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): September 30, 2005

	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 (17CFR 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. 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

	Page
Item 2.02 Results of Operations and Financial Condition		2
Item 7.01 Regulation FD Disclosure		3
Item 9.01 Financial Statements and Exhibits		4
Signatures		5
Exhibit 99.1
Exhibit 99.2
Exhibit 99.3
Exhibit 99.4
Exhibit 99.5
Exhibit 99.6
Exhibit 99.7
Exhibit 99.8
Exhibit 99.9
Exhibit 99.10

Item 2.02. Results of Operations and Financial Condition

     Certain of the Information referenced in Item 7.01 below relates to Pinnacle West Capital Corporation’s (“Pinnacle West” or the “Company”) results of operations for its fiscal quarter ended September 30, 2005. This Information is attached hereto as Exhibits 99.2, 99.3, 99.7, 99.9, and 99.10.

     On October 27, 2005, the Company issued a press release regarding its financial results for its fiscal quarter ended September 30, 2005. A copy of the press release is attached hereto as Exhibit 99.9.

     The information being furnished pursuant to this Item 2.02 and in Exhibits 99.2, 99.3, 99.7, 99.9 and 99.10 of this report relating to the Company’s financial results for its fiscal quarter ended September 30, 2005 shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that Section, and shall not be incorporated by reference into any registration statement or other document filed under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

     Exhibit 99.9 to this report contains certain “non-GAAP financial measures,” as defined in Item 10(e) of Regulation S-K of the Exchange Act. We describe these non-GAAP financial measures as “on-going earnings” and “on-going earnings per share.” Exhibit 99.9 contains a table that reconciles each of these non-GAAP financial measures to net income, which is the most directly comparable financial measure calculated and presented in accordance with accounting principles generally accepted in the United States of America (“GAAP”). We believe on-going earnings provide investors with a useful indicator of our results that is comparable among periods because it excludes the effects of unusual items that may occur on an irregular basis. Investors should note that these non-GAAP financial measures involve judgments by management, including whether an item is classified as an unusual item. We use on-going earnings, or similar concepts, to measure our performance internally in reports for management.

2

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.

3

Item 9.01. Financial Statements and Exhibits

(c) Exhibits.

Exhibit
No.	Registrant(s)	Description
99.1	Pinnacle West Arizona Public Service Company (“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 periods ended September 30, 2005 and 2004.
99.3	Pinnacle West APS	Pinnacle West Capital Corporation consolidated statistics by quarter for 2005.
99.4	Pinnacle West	Pinnacle West Capital Corporation consolidated statistics by quarter for 2004.
99.5	Pinnacle West	Pinnacle West Capital Corporation consolidated statistics by quarter for 2003.
99.6	Pinnacle West	Pinnacle West Capital Corporation consolidated statistics by quarter for 2002.
99.7	Pinnacle West APS	Pinnacle West Capital Corporation earnings variance explanations for periods ended September 30, 2005 and 2004 and condensed consolidated statements of income for the three and nine months ended September 30, 2005 and 2004.
99.8	Pinnacle West APS	Glossary of Terms.
99.9	Pinnacle West APS	Earnings News Release issued on October 27, 2005.
99.10	Pinnacle West APS	Reconciliation of Operating Income 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: October 27, 2005	By:	/s/ Barbara M. Gomez
		Barbara M. Gomez
		Vice President and Treasurer

	ARIZONA PUBLIC SERVICE COMPANY (Registrant)
Dated: October 27, 2005	By:	/s/ Barbara M. Gomez
		Barbara M. Gomez
		Vice President and Treasurer

5

INDEX TO EXHIBITS

Exhibit
No.	Registrant(s)	Description
99.1	Pinnacle West Arizona Public Service Company (“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 periods ended September 30, 2005 and 2004.
99.3	Pinnacle West APS	Pinnacle West Capital Corporation consolidated statistics by quarter for 2005.
99.4	Pinnacle West	Pinnacle West Capital Corporation consolidated statistics by quarter for 2004.
99.5	Pinnacle West	Pinnacle West Capital Corporation consolidated statistics by quarter for 2003.
99.6	Pinnacle West	Pinnacle West Capital Corporation consolidated statistics by quarter for 2002.
99.7	Pinnacle West APS	Pinnacle West Capital Corporation earnings variance explanations for periods ended September 30, 2005 and 2004 and condensed consolidated statements of income for the three and nine months ended September 30, 2005 and 2004.
99.8	Pinnacle West APS	Glossary of Terms.
99.9	Pinnacle West APS	Earnings News Release issued on October 27, 2005.
99.10	Pinnacle West APS	Reconciliation of Operating Income to Gross Margin (Non-GAAP Financial Measure).

