8-K

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): June 30, 2007

	Exact Name of Registrant as Specified in
	Charter; State of Incorporation;	IRS Employer
Commission File Number	Address and Telephone Number	Identification Number
1-8962	Pinnacle West Capital Corporation (an Arizona corporation) 400 North Fifth Street, P.O. Box 53999 Phoenix, AZ 85072-3999 (602) 250-1000	86-0512431
1-4473	Arizona Public Service Company (an Arizona corporation) 400 North Fifth Street, P.O. Box 53999 Phoenix, AZ 85072-3999 (602) 250-1000	86-0011170

     Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

     o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

     o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

     o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

     o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

     This combined Form 8-K is separately filed by Pinnacle West Capital Corporation and Arizona Public Service Company. Each registrant is filing on its own behalf all of the information contained in this Form 8-K that relates to such registrant and, where required, its subsidiaries. Except as stated in the preceding sentence, neither registrant is filing any information that does not relate to such registrant, and therefore makes no representation as to any such information.

TABLE OF CONTENTS

	Item 2.02. Results of Operations and Financial Condition
	Item 7.01. Regulation FD Disclosure
	Item 9.01. Financial Statements and Exhibits
SIGNATURES
Exhibit Index
EX-99.1
EX-99.2
EX-99.3
EX-99.4
EX-99.5
EX-99.6
EX-99.7
EX-99.8
EX-99.9
EX-99.10

Item 2.02. Results of Operations and Financial Condition

     On July 26, 2007, Pinnacle West Capital Corporation (the “Company” or “Pinnacle West”) issued a press release regarding its financial results for its fiscal quarter ended June 30, 2007. A copy of the press release is attached hereto as Exhibit 99.9.

     Certain of the Information referenced in Item 7.01 below relates to the Company’s results of operations for its fiscal quarter ended June 30, 2007. This Information is attached hereto as Exhibits 99.2, 99.3, 99.7, 99.9, and 99.10.

Item 7.01. Regulation FD Disclosure

Financial and Business Information

     The Company is providing quarterly consolidated statistical summaries, earnings variance explanations, and a glossary of relevant terms (collectively, “Information”) to help interested parties better understand its business (see Exhibits 99.1, 99.2, 99.3, 99.4, 99.5, 99.6, 99.7, 99.8 and 99.10). This Information is concurrently being posted to the Company’s website at www.pinnaclewest.com. The Information may not represent all of the factors that could affect the Company’s operating or financial results for various periods. Some of the Information is preliminary in nature and could be subject to significant adjustment. Some of the Information is based on information received from third parties and may contain inaccuracies. The Company is not responsible for any such inaccuracies. Although the Company may update or correct the Information if it is aware that such Information has been revised or is inaccurate, the Company assumes no obligation to update or correct the Information and reserves the right to discontinue the provision of all or any portion of the Information at any time or to change the type of Information provided.

2007 Earnings Outlook

     We are updating Pinnacle West’s 2007 earnings outlook in light of the recent Arizona Corporation Commission (“ACC”) decision in APS’ general retail rate case. See “APS General Rate Case and Power Supply Adjustor” in Item 8.01 of the Pinnacle West/APS Report on Form 8-K filed with the Securities and Exchange Commission (the “SEC”) on June 20, 2007 for additional information about the ACC decision. In this discussion, earnings per share amounts are after income taxes and are based on diluted common shares outstanding. The earnings guidance in this Form 8-K supersedes all previous earnings guidance provided by Pinnacle West. Our earnings forecasts are subject to numerous risks, including those described under “Forward-Looking Statements” below.

     We currently estimate that our consolidated earnings for 2007 will be within a reasonable range of $2.55 per share. We estimate that APS’ earnings contribution included in such 2007 consolidated earnings will be within a reasonable range of $2.25 per share (equivalent to a return on APS’ average common equity of 7.5%). These estimates include the $8 million after-tax ($0.08 per share) regulatory disallowance recorded in the second quarter of 2007 as a result of the general rate case decision. We currently estimate that net income for 2007 for our real estate subsidiary, SunCor Development Company (“SunCor”) will be approximately $30 million.

     We previously estimated that our base level of consolidated earnings for 2007, before considering any potential earnings benefit derived from a base rate increase effective at any time during 2007, would be within a reasonable range of $2.45 per share. See the Pinnacle West/APS Report on Form 8-K filed with the SEC on January 30, 2007 for further information on our prior 2007 guidance. Our current guidance differs from our prior guidance principally due to the following factors, all of which relate to implementation of the retail rate decision effective July 1, 2007:

2

• The annualized pretax non-fuel rate increase of $7 million approved by the ACC increased our estimate $0.02 per share;

• The increase in the base fuel rate approved by the ACC increased our estimate $0.11 per share because of the PSA sharing arrangement (under which APS absorbs 10% of variances between actual retail fuel and purchase power costs and the base fuel rate); and

• The regulatory disallowance decreased our estimate $0.08 per share.

Forward-Looking Statements

     This Form 8-K contains forward-looking statements regarding our 2007 earnings outlook. Neither the Company nor APS assumes any obligation to update these statements or make any further statements on any of these issues, except as required by applicable law. Because actual results may differ materially from expectations, we caution readers not to place undue reliance on these statements. A number of factors could cause future results to differ materially from historical results, or from results or outcomes currently expected or sought by Pinnacle West or APS. In addition to the Risk Factors described in Item 1A of the Pinnacle West/APS Annual Report on Form 10-K for the fiscal year ended December 31, 2006, these factors include, but are not limited to, state and federal regulatory and legislative decisions and actions; the ongoing restructuring of the electric industry, including the introduction of retail electric competition in Arizona and decisions impacting wholesale competition; the outcome of regulatory, legislative and judicial proceedings, both current and future, relating to the restructuring; market prices for electricity and natural gas; power plant performance and outages; transmission outages and constraints; weather variations affecting local and regional customer energy usage; customer growth and energy usage; regional economic and market conditions, including the results of litigation and other proceedings resulting from the California energy situation, volatile fuel and purchased power costs and the completion of generation and transmission construction in the region, which could affect customer growth and the cost of power supplies; the cost of debt and equity capital and access to capital markets; current credit ratings remaining in effect for any given period of time; our ability to compete successfully outside traditional regulated markets (including the wholesale market); the performance of our marketing and trading activities due to volatile market liquidity and any deteriorating counterparty credit and the use of derivative contracts in our business (including the interpretation of the subjective and complex accounting rules related to these contracts); changes in accounting principles generally accepted in the United States of America and the interpretation of those principles; the performance of the stock market and the changing interest rate environment, which affect the value of our nuclear decommissioning trust, pension, and other postretirement benefit plans assets, the amount of required contributions to Pinnacle West’s pension plan and contributions to APS’ nuclear decommissioning trust funds, as well as the reported costs of providing pension and other postretirement benefits; technological developments in the electric industry; the strength of the real estate market in SunCor’s market areas, which include Arizona, Idaho, New Mexico and Utah; and other uncertainties, all of which are difficult to predict and many of which are beyond the control of Pinnacle West and APS.

3

Item 9.01. Financial Statements and Exhibits

     (d) Exhibits.

Exhibit
No.	Registrant(s)	Description
99.1	Pinnacle West APS	Pinnacle West Capital Corporation quarterly consolidated statistical summary (cover page and list of contents).
99.2	Pinnacle West APS	Pinnacle West Capital Corporation quarterly consolidated statistical summary for the three-month and six-month periods ended June 30, 2007 and 2006.
99.3	Pinnacle West APS	Pinnacle West Capital Corporation consolidated statistics by quarter for 2007.
99.4	Pinnacle West APS	Pinnacle West Capital Corporation consolidated statistics by quarter for 2006.
99.5	Pinnacle West APS	Pinnacle West Capital Corporation consolidated statistics by quarter for 2005.
99.6	Pinnacle West APS	Pinnacle West Capital Corporation consolidated statistics by quarter for 2004.
99.7	Pinnacle West APS	Pinnacle West Capital Corporation earnings variance explanations for the three and six months ended June 30, 2007 and 2006 and unaudited condensed consolidated statements of income for the three and six months ended June 30, 2007 and 2006.
99.8	Pinnacle West APS	Glossary of Terms.
99.9	Pinnacle West APS	Earnings News Release issued on July 26, 2007.
99.10	Pinnacle West APS	Non-GAAP Financial Measure Reconciliation - Operating Income (GAAP measure) to Gross Margin (non-GAAP financial measure).

4

SIGNATURES

     Pursuant to the requirements of the Securities Exchange Act of 1934, each registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	PINNACLE WEST CAPITAL CORPORATION (Registrant)
Dated: July 26, 2007	By:	/s/ Donald E. Brandt
		Donald E. Brandt
		Executive Vice President and Chief Financial Officer

	ARIZONA PUBLIC SERVICE COMPANY (Registrant)
Dated: July 26, 2007	By:	/s/ Donald E. Brandt
		Donald E. Brandt
		President and Chief Financial Officer

5

Exhibit Index

Exhibit
No.	Registrant(s)	Description
99.1	Pinnacle West APS	Pinnacle West Capital Corporation quarterly consolidated statistical summary (cover page and list of contents).
99.2	Pinnacle West APS	Pinnacle West Capital Corporation quarterly consolidated statistical summary for the six-month periods ended June 30, 2007 and 2006.
99.3	Pinnacle West APS	Pinnacle West Capital Corporation consolidated statistics by quarter for 2007.
99.4	Pinnacle West APS	Pinnacle West Capital Corporation consolidated statistics by quarter for 2006.
99.5	Pinnacle West APS	Pinnacle West Capital Corporation consolidated statistics by quarter for 2005.
99.6	Pinnacle West APS	Pinnacle West Capital Corporation consolidated statistics by quarter for 2004.
99.7	Pinnacle West APS	Pinnacle West Capital Corporation earnings variance explanations for the three and six months ended June 30, 2007 and 2006 and unaudited condensed consolidated statements of income for the three and six months ended June 30, 2007 and 2006.
99.8	Pinnacle West APS	Glossary of Terms.
99.9	Pinnacle West APS	Earnings News Release issued on July 26, 2007.
99.10	Pinnacle West APS	Non-GAAP Financial Measure Reconciliation — Operating Income (GAAP measure) to Gross Margin (non-GAAP financial measure).

EX-99.1

Exhibit 99.1

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Quarterly Consolidated Statistical Summary
Periods Ended June 30, 2007 and 2006

List of Contents

2007 Second Quarter Summary

2007 by Quarter

2006 by Quarter

2005 by Quarter

2004 by Quarter

Quarters may not sum to totals due to rounding.

The definitions of terms used in this statistical summary are contained
in the “Glossary of Terms” on the Pinnacle West website at:
http://www.pinnaclewest.com/files/investors/2007Q2QuarStatsGloss.pdf

This statistical data may be graphed in various quarterly or annual comparisons
using the “Interactive Charts” tool on the Pinnacle West website at:
http://www.pinnaclewest.com/main/pnw/investors/financials/quarterly/landing.html

EX-99.2

Exhibit 99.2

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Quarterly Consolidated Statistical Summary

Periods Ended June 30, 2007 and 2006

		3 Mo. Ended June								6 Mo. Ended June
Line		2007			2006		Incr (Decr)			2007			2006			Incr (Decr)
	EARNINGS CONTRIBUTION BY SUBSIDIARY ($ Millions)
1	Arizona Public Service	$	75		$	94	$	(19	)	$	79		$	88		$	(9	)
2	Pinnacle West Energy		—			—		—			—			—			—
3	APS Energy Services		(1	)		—		(1	)		—			1			(1	)
4	SunCor		—			8		(8	)		8			30			(22	)
5	El Dorado		—			—		—			(2	)		(2	)		—
6	Parent Company		5			9		(4	)		9			5			4
7	Income From Continuing Operations		79			111		(32	)		94			122			(28	)
	Income (Loss) From Discontinued Operations — Net of Tax
8	Silverhawk		—			—		—			—			1			(1	)
9	SunCor		—			1		(1	)		2			2			—
10	NAC		—			—		—			—			—			—
11	Total		—			1		(1	)		2			3			(1	)
12	Net Income	$	79		$	112	$	(33	)	$	96		$	125		$	(29	)
	EARNINGS PER SHARE BY SUBSIDIARY — DILUTED
13	Arizona Public Service	$	0.75		$	0.95	$	(0.20	)	$	0.79		$	0.89		$	(0.10	)
14	Pinnacle West Energy		—			—		—			—			—			—
15	APS Energy Services		(0.01	)		—		(0.01	)		—			0.01			(0.01	)
16	SunCor		—			0.07		(0.07	)		0.08			0.30			(0.22	)
17	El Dorado		—			—		—			(0.02	)		(0.02	)		—
18	Parent Company		0.04			0.09		(0.05	)		0.09			0.05			0.04
19	Income From Continuing Operations		0.78			1.11		(0.33	)		0.94			1.23			(0.29	)
	Income (Loss) From Discontinued Operations — Net of Tax
20	Silverhawk		—			—		—			—			—			—
21	SunCor		—			0.02		(0.02	)		0.01			0.02			(0.01	)
22	NAC		—			—		—			—			—			—
23	Total		—			0.02		(0.02	)		0.01			0.02			(0.01	)
24	Net Income	$	0.78		$	1.13	$	(0.35	)	$	0.95		$	1.25		$	(0.30	)
25	BOOK VALUE PER SHARE	$	34.13	*	$	33.08	$	1.05		$	34.13	*	$	33.08		$	1.05
	COMMON SHARES OUTSTANDING (Thousands)
26	Average — Diluted		100,779			99,640		1,139			100,718			99,562			1,156
27	End of Period		100,290			99,284		1,006			100,290			99,284			1,006

