AVISTA CORP

Consolidated Operating Activities

Net cash provided by operating activities was $447.1 million for 2023 compared to $124.2 million for 2022. The increase in net cash provided by operating activities primarily relates to a decrease in cash collateral posted for derivative investments, which was returned and increased cash flows by $129.2 million in 2023 compared to decreasing cash flows by $141.0 million in 2022. During 2023 we also had an increase to cash flows of $7.1 million resulting from net amortizations of power and natural gas cost deferrals, while the net deferral decreased cash flows by $78.4 million in 2022. Receipts of outstanding accounts receivable balances increased operating cash flows by $92.9 million compared to 2022.

These increases in operating cash flows were partially offset by a decrease in our outstanding accounts payable balance, which decreased operating cash flows by $132.1 million compared to 2022, as well as increased inventory purchases (primarily CCA emissions allowances) resulting in a decrease to operating cash flows of $29.4 million.

Consolidated Investing Activities

Net cash used in investing activities was $510.4 million for 2023, an increase compared to $460.2 million for 2022. During 2023, we paid $498.6 million for utility capital expenditures, compared to $452.0 million for 2022.

Consolidated Financing Activities

Net cash provided by financing activities was $84.9 million for 2023 compared to $327.3 million for 2022. The decrease in financing cash flows was primarily the result of a decrease in short-term borrowings of $114.0 million in 2023, compared to an increase of $179.0 million in 2022. We issued $250.0 million of long term debt and repaid $13.5 million of maturing long term debt in 2023, compared to issuing $400.0 million and repaying $250.0 million in 2022.