6

EX-99.1

Pinnacle West Capital Corporation

Quarterly Consolidated Statistical Summary
Periods Ended September 30, 2005 and 2004

List of Contents

2005 Third Quarter Summary

2005 Year-to-Date

2004 by Quarter

2003 by Quarter

2002 by Quarter

Quarters may not sum to totals due to rounding.

Certain current and prior year amounts have been reclassified to conform to current period presentation.

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/2005Q3QuarStatsGloss.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

Pinnacle West Capital Corporation

Quarterly Consolidated Statistical Summary

Periods Ended September 30, 2005 and 2004

			3 Mo. Ended September								9 Mo. Ended September
Line			2005			2004		Incr (Decr)			2005			2004			Incr (Decr)
		EARNINGS CONTRIBUTION BY SUBSIDIARY ($ Millions)
	1	Arizona Public Service	$	61		$	95	$	(34	)	$	152		$	185		$	(33	)
	2	Pinnacle West Energy		(71	)		1		(72	)		(80	)		(35	)		(45	)
	3	APS Energy Services		—			1		(1	)		(3	)		4			(7	)
	4	SunCor		6			4		2			26			10			16
	5	El Dorado		—			—		—			(1	)		33			(34	)
	6	Parent Company		89			3		86			105			12			93
	7	Income From Continuing Operations		85			104		(19	)		199			209			(10	)
	8	Loss From Discontinued Operations — Net of Tax		19			1		18			(44	)		—			(44	)
	9	Cumulative Effect of Change in Accounting — Net of Tax		—			—		—			—			—			—
	10	Net Income	$	104		$	105	$	(1	)	$	155		$	209		$	(54	)
		EARNINGS PER SHARE BY SUBSIDIARY — DILUTED
	11	Arizona Public Service	$	0.62		$	1.04	$	(0.42	)	$	1.59		$	2.02		$	(0.43	)
	12	Pinnacle West Energy		(0.72	)		0.01		(0.73	)		(0.83	)		(0.39	)		(0.44	)
	13	APS Energy Services		—			0.01		(0.01	)		(0.03	)		0.05			(0.08	)
	14	SunCor		0.07			0.05		0.02			0.27			0.11			0.16
	15	El Dorado		(0.01	)		—		(0.01	)		(0.01	)		0.36			(0.37	)
	16	Parent Company		0.90			0.03		0.87			1.09			0.13			0.96
	17	Income From Continuing Operations		0.86			1.14		(0.28	)		2.08			2.28			(0.20	)
	18	Loss From Discontinued Operations — Net of Tax		0.19			0.01		0.18			(0.46	)		0.01			(0.47	)
	19	Cumulative Effect of Change in Accounting — Net of Tax		—			—		—			—			—			—
	20	Net Income	$	1.05		$	1.15	$	(0.10	)	$	1.62		$	2.29		$	(0.67	)
	21	BOOK VALUE PER SHARE	$	35.82		$	32.55	$	3.27		$	35.82		$	32.55		$	3.27
		COMMON SHARES OUTSTANDING — DILUTED (Thousands)
	22	Average		98,816			91,491		7,325			95,755			91,430			4,325
	23	End of Period		98,881			91,443		7,438			98,881			91,443			7,438