* Estimate

See Glossary of Terms. Page 2 of 31

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Quarterly Consolidated Statistical Summary

Periods Ended June 30, 2007 and 2006

		3 Mo. Ended June							6 Mo. Ended June
Line		2007		2006		Incr (Decr)			2007		2006		Incr (Decr)
	ELECTRIC OPERATING REVENUES (Dollars in Millions)
	REGULATED ELECTRICITY SEGMENT
	Retail
28	Residential	$	335	$	337	$	(2	)	$	581	$	539	$	42
29	Business		342		333		9			606		566		40
30	Total retail		677		670		7			1,187		1,105		82
	Wholesale revenue on delivered electricity
31	Traditional contracts		9		7		2			14		13		1
32	Off-system sales		10		22		(12	)		17		34		(17	)
33	Transmission for others		7		6		1			14		12		2
34	Other miscellaneous services		8		8		—			15		15		—
35	Total regulated operating electricity revenues		711		713		(2	)		1,247		1,179		68
	MARKETING AND TRADING
36	Electricity and other commodity sales		93		90		3			165		175		(10	)
37	Total operating electric revenues	$	804	$	803	$	1		$	1,412	$	1,354	$	58
	ELECTRIC SALES (GWH)
	REGULATED ELECTRICITY SEGMENT
	Retail sales
38	Residential		3,287		3,284		3			6,021		5,703		318
39	Business		4,004		3,971		33			7,289		7,170		119
40	Total retail		7,291		7,255		36			13,310		12,873		437
	Wholesale electricity delivered
41	Traditional contracts		262		181		81			437		396		41
42	Off-system sales		310		218		92			553		890		(337	)
43	Retail load hedge management		254		622		(368	)		371		800		(429	)
44	Total regulated electricity		8,117		8,276		(159	)		14,671		14,959		(288	)
	MARKETING AND TRADING
45	Wholesale sales of electricity		2,606		3,862		(1,256	)		4,663		7,824		(3,161	)
46	Total electric sales		10,723		12,138		(1,415	)		19,334		22,783		(3,449	)

See Glossary of Terms. Page 3 of 31

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Quarterly Consolidated Statistical Summary

Periods Ended June 30, 2007 and 2006

		3 Mo. Ended June									6 Mo. Ended June
Line		2007			2006			Incr (Decr)			2007			2006			Incr (Decr)
	POWER SUPPLY ADJUSTOR (“PSA”) — REGULATED ELECTRICITY SEGMENT (Dollars in Millions)
47	Deferred fuel and purchased power regulatory asset — beginning balance	$	118		$	169		$	(51	)	$	160		$	173		$	(13	)
48	Deferred fuel and purchased power costs — current period		104			78			26			129			91			38
49	Regulatory disallowance		(14	)		—			(14	)		(14	)		—			(14	)
50	Interest on deferred fuel		1			3			(2	)		3			4			(1	)
51	Amounts recovered through revenues		(72	)		(75	)		3			(141	)		(93	)		(48	)
52	Deferred fuel and purchased power regulatory asset — ending balance	$	137		$	175		$	(38	)	$	137		$	175		$	(38	)
	MARKETING AND TRADING PRETAX GROSS MARGIN ANALYSIS (Dollars in Millions)
	Realized and Mark-To-Market Components
53	Electricity and other commodity sales, realized (a)	$	22		$	17		$	5		$	39		$	29		$	10
54	Mark-to-market reversals on realized sales (a) (b)		1			(1	)		2			(4	)		(3	)		(1	)
55	Change in mark-to-market value of forward sales		(6	)		—			(6	)		(2	)		2			(4	)
56	Total gross margin	$	17		$	16		$	1		$	33		$	28		$	5
	By Pinnacle West Entity
57	APS	$	7		$	2		$	5		$	6		$	10		$	(4	)
58	Pinnacle West Marketing & Trading (c)		—			—			—			2			—			2
59	Parent Company (c)		9			11			(2	)		19			12			7
60	APS Energy Services		1			3			(2	)		6			6			—
61	Pinnacle West Energy		—			—			—			—			—			—
62	Total gross margin	$	17		$	16		$	1		$	33		$	28		$	5

Future Marketing and Trading Mark-to-Market Realization

As of June 30, 2007, Pinnacle West had accumulated net mark-to-market gains of $24 million related to our power marketing and trading activities. We estimate that these gains will be reclassified to realized gains as the underlying commodities are delivered, as follows: 2007, $7 million; and 2008, $17 million.

(a)	Net effect on pretax gross margin from realization of prior-period mark-to-market included in line 53 and in line 54 is zero. Realization of prior-period mark-to-market relates to cash flow recognition, not earnings recognition. The arithmetic opposites of amounts included in line 53 are included in line 54. For example, line 54 shows that a prior-period mark-to-market loss of $1 million was transferred to “realized” for the second quarter of 2007. A $1 million realized loss is included in the $22 million on line 53 for the second quarter of 2007.
(b)	Quarterly amounts do not total to annual amounts because of intra-year mark-to-market eliminations.
(c)	On February 1, 2007, the Parent Company transferred its market based rate tariff and wholesale power sales agreements to a newly-created subsidiary, Pinnacle West Marketing & Trading, which resulted in Pinnacle West no longer being a public utility under the Federal Power Act. As a result, Pinnacle West is no longer subject to FERC jurisdiction in connection with its issuance of securities or its incurrence of long-term debt.

See Glossary of Terms. Page 4 of 31

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Quarterly Consolidated Statistical Summary

Periods Ended June 30, 2007 and 2006

		3 Mo. Ended June									6 Mo. Ended June
Line		2007			2006			Incr (Decr)			2007			2006			Incr (Decr)
	AVERAGE ELECTRIC CUSTOMERS
	Retail customers
63	Residential		962,095			930,402			31,693			963,762			930,601			33,161
64	Business		119,792			114,803			4,989			119,220			114,187			5,033
65	Total		1,081,887			1,045,205			36,682			1,082,982			1,044,788			38,194
66	Wholesale customers		62			76			(14	)		63			76			(13	)
67	Total customers		1,081,949			1,045,281			36,668			1,083,045			1,044,864			38,181
68	Customer growth (% over prior year)		3.5	%		4.6	%		(1.1	)%		3.7	%		4.5	%		(0.8	)%
	RETAIL SALES (GWH) — WEATHER NORMALIZED
69	Residential		3,214			3,123			91			5,862			5,598			264
70	Business		3,977			3,933			44			7,205			7,181			24
71	Total		7,191			7,056			135			13,067			12,779			288
	RETAIL USAGE (KWh/Average Customer)
72	Residential		3,417			3,530			(113	)		6,247			6,128			119
73	Business		33,425			34,590			(1,165	)		61,139			62,792			(1,653	)
	RETAIL USAGE — WEATHER NORMALIZED (KWh/Average Customer)
74	Residential		3,340			3,357			(17	)		6,082			6,015			67
75	Business		33,202			34,263			(1,061	)		60,435			62,889			(2,454	)
	ELECTRICITY DEMAND (MW)
76	System peak demand		6,982			6,624			358			6,982			6,624			358

See Glossary of Terms. Page 5 of 31

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Quarterly Consolidated Statistical Summary

Periods Ended June 30, 2007 and 2006

		3 Mo. Ended June									6 Mo. Ended June
Line		2007			2006			Incr (Decr)			2007			2006			Incr (Decr)
	ENERGY SOURCES (GWH)
	Generation production
77	Nuclear		1,846			1,198			648			4,145			2,918			1,227
78	Coal		3,265			3,182			83			6,429			6,265			164
79	Gas, oil and other		1,517			2,000			(483	)		2,668			3,323			(655	)
80	Total generation production		6,628			6,380			248			13,242			12,506			736
	Purchased power
81	Firm load		1,676			1,740			(64	)		1,954			2,105			(151	)
82	Marketing and trading		3,055			4,597			(1,542	)		5,317			9,189			(3,872	)
83	Total purchased power		4,731			6,337			(1,606	)		7,271			11,294			(4,023	)
84	Total energy sources		11,359			12,717			(1,358	)		20,513			23,800			(3,287	)
	POWER PLANT PERFORMANCE
	Capacity Factors
85	Nuclear		75	%		49	%		26	%		85	%		60	%		25	%
86	Coal		86	%		84	%		2	%		85	%		83	%		2	%
87	Gas, oil and other		21	%		28	%		(7	)%		19	%		23	%		(4	)%
88	System average		49	%		48	%		1	%		50	%		47	%		3	%
	Generation Capacity Out of Service and Replaced for Native Load (average MW/day) (a)
89	Nuclear		266			553			(287	)		164			430			(266	)
90	Coal		189			184			5			196			220			(24	)
91	Gas		405			117			288			336			159			177
92	Total		860			854			6			696			809			(113	)

(a) Includes planned and unplanned outages

See Glossary of Terms. Page 6 of 31

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Quarterly Consolidated Statistical Summary

Periods Ended June 30, 2007 and 2006

		3 Mo. Ended June									6 Mo. Ended June
Line		2007			2006			Incr (Decr)			2007			2006			Incr (Decr)
	ENERGY MARKET INDICATORS (a)
	Electricity Average Daily Spot Prices ($/MWh)
	On-Peak
93	Palo Verde	$	64.64		$	54.63		$	10.01		$	59.63		$	54.21		$	5.42
94	SP15	$	68.75		$	55.39		$	13.36		$	64.39		$	56.87		$	7.52
	Off-Peak
95	Palo Verde	$	41.46		$	28.38		$	13.08		$	41.76		$	35.15		$	6.61
96	SP15	$	46.14		$	27.43		$	18.71		$	46.00		$	36.11		$	9.89
	WEATHER INDICATORS
	Actual
97	Cooling degree-days		1,708			1,740			(32	)		1,880			1,783			97
98	Heating degree-days		8			4			4			597			468			129
99	Average humidity		18	%		18	%		0	%		27	%		23	%		4	%
	10-Year Averages
100	Cooling degree-days		1,557			1,557			—			1,654			1,654			—
101	Heating degree-days		31			31			—			544			544			—
102	Average humidity		22	%		22	%		0	%		32	%		32	%		0	%
	ECONOMIC INDICATORS
	Building Permits — Metro Phoenix (b)(d)
103	Single-family		5,044			5,756			(712	)		12,061			14,472			(2,411	)
104	Multi-family		1,276			2,305			(1,029	)		5,407			5,192			215
105	Total		6,320			8,061			(1,741	)		17,468			19,664			(2,196	)
	Arizona Job Growth (c) (d)
106	Payroll job growth (% over prior year)		3.5	%		5.2	%		(1.7	)%		3.9	%		5.8	%		(1.9	)%
107	Unemployment rate (%, seasonally adjusted)		3.8	%		4.1	%		(0.3	)%		3.9	%		4.2	%		(0.3	)%

Sources:
(a)	Average of daily prices obtained and used with permission from Dow Jones & Company, Inc.
(b)	Arizona Real Estate Center, Arizona State University W.P. Carey College of Business
(c)	Arizona Department of Economic Security
(d)	Economic indicators reflect periods ended May 31, 2007 (latest available data) and May 31, 2006.

See Glossary of Terms. Page 7 of 31

EX-99.3

Exhibit 99.3

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2007

															Increase
															(Decrease)
Line		1st Qtr			2nd Qtr			3rd Qtr		4th Qtr		Year-To-Date			vs Prior YTD
	EARNINGS CONTRIBUTION BY SUBSIDIARY ($ Millions)
1	Arizona Public Service	$	4		$	75						$	79		$	(9	)
2	Pinnacle West Energy		—			—							—			—
3	APS Energy Services		1			(1	)						—			(1	)
4	SunCor		8			—							8			(22	)
5	El Dorado		(2	)		—							(2	)		—
6	Parent Company		5			5							9			4
7	Income From Continuing Operations		16			79			—		—		94			(28	)
	Income (Loss) From Discontinued Operations — Net of Tax
8	Silverhawk		—			—							—			(1	)
9	SunCor		1			—							2			—
10	NAC		—			—							—			—
11	Total		1			—			—		—		2			(1	)
12	Net Income	$	17		$	79		$	—	$	—	$	96		$	(29	)
	EARNINGS PER SHARE BY SUBSIDIARY — DILUTED
13	Arizona Public Service	$	0.04		$	0.75						$	0.79		$	(0.10	)
14	Pinnacle West Energy		—			—							—			—
15	APS Energy Services		0.01			(0.01	)						—			(0.01	)
16	SunCor		0.09			—							0.08			(0.22	)
17	El Dorado		(0.02	)		—							(0.02	)		—
18	Parent Company		0.04			0.04							0.09			0.04
19	Income From Continuing Operations		0.16			0.78			—		—		0.94			(0.29	)
	Income (Loss) From Discontinued Operations — Net of Tax
20	Silverhawk		—			—							—			—
21	SunCor		—			—							0.01			(0.01	)
22	NAC		—			—							—			—
23	Total		—			—			—		—		0.01			(0.01	)
24	Net Income	$	0.16		$	0.78		$	—	$	—	$	0.95		$	(0.30	)
25	BOOK VALUE PER SHARE	$	34.45		$	34.13	*					$	34.13	*		1.05
	COMMON SHARES OUTSTANDING (Thousands)
26	Average — Diluted		100,622			100,779							100,718			1,156
27	End of Period		100,115			100,290							100,290			1,006

