Short-Term Borrowings

12 Months Ended

Dec. 31, 2011

Short-Term Borrowings [Abstract]

Short-Term Borrowings

NOTE 13. 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. In December 2011, this committed line of credit was amended to extend the expiration date to February 2017 and revise the pricing terms.

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 December 31, 2011, the Company was in compliance with this covenant.

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 December 31 (dollars in thousands):

	2011			2010			2009
Balance outstanding at end of period	$	61,000		$	110,000		$	87,000
Letters of credit outstanding at end of period	$	29,030		$	27,126		$	28,448
Average interest rate at end of period		1.12	%		0.57	%		0.59	%

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. In December 2011, the amount of this committed line of credit was increased to $60.0 million. The amount of this committed line of credit will decrease to $55.0 million on September 30, 2012 and $50.0 million on December 31, 2012. The credit agreement is secured by substantially all of Ecova's assets. Balances outstanding and interest rates of borrowings under Ecova's credit agreements were as follows as of December 31 (dollars in thousands):

	2011			2010		2009
Balance outstanding at end of period	$	35,000		$	—	$	5,700
Average interest rate at end of period		2.38	%		—		1.23	%