See Glossary of Terms. Page 2 of 31

Pinnacle West Capital Corporation

Quarterly Consolidated Statistical Summary

Periods Ended September 30, 2005 and 2004

			3 Mo. Ended September							9 Mo. Ended September
Line			2005		2004		Incr (Decr)			2005		2004		Incr (Decr)
		ELECTRIC OPERATING REVENUES (Dollars in Millions)
		REGULATED ELECTRICITY SEGMENT
		Retail
	24	Residential	$	414	$	360	$	54		$	872	$	794	$	78
	25	Business		308		289		19			798		757		41
	26	Total retail		722		649		73			1,670		1,551		119
		Wholesale revenue on delivered electricity
	27	Traditional contracts		9		6		3			17		13		4
	28	Off-system sales		8		—		8			20		—		20
	29	Transmission for others		7		8		(1	)		21		24		(3	)
	30	Other miscellaneous services		7		8		(1	)		21		18		3
	31	Total regulated electricity		753		671		82			1,749		1,606		143
		MARKETING AND TRADING SEGMENT
	32	Electricity and other commodity sales		107		91		16			267		290		(23	)
	33	Total operating electric revenues	$	860	$	762	$	98		$	2,016	$	1,896	$	120
		ELECTRIC SALES (GWH)
		REGULATED ELECTRICITY SEGMENT
		Retail sales
	34	Residential		4,449		4,028		421			9,705		9,160		545
	35	Business		4,100		3,937		163			10,826		10,590		236
	36	Total retail		8,549		7,965		584			20,531		19,750		781
		Wholesale electricity delivered
	37	Traditional contracts		269		210		59			624		543		81
	38	Off-system sales		212		—		212			810		—		810
	39	Retail load hedge management		1,026		943		83			2,478		1,843		635
	40	Total regulated electricity		10,056		9,118		938			24,443		22,136		2,307
		MARKETING AND TRADING SEGMENT
	41	Wholesale sales of electricity		7,228		8,995		(1,767	)		17,906		21,834		(3,928	)
	42	Total electric sales		17,284		18,113		(829	)		42,349		43,970		(1,621	)

See Glossary of Terms. Page 3 of 31

Pinnacle West Capital Corporation

Quarterly Consolidated Statistical Summary

Periods Ended September 30, 2005 and 2004

			3 Mo. Ended September									9 Mo. Ended September
Line			2005			2004			Incr (Decr)			2005			2004			Incr (Decr)
		POWER SUPPLY ADJUSTOR (“PSA”) — REGULATED ELECTRICITY SEGMENT (Dollars in Millions)
	43	Deferred fuel and purchased power regulatory asset — beginning balance	$	38		$	—		$	38		$	—		$	—		$	—
	44	Deferred fuel and purchased power costs — current period		105			—			105			143			—			143
	45	Amounts recovered through revenues		—			—		$	—			—			—			—
	46	Deferred fuel and purchased power regulatory asset — end of period	$	143		$	—		$	143		$	143		$	—		$	143
		MARKETING AND TRADING SEGMENT PRETAX GROSS MARGIN ANALYSIS (Dollars in Millions)
		Realized and Mark-To-Market Components
	47	Electricity and other commodity sales, realized (a)	$	3		$	13		$	(10	)	$	33		$	47		$	(14	)
	48	Mark-to-market reversals on realized sales (b)		3			(3	)		6			(5	)		(4	)		(1	)
	49	Change in mark-to-market value of forward sales		14			5			9			24			15			9
	50	Total gross margin	$	20		$	15		$	5		$	52		$	58		$	(6	)
		By Pinnacle West Entity
	51	Parent company marketing and trading division	$	26		$	9		$	17		$	53		$	32		$	21
	52	APS		(8	)		2			(10	)		(9	)		(3	)		(6	)
	53	Pinnacle West Energy		—			—			—			5			17			(12	)
	54	APS Energy Services		2			4			(2	)		3			12			(9	)
	55	Total gross margin	$	20		$	15		$	5		$	52		$	58		$	(6	)

Future Marketing and Trading Mark-to-Market Realization

As of Septmeber 30, 2005, Pinnacle West had accumulated net mark-to-market gains of $58 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: 2005, $17 million; 2006, $10 million; 2007, $21 million; and thereafter, $10 million.

(a)

The net effect on pretax gross margin from realization of prior-period mark-to-market included in line 47 and in line 48 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 47 are included in line 48. For example, line 48 shows that a prior-period mark-to-market loss of $3 million was transferred to “realized” for the third quarter of 2005. A $3 million realized loss is included in the $3 million on line 47 for the third quarter of 2005.

(b)

Quarterly amounts do not total to the annual amounts because of intra-year mark-to-market eliminations.