* Estimate

See Glossary of Terms. Page 8 of 31

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2007

												Increase
												(Decrease)
Line		1st Qtr		2nd Qtr		3rd Qtr		4th Qtr		Year-To-Date		vs Prior YTD
	ELECTRIC OPERATING REVENUES (Dollars in Millions)
	REGULATED ELECTRICITY SEGMENT
	Retail
28	Residential	$	246	$	335					$	581	$	42
29	Business		264		342						606		40
30	Total retail		510		677		—		—		1,187		82
	Wholesale revenue on delivered electricity
31	Traditional contracts		5		9						14		1
32	Off-system sales		7		10						17		(17	)
33	Transmission for others		7		7						14		2
34	Other miscellaneous services		7		8						15		—
35	Total regulated operating electricity revenues		536		711		—		—		1,247		68
	MARKETING AND TRADING
36	Electricity and other commodity sales		72		93						165		(10	)
37	Total operating electric revenues	$	608	$	804	$	—	$	—	$	1,412	$	58
	ELECTRIC SALES (GWH)
	REGULATED ELECTRICITY SEGMENT
	Retail sales
38	Residential		2,734		3,287						6,021		318
39	Business		3,285		4,004						7,289		119
40	Total retail		6,019		7,291		—		—		13,310		437
	Wholesale electricity delivered
41	Traditional contracts		175		262						437		41
42	Off-system sales		243		310						553		(337	)
43	Retail load hedge management		117		254						371		(429	)
44	Total regulated electricity		6,554		8,117		—		—		14,671		(288	)
	MARKETING AND TRADING
45	Wholesale sales of electricity		2,057		2,606						4,663		(3,161	)
46	Total electric sales		8,611		10,723		—		—		19,334		(3,449	)

See Glossary of Terms. Page 9 of 31

  Last Updated 7/26/2007

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2007

															Increase
															(Decrease)
Line		1st Qtr			2nd Qtr			3rd Qtr		4th Qtr		Year-To-Date			vs Prior YTD
	POWER SUPPLY ADJUSTOR (“PSA”) - - REGULATED ELECTRICITY SEGMENT (Dollars in Millions)
47	Deferred fuel and purchased power regulatory asset — beginning balance	$	160		$	118						$	160		$	(13	)
48	Deferred fuel and purchased power costs — current period		25			104							129			38
49	Regulatory disallowance		—			(14	)						(14	)		(14	)
50	Interest on deferred fuel		2			1							3			(1	)
51	Amounts recovered through revenues		(69	)		(72	)						(141	)		(48	)
52	Deferred fuel and purchased power regulatory asset — ending balance	$	118		$	137		$	—	$	—	$	137		$	(38	)
	MARKETING AND TRADING PRETAX GROSS MARGIN ANALYSIS (Dollars in Millions)
	Realized and Mark-To-Market Components
53	Electricity and other commodity sales, realized (a)	$	12		$	22						$	39		$	10
54	Mark-to-market reversals on realized sales (a) (b)		(8	)		1							(4	)		(1	)
55	Change in mark-to-market value of forward sales		10			(6	)						(2	)		(4	)
56	Total gross margin	$	14		$	17		$	—	$	—	$	33		$	5
	By Pinnacle West Entity
57	APS	$	(1	)	$	7						$	6		$	(4	)
58	Pinnacle West Marketing & Trading (c)		1			—							2			2
59	Parent Company (c)		9			9							19			7
60	APS Energy Services		5			1							6			—
61	Pinnacle West Energy		—			—							—			—
62	Total gross margin	$	14		$	17		$	—	$	—	$	33		$	5

Future Marketing and Trading Mark-to-Market Realization

As of June 30, 2007, Pinnacle West had accumulated net mark-to-market gains of $24 million related to our power marketing and trading activities. We estimate that these gains will be reclassified to realized gains as the underlying commodities are delivered, as follows: 2007, $7 million; and 2008, $17 million.

(a)	Net effect on pretax gross margin from realization of prior-period mark-to-market included in line 53 and in line 54 is zero. Realization of prior-period mark-to-market relates to cash flow recognition, not earnings recognition. The arithmetic opposites of amounts included in line 53 are included in line 54. For example, line 54 shows that a prior-period mark-to-market loss of $1 million was transferred to “realized” for the second quarter of 2007. A $1 million realized loss is included in the $22 million on line 53 for the second quarter of 2007.
(b)	Quarterly amounts do not total to annual amounts because of intra-year mark-to-market eliminations.
(c)	On February 1, 2007, the Parent Company transferred its market based rate tariff and wholesale power sales agreements to a newly-created subsidiary, Pinnacle West Marketing & Trading, which resulted in Pinnacle West no longer being a public utility under the Federal Power Act. As a result, Pinnacle West is no longer subject to FERC jurisdiction in connection with its issuance of securities or its incurrence of long-term debt.

See Glossary of Terms. Page 10 of 31

  Last Updated 7/26/2007

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2007

															Increase
															(Decrease)
Line		1st Qtr			2nd Qtr			3rd Qtr		4th Qtr		Year-To-Date			vs Prior YTD
	AVERAGE ELECTRIC CUSTOMERS
	Retail customers
63	Residential		965,428			962,095							963,762			33,161
64	Business		118,649			119,792							119,220			5,033
65	Total		1,084,077			1,081,887			—		—		1,082,982			38,194
66	Wholesale customers		63			62							63			(13	)
67	Total customers		1,084,140			1,081,949			—		—		1,083,045			38,181
68	Customer growth (% over prior year)		3.8	%		3.5	%						3.7	%		(0.8	)%
	RETAIL SALES (GWH) - WEATHER NORMALIZED
69	Residential		2,648			3,214							5,862			264
70	Business		3,228			3,977							7,205			24
71	Total		5,876			7,191			—		—		13,067			288
	RETAIL USAGE (KWh/Average Customer)
72	Residential		2,832			3,417							6,247			119
73	Business		27,687			33,425							61,139			(1,653	)
	RETAIL USAGE - WEATHER NORMALIZED (KWh/Average Customer)
74	Residential		2,743			3,340							6,082			67
75	Business		27,204			33,202							60,435			(2,454	)
	ELECTRICITY DEMAND (MW)
76	System peak demand		4,781			6,982							6,982			358

See Glossary of Terms. Page 11 of 31

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2007

															Increase
															(Decrease)
Line		1st Qtr			2nd Qtr			3rd Qtr		4th Qtr		Year-To-Date			vs Prior YTD
	ENERGY SOURCES (GWH)
	Generation production
77	Nuclear		2,299			1,846							4,145			1,227
78	Coal		3,164			3,265							6,429			164
79	Gas, oil and other		1,151			1,517							2,668			(655	)
80	Total generation production		6,614			6,628			—		—		13,242			736
	Purchased power
81	Firm load		278			1,676							1,954			(151	)
82	Marketing and trading		2,262			3,055							5,317			(3,872	)
83	Total purchased power		2,540			4,731			—		—		7,271			(4,023	)
84	Total energy sources		9,154			11,359			—		—		20,513			(3,287	)
	POWER PLANT PERFORMANCE
	Capacity Factors
85	Nuclear		94	%		75	%						85	%		25	%
86	Coal		84	%		86	%						85	%		2	%
87	Gas, oil and other		16	%		21	%						19	%		(4	)%
88	System average		50	%		49	%						50	%		3	%
	Generation Capacity Out of Service and Replaced for Native Load (average MW/day) (a)
89	Nuclear		57			266							164			(266	)
90	Coal		203			189							196			(24	)
91	Gas		267			405							336			177
92	Total		527			860			—		—		696			(113	)

(a) Includes planned and unplanned outages

See Glossary of Terms. Page 12 of 31

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2007

															Increase
															(Decrease)
Line		1st Qtr			2nd Qtr			3rd Qtr		4th Qtr		Year-To-Date			vs Prior YTD
	ENERGY MARKET INDICATORS (a)
	Electricity Average Daily Spot Prices ($/MWh)
	On-Peak
93	Palo Verde	$	54.62		$	64.64						$	59.63		$	5.42
94	SP15	$	60.02		$	68.75						$	64.39		$	7.52
	Off-Peak
95	Palo Verde	$	42.06		$	41.46						$	41.76		$	6.61
96	SP15	$	45.86		$	46.14						$	46.00		$	9.89
	WEATHER INDICATORS
	Actual
97	Cooling degree-days		172			1,708							1,880			97
98	Heating degree-days		589			8							597			129
99	Average humidity		36	%		18	%						27	%		4	%
	10-Year Averages
100	Cooling degree-days		97			1,557							1,654			—
101	Heating degree-days		513			31							544			—
102	Average humidity		42	%		22	%						32	%		0	%
	ECONOMIC INDICATORS
	Building Permits — Metro Phoenix (b) (d)
103	Single-family		7,017			5,044							12,061			(2,411	)
104	Multi-family		4,131			1,276							5,407			215
105	Total		11,148			6,320			—		—		17,468			(2,196	)
	Arizona Job Growth (c) (d)
106	Payroll job growth (% over prior year)		4.1	%		3.5	%						3.9	%		(1.9	)%
107	Unemployment rate (%, seasonally adjusted)		4.0	%		3.8	%						3.9	%		(0.3	)%

Sources:

(a)	Average of daily prices obtained and used with permission from Dow Jones & Company, Inc.
(b)	Arizona Real Estate Center, Arizona State University W.P. Carey College of Business
(c)	Arizona Department of Economic Security
(d)	Economic indicators reflect periods ended May 31, 2007 (latest available data).

See Glossary of Terms. Page 13 of 31

EX-99.4

Exhibit 99.4

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2006

																Increase
																(Decrease)
Line		1st Qtr			2nd Qtr		3rd Qtr			4th Qtr			Year-To-Date			vs Prior YTD
	EARNINGS CONTRIBUTION BY SUBSIDIARY ($ Millions)
1	Arizona Public Service	$	(6	)	$	94	$	169		$	13		$	270		$	100
2	Pinnacle West Energy		—			—		—			—			—			85
3	APS Energy Services		1			—		(2	)		(2	)		(3	)		3
4	SunCor		21			8		17			3			50			11
5	El Dorado		(1	)		—		—			(1	)		(3	)		(1	)
6	Parent Company		(3	)		9		—			(3	)		3			(104	)
7	Income From Continuing Operations		12			111		184			10			317			94
	Income (Loss) From Discontinued Operations — Net of Tax
8	Silverhawk		—			—		—			—			1			68
9	SunCor		1			1		—			8			10			(7	)
10	NAC		—			—		—			—			(1	)		(4	)
11	Total		1			1		—			8			10			57
12	Net Income	$	13		$	112	$	184		$	18		$	327		$	151
	EARNINGS PER SHARE BY SUBSIDIARY — DILUTED
13	Arizona Public Service	$	(0.06	)	$	0.95	$	1.69		$	0.13		$	2.70		$	0.93
14	Pinnacle West Energy		—			—		—			—			—			0.89
15	APS Energy Services		0.01			—		(0.02	)		(0.02	)		(0.03	)		0.03
16	SunCor		0.21			0.07		0.17			0.03			0.50			0.10
17	El Dorado		(0.01	)		—		—			(0.01	)		(0.03	)		(0.01	)
18	Parent Company		(0.03	)		0.09		—			(0.03	)		0.03			(1.08	)
19	Income From Continuing Operations		0.12			1.11		1.84			0.10			3.17			0.86
	Income (Loss) From Discontinued Operations — Net of Tax
20	Silverhawk		—			—		—			—			—			0.69
21	SunCor		0.01			0.02		—			0.08			0.10			(0.07	)
22	NAC		—			—		—			—			—			(0.03	)
23	Total		0.01			0.02		—			0.08			0.10			0.59
24	Net Income	$	0.13		$	1.13	$	1.84		$	0.18		$	3.27		$	1.45
25	BOOK VALUE PER SHARE	$	32.37		$	33.08	$	34.07		$	34.48		$	34.48		$	(0.10	)
	COMMON SHARES OUTSTANDING (Thousands)
26	Average — Diluted		99,449			99,640		99,973			100,474			100,010			3,420
27	End of Period		99,187			99,284		99,648			99,959			99,959			902

See Glossary of Terms. Page 14 of 31

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2006

													Increase
													(Decrease)
Line		1st Qtr		2nd Qtr		3rd Qtr		4th Qtr			Year-To-Date		vs Prior YTD
	ELECTRIC OPERATING REVENUES (Dollars in Millions)
	REGULATED ELECTRICITY SEGMENT
	Retail
28	Residential	$	202	$	337	$	490	$	242		$	1,271	$	192
29	Business		233		333		371		302			1,239		198
30	Total retail		435		670		861		544			2,510		390
	Wholesale revenue on delivered electricity
31	Traditional contracts		6		7		12		(3	)		22		(1	)
32	Off-system sales		12		22		—		12			46		6
33	Transmission for others		6		6		7		7			26		—
34	Other miscellaneous services		7		8		7		9			31		3
35	Total regulated operating electricity revenues		466		713		887		569			2,635		398
	MARKETING AND TRADING
36	Electricity and other commodity sales		85		90		85		71			331		(21	)
37	Total operating electric revenues	$	551	$	803	$	972	$	640		$	2,966	$	377
	ELECTRIC SALES (GWH)
	REGULATED ELECTRICITY SEGMENT
	Retail sales
38	Residential		2,419		3,284		4,720		2,571			12,994		771
39	Business		3,199		3,971		4,222		3,584			14,976		722
40	Total retail		5,618		7,255		8,942		6,155			27,970		1,493
	Wholesale electricity delivered
41	Traditional contracts		215		181		321		166			883		33
42	Off-system sales		672		218		219		504			1,613		277
43	Retail load hedge management		178		622		450		340			1,590		(1,420	)
44	Total regulated electricity		6,683		8,276		9,932		7,165			32,056		383
	MARKETING AND TRADING
45	Wholesale sales of electricity		3,962		3,862		4,841		3,690			16,355		(7,217	)
46	Total electric sales		10,645		12,138		14,773		10,855			48,411		(6,834	)

