14 Distrbution
15 Administrtive and General
16 TOTAL Maintenance (Total of lines 12 thru 15)
17 T~tal Operation and Maintenance
18 Proucton (Total of lines 3 and 12)
19 Transmision (Total of lines 4 and 13)
20 Distbutin (Total of lines 5 and 14)
21 Customer Accunts (line 6)
22 Customer Servic and Informational (line 7)
23 Sales (line 8)
24 Administrtie and General (Total of lines 9 and 15)
25 TOTAL Operation and Maintenance (Total of lines 18 thru 24)
26 Gas
27 Operation
28 Proucton - Manufactred Gas
29 Proucton - Natural Gas(lncluding Exploration and Development)
30 Oter Gas Supply
31 Storage, LNG Terminaling and Prossing
32 Transmission
33 Distrbutin
34 Customer Accunts
35 Customer Service and Informational
36 Sale
37 Administrtive and General
38 TOTAL Operation (Total of lines 28 thru 37)
39 Maintenance
40 Producton - Manufactre Gas
41 Proucton. Natural Gas(lncluding Exploration and Development)
42 Other Gas Supply
43 Storage, LNG Terminaling and Prossing
44 Transmision
45 Distrbution
9,728,68
2,565,620
4,154,967
6,114,360
634,361
129,785
13,792,391
37,120,168
9,702,484
9,702,484
9,728,684
2,565,620
4,154,967
6,114,360
634,361
129,785
23,494,875
46,822,652- --~ --------~------~------
I
2,450,20
882,225
4,078,389
2,450,204
882,225
4,078,389
- ------ --- --- -~------ -------7,410,818 7,410,818
12,178,888
3,447,845
8,233,356
6,114,360
634,361
129,785
13,792,391
44,530,986
9,702,484
9,702,484
12,178,888
3,447,845
8,233,356
6,114,360
634,361
129,785
23,494,875
54,233,470,-- - ~- - - - - ---~-~--- ---- ---~--
844,328 844,328
3,563,152
2,641,759
330,534
49,990
4,840,841
12,270,604
7,515,613
7,515,613
3,563,152
2,641,759
330,534
49,990
12,35,454
19,786,217- - -~-- ------ -- --- ~-----
I
598,383
2,516,984
598,383
. 2,516,984
FERC FORM NO.2 (REVISED)Page 354
Name of Respondent
Avista Corporation
Line
No.
Classifcation
This ~ort Is:
(1) IlAn Original
(2) A Resubmission
Distribution of Salaries and Wages (continued)
Payrll Billed
by Affliated
Companies
Date of Report
(Mo, Da, Yr)
04/15/2011
YearlPeriod of Report
End of 2010/04
(a)(b)(c)
Alloction of
Payroll Charged
for Clearing
Accunts
(d)
TotalDire Payroll
Disbution
(e)
46 Administrtive and General
47 TOTAL Maintenance (Total of lines 40 thru 46)
48 Gas (Continued)
49 Total Operation and Maintenance
50 Productn - Manufactured Gas (Total of lines 28 and 40)
51 Prouctn - Natural Gas (Including Expl. and Dev.)(I!. 29 and 41)
52 Other Gas Supply (Total of lines 30 and 42)
53 Storage, LNG Terminaling and Prossing (Total of 11.31 and 43)
54 Transmission (Total of lines 32 and 44)
55 Distrbution (Total of lines 33 and 45)
56 Customer Accunts (Total of line 34)
57 Customer Servic and Informational (Total of line 35)
58 Sales (Total of line 36)
59 Administrative and General (Total of lines 37 and 46)
60 Total Operation and Maintenance'(Total of lines 50 thru 59)
61 Oter Utiit Departents
62 Operation and Maintenance
63 TOTAL ALL Utility Dept (Total of lines 25,60, and 62)
64 Utility Plant
65 Constrcton (By Utilit Departents)
66 Electc Plant
67 Gas Plant
68 Oter
69 TOTAL Constrcton (Total of lines 66 thru 68)
70 Plant Removal (By Utility Departnts)
71 Elecc Plant
72 Gas Plant
73 Other
74 TOTAL Plant Removal (Total of lines 71 thru 73)
75 Other Accunts (Speif) (footnote details)
76 TOTAL Oter Accunts
77 TOTAL SALARIES AND WAGES
3,115,367 3,115,367,- ~ -- ----~-- ~ ~ ~----- ~ ------~
i
I
84,328 844,328
598,383
6,080,136
2,641,759
330,534
49,990
4,840,841
15,385,971
7,515,613
7,515,613
598,383
6,080,136
2,641,759
330,534
49,990
12,356,454
22,901,584í~-- ------~~~~ ---~-~-~-- ~--
I
29,478,679
5,935,086
6,478,172
1,304,281
35,956,851
7,239,367
35,413,765 7,782,453 43,196,218----- -~-~--- ------- - ------
1,309,103 280,493 1,589,596
96,345 20,643 116,988
1,405,448 301,136 1,706,584
29,987,073 (26,583,450)
29,987,073 (26,583,450)
126,72,243 (1,281,764)
FERC FORM NO.2 (REVISED)Page 355
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1 ) ~ An Original (Mo, Da, Yr)
(2)A Resubmission 04115/2011 2010/04
FOOTNOTE DATA
Schedule Pa e: 354 Line No.: 75 Column: e
Stores Expense (163)1,698,876 (1,698,876)0
Unamortized debt expense (181)0 0
Regulatory Assets (182)0 0
Preliminary Survey and Investigation (183)36,969 36,969
Small Tool Expense (184)4,157,526 (4,157,526)0
Miscellaneous Deferred Debits (186)772,896 772,896
Capital Stock Expense (214)0 0
Merchandising Expenses (416)0 0
Non-operating Expenses (417)288,382 288,382
Expenditures of Certain Civic, Political and Related 0
Activities (426).532,655 532,655
Employee Incentive Plan (232380)5,917,714 (5,917,714)0
DSM Tarrif Rider and Payroll Equalization Liabilty (242600,16,506,045 (14,809,334) 1.696,71 I
242700)
Incentive I Stock Compensation (238000)76,010 76,010
I FERC FORM NO.2 (12-96)Page 552.1
Name of Respondent This 'f0rt Is:Date of Report YearlPeriod of Report
(1) X An Original (Mo, Da, Yr)Avista Corporation (2) DA Resubmission 04/15/2011 End of 2010/04
Charges for Outside Profesional and Other Consultative Services
1. Report the information speifed below for all charges made during th year included in any accunt (including plant accunts) for outside consulttie and other profesional servs.
These services include rate, management, constrctn, engineering, rearc, financial, valuation, legal, accunting, purcasing, adverting,labor reations, and public relations,
rendered for the repondent under writtn or oral arrngement for which aggreate payments were made during the year to any corporation partership, organization of any kind, or
indivdual (other than for services as an employee or for payments made for meical and reated services) amounting to mo than $250,000, including payments for legislative servic,
except those which should be reported in Accunt 426.4 Expenditre for Certin Civic, Politl and Relate Actvites.
(a) Name of persn or organiztin rendering servic.
(b) Total charges for the year.
2. Sum under a descrption "Oter", all of the aforementioned servics amounting to $250,000 or le.
3. Total under a descrpton "Total", the total of all of the aforementioned services.
4. Charges for outside professional and other consultatie services provided by assocate (affliate) companie should be excluded from this schedule and be rert on Page 358,
accrding to the instrctons for that schedule.
Descrption Amount
Line (in dollars)
No.(a)(b)
1 ArtinSoflLLc 749,921
2 Booz & Comapny Inc 2,979,694
3 Bouten Constrcton Company 435,325
4 Cerium Network 422,307
5 Coeur D Alene Tribe 315,370
6 Columbia Grid 400,483
7 Davis Wriht Tremaind LLP 508,225
8 Deloite & Touchee LLp 1,330,068
9 Dewey & Lebouf LLP 430,363
10 Garc Constrcton Inc 3,150,520
11 Garter Inc 348,439
12 Gilespie Prudhon & Ass. Inc 518,861
13 Golder Assated Inc 293,598
14 Hanna & Assates Inc 572,153
15 Hatch Acrs Corpration 287,695
16 HDR Engineering Inc 255,193
17 Hickey Brothers Fisheris LLC 283,337
18 ITRON Inc 404,806
19 Jaco Constrcton Inc 501,198
20 James A Carothers 277,000
21 McKinstr Essntion Inc 3,914,699
22 Meridian Constrcton Inc 774,806
23 MWH Ameris Inc 293,982
24 Nortwest Hydraulic Consultnts 494,562
25 Paine Hamblen Coffn Broke 609,453
26 Power Cit Elecc 250,984
27 Pro Building Systems 297,873
28 Regulas Interated Solutions LLC 322,738
29 Terex Utilites Inc 437,699
30 US Fish & Wildlife Service 334,091
31 Utilities Intemationallnc 403,752
32 Washington Group Inti Inc 403,764
33 Westem Eleit 557,369
34 Oter 12,476,110
35 Total 36,036,438
.