See Glossary of Terms. Page 4 of 31

Pinnacle West Capital Corporation

Quarterly Consolidated Statistical Summary

Periods Ended September 30, 2005 and 2004

			3 Mo. Ended September									9 Mo. Ended September
Line			2005			2004			Incr (Decr)			2005			2004			Incr (Decr)
		AVERAGE ELECTRIC CUSTOMERS
		Retail customers
	56	Residential		895,789			856,353			39,436			891,422			854,901			36,521
	57	Business		111,648			107,583			4,065			110,700			106,534			4,166
	58	Total		1,007,437			963,936			43,501			1,002,122			961,435			40,687
	59	Wholesale customers		78			85			(7	)		78			83			(5	)
	60	Total customers		1,007,515			964,021			43,494			1,002,200			961,518			40,682
	61	Customer Growth (% over prior year)		4.5	%		3.9	%		0.6	%		4.2	%		3.7	%		0.5	%
		RETAIL SALES (GWH) — WEATHER NORMALIZED
	62	Residential		4,445			4,231			214			9,778			9,364			414
	63	Business		4,119			4,005			114			10,870			10,619			251
	64	Total		8,564			8,236			328			20,648			19,983			665
		RETAIL USAGE (KWh/Average Customer)
	65	Residential		4,967			4,704			263			10,887			10,713			174
	66	Business		36,723			36,595			128			97,795			99,405			(1,610	)
		RETAIL USAGE — WEATHER NORMALIZED (KWh/Average Customer)
	67	Residential		4,963			4,941			22			10,969			10,953			16
	68	Business		36,897			37,227			(330	)		98,201			99,679			(1,478	)
		ELECTRICITY DEMAND (MW)
	69	System peak demand		7,000			6,402			598			7,000			6,402			598

See Glossary of Terms. Page 5 of 31

Pinnacle West Capital Corporation

Quarterly Consolidated Statistical Summary

Periods Ended September 30, 2005 and 2004

		3 Mo. Ended September									9 Mo. Ended September
Line		2005			2004			Incr (Decr)			2005			2004			Incr (Decr)
	ENERGY SOURCES (GWH)
	Generation production
70	Nuclear		2,147			2,364			(217	)		6,013			6,372			(359	)
71	Coal		3,574			3,417			157			9,602			9,339			263
72	Gas, oil and other		3,018			2,547			471			6,219			4,253			1,966
73	Total		8,739			8,328			411			21,834			19,964			1,870
	Purchased power
74	Firm load		1,589			1,068			521			3,072			3,302			(230	)
75	Marketing and trading		7,795			9,301			(1,506	)		19,611			21,978			(2,367	)
76	Total		9,384			10,369			(985	)		22,683			25,280			(2,597	)
77	Total energy sources		18,123			18,697			(574	)		44,517			45,244			(727	)
	POWER PLANT PERFORMANCE
	Capacity Factors
78	Nuclear		88	%		96	%		(8	)%		83	%		87	%		(4	)%
79	Coal		95	%		90	%		5	%		86	%		83	%		3	%
80	Gas, oil and other		40	%		38	%		2	%		28	%		21	%		7	%
81	System average		63	%		64	%		(1	)%		54	%		53	%		1	%
	Generation Capacity Out of Service and Replaced for Native Load (average MW/day)
82	Nuclear		107			13			94			488			380			108
83	Coal		57			63			(6	)		496			364			132
84	Gas		140			39			101			516			135			381
85	Total		304			115			189			1,500			879			621