See Glossary of Terms. Page 15 of 31

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2006

																	Increase
																	(Decrease)
Line		1st Qtr			2nd Qtr			3rd Qtr			4th Qtr			Year-To-Date			vs Prior YTD
	POWER SUPPLY ADJUSTOR (“PSA”) - - REGULATED ELECTRICITY SEGMENT (Dollars in Millions)
47	Deferred fuel and purchased power regulatory asset — beginning balance	$	173		$	169		$	175			209		$	173		$	173
48	Deferred fuel and purchased power costs — current period		13			78			134			19			244			73
49	Regulatory disallowance		—			—			—			—			—			—
50	Interest on deferred fuel		1			3			2			2			8			6
51	Amounts recovered through revenues		(18	)		(75	)		(102	)		(70	)		(265	)		(265	)
52	Deferred fuel and purchased power regulatory asset — ending balance	$	169		$	175		$	209		$	160		$	160		$	(13	)
	MARKETING AND TRADING PRETAX GROSS MARGIN ANALYSIS (Dollars in Millions)
	Realized and Mark-To-Market Components
53	Electricity and other commodity sales, realized (a)	$	10		$	17		$	8		$	18		$	54		$	(1	)
54	Mark-to-market reversals on realized sales (a) (b)		(1	)		(1	)		(1	)		(6	)		(14	)		2
55	Change in mark-to-market value of forward sales		1			—			(3	)		(3	)		—			(20	)
56	Total gross margin	$	10		$	16		$	4		$	9		$	40		$	(19	)
	By Pinnacle West Entity
57	APS	$	8		$	2		$	(3	)	$	5		$	13		$	19
58	Pinnacle West Marketing & Trading (c)		—			—			—			—			—			—
59	Parent Company (c)		(1	)		11			5			3			18			(41	)
60	APS Energy Services		3			3			2			1			9			8
61	Pinnacle West Energy		—			—			—			—			—			(5	)
62	Total gross margin	$	10		$	16		$	4		$	9		$	40		$	(19	)

Future Marketing and Trading Mark-to-Market Realization

As of December 31, 2006, Pinnacle West had accumulated net mark-to-market gains of $30 million related to our power marketing and trading activities. We estimate that these gains will be reclassified to realized gains as the underlying commodities are delivered, as follows: 2007, $16 million; and 2008, $14 million.

(a)	Net effect on pretax gross margin from realization of prior-period mark-to-market included in line 53 and in line 54 is zero. Realization of prior-period mark-to-market relates to cash flow recognition, not earnings recognition. The arithmetic opposites of amounts included in line 53 are included in line 54. For example, line 54 shows that a prior-period mark-to-market gain of $14 million was transferred to “realized” for the total year 2006. A $14 million realized gain is included in the $54 million on line 53 for the total year 2006.
(b)	Quarterly amounts do not total to annual amounts because of intra-year mark-to-market eliminations.
(c)	On February 1, 2007, the Parent Company transferred its market based rate tariff and wholesale power sales agreements to a newly-created subsidiary, Pinnacle West Marketing & Trading, which resulted in Pinnacle West no longer being a public utility under the Federal Power Act. As a result, Pinnacle West is no longer subject to FERC jurisdiction in connection with its issuance of securities or its incurrence of long-term debt.

See Glossary of Terms. Page 16 of 31

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2006

																	Increase
																	(Decrease)
Line		1st Qtr			2nd Qtr			3rd Qtr			4th Qtr			Year-To-Date			vs Prior YTD
	AVERAGE ELECTRIC CUSTOMERS
	Retail customers
63	Residential		930,799			930,402			935,523			949,132			936,464			39,992
64	Business		113,570			114,803			116,009			117,342			115,431			4,263
65	Total		1,044,369			1,045,205			1,051,532			1,066,474			1,051,895			44,255
66	Wholesale customers		75			76			76			80			77			(1	)
67	Total customers		1,044,444			1,045,281			1,051,608			1,066,554			1,051,972			44,254
68	Customer growth (% over prior year)		4.5	%		4.6	%		4.4	%		4.1	%		4.4	%		0.1	%
	RETAIL SALES (GWH) - WEATHER NORMALIZED
69	Residential		2,475			3,123			4,772			2,634			13,004			695
70	Business		3,248			3,933			4,231			3,603			15,016			731
71	Total		5,723			7,056			9,003			6,237			28,020			1,426
	RETAIL USAGE (KWh/Average Customer)
72	Residential		2,763			3,530			5,045			2,709			13,876			241
73	Business		30,444			34,590			36,394			30,552			129,749			1,235
	RETAIL USAGE - WEATHER NORMALIZED (KWh/Average Customer)
74	Residential		2,659			3,357			5,101			2,775			13,886			156
75	Business		28,600			34,263			36,470			30,706			130,082			1,579
	ELECTRICITY DEMAND (MW)
76	System peak demand		4,205			6,624			7,652			5,316			7,652			652

See Glossary of Terms. Page 17 of 31

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2006

																	Increase
																	(Decrease)
Line		1st Qtr			2nd Qtr			3rd Qtr			4th Qtr			Year-To-Date			vs Prior YTD
	ENERGY SOURCES (GWH)
	Generation production
77	Nuclear		1,720			1,198			2,202			1,868			6,988			(521	)
78	Coal		3,083			3,182			3,574			3,337			13,176			116
79	Gas, oil and other		1,323			2,000			2,433			1,628			7,384			(1,051	)
80	Total generation production		6,126			6,380			8,209			6,833			27,548			(1,456	)
	Purchased power
81	Firm load		365			1,740			1,962			223			4,290			816
82	Marketing and trading		4,592			4,597			5,353			4,326			18,868			(6,845	)
83	Total purchased power		4,957			6,337			7,315			4,549			23,158			(6,029	)
84	Total energy sources		11,083			12,717			15,524			11,382			50,706			(7,485	)
	POWER PLANT PERFORMANCE
	Capacity Factors
85	Nuclear		71	%		49	%		88	%		75	%		71	%		(6	)%
86	Coal		83	%		84	%		94	%		87	%		87	%		0	%
87	Gas, oil and other		18	%		28	%		34	%		22	%		25	%		(3	)%
88	System average		46	%		48	%		61	%		50	%		51	%		(2	)%
	Generation Capacity Out of Service and Replaced for Native Load (average MW/day) (a)
89	Nuclear		306			553			97			267			153			39
90	Coal		257			184			62			155			82			9
91	Gas		201			117			109			286			89			(4	)
92	Total		764			854			268			708			324			44

(a) Includes planned and unplanned outages

See Glossary of Terms. Page 18 of 31

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2006

																	Increase
																	(Decrease)
Line		1st Qtr			2nd Qtr			3rd Qtr			4th Qtr			Year-To-Date			vs Prior YTD
	ENERGY MARKET INDICATORS (a)
	Electricity Average Daily Spot Prices ($/MWh)
	On-Peak
93	Palo Verde	$	53.78		$	54.63		$	65.89		$	52.72		$	56.76		$	(9.64	)
94	SP15	$	58.34		$	55.39		$	71.89		$	62.16		$	61.95		$	(10.99	)
	Off-Peak
95	Palo Verde	$	41.92		$	28.38		$	38.45		$	39.62		$	37.09		$	(10.46	)
96	SP15	$	44.79		$	27.43		$	43.94		$	46.27		$	40.61		$	(11.45	)
	WEATHER INDICATORS
	Actual
97	Cooling degree-days		43			1,740			2,455			457			4,695			32
98	Heating degree-days		464			4			—			383			851			85
99	Average humidity		28	%		18	%		33	%		33	%		28	%		(6	)%
	10-Year Averages
100	Cooling degree-days		97			1,557			2,544			441			4,640			—
101	Heating degree-days		513			31			—			296			840			—
102	Average humidity		42	%		22	%		32	%		38	%		33	%		0	%
	ECONOMIC INDICATORS
	Building Permits — Metro Phoenix (b)
103	Single-family		8,716			8,883			5,969			4,408			27,976			(15,282	)
104	Multi-family		2,887			2,976			3,215			1,029			10,107			2,329
105	Total		11,603			11,859			9,184			5,437			38,083			(12,953	)
	Arizona Job Growth (c)
106	Payroll job growth (% over prior year)		6.2	%		5.3	%		5.1	%		4.9	%		5.4	%		0.0	%
107	Unemployment rate (%, seasonally adjusted)		4.2	%		4.1	%		4.0	%		4.1	%		4.1	%		(0.5	)%

Sources:
(a)	Average of daily prices obtained and used with permission from Dow Jones & Company, Inc.
(b)	Arizona Real Estate Center, Arizona State University W.P. Carey College of Business
(c)	Arizona Department of Economic Security

See Glossary of Terms. Page 19 of 31

EX-99.5

Exhibit 99.5

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter
2005

																	Increase
																	(Decrease)
Line		1st Qtr			2nd Qtr			3rd Qtr			4th Qtr			Year-To-Date			vs Prior YTD
	EARNINGS CONTRIBUTION BY SUBSIDIARY ($ Millions)
1	Arizona Public Service	$	27		$	64		$	61		$	18		$	170		$	(30	)
2	Pinnacle West Energy		(21	)		12			(71	)		(6	)		(85	)		(27	)
3	APS Energy Services		(3	)		1			—			(3	)		(6	)		(9	)
4	SunCor		9			10			7			13			39			(2	)
5	El Dorado		(1	)		—			—			—			(2	)		(35	)
6	Parent Company		19			(2	)		88			2			107			79
7	Income From Continuing Operations		30			85			85			24			223			(24	)
	Income (Loss) From Discontinued Operations — Net of Tax
8	Silverhawk		(7	)		(59	)		1			(3	)		(67	)		(55	)
9	SunCor		1			1			14			—			17			13
10	NAC		—			—			4			—			3			(1	)
11	Total		(6	)		(58	)		19			(3	)		(47	)		(43	)
12	Net Income	$	24		$	27		$	104		$	21		$	176		$	(67	)
	EARNINGS PER SHARE BY SUBSIDIARY — DILUTED
13	Arizona Public Service	$	0.30		$	0.66		$	0.62		$	0.19		$	1.77		$	(0.41	)
14	Pinnacle West Energy		(0.23	)		0.13			(0.72	)		(0.06	)		(0.89	)		(0.26	)
15	APS Energy Services		(0.04	)		0.01			—			(0.04	)		(0.06	)		(0.09	)
16	SunCor		0.09			0.11			0.07			0.13			0.40			(0.05	)
17	El Dorado		(0.01	)		—			(0.01	)		(0.01	)		(0.02	)		(0.38	)
18	Parent Company		0.21			(0.03	)		0.90			0.03			1.11			0.81
19	Income From Continuing Operations		0.32			0.88			0.86			0.24			2.31			(0.38	)
	Income (Loss) From Discontinued Operations — Net of Tax
20	Silverhawk		(0.06	)		(0.61	)		—			(0.03	)		(0.69	)		(0.57	)
21	SunCor		0.01			0.01			0.15			0.01			0.17			0.13
22	NAC		—			—			0.04			—			0.03			(0.02	)
23	Total		(0.05	)		(0.60	)		0.19			(0.02	)		(0.49	)		(0.46	)
24	Net Income	$	0.27		$	0.28		$	1.05		$	0.22		$	1.82		$	(0.84	)
25	BOOK VALUE PER SHARE	$	32.50		$	32.89		$	35.81		$	34.58		$	34.58		$	2.44
	COMMON SHARES OUTSTANDING (Thousands)
26	Average — Diluted		92,045			96,299			98,816			99,050			96,590			5,058
27	End of Period		92,103			98,442			98,881			99,057			99,057			7,264

See Glossary of Terms. Page 20 of 31

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter
2005

												Increase
												(Decrease)
Line		1st Qtr		2nd Qtr		3rd Qtr		4th Qtr		Year-To-Date		vs Prior YTD
	ELECTRIC OPERATING REVENUES (Dollars in Millions)
	REGULATED ELECTRICITY SEGMENT
	Retail
28	Residential	$	190	$	268	$	414	$	207	$	1,079	$	95
29	Business		209		281		308		243		1,041		63
30	Total retail		399		549		722		450		2,120		158
	Wholesale revenue on delivered electricity
31	Traditional contracts		3		5		9		6		23		7
32	Off-system sales		—		12		8		20		40		40
33	Transmission for others		7		7		7		5		26		(6	)
34	Other miscellaneous services		7		7		7		7		28		3
35	Total regulated operating electricity revenues		416		580		753		488		2,237		202
	MARKETING AND TRADING
36	Electricity and other commodity sales		89		71		107		84		352		(49	)
37	Total operating electric revenues	$	505	$	651	$	860	$	572	$	2,589	$	153
	ELECTRIC SALES (GWH)
	REGULATED ELECTRICITY SEGMENT
	Retail sales
38	Residential		2,367		2,889		4,449		2,518		12,223		696
39	Business		3,042		3,684		4,100		3,427		14,254		428
40	Total retail		5,409		6,573		8,549		5,945		26,477		1,124
	Wholesale electricity delivered
41	Traditional contracts		155		200		269		227		850		141
42	Off-system sales		—		598		212		526		1,336		1,336
43	Retail load hedge management		750		702		1,026		532		3,010		278
44	Total regulated electricity		6,314		8,073		10,056		7,230		31,673		2,879
	MARKETING AND TRADING
45	Wholesale sales of electricity		6,060		5,009		7,263		5,240		23,572		(6,606	)
46	Total electric sales		12,374		13,082		17,319		12,470		55,245		(3,727	)