FERC FORM NO.2 (REVISED)Page 357
Name of Respondent This ~ort Is:
(1) ~An Oóginal
(2) A Resubmission
Gas Storage Project
1. Report injeons and widrawals of gas for all storage proje used by repondent
Avista Corporation
Date of Report
(Mo, Da, Yr)
04/15/2011
Year/Period of Report
End of 2010/04
(a)
Ga
Belongin to
Respoent
(Dt)
(b)
Gas
Beloing to
Oters
(Dt)
(c)
Total
Amount
(Dt)
(d)
Line
No.
Item
STORAGE OPERATIONS (in Dth)
1 Gas Delivere to Storage
2 January
3 February
4 Marc
5 April
6 May
7 June
8 July
9 August
10 September
11 October
12 Novembe
13 December
14 TOTAL (Total of lines 2 thru 13)
15 Gas Withdrawn frm Storage
16 January
17 February
18 Marc
19 April
20 May
21 June
22 July
23 August
24 September
25 October
26 November
27 December
28 TOTAL (Total of lines 16 thru 27)
- - --~~-~-~-~~-~
--~-~ -- ~--~~- ~----~~------
102,995
1,211,676
2,128,931
1,338,457
978,286
743,082
1,09,998
142,138
93,594
759,566
8,593,723
102,995
1,211,676
2,128,931
1,338,457
978,286
743,082
1,094,998
142,138
93,594
759,566
8,593,723
999,542
1,518,722
345,302
669,554
7,335
181,453
845,205
974,599
367,622
2,794
1,360,546
989,705
8,262,379
999,542
1,518,722
345,302
669,554
7,335
181,43
845,205
974,599
367,622
2,794
1,360,546
989,705
8,262,379
FERC FORM NO. 2(12-96)Page 512_
Name of Respondent
Avista Corporation
This ~ort Is:
(1) I!An Original
(2) A Resubmission
Gas Storage Projects
Date of Report
(Mo, Da, Yr)
04115/2011
YearlPeriod of Report
End of 2010/04
1. On line 4, enter the total storage capacity certcated by FERC.
2. Report total amount in Dth or other unit as applicable on Unes 2, 3, 4, 7. If quanti is convert frm Mcfto Dt, provide converion factr in a fotnote.
Line
No.
Item
(a)
Total Amount
(b)
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
STORAGE OPERATIONS
Top or Working Gas End of Year
CUShion Gas (Including Natie Gas)
Total Gas in Reservoir (Total of line 1 and 2)
Certcated Storage Capacit
Number of Injecon. Witdrawái Wells
Number of Observatin Wells
Maximum Days' Witdrawal from Storage
Date of Maximum Days' Witdrawal
LNG Terminal Companies (in Dth)
Number ofTanks
Capacity ofT anks
LNG Volume
Recived at 'Ship Rail'
Transferrd to Tanks
Withdrawn frm Tanks
'Boil Of Vaporition Loss
8,528,000
7,730,668
16,258,668
16,258,668
54
48
277,724
11/2312010
I ~ -----
FERC FORM NO.2 (12-96)Page 513_
Name of Respondent This wort Is:Date of Report YearlPeriod of Report
(1) X An Original (Mo, Da, Yr)
Avista Corporation (2) nA Resubmission 04/1512011 End of 2010/04
Auxilary Peaking Facilites
1. Report below auxilary facilites of the repodent for meeting seasonal peak demands on the repodenfs sysm, such as underround strae proje, liquefi petreum gas
instllations, gas liquefactn plants, oil gas sets, etc.
2. For column (c), for underground storae proje, report the delivery capa on February 1 of the heating season overlapping the year-end fo whic this report is submit.
For other facilities, report the rated maimum daily delivery capacies.
3. For column (d), include or exclude (as appropriate) the co of any plant use joinUy wit another facilit on the basis of preominant use, unles the auxilary peaking facilit is a
separate plant as contemplated by general instrcton 12 of the Unifor System of Accnts.
Maximum Daily Cos of Was Facilit
Location of Type of Delivery Capaci Facilit Operated on Day
Une Facilit Facilit of Facilit (in dollars)of Highest
No.Dt Transmision Peak
(a)(b)(c)(d)Delivery
1 ,
2 Chehalis, Washington ,Underground Natural Gas 268,667 28,775,004
3 Storage Field
4 Washington & Idaho Supply
5
6 Chehalis, Washington Underground Natural Gas 26,000 4,153,234
7 Storae Field
8 Oreon Supply
9
10 Chehalis, Washington Underground Natural Gas 2,623 -
11 Storage Field
12 Oreon Supply
13
14 Mist, Oreon Underground Natural Gas 15,000 -
15 Storge Field
16 Oreon Supply
17
18 Roc Springs, Wyoming Underground Natural Gas 186,125 -
19 Storae Field
20 Washington & Idaho Supply
21
22 Rock Springs, Wyoming Underground Natural Gas 63,875 -
23 Strage Field
24 Washington & Idaho Supply
25
26
27
28
29
30
.
FERC FORM NO.2 (12-96)Page 519
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1) 2Ç An Original (Mo, Da, Yr)
(2)A Resubmission 04/15/2011 2010104
FOOTNOTE DATA
I FERC FORM NO.2 (12-96)Page 552.1
Avista Corporation
Date of Report
(Mo, Da, Yr)
04/151011
YearlPeriod of ReportThis '30rt Is:
(1) I!An Original
(2) A Resubmission
Gas Account. Natral Gas
1. The purp of this schedule is to acunt for th quantity of natral gas reived an delivere by the repoden
2. Natral gas means either natra gas unmixed or any mixtre of natral and maufture gas.
3. Enter in column (c) the year to dat Dt as report in th scheules indic fo th itms of rept lI deiv.
4. Enter in column (d) the repetive quartts Dt as report in th scheule indic fo th ite of repts and deive.
5. Indicate in a fotnte th quantities of bundled sales and trnsport gas an speif th lin on whic such quanti ir lite.
6. If the repondent operat tw or more systems which are not intercnnec, submit se pa fo ths pu.
7. Indicate by fotnote the quantities of gas not subjec to Comission reulaton which did no incur FERC reulat cots by shong (1) the loal distrbuton volumes another jurisdictional pipeline delivere to the
local distrbution compay porton of the reportng pipeline (2) th quantitis that the reportng pipeline transport or sol through its lo distrbution faciliti or intrastate facilties and which the repong pipeine
reived throgh gatering failti or intrtate facilties, but not through any of the intersta poon of th reng pipeline, an (3) th gatring line quantities that were not destined for intersta mark or that
were not trnspo through any interstate porton of the reportng pipeline.
8. Indicate in a fotnot the speifi gas purchase expens acunt(s) and relat to which the aggreat voume report on line No. 3 relat.
9. Indicat in a fotnote (1) the system supply quantities of gas that ar store by th repong pipeine, during th rertng ye and also report as sale,transporttion and compresion volume by the reng
pipeline during the sam rertng year, (2) the system supply quantities of gas that are store by the reng pipeline during th reportng year which th reporting pipeline intends to sell or transport in a future
repong year, and (3) cotract storage quantities.
10. Also indica the volumes of pipeline prouction fild sales that are included in both th compay's to sal fiure and th compy's tota trspoon fiure. Add aditional informn as necssary to th
fotnole.
End of 2010/04
Name of Respondent
(a)
Ref. Page No.Total Amount of Currnt 3 months
ofFERC Form Dt Ended Amount of Dt
Nos.21-A Year to Date Quartrl Only
(b)(c)(d)
85,444,941 21.917,629
303
305
301 14,209,259 4,002,438
307
328
328 73,683 33.113)
332
1,357,747
Une
No.