See Glossary of Terms. Page 6 of 31

Pinnacle West Capital Corporation

Quarterly Consolidated Statistical Summary

Periods Ended September 30, 2005 and 2004

		3 Mo. Ended September									9 Mo. Ended September
Line		2005			2004			Incr (Decr)			2005			2004			Incr (Decr)
	ENERGY MARKET INDICATORS (a)
	Electricity Average Daily Spot Prices ($/MWh)
	On-Peak
86	Palo Verde	$	78.94		$	51.86		$	27.08		$	60.67		$	48.65		$	12.02
87	SP15	$	83.21		$	57.09		$	26.12		$	64.70		$	53.40		$	11.30
	Off-Peak
88	Palo Verde	$	52.35		$	33.37		$	18.98		$	40.81		$	33.59		$	7.22
89	SP15	$	56.08		$	37.18		$	18.90		$	43.92		$	37.13		$	6.79
	WEATHER INDICATORS
	Actual
90	Cooling degree-days		2,583			2,471			112			4,155			4,342			(187	)
91	Heating degree-days		—			—			—			458			563			(105	)
92	Average humidity		29	%		26	%		3	%		35	%		28	%		7	%
	10-Year Averages
93	Cooling degree-days		2,540			2,540			—			4,111			4,111			—
94	Heating degree-days		—			—			—			557			557			—
95	Average humidity		33	%		33	%		0	%		33	%		33	%		0	%
	ECONOMIC INDICATORS
	Building Permits — Metro Phoenix (b) (d)
96	Single-family		7,982			9,783			(1,801	)		30,351			33,464			(3,113	)
97	Multi-family		2,038			1,517			521			5,424			4,598			826
98	Total		10,020			11,300			(1,280	)		35,775			38,062			(2,287	)
	Arizona Job Growth (c) (d)
99	Payroll job growth (% over prior year)		4.2	%		3.6	%		0.6	%		4.0	%		3.1	%		0.9	%
100	Unemployment rate (%, seasonally adjusted)		4.8	%		5.0	%		(0.2	)%		4.6	%		5.1	%		(0.5	)%

Sources:
(a)	This price is an 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)	The economic indicators reflect latest available data through periods ending August 2005.

See Glossary of Terms. Page 7 of 31

EX-99.3

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				$	152		$	(33	)
2	Pinnacle West Energy		(21	)		12			(71	)				(80	)		(45	)
3	APS Energy Services		(3	)		1			—					(3	)		(7	)
4	SunCor		9			11			6					26			16
5	El Dorado		(1	)		—			—					(1	)		(34	)
6	Parent Company		19			(3	)		89					105			93
7	Income From Continuing Operations		30			85			85			—		199			(10	)
8	Loss From Discontinued Operations — Net of Tax		(6	)		(58	)		19					(44	)		(44	)
9	Cumulative Effect of Change in Accounting — Net of Tax		—			—			—					—			—
10	Net Income	$	24		$	27		$	104		$	—	$	155		$	(54	)
	EARNINGS PER SHARE BY SUBSIDIARY — DILUTED
11	Arizona Public Service	$	0.30		$	0.66		$	0.62				$	1.59		$	(0.43	)
12	Pinnacle West Energy		(0.23	)		0.13			(0.72	)				(0.83	)		(0.44	)
13	APS Energy Services		(0.04	)		0.01			—					(0.03	)		(0.08	)
14	SunCor		0.09			0.11			0.07					0.27			0.16
15	El Dorado		(0.01	)		—			(0.01	)				(0.01	)		(0.37	)
16	Parent Company		0.21			(0.03	)		0.90					1.09			0.96
17	Income From Continuing Operations		0.32			0.88			0.86			—		2.08			(0.20	)
18	Loss From Discontinued Operations — Net of Tax		(0.05	)		(0.60	)		0.19					(0.46	)		(0.47	)
19	Cumulative Effect of Change in Accounting — Net of Tax		—			—			—					—			—
20	Net Income	$	0.27		$	0.28		$	1.05		$	—	$	1.62		$	(0.67	)
21	BOOK VALUE PER SHARE	$	32.50		$	32.89		$	35.82				$	35.82		$	3.27
	COMMON SHARES OUTSTANDING - DILUTED (Thousands)
22	Average		92,045			96,299			98,816					95,755			4,325
23	End of Period		92,103			98,442			98,881					98,881			7,438

See Glossary of Terms. Page 8 of 31

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
24	Residential	$	190	$	268	$	414			$	872	$	78
25	Business		209		281		308				798		41
26	Total retail		399		549		722		—		1,670		119
	Wholesale revenue on delivered electricity
27	Traditional contracts		3		5		9				17		4
28	Off-system sales		—		12		8				20		20
29	Transmission for others		7		7		7				21		(3	)
30	Other miscellaneous services		7		7		7				21		3
31	Total regulated electricity		416		580		753		—		1,749		143
	MARKETING AND TRADING SEGMENT
32	Electricity and other commodity sales		89		71		107				267		(23	)
33	Total operating electric revenues	$	505	$	651	$	860	$	—	$	2,016	$	120
	ELECTRIC SALES (GWH)
	REGULATED ELECTRICITY SEGMENT
	Retail sales
34	Residential		2,367		2,889		4,449				9,705		545
35	Business		3,042		3,684		4,100				10,826		236
36	Total retail		5,409		6,573		8,549		—		20,531		781
	Wholesale electricity delivered
37	Traditional contracts		155		200		269				624		81
38	Off-system sales		—		598		212				810		810
39	Retail load hedge management		750		702		1,026				2,478		635
40	Total regulated electricity		6,314		8,073		10,056		—		24,443		2,307
	MARKETING AND TRADING SEGMENT
41	Wholesale sales of electricity		5,777		4,901		7,228				17,906		(3,928	)
42	Total electric sales		12,091		12,974		17,284		—		42,349		(1,621	)

