Short-Term Borrowings

9 Months Ended

Sep. 30, 2011

Short-Term Borrowings [Abstract]

Short-Term Borrowings

NOTE 7. SHORT-TERM BORROWINGS

Avista Corp.

In February 2011, Avista Corp. entered into a new committed line of credit with various financial institutions in the total amount of $400.0 million with an expiration date of February 2015 that replaced its $320.0 million and $75.0 million committed lines of credit.

The committed line of credit is secured by non-transferable First Mortgage Bonds of the Company issued to the agent bank 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 committed line of credit.

The committed line of credit agreement contains customary covenants and default provisions. The credit agreement has a covenant which does not permit the ratio of "consolidated total debt" to "consolidated total capitalization" of Avista Corp. to be greater than 65 percent at any time. As of September 30, 2011, the Company was in compliance with this covenant.

Balances outstanding under the Company's revolving committed lines of credit were as follows as of September 30, 2011 and December 31, 2010 (dollars in thousands):

	September 30, 2011		December 31, 2010
Balance outstanding at end of period	$	96,500	$	110,000
Letters of credit outstanding at end of period	$	14,883	$	27,126

Ecova

In April 2011, Ecova entered into a new $40.0 million three-year committed line of credit agreement with a financial institution that replaced its $15.0 million committed credit agreement that had an expiration date of May 2011. The credit agreement is secured by substantially all of Ecova's assets. There were no borrowings outstanding under Ecova's credit agreements as of September 30, 2011 and December 31, 2010.