Item
01 Name of System:
2 GAS RECEIVED
3 Gas Purcase (Accunts 800-805)
4 Gas of Oters Recived for Gathering (Accunt 489.1)
5 Gas of Oters Recived for Transmission (Accunt 489.2)
6 Gas of Others Recived for Distrbution (Accunt 489.3)
7 Gas of Others Received for Contrct Storage (Accunt 489.4)
8 Exchanged Gas Received frm Oters (Accunt 806)
9 Gas Recived as Imbalances (Accunt 806)
10 Recipts of Respondents Gas Transported by Oters (Accunt 858)
11 Oter Gas Withdrawn frm Storage (Explain)
12 Gas Received frm Shippers as Compressor Station Fuel
13 Gas Received from Shippers as Lost and Unaccunted for
14 Oter Recipts (Speif) (footnote details)
15 Total Recipts (Total of lines 3 thru 14)
16 GAS DELIVERED
17 Gas Sales (Accunts 480-484)
18 Deliveris of Gas Gathere for Oters (Accunt 489.1)
19 Deliveries of Gas Transported for Oters (Accunt 489.2)
20 Deliveries of Gas Distrbuted for Oters (Accunt 489.3)
21 Deliveries of Contrct Storage Gas (Accunt 489.4)
22 Exchange Gas Delivered to Oters (Accunt 806)
23 Gas Delivered as Imbalances (Accunt 806)
24 Deliveris of Gas to Oters for Transporttion (Accunt 858)
25 Oter Gas Delivered to Storae (Explain)
26 Gas Use for Compressr Station Fuel
27 Oter Deliveries (Speif) (fotnote details)
28 Total Deliveries (Total of lines 17 thru 27)
29 GAS UNACCOUNTED FOR
30 Prouctn System Losses
31 Gathering System Loses
32 Transmission System Losss
33 Distrbution System Losses
34 Storage System Losses
35 Oter Losses (Speci) (footnote details)
36 Total Unaccunted For (Total oflnes 30 thru 35)
37 Total Deliveries & Unaccunted For (Total of lines 28 and 36)
99,727,883 27,244,701---1-- -~--:-----
83,652,188 22,880,961
303
305
301 14,209,259 4,002,438
307
328
328
332
331,344
509 1,535,092 361,302
99,72,883 27,244,701--- --1-- ----------- - --
99,727,883 27,244,701
FERC FORM NO.2 (REV 12-07)Page 520
Name of Respondent This Report is:Date of Report Year/Period of Report
Avista Corporation (1) ~ An Original (Mo, Da, Yr)
(2)A Resubmission 04/15/2011 2010104
FOOTNOTE DATA
.
I FERC FORM NO.2 (12-96)Page 552.1
This Page Intentionally Left Blank
RECEIVED
2011 APR 15 AM 10: 04
A-VU-b
A vista Corp.
IDAHO
Annual Gas Report,
2010
This Page Intentionally Left Blank
Name of Respondent This report is:Date of Report Year Ending
( Xl An Onginal (Mo,Da, Yr)
Avista Corp.() A Resubmission April 15, 2011 Dec. 31, 2010
GAS PLANT IN SERVICE (ACCOUNTS 101, 102, 103, AND 106)
1. Report below the original cost of gas plant in servce accrding to estimated basis if necessary. and include the entries in column (c).
the prescrbed accunts.Also to be included in column (c) are entries for reversals of tentative
2. In addition to Accunt 101, Gas Plant in Service (Classifed) ,this distributions of prior year reported in column (b). Likewise, if the
page and the next include Account 102, Gas Plant Purchased or respondent has a signifcant amount of plant retirements which have
Sold, Accunt 103, Experimental Gas Plant Unclassified, and not been è1assified to primary accunts at the end of the year, include
Account 106, Completed Construction Not Classified-Gas.in column (d) a tentative distribution of such retirements, on an
3. Include in column (c) and (d), as appropriate, corrections of estimated basis, with appropriate contra entry to the accunt for
additions and retirements for the current or preceding year.accmulated depreciation provision. Include also in column (d)
4. Enclose in parenthesis credit adjustments of plant accounts to reversals of tentative distributions of prior year's unclassified
indicate the negative effect of such accunts.retirements. Attach supplemental statement showing the account
5. Classify Accunt 106 according to prescribed accunts, on an distrbutions of these tentative classifications in columns (c) and (d).
Balance at
Line Account Beginning of Year Additions
No.(al b c
1 INTANGIBLE PLANT
2 301 Oraanization --
3 302 Franchises and Consents --
4 303 Miscellaneous Intangible Plant 168,450 -
5 TOTAL Intanaible Plant (Enter Total of lines 2 thru 4)168,450 -
6 PRODUCTION PLANT
7 Manufactured Gas Production Plant
8 304 Land and Land Rights --
9 305 Structures and Improvements --
10 30 Boiler Plant Eauipment --
11 307 Other Power Eauipment --
12 308 Coke Ovens --
13 309 Producer aas eauipment --
14 310 Water Gas Generatina Eauioment --
15 311 liquefied Petroleum Gas Equipment --
16 312 Oil Gas Generating Equipment --
17 313 Generatina Eauipment-Other Procsses --
18 314 Coal, Coke, and ash handlina eauipment --
19 315 Catalvtic Crackina Eauipment --
20 316 Other reforming equipment --
21 317 Purification eauipment --
22 318 Residual refinina eauipment --
23 319 Gas mixina eauipment --
24 320 Other Eauipment --
25
26 TOTAL Manuafactured Gas Production Plant (Enter Total of lines 8 thru 24)--
27 PRODUCTS EXTRACTION PLANT
28 340 Land and Land Rights --
29 341 Structures and Improvements --
30 342 Extraction and Refinina Eauipment --
31 343 Pipe Lines --
32 344 Exracted Products Storaae Eauipment --
33 345 Compressor Eauioment --
State of Idaho
FERC FORM NO.2 (ED. 12-96)Page 204
State of Idaho
Name of Respondent This report is:
( Xl An Original
Date of Report
(Mo, Da, Yr)
Year Ending
Avista Corp.( ) A Resubmission April 15, 2011 Dec. 31, 2010
GAS PLANT IN SERVICE ACCOUNTS 101, 102, 103, AND 106 Continued
including the reversals of the prior years tentative account and show in column (f) only the offset to the debits or credits to
distrbutions of these amounts. Careful observance of the primary accunt classifications.
above instructions and the texts of Account 101 and 106 will 7. For Account 399, state the nature and use of plant included in this
avoid serious omissions of respondents reported amount for accunt and if substantial in amount submit a suplementary
plant actually in service at end of year. statement showing subaccunt classification of such plant
6. Show in column (f) reclassifications or transfers within utility conforming to the requirements of these pages.
plant accunts. include also in column (f) the additions or 8. For each amount comprising the reported balance and changes in
reductions of primary account classifications arising from Account 102, state the propert purchased or sold, name of vendor or
distrbution of amounts initially recorded in Account 102. In purchaser, and date of transaction. If proposed joumal entries have
showing the clearance of Accunt 102, include in column (e) been filed with the Commission as required by the Uniform System of
the amounts with respect to accumulated provision for Accounts, give date of such filing.
depreciation, acquisition adjustments, etc.,
Retirements
d
Adjustments
e
Transfers Balance at End of Year Line
No.