See Glossary of Terms. Page 21 of 31

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2005

																	Increase
																	(Decrease)
Line		1st Qtr			2nd Qtr			3rd Qtr			4th Qtr			Year-To-Date			vs Prior YTD
	POWER SUPPLY ADJUSTOR (“PSA”) - - REGULATED ELECTRICITY SEGMENT (Dollars in Millions)
47	Deferred fuel and purchased power regulatory asset — beginning balance	$	—		$	—		$	38		$	143		$	—		$	—
48	Deferred fuel and purchased power costs — current period		—			38			104			29			171			171
49	Regulatory disallowance		—			—			—			—			—			—
50	Interest on deferred fuel		—			—			1			1			2			2
51	Amounts recovered through revenues		—			—			—			—			—			—
52	Deferred fuel and purchased power regulatory asset — ending balance	$	—		$	38		$	143		$	173		$	173		$	173
	MARKETING AND TRADING PRETAX GROSS MARGIN ANALYSIS (Dollars in Millions)
	Realized and Mark-To-Market Components
53	Electricity and other commodity sales, realized (a)	$	12		$	18		$	3		$	23		$	55		$	(9	)
54	Mark-to-market reversals on realized sales (a) (b)		(3	)		(8	)		3			(17	)		(16	)		(11	)
55	Change in mark-to-market value of forward sales		10			3			14			1			20			(1	)
56	Total gross margin	$	19		$	13		$	20		$	7		$	59		$	(21	)
	By Pinnacle West Entity
57	APS	$	(4	)	$	3		$	(8	)	$	3		$	(6	)	$	(1	)
58	Pinnacle West Marketing & Trading (c)		—			—			—			—			—			—
59	Parent Company (c)		21			6			26			6			59			34
60	APS Energy Services		(3	)		4			2			(2	)		1			(13	)
61	Pinnacle West Energy		5			—			—			—			5			(41	)
62	Total gross margin	$	19		$	13		$	20		$	7		$	59		$	(21	)

(a)	Net effect on pretax gross margin from realization of prior-period mark-to-market included in line 53 and in line 54 is zero. Realization of prior-period mark-to-market relates to cash flow recognition, not earnings recognition. The arithmetic opposites of amounts included in line 53 are included in line 54. For example, line 54 shows that a prior-period mark-to-market gain of $16 million was transferred to “realized” for the total year 2005. A $16 million realized gain is included in the $55 million on line 53 for the total year 2005.
(b)	Quarterly amounts do not total to annual amounts because of intra-year mark-to-market eliminations.
(c)	On February 1, 2007, the Parent Company transferred its market based rate tariff and wholesale power sales agreements to a newly-created subsidiary, Pinnacle West Marketing & Trading, which resulted in Pinnacle West no longer being a public utility under the Federal Power Act. As a result, Pinnacle West is no longer subject to FERC jurisdiction in connection with its issuance of securities or its incurrence of long-term debt.

See Glossary of Terms. Page 22 of 31

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter
2005

																	Increase
																	(Decrease)
Line		1st Qtr			2nd Qtr			3rd Qtr			4th Qtr			Year-To-Date			vs Prior YTD
	AVERAGE ELECTRIC CUSTOMERS
	Retail customers
63	Residential		889,967			888,509			895,789			911,623			896,472			37,403
64	Business		109,795			110,658			111,648			112,569			111,168			4,053
65	Total		999,762			999,167			1,007,437			1,024,192			1,007,640			41,456
66	Wholesale customers		81			76			78			77			78			(3	)
67	Total customers		999,843			999,243			1,007,515			1,024,269			1,007,718			41,453
68	Customer growth (% over prior year)		4.0	%		4.2	%		4.5	%		4.5	%		4.3	%		0.6	%
	RETAIL SALES (GWH) - WEATHER NORMALIZED
69	Residential		2,438			2,924			4,427			2,520			12,309			573
70	Business		3,062			3,705			4,106			3,412			14,285			412
71	Total		5,500			6,629			8,533			5,932			26,594			985
	RETAIL USAGE (KWh/Average Customer)
72	Residential		2,660			3,252			4,967			2,763			13,635			217
73	Business		27,706			33,292			36,723			30,444			128,514			(878	)
	RETAIL USAGE - WEATHER NORMALIZED (KWh/Average Customer)
74	Residential		2,739			3,291			4,942			2,764			13,730			69
75	Business		27,887			33,483			36,777			30,313			128,503			(1,014	)
	ELECTRICITY DEMAND (MW)
76	System peak demand		3,997			6,458			7,000			5,169			7,000			598

See Glossary of Terms. Page 23 of 31

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter
2005

																	Increase
																	(Decrease)
Line		1st Qtr			2nd Qtr			3rd Qtr			4th Qtr			Year-To-Date			vs Prior YTD
	ENERGY SOURCES (GWH)
	Generation production
77	Nuclear		2,247			1,619			2,147			1,496			7,509			(674	)
78	Coal		2,940			3,088			3,574			3,458			13,060			394
79	Gas, oil and other		1,128			2,129			3,064			2,114			8,435			3,107
80	Total generation production		6,315			6,836			8,785			7,068			29,004			2,827
	Purchased power
81	Firm load		586			880			1,589			402			3,474			(851	)
82	Marketing and trading		5,832			5,984			7,795			6,102			25,713			(4,479	)
83	Total purchased power		6,418			6,864			9,384			6,504			29,187			(5,330	)
84	Total energy sources		12,733			13,700			18,169			13,572			58,191			(2,503	)
	POWER PLANT PERFORMANCE
	Capacity Factors
85	Nuclear		94	%		67	%		88	%		61	%		77	%		(7	)%
86	Coal		80	%		83	%		95	%		92	%		87	%		3	%
87	Gas, oil and other		17	%		29	%		39	%		27	%		28	%		9	%
88	System average		49	%		51	%		62	%		50	%		53	%		2	%
	Generation Capacity Out of Service
	and Replaced for Native Load
	(average MW/day) (a)
89	Nuclear		52			329			107			419			114			(45	)
90	Coal		195			244			47			103			73			(55	)
91	Gas		212			164			140			226			93			45
92	Total		459			737			294			748			280			(54	)

(a) Includes planned and unplanned outages

See Glossary of Terms. Page 24 of 31

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter
2005

																	Increase
																	(Decrease)
Line		1st Qtr			2nd Qtr			3rd Qtr			4th Qtr			Year-To-Date			vs Prior YTD
	ENERGY MARKET INDICATORS (a)
	Electricity Average Daily Spot Prices ($/MWh)
	On-Peak
93	Palo Verde	$	49.74		$	53.33		$	78.94		$	83.58		$	66.40		$	17.10
94	SP15	$	55.70		$	55.19		$	83.21		$	97.65		$	72.94		$	17.74
	Off-Peak
95	Palo Verde	$	37.04		$	33.03		$	52.35		$	67.79		$	47.55		$	12.81
96	SP15	$	40.96		$	34.73		$	56.08		$	76.45		$	52.06		$	13.44
	WEATHER INDICATORS
	Actual
97	Cooling degree-days		34			1,538			2,583			508			4,663			(31	)
98	Heating degree-days		457			1			—			308			766			(219	)
99	Average humidity		56	%		20	%		29	%		30	%		34	%		2	%
	10-Year Averages
100	Cooling degree-days		97			1,557			2,544			441			4,640			—
101	Heating degree-days		513			31			—			296			840			—
102	Average humidity		42	%		22	%		32	%		38	%		33	%		0	%
	ECONOMIC INDICATORS
	Building Permits — Metro Phoenix (b)
103	Single-family		10,356			12,013			11,577			9,312			43,258			(4,859	)
104	Multi-family		1,741			1,645			2,360			2,032			7,778			192
105	Total		12,097			13,658			13,937			11,344			51,036			(4,667	)
	Arizona Job Growth (c)
106	Payroll job growth (% over prior year)		4.8	%		5.5	%		6.0	%		5.2	%		5.4	%		1.7	%
107	Unemployment rate (%, seasonally adjusted)		4.6	%		4.7	%		4.7	%		4.6	%		4.6	%		(0.3	)%

Sources:

(a)	Average of daily prices obtained and used with permission from Dow Jones & Company, Inc.
(b)	Arizona Real Estate Center, Arizona State University W.P. Carey College of Business
(c)	Arizona Department of Economic Security

See Glossary of Terms. Page 25 of 31

EX-99.6

Exhibit 99.6

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2004

																Increase
																(Decrease)
Line		1st Qtr			2nd Qtr			3rd Qtr		4th Qtr			Year-To-Date			vs Prior YTD
	EARNINGS CONTRIBUTION BY SUBSIDIARY ($ Millions)
1	Arizona Public Service	$	34		$	55		$	95	$	15		$	200		$	19
2	Pinnacle West Energy		(22	)		(14	)		1		(23	)		(58	)		(50	)
3	APS Energy Services		2			1			1		(1	)		3			(13	)
4	SunCor		2			4			4		31			41			(5	)
5	El Dorado		—			34			—		—			33			34
6	Parent Company		15			(6	)		3		16			28			37
7	Income From Continuing Operations		31			74			104		38			247			22
	Income (Loss) From Discontinued Operations — Net of Tax
8	Silverhawk		—			(3	)		—		(8	)		(12	)		(13	)
9	SunCor		—			1			1		1			4			(6	)
10	NAC		—			1			—		3			4			(1	)
11	Total		—			(1	)		1		(4	)		(4	)		(20	)
12	Net Income	$	31		$	73		$	105	$	34		$	243		$	2
	EARNINGS PER SHARE BY SUBSIDIARY — DILUTED
13	Arizona Public Service	$	0.38		$	0.60		$	1.04	$	0.16		$	2.18		$	0.20
14	Pinnacle West Energy		(0.24	)		(0.15	)		0.01		(0.25	)		(0.63	)		(0.55	)
15	APS Energy Services		0.02			0.01			0.01		(0.01	)		0.03			(0.15	)
16	SunCor		0.02			0.04			0.05		0.34			0.45			(0.05	)
17	El Dorado		—			0.37			—		—			0.36			0.37
18	Parent Company		0.15			(0.06	)		0.03		0.17			0.30			0.40
19	Income From Continuing Operations		0.33			0.81			1.14		0.41			2.69			0.22
	Income (Loss) From Discontinued Operations — Net of Tax
20	Silverhawk		—			(0.03	)		—		(0.09	)		(0.12	)		(0.12	)
21	SunCor		0.01			—			0.01		0.02			0.04			(0.07	)
22	NAC		—			0.01			—		0.03			0.05			—
23	Total		0.01			(0.02	)		0.01		(0.04	)		(0.03	)		(0.19	)
24	Net Income	$	0.34		$	0.79		$	1.15	$	0.37		$	2.66		$	0.03
25	BOOK VALUE PER SHARE	$	31.19		$	31.68		$	32.55	$	32.14		$	32.14		$	1.17
	COMMON SHARES OUTSTANDING (Thousands)
26	Average — Diluted		91,376			91,400			91,491		91,779			91,532			127
27	End of Period		91,310			91,309			91,443		91,793			91,793			505

See Glossary of Terms. Page 26 of 31

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2004

												Increase
												(Decrease)
Line		1st Qtr		2nd Qtr		3rd Qtr		4th Qtr		Year-To-Date		vs Prior YTD
	ELECTRIC OPERATING REVENUES (Dollars in Millions)
	REGULATED ELECTRICITY SEGMENT
	Retail
28	Residential	$	189	$	245	$	360	$	190	$	984	$	27
29	Business		211		257		289		221		978		25
30	Total retail		400		502		649		411		1,962		52
	Wholesale revenue on delivered electricity
31	Traditional contracts		3		4		6		3		16		1
32	Off-system sales		—		—		—		—		—		—
33	Transmission for others		8		8		8		8		32		4
34	Other miscellaneous services		4		6		8		7		25		—
35	Total regulated operating electricity revenues		415		520		671		429		2,035		57
	MARKETING AND TRADING
36	Electricity and other commodity sales		89		110		91		111		401		9
37	Total operating electric revenues	$	504	$	630	$	762	$	540	$	2,436	$	66
	ELECTRIC SALES (GWH)
	REGULATED ELECTRICITY SEGMENT
	Retail sales
38	Residential		2,410		2,722		4,028		2,367		11,527		380
39	Business		3,051		3,602		3,937		3,236		13,826		411
40	Total retail		5,461		6,324		7,965		5,603		25,353		791
	Wholesale electricity delivered
41	Traditional contracts		138		195		210		166		709		209
42	Off-system sales		—		—		—		—		—		—
43	Retail load hedge management		169		731		943		889		2,732		1,638
44	Total regulated electricity		5,768		7,250		9,118		6,658		28,794		2,638
	MARKETING AND TRADING
45	Wholesale sales of electricity		5,696		7,141		8,994		8,347		30,178		1,375
46	Total electric sales		11,464		14,391		18,112		15,005		58,972		4,013