See Glossary of Terms. Page 9 of 31

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)
43	Deferred fuel and purchased power regulatory asset — beginning balance	$	—		$	—		$	38				$	—		$	—
44	Deferred fuel and purchased power costs — current period		—			38			105					143			143
45	Amounts recovered through revenues		—			—			—					—			—
46	Deferred fuel and purchased power regulatory asset — end of period	$	—		$	38		$	143		$	—	$	143		$	143
	MARKETING AND TRADING SEGMENT PRETAX GROSS MARGIN ANALYSIS (Dollars in Millions)
	Realized and Mark-To-Market Components
47	Electricity and other commodity sales, realized (a)	$	12		$	18		$	3				$	33		$	(14	)
48	Mark-to-market reversals on realized sales (b)		(3	)		(8	)		3					(5	)		(1	)
49	Change in mark-to-market value of forward sales		10			3			14					24			9
50	Total gross margin	$	19		$	13		$	20		$	—	$	52		$	(6	)
	By Pinnacle West Entity
51	Parent company marketing and trading division	$	21		$	6		$	26				$	53		$	21
52	APS		(4	)		3			(8	)				(9	)		(6	)
53	Pinnacle West Energy		5			—			—					5			(12	)
54	APS Energy Services		(3	)		4			2					3			(9	)
55	Total gross margin	$	19		$	13		$	20		$	—	$	52		$	(6	)

Future Marketing and Trading Mark-to-Market Realization

As of September 30, 2005, Pinnacle West had accumulated net mark-to-market gains of $58 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: 2005, $17 million; 2006, $10 million; 2007, $21 million; and thereafter, $10 million.

(a)

The net effect on pretax gross margin from realization of prior-period mark-to-market included in line 47 and in line 48 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 47 are included in line 48. For example, line 48 shows that a prior-period mark-to-market loss of $3 million was transferred to “realized” for the third quarter of 2005. A $3 million realized loss is included in the $3 million on line 47 for the third quarter of 2005.

(b)

Quarterly amounts do not total to the annual amounts because of intra-year mark-to-market eliminations.

See Glossary of Terms. Page 10 of 31

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
56	Residential		889,967			888,509			895,789					891,422				36,521
57	Business		109,772			110,658			111,648					110,700				4,166
58	Total		999,739			999,167			1,007,437			—		1,002,122				40,687
59	Wholesale customers		81			76			78					78				(5	)
60	Total customers		999,820			999,243			1,007,515			—		1,002,200				40,682
61	Customer Growth (% over prior year)		4.0	%		4.2	%		4.5	%				4.2	%			0.5	%
	RETAIL SALES (GWH) — WEATHER NORMALIZED
62	Residential		2,430			2,903			4,445					9,778				414
63	Business		3,058			3,693			4,119					10,870				251
64	Total		5,488			6,596			8,564			—		20,648				665
	RETAIL USAGE (KWh/Average Customer)
65	Residential		2,660			3,252			4,967					10,887				174
66	Business		27,712			33,292			36,723					97,795				(1,610	)
	RETAIL USAGE — WEATHER NORMALIZED (KWh/Average Customer)
67	Residential		2,730			3,268			4,963					10,969				16
68	Business		27,860			33,374			36,897					98,201				(1,478	)
	ELECTRICITY DEMAND (MW)
69	System peak demand		3,997			6,458			7,000					7,000				598
See Glossary of Terms.																page 11 of 31

