Avista Advantage Growth Continues With Addition of Avendra to Client List - Hospitality Industry Focuses on Minimizing Impact of Energy Rate Hikes

"The hospitality industry, especially in California, will likely be hard hit by increases in energy rates," said Gerry Crooks, president and chief executive officer of Avista Advantage. "Our tools and services are designed to provide convenient Web-access to critical information, such as actual energy usage and costs, which is essential to managing energy costs, identifying areas for immediate cost savings, and capitalizing on opportunities in the pending deregulated marketplace. We are pleased to have Avendra on board."

California hotels will shortly have to find methods to manage as much as a 40 percent increase in power rates. According to a recent Reuters article, California accounted for a significant portion of all U.S. hotel revenues in 2000. To keep prices attractive to consumers, hotels and other hospitality businesses need to manage energy usage and budgets even more efficiently. This heightened sense of concern has been the impetus behind Avendra's energy conservation and reduction initiatives.

"Proactively managing energy costs in an environment of rocketing rates and deregulation is a top priority for our clients and industry," said Doug Fiedler, vice president of program development and marketing at Avendra. "We are confident Avista's tools and services will complement Avendra's industry expertise and provide our operators with the energy management tools they need to better see and predict costs. This will help them find new ways to capitalize on cost-saving opportunities while minimizing the impact to customers."

Avendra joins nearly 150 other leading retail, service and industrial companies who rely on Avista Advantage's facility intelligence products and services to help them proactively manage and reduce facility-related costs, such as energy.

Avista Advantage provides operations professionals with proprietary consulting and cost-management tools that enable them to see and predict the usage and costs of facility-related expenses, such as utilities, telecom and waste, for all of their sites nationwide. The company also helps financial professionals to quickly and efficiently manage and pay thousands of facility-related bills each month by simplifying the bill management process. With the current energy crisis highlighting the need for companies to control energy costs, a growing number of facility professionals recognize they can't manage what they can't measure. Avista Advantage offers critical insights into how their companies are using energy on a site-by-site and enterprise-wide basis.

In 2000, Avista Advantage managed more than $1.1 billion in facility bills -- almost five times the previous year's total. The company also achieved a nearly 400 percent increase in the quantity of bills managed over 1999. During March 2001, the company managed nearly 150,000 client bills, marking almost a 50 percent increase over December 2000, while the value of bills managed rose 80 percent in three months to more than $236 million.

"As the need to better understand and manage facility-related costs grow, we are confident our business will continue to perform," Crooks said.

About Avista Advantage

Avista Advantage is a leading provider of facility intelligence products and services that help multi-site clients proactively manage and reduce facility-related costs. Avista Advantage's patented ACIS® intelligence system provides online access to consolidated costs as well as powerful analytical and reporting tools. For more information about Avista Advantage, visit the company's Web site at .

About Avendra

Avendra LLC is the largest and most comprehensive procurement company serving the North American hospitality market and related industries. An independent company, Avendra was established by Marriott International, Hyatt Hotels Corporation, ClubCorp USA, Inc., Bass Hotels & Resorts and Fairmont Hotels & Resorts. By combining the significant volume of its customers' purchases with the operational knowledge and expertise of its experienced staff, Avendra creates purchasing programs that offer its customers the right product and service at highly competitive prices. Customers choose their preferred method for transactions including by phone, fax or via the Internet. The company is headquartered in the Washington, D.C. area and has regional offices throughout the United States and Canada. For more information, please call toll free, 877-866-2753, or e-mail inquiries to [email protected].

About Avista Corp.

Avista Corp. is an energy, information and technology company whose utility and subsidiary operations focus on delivering superior products and providing innovative solutions to business and residential customers throughout North America. Avista Corp.'s affiliate companies include Avista Utilities, which operates the company's electric and natural gas generation, transmission and distribution business. Avista's non-regulated businesses include Avista Advantage, Avista Labs, Avista Communications, Avista Energy, Avista Energy Canada, Ltd., Avista Power, and Avista Ventures. Avista Corp.'s stock is traded under the ticker symbol "AVA." To learn more about Avista Corp. and its affiliate businesses, visit the corporate website at www.avistacorp.com.

NOTE: Avista Corp. and the Avista Corp. logo are trademarks of Avista Corporation. All other trademarks mentioned in this document are the property of their respective owners.

This news release contains forward-looking statements regarding Avista Corp.'s current expectations. These statements are subject to a variety of risks and uncertainties that could cause actual results to differ materially from the expectations. These risks and uncertainties include, in addition to those discussed herein, all of the factors discussed in the company's Annual Report on Form 10-K for the year ended Dec. 31, 2000.