See Glossary of Terms. Page 27 of 31

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2004

																	Increase
																	(Decrease)
Line		1st Qtr			2nd Qtr			3rd Qtr			4th Qtr			Year-To-Date			vs Prior YTD
	POWER SUPPLY ADJUSTOR (“PSA”) — REGULATED ELECTRICITY SEGMENT (Dollars in Millions)
47	Deferred fuel and purchased power regulatory asset — beginning balance	$	—		$	—		$	—		$	—		$	—		$	—
48	Deferred fuel and purchased power costs — current period		—			—			—			—			—			—
49	Regulatory disallowance		—			—			—			—			—			—
50	Interest on deferred fuel		—			—			—			—			—			—
51	Amounts recovered through revenues		—			—			—			—			—			—
52	Deferred fuel and purchased power regulatory asset — ending balance	$	—		$	—		$	—		$	—		$	—		$	—
	MARKETING AND TRADING PRETAX GROSS MARGIN ANALYSIS (Dollars in Millions)
	Realized and Mark-To-Market Components
53	Electricity and other commodity sales, realized (a)	$	12		$	21		$	16		$	15		$	64		$	(1	)
54	Mark-to-market reversals on realized sales (a) (b)		1			(4	)		(3	)		(1	)		(5	)		6
55	Change in mark-to-market value of forward sales		8			4			8			3			21			28
56	Total gross margin	$	21		$	21		$	21		$	17		$	80		$	33
	By Pinnacle West Entity
57	APS	$	(5	)	$	—		$	2		$	(2	)	$	(5	)	$	(13	)
58	Pinnacle West Marketing & Trading (c)		—			—			—			—			—			—
59	Parent Company (c)		12			6			5			1			25			30
60	APS Energy Services		4			4			4			2			14			(22	)
61	Pinnacle West Energy		10			11			10			16			46			38
62	Total gross margin	$	21		$	21		$	21		$	17		$	80		$	33

(a)	Net effect on pretax gross margin from realization of prior-period mark-to-market included in line 53 and in line 54 is zero. Realization of prior-period mark-to-market relates to cash flow recognition, not earnings recognition. The opposites of amounts included in line 53 are included in line 54. For example, line 54 shows that a prior-period mark-to-market gain of $5 million was transferred to “realized” for the total year 2004. A $5 million realized gain is included in the $64 million on line 53 for the total year 2004.
(b)	Quarterly amounts do not total to annual amounts because of intra-year mark-to-market eliminations.
(c)	On February 1, 2007, the Parent Company transferred its market based rate tariff and wholesale power sales agreements to a newly-created subsidiary, Pinnacle West Marketing & Trading, which resulted in Pinnacle West no longer being a public utility under the Federal Power Act. As a result, Pinnacle West is no longer subject to FERC jurisdiction in connection with its issuance of securities or its incurrence of long-term debt.

See Glossary of Terms. Page 28 of 31

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2004

																	Increase
																	(Decrease)
Line		1st Qtr			2nd Qtr			3rd Qtr			4th Qtr			Year-To-Date			vs Prior YTD
	AVERAGE ELECTRIC CUSTOMERS
	Retail customers
63	Residential		855,754			852,594			856,353			871,575			859,069			30,703
64	Business		105,502			106,517			107,583			108,860			107,115			4,019
65	Total		961,256			959,111			963,936			980,435			966,184			34,722
66	Wholesale customers		81			82			85			77			81			15
67	Total customers		961,337			959,193			964,021			980,512			966,265			34,737
68	Customer growth (% over prior year)		3.4	%		3.8	%		3.9	%		3.9	%		3.7	%		0.4	%
	RETAIL SALES (GWH) - WEATHER NORMALIZED
69	Residential		2,365			2,818			4,215			2,338			11,736			804
70	Business		2,990			3,623			4,033			3,226			13,873			470
71	Total		5,355			6,441			8,248			5,564			25,609			1,274
	RETAIL USAGE (KWh/Average Customer)
72	Residential		2,816			3,193			4,704			2,717			13,418			(39	)
73	Business		28,919			33,816			36,595			29,726			129,392			(1,137	)
	RETAIL USAGE - WEATHER NORMALIZED (KWh/Average Customer)
74	Residential		2,764			3,305			4,922			2,682			13,661			464
75	Business		28,345			34,018			37,489			29,636			129,517			(485	)
	ELECTRICITY DEMAND (MW)
76	System peak demand		3,979			5,632			6,402			4,432			6,402			70

See Glossary of Terms. Page 29 of 31

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2004

																	Increase
																	(Decrease)
Line		1st Qtr			2nd Qtr			3rd Qtr			4th Qtr			Year-To-Date			vs Prior YTD
	ENERGY SOURCES (GWH)
	Generation production
77	Nuclear		2,148			1,860			2,364			1,811			8,183			(132	)
78	Coal		2,887			3,035			3,417			3,327			12,666			1,299
79	Gas, oil and other		367			1,339			2,547			1,075			5,328			(763	)
80	Total generation production		5,402			6,234			8,328			6,213			26,177			404
	Purchased power
81	Firm load		701			1,532			1,068			1,024			4,325			1,214
82	Marketing and trading		5,506			7,167			9,301			8,218			30,192			2,442
83	Total purchased power		6,207			8,699			10,369			9,242			34,517			3,656
84	Total energy sources		11,609			14,933			18,697			15,455			60,694			4,060
	POWER PLANT PERFORMANCE
	Capacity Factors
85	Nuclear		88	%		76	%		96	%		74	%		84	%		(3	)%
86	Coal		77	%		81	%		90	%		88	%		84	%		8	%
87	Gas, oil and other		5	%		20	%		38	%		17	%		19	%		(8	)%
88	System average		44	%		49	%		64	%		48	%		51	%		(3	)%
	Generation Capacity Out of Service and Replaced for Native Load (average MW/day) (a)
89	Nuclear		132			231			13			261			159			28
90	Coal		237			153			63			61			128			(140	)
91	Gas		71			46			39			34			48			(160	)
92	Total		440			430			115			356			334			(272	)

(a) Includes planned and unplanned outages

See Glossary of Terms. Page 30 of 31

Last Updated 7/26/2007

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2004

																	Increase
																	(Decrease)
Line		1st Qtr			2nd Qtr			3rd Qtr			4th Qtr			Year-To-Date			vs Prior YTD
	ENERGY MARKET INDICATORS (a)
	Electricity Average Daily Spot Prices ($/MWh)
	On-Peak
93	Palo Verde	$	43.73		$	50.36		$	51.86		$	51.23		$	49.30		$	0.70
94	SP15	$	48.37		$	54.73		$	57.09		$	60.62		$	55.20		$	3.82
	Off-Peak
95	Palo Verde	$	33.66		$	33.74		$	33.37		$	38.21		$	34.75		$	2.72
96	SP15	$	36.90		$	37.32		$	37.18		$	43.07		$	38.62		$	3.96
	WEATHER INDICATORS
	Actual
97	Cooling degree-days		273			1,598			2,471			352			4,694			(205	)
98	Heating degree-days		552			11			—			422			985			249
99	Average humidity		39	%		19	%		26	%		45	%		32	%		1	%
	10-Year Averages
100	Cooling degree-days		97			1,557			2,544			441			4,640			—
101	Heating degree-days		513			31			—			296			840			—
102	Average humidity		42	%		22	%		32	%		38	%		33	%		0	%
	ECONOMIC INDICATORS
	Building Permits — Metro Phoenix (b)
103	Single-family		10,045			13,636			14,111			10,325			48,117			8,466
104	Multi-family		1,757			1,324			2,149			2,356			7,586			859
105	Total		11,802			14,960			16,260			12,681			55,703			9,325
	Arizona Job Growth (c)
106	Payroll job growth (% over prior year)		2.6	%		3.4	%		4.0	%		4.6	%		3.7	%		2.3	%
107	Unemployment rate (%, seasonally adjusted)		5.2	%		5.0	%		4.9	%		4.6	%		4.9	%		(0.8	)%

Sources:
(a)	Average of daily prices obtained and used with permission from Dow Jones & Company, Inc.
(b)	Arizona Real Estate Center, Arizona State University W.P. Carey College of Business
(c)	Arizona Department of Economic Security

See Glossary of Terms. Page 31 of 31

EX-99.7

Exhibit 99.7

LAST UPDATED
7/26/07

Pinnacle West Capital Corporation

Earnings Variance Explanations

For the Three-Month and Six-Month Periods Ended June 30, 2007 and 2006

     This discussion explains the changes in our consolidated net income for the three-month and six-month periods ended June 30, 2007 and 2006. Unaudited Condensed Consolidated Statements of Income for the three months and six months ended June 30, 2007 and 2006 follow this discussion. We will file our Quarterly Report on Form 10-Q for the fiscal period ended June 30, 2007 on or before August 9, 2007. We suggest that this discussion be read in connection with the Pinnacle West Capital Corporation (“Pinnacle West”) Annual Report on Form 10-K for the fiscal year ended December 31, 2006. Additional operating and financial statistics and a glossary of terms are available on our website (www.pinnaclewest.com).

EARNINGS CONTRIBUTION BY BUSINESS SEGMENT

     Pinnacle West’s two principal business segments are:

• our regulated electricity segment, which consists of traditional regulated retail and wholesale electricity businesses (primarily electric service to Native Load customers) and related activities and includes electricity generation, transmission and distribution; and

• our real estate segment, which consists of SunCor’s real estate development and investment activities.

     The following table summarizes income from continuing operations by segment for the three months and six months ended June 30, 2007 and 2006 and reconciles net income in total (dollars in millions):

	Three Months Ended				Six Months Ended
	June 30,				June 30,
	2007		2006		2007		2006
Regulated electricity	$	71	$	95	$	74	$	82
Real estate		—		8		8		30
Other (a)		8		8		12		10
Income from continuing operations		79		111		94		122
Discontinued operations — net of tax (b)		—		1		2		3
Net income	$	79	$	112	$	96	$	125

(a)	Primarily marketing and trading activity.
(b)	Primarily relates to sales of commercial properties.

PINNACLE WEST CONSOLIDATED — RESULTS OF OPERATIONS

General

     Throughout the following explanations of our results of operations, we refer to “gross margin.” With respect to our regulated electricity segment, gross margin refers to operating revenues less fuel and purchased power costs. “Gross margin” is a “non-GAAP financial measure,” as defined in accordance with SEC rules. Exhibit 99.10 reconciles this non-GAAP financial measure to operating income, which is the most directly comparable financial measure calculated and presented in accordance with accounting principles generally accepted in the United States (GAAP). We view gross margin as an important performance measure of the core profitability of our operations. This measure is a key component of our internal financial reporting and is used by our management in analyzing our business. We believe that investors benefit from having access to the same financial measures that our management uses.

Deferred Fuel and Purchased Power Costs

     Our subsidiary, Arizona Public Service Company (“APS”), settled its 2003 general retail rate case effective April 1, 2005. As part of the settlement, the Arizona Corporation Commission (“ACC”) approved the Power Supply Adjustor (“PSA”), which permits APS to defer for recovery or refund fluctuations in retail fuel and purchased power costs, subject to specified parameters. In its June 28, 2007 general rate case order, the ACC modified the PSA in various respects, effective July 1, 2007. In accordance with the modified PSA, APS continues to defer for future rate recovery 90% of the difference between actual retail fuel and purchased power costs and the amount of such costs currently included in base rates, excluding certain costs. APS recovers PSA deferrals from its customers through the PSA, which is adjusted annually. See “APS General Rate Case and Power Supply Adjustor” in Item 8.01 of the Pinnacle West/APS Report on Form 8-K filed with the Securities and Exchange Commission on June 20, 2007 for additional information about the ACC order and the PSA modifications.

     The balance of APS’ PSA accumulated unrecovered deferrals at June 30, 2007 was approximately $137 million. APS expects to recover these deferrals through a combination of the PSA adjustor that took effect on February 1, 2007 and the temporary PSA surcharge discussed in the following paragraph. The recovery of PSA deferrals recorded as revenue is offset dollar-for-dollar by the amortization of those deferred expenses recorded as fuel and purchased power.

     APS recorded PSA deferrals of (a) $45 million related to replacement power costs in 2005 associated with Palo Verde outages (the “2005 Deferrals”) and (b) $79 million related to replacement power costs in 2006 associated with outages or reduced power operations at Palo Verde (the “2006 Deferrals”). In its June 28, 2007 order, the ACC (a) disallowed approximately $14 million, including accrued interest ($8 million after income taxes), of the 2005 Deferrals and (b) approved APS’ recovery of the balance of the 2005 Deferrals (approximately $34 million, including accrued interest) through a temporary PSA surcharge over a twelve-month period effective July 1, 2007. The ACC’s prudence review of 2006 Palo Verde outage costs has not yet been completed. APS believes the 2006 Deferrals were prudently incurred and, therefore, are recoverable.

2

Operating Results — Three-month period ended June 30, 2007 compared with three-month period ended June 30, 2006

     Our consolidated net income for the three months ended June 30, 2007 was $79 million compared with $112 million for the comparable prior-year period. Net income decreased $33 million in the period-to-period comparison, reflecting the following changes in earnings by segment:

• Regulated Electricity Segment — Net income decreased approximately $24 million primarily due to income tax credits related to prior years resolved in 2006; a regulatory disallowance (see “Deferred Fuel and Purchased Power Costs” above); higher operations and maintenance expense related to fossil generation costs; the effects of weather on retail sales; and higher interest expense, net of capitalized financing costs, due to higher debt balances and rates. These negative factors were partially offset by higher retail sales primarily due to customer growth. In addition, higher fuel and purchased power costs were partially offset by the deferral of such costs in accordance with the PSA. See “Deferred Fuel and Purchased Power Costs” above.