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
FERC FORM NO.2 (ED. 12-96)Page 205
Name of Respondent This report is:Year Ending Year Ending
( Xl An Original
Avista Corp.(J A Resubmission April 15, 2011 Dec. 31, 2010
GAS PLANT IN SERVICE (ACCOUNTS 101, 102, 103, AND 106) (Continued)
Balance at
Une Accunt Beginning of Year Additions
No.(a)(b)(e)
34 34 Gas Measuring and Regulating Equipment --
35 347 Other Equipment
--
36 TOTAL Products Exraction Plant (Enter Total of lines 28 thru 35)--
37 TOTAL Natural Gas Production Plant (Enter Total of lines 26 and 36)--
38 Manufactured Gas Production PlantfSubmit Supplementary Statement)-
39 TOTAL Production Plant (Enter Total of lines 37 and 38)--
40 NATURAL GAS STORAGE AND PROCESSING PLANT
41 Underground Storaae Plant
42 350.1 Land --
43 350.2 Riahts-of-Way
--
44 351 Structures and Improvements --
45 352 Wells --
46 352.1 Storaae Leaseholds and Riahts --
47 352.2 Reservoirs
--
48 352.3 Non-recoverable Natural Gas --
49 353 Lines --
50 354 Compressor Station Equipment --
51 355 Measurina and Regulatina Eauipment --
52 356 Purification Equipment --
53 357 Other Equipment
.--
54 TOTAL Underground Storage PlantTEnter Total of lines 42 thru 53)--
55 Other Storage Plant
56 360 Land and Land Rights --
57 361 Structures and Improvements --
58 362 Gas Holders --
59 363 Purification Equipment --
60 363.1 liquefaction Equipment --
61 363.2 Vaporizing Equipment --
62 363.3 Compressor Eauipment
--
63 363.4 Measuring and Reaulatina Eauipment
--
64 363.5 Other Equipment --
65 TOTAL Other Storage Plant (Enter Total of lines 56 thru 64)--
66 Bae Load liquefied Natural Gas Terminaling and Procssing Plant
67 364.1 Land and Land Rights
--
68 364.2 Structures and Improvements --
69 364.3 LNG Processina Terminal Eauipment --
70 364.4 LNG Transporation Eauipment --
71 364.5 Measuring and Reaulatina Eauipment --
72 364.6 Comoressor Station Equipment --
73 364.7 Communications Equipment
--
74 36.8 Other Eauipment
--
75 TOTAL Base Load Liq Nat'l Gas, Terminal and Processing Plant (lines 67-4) --
76 TOTAL Nat' Gas Storage and Prossing Plant (Total of lines 54, 65 and 75)--
77 TRANSMISSION PLANT
78 365.1 Land and Land Riahts
--
79 365.2 Riahts-of-Wav
--
80 36 Structures and Improvements --
State of Idaho
FERC FORM NO.2 (ED. 12-96)Page 206
State of Idaho
Name of Respondent This report is:
( Xl An Original
Year EndingDate of Report
(Mo, Da, Yr)
Avista Corp. ( ) A Resubmission Dec. 31, 2010April 15, 2011
Retirements
d
Balance at End of Year Line
No.
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
51
52
53
54
55
56
57
58
59
60
61
62
63
64
65
66
67
68
69
70
71
72
73
74
75
76
77
78
79
80
Adjustments
e
Transfers
FERC FORM NO.2 (ED. 12-96)Page 207
Name of Respondent This report is:Year Ending Year Ending
( Xl An Original
Avista Corp.() A Resubmission April 15, 2011 Dec. 31, 2010
GAS PLANT IN SERVICE (ACCOUNTS 101, 102, 103, AND 106) (Continued)
Balance at
Line Account Beginning of Year Additons
No.la)lb)(c)
81 367 Mains --
82 368 Compressor Station Eauipment --
83 369 Measuring and Regulating Eauioment --
84 370 Communications Eauioment --
85 371 Other Eauioment --
86 TOTAL Transmission Plant (Enter Totals of lines 78thru 85)--
87 DISTRIBUTION PLANT
88 374 Land and Land Rights 87,805 -
89 375 Structures and Imorovements 169,112 92,230
90 376 Mains 74,458,616 2,590,862
91 377 Compressor Station Eauipment --
92 378 Measuring and Regulating Eauipment-General 1,671,281 293,064
93 379 Measuring and Regulating Eauipment-Citv Gate 4,172,395 -
94 380 Services 45,517,265 1,049,187
95 381 Meters 18,790,078 905,629
96 382 Meter Installations --
97 383 House Regulators --
98 384 House Regulator Instllations --
99 385 Industrial Measuring and Regulating Station Eauioment 598,791 242
100 386 Other Prooert on Customers' Premises --
101 38 Other Eauipment --
102 TOTAL Distribution Plant (Enter Totals of lines 88thru 101)145,465,343 4,931,214
103 GENERAL PLANT
104 389 Land and Land Rights --
105 390 Structures and Imorovements --
391 Office Fumiture and Eauioment --
107 392 Transportation Eauipment 955,276 206,462
108 393 Stores Eauipment --
109 394 Tools, Shop, and Garage Eauioment 454,702 13,249
110 395 Laboratorv Eauioment 33,852 -
111 396 Power Ooerated Eauioment 763,033 185,108
112 397 Communication Eauioment 277,868 62,598
113 398 Miscllaneous Eauipment --
114 Subtotal (Enter Totals of lines 1 04thru 113)2,484,731 467,417
115 399 Other Tangible Prooerl --
116 TOTAL General Plant (Enter Totals of lines 114 and 115)2,484,731 467,417
117 TOTAL (Accounts 101 and 106)148,118,524 5,398,631
118 Gas Plant Purchased (See Instruction 8)
119 (Less) Gas Plant Sold (See Instruction 8)
120 Experimental Gas Plant Unclassified
121 TOTAL Gas Plant in Servce (Enter Totals of lines 117thru 120)I 148,118,524 I 5,398,631
State of Idaho
FERC FORM NO.2 (ED. 12-96)Page 208
Name of Respondent This report is:Date of Report Year Ending
(Xl An Original (Mo, Da, Yr)
Avista Corp.(i A Resubmission April 15, 2011 Dec. 31,2010
GAS PLANT IN SERVICE (ACCOUNTS 101, 102, 103, AND 106) (Continued)
Retirements Adjustments Transfers Balance at End of Year Line
(d)(e)(f (0)No.
----81
----82
----83
----84
----85
----86
87
---87,805 88
---261,342 89
114,229 -(1,073 76,934,176 90
----91
7,473 --1,956,872 92
27,653 --4,144,742 93
24,447 --46,542,005 94
--(535 19,695,172 95
----96
----97
----98
---599,033 99
----100
----101
102
103
---- 104
----105
----106
13,000 --1,148,738 107
----108
22,476 --445,475 109
8,755 --25,097 110
108,967 --839,174 111
8,807 --331,659 112
----113
162,005 --2,790,143 114
----115
162,005 --2,790,143 116
335,807 -(1,608 153,179,740 117
-118
-119
-120
335,807 -(1,608 153,179,740 121
State of Idaho
FERC FORM NO.2 (ED. 12-96)Page 209
This Page Intentionally Left Blank
NameofRespondent This Reportls:Date of Report Year/Period of Report
Avist Corp (1) An Original (Mo,Da,Yr)Original 15-Apr-11
(2) A Resubmission End of 2010
GasStored (Accunts 117.1, 117.2, 117.3, 117.4, 164.1, 164.2, and 164.3) -Idaho
1. If during the year adjustment were made to the stored gas inventory reported in columns (d). (f), (g), and (h) (such as to correct cumulative inaccuracies
of gas measurements), explain in a footnote the reason for the adjustments. the Dth and dollar amount of adjustment, and account charged or credited.
2. Report in column (e) all encroachments during the year upon the volumes designated as base gas, column(b), and system balancing gas, column (c),
and gas propert recordable in the plant accunts.
3. State in a footnote the basis of segregation of inventory between current and noncurrent portons. Also, state in a footnote the metho used to report
storage (i.e., fixed asset method or inventory method).
Line Description Non current Current LNG LNG
No.(Account (Account (Account (Account (Account (Accunt (Accunt Totl
117.1)117.2)117.3)117.4)164.1)164.2)164.3)
(a)(b)(c)(d)(e)(f)(g)(h)(i)
1 Balance at Beginning of $-$-$-$$4,631,890 $-$$4,631,890
2 Gas Delivered to Storage $576,651 $.$-$$8,495,696 $-$-$9,072,347
3 Gas Withdrawn from $-$$$$7,300,394 $$$7,300,394
4 Other Debits and Credits .$$$$.$.$$$.
5 Balance at End of Year $576.651 $$$$5,827,192 $$$6,403,843
6 Dth $103,342 1,599,572 .1,702,914
7 Amount Per Dth $5.58 $$.$$3.64 ..$4.61
Fuel is accounted for within injections and withdrawal accounts
All gas reported is current working gas. Avista uses the inventory method to report all working gas stored.
