Item 5.02 Departure of Directors or Certain Officers; Election of Directors;
Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.

On May 8, 2009, the Board of Directors of Avista Corporation (Avista Corp. or the Company) elected Marc Racicot to serve as a director on the board effective August 1, 2009. Mr. Racicot, 60, served as President and Chief Executive Officer of the American Insurance Association from August 2005 until February 2009. Prior to that, he was a partner at the law firm of Bracewell & Giuliani, LLP from 2001 to 2005. He is a former governor (1993 to 2001) and attorney general (1989 to 1993) of the state of Montana. Mr. Racicot presently serves as a director for Burlington Northern Santa Fe Corporation, Massachusetts Mutual Life Insurance Company and Allied Capital Corporation. In addition, he serves on the board of Jobs for America's Graduates and as a member of the Board of Visitors for the University of Montana School of Law.

Mr. Racicot will stand for election to the board at the next annual meeting of shareholders on May 13, 2010. Mr. Racicot was appointed to serve on the Energy, Environmental & Operations and Finance Committees of the board. As a director, Mr. Racicot will receive compensation consistent with the other non-employee directors of Avista Corp. as disclosed in Avista Corp.'s Definitive Proxy Statement filed on March 24, 2009.

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