• Real Estate Segment — Net income decreased approximately $9 million primarily due to lower sales of residential property due to a slowdown in the western United States residential real estate markets.

3

Additional details on the major factors that increased (decreased) net income are contained in the following table (dollars in millions):

	Increase (Decrease)
	Pretax			After Tax
Regulated electricity segment gross margin:
Higher fuel and purchased power costs due to increased prices	$	(27	)	$	(16	)
Increased deferred fuel and purchased power costs		26			16
Regulatory disallowance (see “Deferred Fuel and Purchased Power Costs” above)		(14	)		(8	)
Effects of weather on retail sales		(7	)		(4	)
Higher retail sales primarily due to customer growth and usage patterns, excluding weather effects		10			6
Miscellaneous items, net		4			1
Net decrease in regulated electricity segment gross margin		(8	)		(5	)
Lower real estate segment contribution primarily due to decreased sales of residential property		(15	)		(9	)
Operations and maintenance increases primarily due to:
Generation costs, including greater fossil power plant maintenance outages		(8	)		(5	)
Miscellaneous items, net		(1	)		(1	)
Higher depreciation and amortization primarily due to increased plant balances		(4	)		(2	)
Lower other income, net of expense, primarily due to miscellaneous asset sales in the prior-year period		(4	)		(2	)
Higher interest expense, net of capitalized financing costs, primarily due to higher debt balances and rates		(5	)		(3	)
Income tax credits related to prior years resolved in 2006		—			(10	)
Other miscellaneous items, net		2			4
Net decrease in net income	$	(43	)	$	(33	)

Regulated Electricity Segment Revenues

     Regulated electricity segment revenues were $1 million lower for the three months ended June 30, 2007 compared with the prior-year period primarily as a result of:

• a $12 million decrease in Off-System Sales due to lower prices;

• a $9 million decrease in retail revenues due to weather;

• a $13 million increase in retail revenues primarily related to customer growth and usage patterns, excluding weather effects; and

• a $7 million increase due to miscellaneous factors.

Real Estate Segment Revenues

     Real estate segment revenues were $64 million lower for the three months ended June 30, 2007 compared with the prior-year period primarily as a result of:

4

• a $56 million decrease in residential property sales due to a slowdown in the western United States residential real estate markets;

• a $4 million decrease in revenue primarily due to the timing of land parcel sales; and

• a $4 million decrease due to miscellaneous factors.

Operating Results — Six-month period ended June 30, 2007 compared with six-month period ended June 30, 2006

     Our consolidated net income for the six months ended June 30, 2007 was $96 million compared with $125 million for the comparable prior-year period. Net income decreased $29 million in the period-to-period comparison, primarily reflecting the following changes in earnings by segment:

• Regulated Electricity Segment — Net income decreased approximately $8 million primarily due to income tax credits related to prior years resolved in 2006; a regulatory disallowance (see “Deferred Fuel and Purchased Power Costs” above); higher interest expense, net of capitalized financing costs, due to higher debt balances; lower other income, net of expense, primarily due to miscellaneous asset sales in the prior-year period and decreased interest income; and higher depreciation and amortization expense primarily due to increased plant asset balances. The negative factors were partially offset by higher retail sales primarily due to customer growth and the effects of weather on retail sales. In addition, higher fuel and purchased power costs were partially offset by the deferral of such costs in accordance with the PSA. See “Deferred Fuel and Purchased Power Costs” above.

• Real Estate Segment — Net income decreased approximately $22 million primarily due to lower sales of residential property due to a slowdown in the western United States residential real estate markets and the timing of land parcel sales.

5

Additional details on the major factors that increased (decreased) net income are contained in the following table (dollars in millions):

	Increase (Decrease)
	Pretax			After Tax
Regulated electricity segment gross margin:
Higher fuel and purchased power costs due to increased prices	$	(42	)	$	(26	)
Increased deferred fuel and purchased power costs		38			23
Regulatory disallowance (see “Deferred Fuel and Purchased Power Costs” above)		(14	)		(8	)
Effects of weather on retail sales		6			4
Higher retail sales primarily due to customer growth and usage patterns, excluding weather effects		20			12
Miscellaneous items, net		8			5
Net increase in regulated electricity segment gross margin		16			10
Lower real estate segment contribution primarily due to decreased sales of residential property and land parcels		(36	)		(22	)
Higher depreciation and amortization primarily due to increased plant asset balances		(6	)		(4	)
Lower other income, net of expense, primarily due to miscellaneous asset sales in the prior-year period and decreased interest income		(6	)		(4	)
Higher interest expense, net of capitalized financing costs, primarily due to higher debt balances and rates		(7	)		(4	)
Income tax credits related to prior years resolved in 2006		—			(10	)
Other miscellaneous items, net		2			5
Net decrease in net income	$	(37	)	$	(29	)

Regulated Electricity Segment Revenues

     Regulated electricity segment revenues were $68 million higher for the six months ended June 30, 2007 compared with the prior-year period primarily as a result of:

• a $48 million increase in retail revenues related to recovery of PSA deferrals, which had no earnings effect because of amortization of the same amount recorded as fuel and purchased power expense (see “Deferred Fuel and Purchased Power Costs” above);

• a $26 million increase in retail revenues primarily related to customer growth and usage patterns, excluding weather effects;

• a $9 million increase in retail revenues due to weather;

• a $17 million decrease in Off-System Sales due to lower prices; and

• a $2 million increase due to miscellaneous factors.

6

Real Estate Segment Revenues

     Real estate segment revenues were $95 million lower for the six months ended June 30, 2007 compared with the prior-year period primarily as a result of:

• a $76 million decrease in residential property sales due to a slowdown in the western United States residential real estate markets; and

• a $19 million decrease in revenue primarily due to the timing of land parcel sales.

Other Revenues

     Marketing and trading revenues were $10 million lower for the six months ended June 30, 2007 compared with the prior-year period primarily as a result of:

• a $12 million decrease from lower competitive retail sales volumes in California; and

• a $2 million increase due to miscellaneous factors.

7

PINNACLE WEST CAPITAL CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(unaudited)
(in thousands, except per share amounts)

	THREE MONTHS ENDED
	JUNE 30,						Increase (Decrease)
	2007			2006			Amount			Percent
Operating Revenues
Regulated electricity segment	$	711,293		$	712,718		$	(1,425	)		0.2	%	W
Real estate segment		48,352			112,603			(64,251	)		57.1	%	W
Marketing and trading		92,637			89,925			2,712			3.0	%	B
Other revenues		11,153			9,782			1,371			14.0	%	B
Total		863,435			925,028			(61,593	)		6.7	%	W
Operating Expenses
Regulated electricity segment fuel and purchased power		270,337			263,944			6,393			2.4	%	W
Real estate segment operations		46,174			98,412			(52,238	)		53.1	%	B
Marketing and trading fuel and purchased power		74,533			72,716			1,817			2.5	%	W
Operations and maintenance		177,310			168,332			8,978			5.3	%	W
Depreciation and amortization		92,835			89,297			3,538			4.0	%	W
Taxes other than income taxes		34,757			32,700			2,057			6.3	%	W
Other expenses		8,803			8,430			373			4.4	%	W
Total		704,749			733,831			(29,082	)		4.0	%	B
Operating Income		158,686			191,197			(32,511	)		17.0	%	W
Other
Allowance for equity funds used during construction		5,195			3,633			1,562			43.0	%	B
Other income		5,869			12,022			(6,153	)		51.2	%	W
Other expense		(3,269	)		(5,815	)		2,546			43.8	%	B
Total		7,795			9,840			(2,045	)		20.8	%	W
Interest Expense
Interest charges		52,967			45,882			7,085			15.4	%	W
Capitalized interest		(5,213	)		(4,959	)		(254	)		5.1	%	B
Total		47,754			40,923			6,831			16.7	%	W
Income From Continuing Operations Before Income Taxes		118,727			160,114			(41,387	)		25.8	%	W
Income Taxes		40,231			49,271			(9,040	)		18.3	%	B
Income From Continuing Operations		78,496			110,843			(32,347	)		29.2	%	W
Income From Discontinued Operations Net of Income Taxes		498			1,311			(813	)		62.0	%	W
Net Income	$	78,994		$	112,154		$	(33,160	)		29.6	%	W
Weighted-Average Common Shares Outstanding — Basic		100,229			99,221			1,008			1.0	%
Weighted-Average Common Shares Outstanding — Diluted		100,779			99,640			1,139			1.1	%
Earnings Per Weighted-Average Common Share Outstanding
Income from continuing operations — basic	$	0.78		$	1.12		$	(0.34	)		30.4	%	W
Net income — basic	$	0.79		$	1.13		$	(0.34	)		30.1	%	W
Income from continuing operations — diluted	$	0.78		$	1.11		$	(0.33	)		29.7	%	W
Net income — diluted	$	0.78		$	1.13		$	(0.35	)		31.0	%	W

B — Better
W — Worse

PINNACLE WEST CAPITAL CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(unaudited)
(in thousands, except per share amounts)

	SIX MONTHS ENDED
	JUNE 30,						Increase (Decrease)
	2007			2006			Amount			Percent
Operating Revenues
Regulated electricity segment	$	1,247,344		$	1,178,844		$	68,500			5.8	%	B
Real estate segment		125,602			220,457			(94,855	)		43.0	%	W
Marketing and trading		165,108			174,927			(9,819	)		5.6	%	W
Other revenues		20,516			21,006			(490	)		2.3	%	W
Total		1,558,570			1,595,234			(36,664	)		2.3	%	W
Operating Expenses
Regulated electricity segment fuel and purchased power		473,690			421,339			52,351			12.4	%	W
Real estate segment operations		107,617			169,742			(62,125	)		36.6	%	B
Marketing and trading fuel and purchased power		132,477			146,891			(14,414	)		9.8	%	B
Operations and maintenance		348,888			346,759			2,129			0.6	%	W
Depreciation and amortization		182,456			176,918			5,538			3.1	%	W
Taxes other than income taxes		69,476			68,273			1,203			1.8	%	W
Other expenses		17,291			16,952			339			2.0	%	W
Total		1,331,895			1,346,874			(14,979	)		1.1	%	B
Operating Income		226,675			248,360			(21,685	)		8.7	%	W
Other
Allowance for equity funds used during construction		9,639			7,434			2,205			29.7	%	B
Other income		8,642			17,489			(8,847	)		50.6	%	W
Other expense		(7,883	)		(10,356	)		2,473			23.9	%	B
Total		10,398			14,567			(4,169	)		28.6	%	W
Interest Expense
Interest charges		103,959			93,408			10,551			11.3	%	W
Capitalized interest		(10,020	)		(8,983	)		(1,037	)		11.5	%	B
Total		93,939			84,425			9,514			11.3	%	W
Income From Continuing Operations Before Income Taxes		143,134			178,502			(35,368	)		19.8	%	W
Income Taxes		48,840			56,064			(7,224	)		12.9	%	B
Income From Continuing Operations		94,294			122,438			(28,144	)		23.0	%	W
Income From Discontinued Operations Net of Income Taxes		1,230			2,171			(941	)		43.3	%	W
Net Income	$	95,524		$	124,609		$	(29,085	)		23.3	%	W
Weighted-Average Common Shares Outstanding — Basic		100,138			99,168			970			1.0	%
Weighted-Average Common Shares Outstanding — Diluted		100,718			99,562			1,156			1.2	%
Earnings Per Weighted-Average Common Share Outstanding
Income from continuing operations — basic	$	0.94		$	1.23		$	(0.29	)		23.6	%	W
Net income — basic	$	0.95		$	1.26		$	(0.31	)		24.6	%	W
Income from continuing operations — diluted	$	0.94		$	1.23		$	(0.29	)		23.6	%	W
Net income — diluted	$	0.95		$	1.25		$	(0.30	)		24.0	%	W

B — Better
W — Worse

EX-99.8

Exhibit 99.8

Last Updated 7/26/07

Pinnacle West Capital Corporation
Quarterly Consolidated Statistical Summary
Glossary of Terms

Amounts Recovered Through Revenues	Amounts recovered from retail customers through the power supply adjustor in the current period.
Arizona Job Growth	Percentage growth over the prior year in total non-farm payroll employment for the state of Arizona, non-seasonally adjusted.
Building Permits — Metro Phoenix	The number of residential dwellings permitted to be built by authorized agencies in Maricopa County, Arizona. Single-family refers to detached buildings intended to be occupied by one family each. Multi-family permits represent the number of units authorized to be built in condominium, townhouse and apartment complexes.
Capacity Factor	The ratio of the average operating load of an electric power generating unit for a period of time to the capacity rating of the unit during that period.
Change in Mark-To-Market Value of Forward Sales	The gross margin related to the change in mark-to-market value in the current period of transactions which have been entered into during the current period or prior periods for which the commodities are scheduled for delivery in a future period.
Deferred Fuel and Purchased Power Costs — Current Period	Deferrals recorded in the period for recovery or refund to the extent actual retail fuel and purchased power costs vary from the amount included in base retail rates (currently $0.020743 per kWh).
Deferred Fuel and Purchased Power Regulatory Asset	Balance of accumulated deferrals, net of amounts recovered through revenues, recorded for recovery or refund to the extent actual retail fuel and purchased power costs vary from the amount included in base retail rates (currently $0.020743 per kWh).
Degree-Days — Cooling	A measure of temperatures designed to indicate the amount of electricity demand for cooling purposes. Cooling degree-days are calculated by summing the difference between each day’s actual average temperature and a base temperature of 65°F for the month. Average temperatures less than the base temperature are ignored.