FERCFORMNO.2(REV04-04)Page 220
H:IReportIFERClForm 2\010 FERC Form 2\010 Page 220\
2010 Form 2 Page 22 System and States.xlsx P220 10
411112011 7:43 AM
Name of Respondnt This Report Is:Date of Report Year/Period of Report
AvistCorp (1 )An Original (Mo,Da,Yr)An Original (12,31,10)15-Apr-11 2010
(2)A Resubmission End of
Gas Operating Revenues - Idaho
1.Report below natural gas operating revenues for each prescribed account total. The amount must be consistent with the detailed data on succeding pages.
2.Revenues in columns (b) and (§ include transition cos from upstream pipelines.
3.Other Revenues incolumns (I) and (g) include reservation charges received by th pipeline plus usage charges, less revenues refleced incolumns (b) through (e).
Include in columns (f) and (g) revenues for Accounts 480-495.
Revenues for Revenues for Revenues for Revenues for
Transition Transiton GRI andACA GRI andACA
Cost and Cost and
Une Take-or-Pay Take-or-Pay
No.
Title of Account Amount for Amount for Amount for Amount for
Current Year Previous Year Current Year Previous Year
(a)(b)(c)(d)(e)
1 480 Residential Sales --
2 481 Commercial and Industrial Sales ---
3 482 Other Sales to Public Authorities ----
4 483 Sales for Resale --
5 484 Interdepartental Sales -
6 485 Intracompanv Transfers ----
7 487 Forfeited Discounts ----
8 488 Miscellaneous Service Revenues ----
9 489.1 Revenues from Transporttion of Gas of Others -.-
Through Gathering Facilties ----
10 489.2 Revenues from Transpotion of Gas of Others ---
Through Transmission Facilties ---
11 489.3 Revenues from Transporttion of Gas of Othrs ----
Through Distrbution Facilities ---
12 489.4 Revenues from Storing Gas of Others --
13 490 Sales of Prod. Ext. from Natural Gas ---
14 491 Revenues from Natural Gas Proc. By Others ---
15 492 Incidentl Gasoline and Oil Sales -.--
16 493 Rent from Gas Propert ---
17 494 Interdepartental Rents ---
18 495 Oter Gas Revenues --.
19 Subtotal:.-..
20 496 (Less) Provision for Rate Refunds ---
21 TOTAL:--.-
FERC FORM NO.2 (REV12-07)
H:lReportlFERClForm 2\010 FERC Form 2\010 Page 300
2010 Form 2 Pages 300.301 System and State.xlsx P30301 10
4/1112011 7:43AM
Name of Respondent
Avista Corp
This Report Is:
(1) An Original (Mo,Da,Yr)
(2)A Resubmission
Date of Report Year/Period of ReportAn Original (12,31.10) 15-Apr-ll 2010
End of
Gas Operating Revenues - Idaho
4.1f increases or decreases from previous year are not derived from previously reported figures, explain any inconsistencies in a foonote.
5.0n Page 108, include information on major changes during the year, new service, and importnt rate increases or decreases.
6.Report the revenue from trnsportation services tht are bundled wit storage services as transporttion service revenue.
Other
Revenues
Other
Revenues
Total
Operating
Revenues
Total
Operating
Revenues
Deka thrm of
Natural Gas
Deka therm of
Natural Gas
Line
No.
1
2
3
4
5
6
7
8
9
Amount for Amount for Amount for Amount for Amount for Amount for
Current Year Previous Year Current Year'Previous Year ..Current Year ...Previous Year ....
(f)(g)(h)(i)(j (k)
41,528,047 53,624,836 41,528,047 53,624,836 4,388,259 4,800,343
21,320,042 29,413,709 21,320,042 29,413,709 2,669,405 2,954,624
47,591,635 35,815,253 47,591,635 35,815,253
34,485 51,180 34,485 51,180
13,774 16,453 13,774 16,453
11 449,198 497,589 449,198 497.589
10
12
13
14
15
16
17
18
19
20
21
2,830,565
113,767,746
2,431,003
121,850,023
2,830,565
113,767,746
2,431,003
121,85,023
113,767,746 121,850,023 113,767,746 121,850,023
. Sales for resale dollars allocated based on W A1ID average monthly commodity allocation used in Results of Operations
FERC FORM NO.2 (REV12-07)Page 301
H:IReportIFERCIFor 2110 FERC Fonn 2\010 Page 30
2010 Fonn 2 Page. 3lJ301 Syste and Stale.xlsx P300.301 ID
411112011 7:43 AM
Idaho
Name of Respondent This ROOn Is:Dat of Repon Year of Repon
(I) X An Orginal (Mo, Da Yr)
A v ista Corp.(2)0 A Resbmillion April 15.2011 December 31. 2010
GAS OPERATION AND MAINTENANCE EXPENSES
If the amount for previous vear is not derived from previously reoone fiiiures, explain in footnote.
Amount for Amount for
Line Amount Current Year Previous Year
No.(a)b (e)
I i. PRODUCTION EXPENSES ,."ii.")
2 A. Manufactured Gas Proucton --
3 Manufactured Gas Production (Submit Supplemental Statement)
4 B. Natural Gas Prouction
5 B 1. Natura Gas Production and Gatherinii
6 Operation --
7 750 Operation Supervision and Eniiineeril!--
8 751 Production Maps and Records --
9 752 Gas Wells Expenses --
10 753 Field Lines Expenses --
II 754 Field Compressor Station Expenses --
12 755 Field Compressor Station Fuel and Power --
13 756 Field Measurinl! and Rel!ulatinii Station Expenses --
14 757 Purification Expenses --
15 758 Gas Well Rovalties --
16 759 Other Expenses --
17 760 Rents --
18 TOTAL Ooeration (Enter Total of lines 7 thru 17)--
19 Maintenance ?F :\:.t"':.',
20 761 Maintenance Supervision and Engineering --
21 762 Maintenance of Strctures and Improvements --
22 763 Maintenance of Producinii Gas Wells --
23 764 Maintenance of Field Lines --
24 765 Maintenance of Field Compressor Station Eauipment --
25 766 Maintenance of Field Meas. and ReI!. Sta. EQUipment --
26 767 Maintenance of Purification EQuipment --
27 768 Maintenance of Driling and Cleaning Equipment --
28 769 Maintenance of Other Eauipment --
29 TOTAL Maintenance (Enter Total of lines 20 thru 28).-
30 TOTAL Natural Gas Prouction and Gathering (Tota of lines 18 and 29)--
31 B2. Products Extrction
32 Operation
33 770 Operation Supervision and Eniiineering --
34 771 Operation Labor --
35 772 Gas Shrinkaiie .-
36 773 Fuel --
37 774 Power .-
38 775 Materials --
39 776 Operation Suppl ies and Expenses --
40 777 Gas Processed by Others --
41 778 Rovalties on Products Extracted --
42 779 Marketinii Expenses --
43 780 Products Purchased for Resale --
44 781 Variation in Product~ Inventory --
45 (Less) 782 Extracted Products Used by the Utilty-Credit --
46 783 Rents --
47 TOTAL Operation (Enter Total of Lines 33 thru 46)--
FERC FORM NO.2 (ED 12.88)Page 320
3125/2011 Form 2 pg 320-325 2010 with detail.xlsx
Idaho
Name of Respondent This R~rt Is:
(I) 12 An Original
Date of Report
(Mo. Da. Yr)
Year of Report
Avista Corp.(2) 0 A Resubmission April 15,2011 December 31, 20 I 0
GAS OPERATION AND MAINTENANCE EXPENSES
Line AmountNo. (a)
82. ProducL~ Extrction (Continued)
48 Ma intenance
49 784 Maintenance Supervision and Enitineerinit
50 785 Maintenance of Strctures and Improvements
51 786 Maintenance of Extraction and Refininl! EauiDment
52 787 Maintenance of Pipe Lines
53 788 Maintenance of Extracted Products Storaite EQuiDment
54 789 Maintenance of ComDressor EauiDment
55 790 Maintenance of Gas Measurinlt and Relt. Equipment
56 791 Maintenance of Other EouiDment
57 TOTAL Maintenance (Enter Total of lines 49 th 56)
58 TOj AL Products Extrction (Enter Total of lines 47 and 57)
59 C. Exploraion and Development
60 ODeration
61 795 Delav Rentals
62 796 NonDroductive Well Drilinlt
63 797 Abandoned Leases
64 798 Other Exploration
65 TOTAL EXDloration and Development (Enter Tota oflines 61 thr 64)
D. Other Gas SUDDlv Expenses
~mountfor Amount for
Current Year Previous Year(b) (c)
66 ODeration
67 800 Natural Gas Well Head Purchases
68 800.1 Natural Gas Well Head Purchases, IntracomDanv Transfers
69 801 Natural Gas Field Line Purchases
70 802 Natural Gas Gasoline Plant Outlet Pnichases
7 I 803 Natural Gas Transmission Line Purchases
72 804 Natural Gas Cit v Gate Purchases
73 804. I Liquefied Natural Gas Purchases
74 805 Other Gas Purchases
75 (Less) 805. i Purchased Gas Cost Adiustments
76
77 TOTAL Purchased Gas (Enter Total of lines 67 to 76)
78 806 Exchanlte Gas
79 Purchased Gas EXDenses
80 807.1 Well EXDenses-Purchased Gas
8 I 807.2 Operation of Purchased Gas Measurinlt Stations
82 807.3 Maintenance of Purchased Gas Measurinlt Stations
83 807.4 Purchased Gas Calculations EXDenses
84 807.5 Other Purchased Gas Expenses
85 TOTAL Purchased Ga~ Expenses (Enter Total of lines 80 th 84)
86 808.1 Gas Withdrawn from Storaiie-Debit
87 (Less) 808.2 Ga~ Delivered to Storaiie-Creit
88 809. i Withdrawals of liquefied Natural Gas for Proessinl!-Debit
89 (Less) 809.2 Deliveries of Natural Gas for Procssinlt-Credit
90 Gas Used in Utiltv Operations-Creit
91 810 Gas Used for ComDressor Station Fuel-Credit
92 81 i Gas Used for Proucts Extraction-Credit
93 812 Gas used for Other Utilty Operations-Credit
94 TOTAL Gas Used in Utilitv ODerations-Creit (Total of lines 91 th 93)
95 8 i 3 Other Ga~ SUDDlv Expenses
96 TOTAL Other Gas Supplv Exp (TDtal of lines 77,78,85,86 thni 89,94,95)
97 TOTAL Production EXDenses CEnter Total of lines 3,30,58,65, an 96)
91,019,608 134,315,561
!f
(5,169,368)
.:;~;::) ~ in ~~i~. .EÆ:: t:!
