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Salaries steady for top Avista executives

by Alecia WARREN<br
| March 31, 2010 9:00 PM

Avista Corp.’s top executives’ salaries remained fairly steady in 2009, while they saw raises in some incentive pay and pension, according to the company’s annual proxy statement filed with the U.S. Securities and Exchange Commission on Wednesday.

Scott Morris , chief executive officer, also president and chairman of the board, had a base salary of $630,001 in 2009, up from $626,308 in 2008.

His non-equity incentive compensation — based on job performance — rose $177,429 to $582,026.

His change in pension and deferred compensation earnings also rose $132,230 in 2009, up to $691,983.

Morris’ total compensation for the year was more than $3 million, up from $2.6 million.

But company spokeswoman Jessie Wuerst said all executives’ 2009 total comp packages include the value of performance-based stock awards that were not earned.

“SEC requires us to report the value of those stock awards,” Wuerst said.

 “They’re there and counted as total comp, but it didn’t go home with them.”

Mark Thies, senior vice president and chief financial officer, earned $314,998, up from $72,692 in 2008.

His salary and other compensations rose dramatically because he had assumed the position in mid-2008 and only worked a partial year, Wuerst said.

Thies’ incentive compensation also rose to $194,009, from $33,716.

His total compensation was $831,234, up from $366,646.

Marian Durkin, senior vice president, general counsel and chief compliance officer, earned $274,999 in base pay, up from $273,075 the year before.

His incentive pay rose over $50,000 to $169,373.

His total compensation package rose to $791,090 from $728,321 in 2008.

Karen Feltes, senior vice president and corporate secretary, earned a base salary of $240,001, bumped up from $238,077.

Her incentive pay rose more than $45,000 to $147,816.

Her total compensation package was $759,007, up from $696,159.

Dennis Vermillion, senior vice president and environmental compliance officer who assumed his position in 2009, earned a base salary of $289,230.

His incentive pay was $148,843, and his total comp package was $733,929.

Avista, a mid-sized utility owned by shareholders, had a net income of $87.1 million in 2009, Wuerst said, improving from $73.6 million the year before.

The bulk of executives’ pay does not come out of customer rates, Wuerst said, but from shareholder dollars.

Executives’ compensation is determined by the company board of directors, she said. Stock and non-equity incentives are performance based, reflecting various financial goals that are achieved.

“It’s a lot of money, regardless how you look at it,” Wuerst said of executive salaries and compensations. “But these people are running a billion-dollar company.”