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
70	Nuclear		2,247			1,619			2,147					6,013				(359	)
71	Coal		2,940			3,088			3,574					9,602				263
72	Gas, oil and other		1,127			2,074			3,018					6,219				1,966
73	Total		6,314			6,781			8,739			—		21,834				1,870
	Purchased power
74	Firm load		586			880			1,589					3,072				(230	)
75	Marketing and trading		5,832			5,984			7,795					19,611				(2,367	)
76	Total		6,418			6,864			9,384			—		22,683				(2,597	)
77	Total energy sources		12,732			13,645			18,123			—		44,517				(727	)
	POWER PLANT PERFORMANCE
	Capacity Factors
78	Nuclear		94	%		67	%		88	%				83	%			(4	)%
79	Coal		80	%		83	%		95	%				86	%			3	%
80	Gas, oil and other		17	%		27	%		40	%				28	%			7	%
81	System average		49	%		49	%		63	%				54	%			1	%
	Generation Capacity Out of Service and Replaced for Native Load (average MW/day)
82	Nuclear		52			329			107					488				108
83	Coal		195			244			57					496				132
84	Gas		212			164			140					516				381
85	Total		459			737			304			—		1,500				621
See Glossary of Terms.																page 12 of 31

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
86	Palo Verde	$	49.74		$	53.33		$	78.94				$	60.67		$	12.02
87	SP15	$	55.70		$	55.19		$	83.21				$	64.70		$	11.30
	Off-Peak
88	Palo Verde	$	37.04		$	33.03		$	52.35				$	40.81		$	7.22
89	SP15	$	40.96		$	34.73		$	56.08				$	43.92		$	6.79
	WEATHER INDICATORS
	Actual
90	Cooling degree-days		34			1,538			2,583					4,155			(187	)
91	Heating degree-days		457			1			—					458			(105	)
92	Average humidity		56	%		20	%		29	%				35	%		7	%
	10-Year Averages
93	Cooling degree-days		80			1,491			2,540					4,111			—
94	Heating degree-days		521			36			—					557			—
95	Average humidity		43	%		24	%		33	%				33	%		0	%
	ECONOMIC INDICATORS
	Building Permits — Metro Phoenix (b) (d)
96	Single-family		10,356			12,013			7,982					30,351			(3,113	)
97	Multi-family		1,741			1,645			2,038					5,424			826
98	Total		12,097			13,658			10,020			—		35,775			(2,287	)
	Arizona Job Growth (c) (d)
99	Payroll job growth (% over prior year)		4.1	%		3.9	%		4.2	%				4.0	%		0.9	%
100	Unemployment rate (%, seasonally adjusted)		4.4	%		4.7	%		4.8	%				4.6	%		(0.5	)%

Sources:
(a)	This price is an 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)	The economic indicators reflect latest available data through periods ending August 2005.
See Glossary of Terms.		page 13 of 31

EX-99.4

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
8	Income (Loss) From Discontinued Operations — Net of Tax		—			(1	)		1		(4	)		(4	)			(20	)
9	Cumulative Effect of Change in Accounting — Net of Tax		—			—			—		—			—				—
10	Net Income	$	31		$	73		$	105	$	34		$	243			$	2
	EARNINGS PER SHARE BY SUBSIDIARY — DILUTED
11	Arizona Public Service	$	0.38		$	0.60		$	1.04	$	0.16		$	2.18			$	0.20
12	Pinnacle West Energy		(0.24	)		(0.15	)		0.01		(0.25	)		(0.63	)			(0.55	)
13	APS Energy Services		0.02			0.01			0.01		(0.01	)		0.03				(0.15	)
14	SunCor		0.02			0.04			0.05		0.34			0.45				(0.05	)
15	El Dorado		—			0.37			—		—			0.36				0.37
16	Parent Company		0.15			(0.06	)		0.03		0.17			0.30				0.40
17	Income From Continuing Operations		0.33			0.81			1.14		0.41			2.69				0.22
18	Income (Loss) From Discontinued Operations — Net of Tax		0.01			(0.02	)		0.01		(0.04	)		(0.03	)			(0.19	)
19	Cumulative Effect of Change in Accounting — Net of Tax		—			—			—		—			—				—
20	Net Income	$	0.34		$	0.79		$	1.15	$	0.37		$	2.66			$	0.03
21	BOOK VALUE PER SHARE	$	31.19		$	31.68		$	32.55	$	32.14		$	32.14			$	1.17
	COMMON SHARES OUTSTANDING - DILUTED (Thousands)
22	Average		91,376			91,400			91,491		91,779			91,532				127
23	End of Period		91,310			91,309			91,443		91,793			91,793				505
See Glossary of Terms.																page 14 of 31