85,850,241
3.217.554
i;~il~l
137,533,115
,i:~i~~:: ;.)
7;148,498
(8,318,930)
11,823,573
(16,003,035
~. ..," ." \ 'i~. :. ~11;. ;m~ui " 1~
"..¡¡,~; ~!I'li'
.-
(306,165)(336,544).-
(306,165)(336,544)
393,817 381,910
84,767,461 i 33,399,020
84,767,461 133,399,020
FERC FORM NO.2 (ED 12.88)Page 321
3125/2011 Form 2 pg 320-325 2010 with detail.xlsx
Idaho
Name of Respondent This R~rt Is:Dat of Report Year of Repon
(I) X An Orginl (Mo. Da Yr)
Avista Corp.(2)0 A Resubmission April 15. 201 I Dember 31.2010
GAS OPERATION AND MAINTEANCE EXPENSES
Amount for Amount for
Line Amount Current Year Prey ious Year
No.(a)(b (c)
98 2. NATURAL GAS STORAGE. TEMINALING AND
PROCESING EXPENSES
99 A. Underground Storage Expense
100 Operation
ioi 814 Operation Supervision and Enl!ineerinl!258 6,065
102 815 Maps and Records --
103 816 Wells Expenses --
104 817 Lines Exoense --
LOS 818 Compressor Station Exoenses --
106 819 Compressor Station Fuel and Power --
107 820 Measuring and Regulating Station Expenses --
108 821 Purification Expenses --
109 822 Exploration and Development --
110 823 Gas Losses --
I II 824 Other Expenses 84,648 93,643
112 825 Storal!e Well Royalties .-
113 826 RenL~--
114 TOTAL Operation (Enter Total oflines 101 th 113)84,90 99,708
115 Maintenance ,"j ,"f ~~II",'.'
116 830 Maintenance Supervision and Enl!ineerinl!--
117 831 Maintenance of Strctures and Improvements --
118 832 Maintenance of Reservoirs and Wells --
119 833 Maintenance of Lines --
120 834 Maintenance of Compressor Station Eauipment --
121 835 Maintenance of Measuring and Reirlating Station Eauipment --
122 836 Maintenance of Purification Equipment --
123 837 Maintenance of Other Eauipment 82,575 79,072
124 TOTAL Maintenance (Enter Total of lines 116 thm 123)82,575 79,072
125 TOTAL Underground Storage Exoenses (Total of lines 114 and 124)167.481 178.780
126 B. Other Storage Expenses
127 Ooeration
128 840 Operation Supervision and Engineering --
129 841 Operation Labor and Ex penses --
130 842 Rents --
131 842.1 Fuel --
132 842.2 Power --
133 842.3 Gas Losses --
134 TOTAL Operation (Enter Total of lines 128 thm 133)--
135 Maintenance -~IJ . ~,
,~ :~~~lf~~"= ',:,~~j ::~:,"..¡~~I~~j.~~~~i~~~¡m¡~ii'
136 843.1 Maintenance Supervision and Engineering --
137 843.2 Maintenance of Strctures and Improvements --
138 843.3 Maintenance of Gas Holders --
139 843.4 Maintenance of Purification EQuipment -.
140 843.5 Maintenance of Liquefaction EQuipment --
141 843.6 Maintenance of Vaporizinl! Eauipment --
142 843.7 Maintenance of Compressor Equipment --
143 843.8 Maintenance of Measurinl! and Rel!ulatinl! Eauipment .-
144 843.9 Maintenance of Other Eauipment --
145 TOTAL Maintenance (Enter Total of lines 136 thn 144)--
146 TOTAL Other Storage Expenses (Enter Total of lines 134 and 145)--
FERC FORM NO.2 (ED 12-88)Page 322
3/25/2011 Form 2 pg 320-325 2010 with detail.xlsx
Idaho
Name of Respondent This Rffn Is:Date of Repon Year of Report
(I) X An Original (Mo, Da, Yr)
Avista Corp.(2)0 A Resubmission April 15.201 I Decmber 31, 2010
GAS OPERATION AND MAINTENANCE EXPENSES
~Line Amount Current Year Prvious Year
No.(a)b (c
147 C. Liouefied Natural Gas Terminaling and Processinl! Exnenses
148 Operation
149 844.1 Operation Supervision and Eniiineerinii ..
150 844.2 LNG Processinl! Terminal Labor and Expenses ..
151 844.3 Liouefaction Processinl! Labor and Expenses ..
152 844.4 Liouefaction Transporttion Labor and Exnenses .-
153 844.5 Measuring and Regulating Labor and Expenses -.
154 844.6 Comoressor Station Labor and Expenses -.
155 844.7 Communication System Expenses ..
156 84.8 System Control and Load DispatchinR ..
157 845.1 Fuel .-
158 845.2 Power ..
159 845.3 Rents ..
160 845.4 DemuITRe Charl!es .-
161 (Less) 845.5 WharfaRe Receipts-Credit -.
162 845.6 Processinl! Liouefied or Vaporized Gas bv Others .-
163 846. I Gas Losses ..
164 846.2 Other EXPenses -.
165 TOTAL Oneration (Enter Total of lines 149 thni 164)..
166 Maintenance .'
167 847.1 Maintenance Supervision and Enl!ineering .-
168 847.2 Maintenance of Strctures and Improvements .-
169 847.3 Maintenance of LNG ProcessinR Terminal Eiuinment .-
170 847.4 Maintenance of LNG Transporttion Equipment .-
171 847.5 Maintenance of Meaurinl! and Rel!lating EQuioment -.in 847.6 Miantenance of Comoressor Station EQuioment .-
173 847.7 Maintenance of Communication EQuipment .-
174 847.8 Maintenance of Other Eouioment --
175 TOTAL Maintenance (Enter Total of lines 167 thni 174).-
176 TOTAL Liquefied Nat Gas Terminalinii and Proessinl! Exn (Lines 165 & 175)--
177 TOTAL Natural Gas storaiie (Enter Total of lines 125, i 46, and 176)167,481 178,780
178 3. TRANSMISSION EXPENSES
179 Ooeration
180 850 Oneration Supervision and EniiineerinR --
181 851 System Contrl and Load Dispatching --
182 852 Communication System Exoenses .-
183 853 Comoressor Station Labor and Expenses .-
184 854 Gas for Compressor Station Fuel -.