-2-

Degree-Days — Heating	A measure of temperatures designed to indicate the amount of electricity demand for heating purposes. Heating degree-days are calculated by summing the difference between each day’s actual average temperature and a base temperature of 65°F for the month. Average temperatures greater than the base temperature are ignored.
Electricity and Other Commodity Sales, Realized	Marketing and trading gross margin related to electricity and other commodities that were delivered in the then-current period.
Electricity Spot Prices —Palo Verde — Off-Peak	Electricity average daily spot prices at Palo Verde substation during off-peak hours. It measures electric prices at the producer level and is the result of real time prices used for benchmarking, price comparisons, and establishing price contracts. Measured in dollars per megawatt-hour.
Electricity Spot Prices — Palo Verde — On-Peak	Electricity average daily spot prices at Palo Verde substation during on-peak hours. It measures electric prices at the producer level and is the result of real time prices used for benchmarking, price comparisons, and establishing price contracts. Measured in dollars per megawatt-hour.
Electricity Spot Prices — SP15 — Off-Peak	Electricity average daily spot prices at SP15, a region of California substations, during off-peak hours. It measures electric prices at the producer level and is the result of real time prices used for benchmarking, price comparisons, and establishing price contracts. Measured in dollars per megawatt-hour.
Electricity Spot Prices — SP15 — On-Peak	Electricity average daily spot prices at SP15, a region of California substations, during on-peak hours. It measures electric prices at the producer level and is the result of real time prices used for benchmarking, price comparisons, and establishing price contracts. Measured in dollars per megawatt-hour.
Generation Capacity Out of Service and Replaced for Native Load	Total capacity required and economic, yet unavailable for retail customers and traditional wholesale contracts due to scheduled or unscheduled outages. Measured in megawatts per day.
Generation Production — Coal	Amount of net energy produced by coal-fueled generators. Measured in gigawatt-hours.

-3-

Generation Production — Gas/Oil/Other	Amount of net energy predominately produced by natural gas and oil-fueled generators. A small amount of energy from hydroelectric and solar power plants is also included. Measured in gigawatt-hours.
Generation Production — Nuclear	Amount of net energy produced by nuclear-fueled generators. Measured in gigawatt-hours.
Gigawatt-hour (GWH)	A unit of energy equivalent to 1,000 megawatt-hours or 1,000,000 kilowatt-hours.
Marketing and Trading Gross Margin — Pretax	Revenues from marketing and trading activities (other than retail sales, traditional wholesale sales and retail load hedge management) less the costs of the related commodities, with mark-to-market gains or losses, before income taxes.
Mark-To-Market	Adjustments to revenues or costs to recognize value of sales and purchase contracts, for which the commodities are scheduled for delivery in a future period, at current forward wholesale prices.
Mark-To-Market Reversals on Realized Sales	The reversal of the gross margin related to mark-to-market transactions entered into in prior periods for which the commodities were delivered in the current period. Realization of prior-period mark-to-market relates to cash flow recognition, not revenue recognition or earnings recognition, because in accordance with mark-to-market accounting, the margin was already recorded in the prior period. A negative amount shown in this category represents the arithmetic opposite of a gain recognized in the period in which the commodities were delivered; an equal positive amount is reflected in the realized revenue or margin for delivered commodities. A positive amount shown in this category represents the arithmetic opposite of a loss recognized in the period in which the commodities were delivered; an equal negative amount is reflected in the realized revenue or margin for delivered commodities.
Megawatt (MW)	One million watts.
Megawatt-hour (MWh)	A unit of energy equivalent to 1,000 kilowatt-hours.
Native Load	Retail and wholesale sales supplied under traditional cost-based rate regulation.
Off-System Sales	Sales of electricity from generation owned or contracted by the company that is over and above the amount required to serve retail customers and traditional wholesale contracts.

-4-

Power Supply Adjustor (“PSA”)	Power supply adjustor provides for recovery or refund of variations in actual fuel and purchased power costs compared with the amount included in base retail rates (currently $0.020743 per kWh) subject to certain specified parameters.
Purchased Power — Firm Load	Power purchased from wholesale market sources used to serve regulated retail demand and traditional wholesale contracts. Measured in gigawatt-hours.
Purchased Power — Marketing and Trading	Power purchased from wholesale market sources used to serve marketing and trading sales not served by company-owned generation. Measured in gigawatt-hours.
Realized and Mark-to-Market Components	Marketing and trading gross margin, before income taxes, for off-system sales and for sales and purchases of electricity and other commodities by the company in the wholesale market, summarized by the period of delivery and whether the margin is realized or mark-to-market. Realized margins relate to commodities that have been delivered. Mark-to-market margins relate to commodities that have delivery dates in future periods.
Retail Customer Growth	Percentage growth over the prior year in the number of retail customers.
Retail Electricity Usage	Total retail sales for a period divided by the average retail customers for the same period. Measured in kilowatt-hours per average customer.
Retail Load Hedge Management	Wholesale sales to liquidate electricity purchases originally intended to meet firm load during peak times, which purchases were not needed ultimately for firm load. These sales are made to other electric companies, power marketers, or public entities for the purpose of resale. Measured in gigawatt-hours.
Retail Sales	Sales of electricity made directly to retail customers or ultimate customers. Residential retail sales are sales to households. Business retail sales include commercial, industrial, irrigation, and streetlighting sales. Measured in gigawatt-hours.
System Peak Demand	The demand for electricity during the one hour of highest use each month. Measured in megawatts.
Traditional Contracts	Wholesale sales resulting from unique cost-based, long-term contracts held by the company with various entities for the supply of electricity at agreed-upon prices.

-5-

Weather Normalized	Adjusted to exclude the effects of abnormal weather patterns.
Wholesale Sales of Electricity	All wholesale sales of electricity not accounted for in sales under traditional contracts or retail load hedge management. These sales are made to other electric companies, power marketers, or public entities for the purpose of resale. Measured in gigawatt-hours.

EX-99.9

Exhibit 99.9

FOR IMMEDIATE RELEASE		July 26, 2007
Media Contact:	Alan Bunnell, (602) 250-3376	Page 1 of 2
Analyst Contacts:	Rebecca Hickman, (602) 250-5668
	Lisa Malagon, (602) 250-5671
Web site:	www.pinnaclewest.com

PINNACLE WEST REPORTS LOWER SECOND QUARTER RESULTS

PHOENIX — Pinnacle West Capital Corporation (NYSE: PNW) today reported lower consolidated net income for the quarter ended June 30, 2007, of $79.0 million, or $0.78 per diluted share of common stock. This result compares with net income of $112.2 million, or $1.13 per diluted share, for the same quarter a year ago.

The lower quarterly results were principally driven by lower earnings at Arizona Public Service (APS) as a result of an $8 million after-tax regulatory disallowance, milder weather, and the absence of $7 million of income tax credits recorded in 2006.

“The exceptional population growth in our service territory drives an ever-increasing demand for electricity,” said Pinnacle West Chairman Bill Post. “Going forward, we need to continue making substantial investments in infrastructure and long-term resources, while working with regulators to achieve timely and constructive regulatory treatment.”

For the second quarter of 2007, APS reported lower net income of $75.1 million, compared with net income of $93.8 million for the same period a year ago. Operationally, the 2007 quarter reflected significantly improved performance at the Palo Verde Nuclear Generating Station, which increased its output by 54 percent compared with the same quarter a year ago.

SunCor Development Co., Pinnacle West’s real estate subsidiary, reported net income of $0.3 million, compared with $9.6 million in the 2006 second quarter, primarily due to decreased sales of residential property.

For more information on Pinnacle West’s operating statistics and earnings, please visit www.pinnaclewest.com/financials.

Conference Call
Pinnacle West invites interested parties to listen to the live web cast of management’s conference call to discuss the Company’s 2007 second quarter earnings and recent developments at 12 noon (ET), today, Thursday, July 26, 2007. The web cast can be accessed at www.pinnaclewest.com/presentations and will be available for replay on the web site for 30 days. To access the live conference call by telephone, dial (877) 356-3961 and enter Conference ID Number 7372981. A replay of the call also will be available

PINNACLE WEST SECOND QUARTER EARNINGS	July 26, 2007
	Page 2 of 2

until 11:55 p.m. (ET), Thursday, August 2, 2007, by calling (800) 642-1687 in the U.S. and Canada or (706) 645-9291 internationally and entering the same ID number as above.

Pinnacle West is a Phoenix-based company with consolidated assets of about $11 billion. Through its subsidiaries, the Company generates, sells and delivers electricity and sells energy-related products and services to retail and wholesale customers in the western United States. It also develops residential, commercial, and industrial real estate projects.

-30-

PINNACLE WEST CAPITAL CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(unaudited)
( in thousands, except per share amounts)

	THREE MONTHS ENDED						SIX MONTHS ENDED
	JUNE 30,						JUNE 30,
	2007			2006			2007			2006
Operating Revenues
Regulated electricity segment	$	711,293		$	712,718		$	1,247,344		$	1,178,844
Real estate segment		48,352			112,603			125,602			220,457
Marketing and trading		92,637			89,925			165,108			174,927
Other revenues		11,153			9,782			20,516			21,006
Total		863,435			925,028			1,558,570			1,595,234
Operating Expenses
Regulated electricity segment fuel and purchased power		270,337			263,944			473,690			421,339
Real estate segment operations		46,174			98,412			107,617			169,742
Marketing and trading fuel and purchased power		74,533			72,716			132,477			146,891
Operations and maintenance		177,310			168,332			348,888			346,759
Depreciation and amortization		92,835			89,297			182,456			176,918
Taxes other than income taxes		34,757			32,700			69,476			68,273
Other expenses		8,803			8,430			17,291			16,952
Total		704,749			733,831			1,331,895			1,346,874
Operating Income		158,686			191,197			226,675			248,360
Other
Allowance for equity funds used during construction		5,195			3,633			9,639			7,434
Other income		5,869			12,022			8,642			17,489
Other expense		(3,269	)		(5,815	)		(7,883	)		(10,356	)
Total		7,795			9,840			10,398			14,567
Interest Expense
Interest charges		52,967			45,882			103,959			93,408
Capitalized interest		(5,213	)		(4,959	)		(10,020	)		(8,983	)
Total		47,754			40,923			93,939			84,425
Income From Continuing Operations Before Income Taxes		118,727			160,114			143,134			178,502
Income Taxes		40,231			49,271			48,840			56,064
Income From Continuing Operations		78,496			110,843			94,294			122,438
Income From Discontinued Operations
Net of Income Taxes		498			1,311			1,230			2,171
Net Income	$	78,994		$	112,154		$	95,524		$	124,609
Weighted-Average Common Shares Outstanding — Basic		100,229			99,221			100,138			99,168
											.
Weighted-Average Common Shares Outstanding — Diluted		100,779			99,640			100,718			99,562
Earnings Per Weighted-Average Common Share Outstanding
Income from continuing operations — basic	$	0.78		$	1.12		$	0.94		$	1.23
Net income — basic	$	0.79		$	1.13		$	0.95		$	1.26
Income from continuing operations — diluted	$	0.78		$	1.11		$	0.94		$	1.23
Net income — diluted	$	0.78		$	1.13		$	0.95		$	1.25

EX-99.10

Exhibit 99.10

PINNACLE WEST CAPITAL CORPORATION
NON-GAAP FINANCIAL MEASURE RECONCILIATION — OPERATING INCOME
(GAAP MEASURE) TO GROSS MARGIN (NON-GAAP FINANCIAL MEASURE)
(in thousands)

	THREE MONTHS ENDED
	JUNE 30,				Increase (Decrease)
	2007		2006		Pretax			After Tax
RECONCILIATION OF REGULATED ELECTRICITY SEGMENT GROSS MARGIN
Operating income (closest GAAP measure)	$	158,686	$	191,197	$	(32,511	)	$	(19,815	)
Plus:
Operations and maintenance		177,310		168,332		8,978			5,472
Real estate segment operations		46,174		98,412		(52,238	)		(31,839	)
Depreciation and amortization		92,835		89,297		3,538			2,156
Taxes other than income taxes		34,757		32,700		2,057			1,254
Other expenses		8,803		8,430		373			227
Marketing and trading fuel and purchased power		74,533		72,716		1,817			1,107
Less:
Real estate segment revenues		48,352		112,603		(64,251	)		(39,161	)
Other revenues		11,153		9,782		1,371			836
Marketing and trading revenues		92,637		89,925		2,712			1,653
Regulated electricity segment gross margin	$	440,956	$	448,774	$	(7,818	)	$	(4,766	)

	SIX MONTHS ENDED
	JUNE 30,				Increase (Decrease)
	2007		2006		Pretax			After Tax
RECONCILIATION OF REGULATED ELECTRICITY SEGMENT GROSS MARGIN
Operating income (closest GAAP measure)	$	226,675	$	248,360	$	(21,685	)	$	(13,217	)
Plus:
Operations and maintenance		348,888		346,759		2,129			1,298
Real estate segment operations		107,617		169,742		(62,125	)		(37,865	)
Depreciation and amortization		182,456		176,918		5,538			3,375
Taxes other than income taxes		69,476		68,273		1,203			733
Other expenses		17,291		16,952		339			207
Marketing and trading fuel and purchased power		132,477		146,891		(14,414	)		(8,785	)
Less:
Real estate segment revenues		125,602		220,457		(94,855	)		(57,814	)
Other revenues		20,516		21,006		(490	)		(299	)
Marketing and trading revenues		165,108		174,927		(9,819	)		(5,985	)
Regulated electricity segment gross margin	$	773,654	$	757,505	$	16,149		$	9,844