185 855 Other Fuel and Power for Compressor Stations -.
186 856 Mains Exoenses --
187 857 Measurinii and ReRulatinii Station Expenses -.
188 858 Transmission and Comoression of Gas bv Others --
189 859 Other Expenses --
190 860 Rents --
191 TOTAL Oneration (Enter Total of lines 180 thni 190)-.
FERC FORM NO.2 (ED 12-88)Page 323
3/2512011 Form 2 pg 320-325 2010 with detail.xlsx
Idaho
Name of Respondent This R~rt Is:Dat of Report Year of Report
(1) X An Original (Mo, Da Yr)
Avista Corp.(2)0 A Resubmission April 15,201 I December 31. 20 10
GAS OPERATION AND MAINTENANCE EXPENSES
~Line Amount Currnt Year Previous Year
No.(a)(b (e)
3. TRANSMISSION EXPENSES (Continued)
192 Maintenance
193 861 Maintenance SUDervision and Enoineerinl!--
194 862 Maintenance of Structures and Imnrovements --
195 863 Maintenance of Mains --
196 864 Maintenance of ComDressor Station Eauioment --
197 865 Maintenance of Mea sur ina and Reo. Station EnuiDment --
198 866 Maintenance of Communication Eiiuioment --
199 867 Maintenance of Other Enuinment --
200 TOTAL Maintenance (Enter Tota of line 193 th 199)--
201 TOTAL Transmission Exoenses CEnter Total of lines 191 and 20m --
202 4. DISTRIBUTION EXPENSES
203 Ooeration
204 870 Ooeration SUDervision and Enl!ineerinl!250,266 228,281
205 871 Distribution Load Dispatching --
206 872 Comoressor Station Labor and Exnenses --
207 873 Comoressor Station Fuel and Power --
208 874 Mains and Services Exnenses 602,123 572.145209875Measurinl! and Rel!ulatiiw Station Exoenses-General 37,824 91,449210876 Measurinl! and Rel!ulatinl! Station Exoenses-Industral 5,474 1,497
21 I 877 Measurinl! and Reirlatino Station EXDenses-Citv Gate Chek Station 98,371 65,412212878 Meter and House Reiiulator Exnenses 223,023 625,492213879 Customer Installations Exoenses 618,505 538,010
214 880 Other Ex oenses 507,407 554,353215881Rents8,207 7,911216TOTAL Ooeration (Enter Total of lines 204 thru 215)2,351,200 2,684,549
217 Maintenance Ii!"'),;'
218 885 Maintenance SUDervision and Enoineerinl!89,242 1\,989219886 Maintenance of Strcnres and Imnrovements --
220 887 Maintenance of Mains 528,819 187,300221888 Maintenance of ComDressor Station Eauioment --
222 889 Maintenance of Meas. and ReI!. Sta. Enuin.-General 109,650 68,814
223 890 Maintenance of Meas. and Rei. Sta.-Inuin.-Industial 66,219 117,759224891Maintenance of Meas. and ReI!. Sta. Eiouio.-Citv Gate Check Station 46,084 13,090
225 892 Maintenance of Services 330,592 260,467
226 893 Maintenance of Meters and House Reimlators 292,701 276,775227894 Maintenance of Other Eoiiioment 73,821 8,861228TOTAL Maintenance CEnter Tota of lines 2 I 8 th 227)1,537,128 945,055
229 TOTAL Distribution EXOfnses (Enter Total of lines 216 and 228)3,888,328 3,629,602305. CUSTOMER ACCOUNTS EXPENSES
231 ODeration
232 901 Suoervision 123,098 100,364
233 902 Meter Readinii Exoenses 219,522 144,938
234 903 Customer Records and Collection Exoenses 1,485,634 1,295,628
235 904 Uncollectible Accounl~347,655 394,139
236 905 Miscellaneous Customer Accounl~ Exnenses 27,200 30,151237TOTAL Customer Accounts Exoenses (Enter Total of lines 232 thru 236)2,203,108 1,965,220
FERC FORM NO, 2 (ED 12-88)Page 324
312512011 Form 2 pg 320-325 2010 with detail.xlsx
Idaho
Name of Respondent This Rff0rt Is:Date of Report Yea of Report
(I ) X An Origina (Mo, Da, Yr)
Avista Corp.(2)0 A Resubmission April 15,2011 December 31,2010
GAS OPERATION AND MAINTENANCE EXPENSES
If the amount for previous vea is not derived from oreviously reooit fiirres, exolain in foootes.
~Line Amount Currnt Year Previous Year
No.fa)~ (02386. CUSTOMER SERVICE AND INFORMATIONAL EXPENSES
239 Oneration
240 907 Suoervision --
241 908 Customer Assistance Exnenses 2,945,406 1,770,146
242 909 Informational and Instructional Exnenses 191,420 9,671
243 910 Miscellaneous Customer Service and Informtional Exoenses 35,080 30,426
244 TOTAL Customer Service and Information Exnenses (Lines 240 thru 243)3,171,906 1,810,243
245 7. SALES EXPENSES
246 Ooeration
247 911 Sunervision --
248 9 I 2 Demonstrting and Sellnp ExJ1nses (2,342 137,142
249 913 Advertising Expenses 94 24,186
250 916 MiscellaneOus Sales Exnenses 9665 13
251 TOTAL Sales Expenses (Enter Totai of lines 247 thni 250)7,417 161340
252 8. ADMINISTRATIVE AND GENEAL EXPENSES
253 Operation
254 920 Administrative and General Salaries 2,04,467 1,706,522
255 921 Offce Suoolies and Exnenses 338,783 331,787
256 (Less) (922) Administrative Exnenses Trasferred-Cr.(9,853)(8,395)257 923 Outside Services Employed 1,249,551 973,034
258 924 Property Insurance 95,149 77,466
259 925 Injuries and Damages 356,212 40,250260926 Employee Pensions and Benefits 60,784 57,688
261 927 Franchise Requirements --
262 928 Regulartorv Commission Exoenses 357,242 398,134
263 (Less) (929) Duplicate Charges-Cr..-
264 930.1 General Advertising Exoses '1700 -
265 930.2 Miscellaneous General Exnenses 277,939 308,157
266 931 Rents -48,005
267 TOTAL Operation (Enter Total of lines 254 thru 266)4.298.648
268 Ma intenance
269 935 Maintenance of General Plant I 549,708 I 591,077
270 TOTAL Administrative and General Exo (Total of lines 267 and 269)I 5,40,5361 4.889,725
271 TOTAL Gas O. and M. Exn (Lines 97,177,201,229,237,244,251 ,and 270)ì 99,60,236 I 146,033,932
NUMBER OF GAS DEPARTMNT EMPLOYEE
i. The data on number of employees should be repoit constrction employees in a fconote.
for the payroll period ending nearest to October 31, or 3. The number of employees assignable to the gas
any payroll period ending 60 days before or after Octo-deparent from joint function of combination utilties
ber 3 i.may be determine by estmate, on the basis of employee
2. If the respondent's payroll for the reporting period equivalents. Show the estimate number of equivalent
includes any special constrtion personnel, include such employees attribute to the gas depaent from joint
.emnlovees on line 3, and show the number of such soeial functions.
i.Payroll Period Ended (Date)December 31,2010
2. Total Regular Full-Time Emnlovees 241 24
3. Total Par-Time and Temnorarv Emnloyees allocation of Genera Employees 1241 120
4. Total Emolovees 1481 144
FERC FORM NO.2 (ED 12-88)Page 325
3/2512011 Form 2 pg 320-3252010 with detail.xlsx
Name of Respondent This Rel8rt Is:Date of Report Year of Report
(1) X An Original (Mo, Da, Yr)
Avista Corp.(2)D A Resubmission April 15, 2011 Dec. 31, 2010
DISTRIBUTION MAINS
Show Particulars Called for Concerning Distribution Mains
Total Length in I Taken up or Total Length
ine Kind of Material Diameter of Use Beginning of Laid During Abandoned Durin in Use End
No.Pipe, Inches Year, Feet Year, Feet Year, Feet of Year, Feet
(a)(b)(c)(d)(e)(f)
1 Steel Wrapped Less than 2"1,772,987 6,785 1,766,202
2 Steel Wrapped 2" to 4"638,901 692 638,209
3 Steel Wrapped 4" to 8"385,482 538 384,944
4 Steel Wrapped 8" to 12"4,588 4,588
5 Steel Wrapped Over 12"0 0
6
7
8 Plastic Less than 2"5,423,030 38,359 5,461,389
9 Plastic 2" to 4"1,491,352 3,189 1,494,541
10 Plastic 4" to 8"546,855 8,363 555,218
11 Plastic 8" to 12"0 0
12 Plastic Over 12"0 0
13
14
15
16
17
18
19
20
21
22
23 TOTALS 10,263,195 49,911 8,015 10,305,091
State of Idaho
FERC FORM NO.2 Page 514-A
1
State of Idaho
Name of Respondent This Report Is:Date of Report Year of Report
(1)~ An Original (Mo,Da, Yr)
Avista Corp.(2)0 A Resubmission 4/15/2011 12131/2010
SERVICE PIPES GAS
Show the particulars called for conceming the line service pipe in possession of the respondent at the close of the year.
Number at Number umber Remove Number Average
Line Type Diameter Beginning Added or Abandoned at Close Length
No.in Inches of Year During Yea During Year of Year in Feet
(a)(b)(c)(d)(el (f (g)
1 Steel Wrapped l' or Less 12,259 541 11,718 Not
2 Steel Wrapped 1" thru 2"207 207 Available
3 Steel Wrapped 2" thru 4"8 8
4 Steel Wrapped 4" thru 8"1 1
5 Steel Wrapped Over 8"0 0
6 Steel Wrapped Unknown 0 448 448
7
8 Plastic l' or Less 57,413 2,004 55,409
9 Plastic 1" thru 2"250 4 254
10 Plastic 2" thru 4"10 10
11 Plastic 4" thru 8"2 2
12 Plastic Over 8" 0 0
13 Plastic Unknown 0 2,773 2,773
14 Other Unknown 207 20 187
15
16
17 TOTALS 70,357 3,225 2,565 71,017
i
FERC FORM NO.2 Page 514-8
~ame of Respondent This RrKrt Is:Date of Report Yea of Report
(1) X An Original (Mo, Da, Yr)
A vista Corp.(2)D A Resubmission April 15, 2011 Dec. 31, 2010
CUSTOME'S METERS
Owned
Line Size Type Make Capacity Beginning Added Retired Owned
No.of Year During Year During Year End of Yea
(a)(b)(c)(d)(e)(f (g)(h)
1 Detailed information not available.
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16 TOTAL 74,722 569 75,291
I
State of Idaho
FERC FORM NO.2 Page 514-C
Na,!.e.l!!.R~el!.:i!s~!le~i:Is':.~2!:!nal_..Date of Reprt ¡YealPeri of Repo"'~,'~-'-'--',.,-'-'~-"",,--,~--Avista (1)~ Onl!.~a1 (~o,Da,Yr) .~__..15-Apr.11 2010
(2)A resubmission En of
Gas Acim.Naturl Gas - Idaho
.1)he pu~.~ this schedle Is to accunt for the quti of natral ga reed and deliver by the repode.
2. Natural gas meas eiter natura ga unmixed or any mixtre of natra an manufactre ga.
3. Enter in coumnC the year to dat Dt as reed In the schedles Indicad for the Rem so f reip and deliene.
4. Enter In coumn(d) the respee quarer's Dt as rert in th schules Indcate for the Rem so f reip an delVeries.
~.lndite in a fC?ote the quanlles of bu sales and trporttion gas and spe th Dne on which such ques ar lied.
!!.. !!r~E!-!~nt operates tw or mo systems which are nof Intercneced, subR separe pa for th purpe.
!;!~~~ foonote the quanes of gas not subjec to Comission relat which did not incur FERC reglat cots by showng(1) the lo ditrion volumes aner juridictonal pipeine delivered to the
I~ d.s~riËUi~_!Xmpan porton of th rerting pipeDne(2) the quanes th th repong pipein traported or sold throgh it lo disbuon facites or Intrta falites an which th repng pipefine
!!..~e?th.rou.~~ gathenng facilites or inte fac6t, bu no thro an of th inerstate porton of th reprt pipeine, and (3) the gaerng tine qualles that we no destined for intrsale maret or th
~r.!.n?!.t!,~~ed through an interste portio of th rertng pipeine.
~. Ind.~=.in.!!foonote the speciic gas purchase exnse accnt(s) and reated to whic the aggrege volumes reed on line NO.3 reate.
9:.I~~~t~iii.!! fC?ote(l) the system supply quanes of gas that are stored by the rertg pipne, durig th repog yea and alo reprt as sales, traporttion an copression volumes by th repng
!!i~line.,dliri".i;t~e same reportng year, (2) the system supp quanes of ga thai are stored by the rertng pipene during the rertng yea whic the rert pipeline intend to sell or trport In a futre
r~PlJrt".lll'e.!!!~d (3) coract storage quanies.
1.0: !,i!0!r~.~~!he volumes 01 pipeline producton field sal thai are include in both th compay's tot sales figure an the copay's tota traporton figue. Addditonal inat as nesar to the
footnotes.,
.~,..,,"'..,.- '.~~'~,... ',._"-Re. Page No.----~_.-iTot Amnt of ..lCurrnt 3 mon _w"'____ ._.~_~~._~Une Rem ofFERC Fon !Dt
iEride Amnt of Dt
~'--~'~~-""'-"""~~-~'
lYeato Dale
--
No.Nos.2.A.."--'''".",..'''-~."... ,~..""~,_.",.__= Quarer On~00_._.._-(a)(b)I(c),(d)
01 NamSystem:
2 GAS RECEIVD
3 Gas Purchases (Acount 80805)19,632,63 4,901,145
4 Gas of Others Recived for Gathering (Acc48.1)303 .
5 Gas of Oters Reced for Tramission (Accnt48.2)305 .
6 Gas of Oters Recived for Distribuon (Accnt489.3)301 4,08,961 1,166,340
7 Gas of Oters Received fo Contract Storage (Acnt469.4)307 -.
8 Exchanged Gas Recived fro Oters (Acunt)328 --
9 Gas Receied as Imbaance (Accnt80)328 22,213 (23,73)10 Receipt of Respondnls Gas Traported by Oters (Accrr 33
11 Oter Gas WRhdrawn from Storage (Exain) ,-38,65
12 Gas Received from Shipprs as Copressor Sttion Fuel ..
13 Gas Receied fro Shipprs as Lo and Unaccnt for .
14
15 Total Recpt (Total of lines 3 thiu 14)23,737,812 6,450,408
16 GAS DELIRED
17 Gas Sales (Accnts 480)19,001,109.38 5,073,n5.27
18 Deliveries of Gas Gathred for Oters (Ac 489.1)30 ..
19 Deliveries of Gas Traported for Oters (Ac 489.2)30 ,.
20 Deliveries of Gas Distbu for Others (Acc 489.3)301 4,082,961 1,186,34
21 Deliveries of Cotract Storage Gas (Accont 489.4)307 ..
22 Exchange Gas Delivere to Oters (Act 80)328 ..
23 Gas Delivered as Imbalan (Acnt 80)328 ..
24 Deliveri of Gas to Others for Trasporton (Accunt 858)332 ..
25 Otr Gas Delivered to Storage (Explain) .89,00 .
26 GasUsed for Compresor Slon Fuel 509 58,732 190,293
27
28 Tota Deliveries (Tot of Dnes 17 thiu 27)23,73,812 6,450,408
29 GAS UNACCOUNTED FOR
30 Prouction Sysem Loses ..
31 Gathring Svem Loes ..
32 Tramission System Loses ..
33 Distribuion Sytem Loses ..
34 Storage System Loses ..
35
36 Tot Unaccounted For (Tot of lines 30 thiu 35)..
37 Totl Deliveri 8. Unaccnted For (Total of tines 28 and 36)23,737,812 6,450,408
'reresents net gas wihdrawals and injecon
FER~~2~t!~~:.2(REV12-o7)I!g;šiõ--.-...-..-----¡""_._æ_.'_."_,,___._,._.~.""""''"~~
H:lAepitlFERCIrm 21010 FERC Form 21010 Page 520\2010 Form 2 Page 520 Th summry by I1lesx P5 10
31011 10:40 AM
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