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
24	Residential	$	189	$	245	$	360	$	190	$	984		$	27
25	Business		211		257		289		222		979			26
26	Total retail		400		502		649		412		1,963			53
	Wholesale revenue on delivered electricity
27	Traditional contracts		3		4		6		3		16			1
28	Off-system sales		—		—		—		—		—			—
29	Transmission for others		8		8		8		8		32			5
30	Other miscellaneous services		4		6		8		6		24			(2	)
31	Total regulated electricity		415		520		671		429		2,035			57
	MARKETING AND TRADING SEGMENT
32	Electricity and other commodity sales		89		110		91		111		401			9
33	Total operating electric revenues	$	504	$	630	$	762	$	540	$	2,436		$	66
	ELECTRIC SALES (GWH)
	REGULATED ELECTRICITY SEGMENT
	Retail sales
34	Residential		2,410		2,722		4,028		2,368		11,528			381
35	Business		3,051		3,602		3,937		3,236		13,826			410
36	Total retail		5,461		6,324		7,965		5,604		25,354			791
	Wholesale electricity delivered
37	Traditional contracts		138		195		210		167		710			210
38	Off-system sales		—		—		—		—		—			—
39	Retail load hedge management		169		731		943		889		2,732			1,639
40	Total regulated electricity		5,768		7,250		9,118		6,660		28,796			2,640
	MARKETING AND TRADING SEGMENT
41	Wholesale sales of electricity		5,696		7,143		8,995		8,348		30,182			1,380
42	Total electric sales		11,464		14,393		18,113		15,008		58,978			4,020
See Glossary of Terms.												page 15 of 31

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)
43	Deferred fuel and purchased power regulatory asset — beginning balance	$	—		$	—		$	—		$	—		$	—		$	—
44	Deferred fuel and purchased power costs — current period		—			—			—			—			—			—
45	Amounts recovered through revenues		—			—			—			—			—			—
46	Deferred fuel and purchased power regulatory asset — end of period	$	—		$	—		$	—		$	—		$	—		$	—
	MARKETING AND TRADING SEGMENT PRETAX GROSS MARGIN ANALYSIS (Dollars in Millions)
	Realized and Mark-To-Market Components
47	Electricity and other commodity sales, realized (a)	$	12		$	22		$	13		$	16		$	63		$	(2	)
48	Mark-to-market reversals on realized sales (b)		1			(4	)		(3	)		—			(6	)		—
49	Change in mark-to-market value of forward sales		8			4			5			6			23			35
50	Total gross margin	$	21		$	22		$	15		$	22		$	80		$	33
	By Pinnacle West Entity
51	Parent company marketing and trading division	$	12		$	11		$	9		$	12		$	44		$	49
52	APS		(5	)		—			2			(2	)		(5	)		(13	)
53	Pinnacle West Energy		10			7			—			10			27			19
54	APS Energy Services		4			4			4			2			14			(22	)
55	Total gross margin	$	21		$	22		$	15		$	22		$	80		$	33

(a)

The net effect on pretax gross margin from realization of prior-period mark-to-market included in line 47 and in line 48 is zero. Realization of prior-period mark-to-market relates to cash flow recognition, not earnings recognition. The opposites of amounts included in line 47 are included in line 48. For example, line 48 shows that a prior-period mark-to-market gain of $6 million was transferred to “realized” for the total year 2004. A $6 million realized gain is included in the $63 million on line 47 for the total year 2004.

(b)

Quarterly amounts do not total to the annual amounts because of intra-year mark-to-market eliminations.

See Glossary of Terms. Page 16 of 31

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
56	Residential		855,754			852,594			856,353			871,575			859,069			30,703
57	Business		105,502			106,517			107,583			108,860			107,115			4,019
58	Total		961,256			959,111			963,936			980,435			966,184			34,722
59	Wholesale customers		81			82			85			77			81			15
60	Total customers		961,337			959,193			964,021			980,512			966,265			34,737
61	Customer Growth (% over prior year)		3.4	%		3.8	%		3.9	%		3.9	%		3.7	%		0.4	%
	RETAIL SALES (GWH) — WEATHER NORMALIZED
62	Residential		2,371			2,762			4,231			2,340			11,704			825
63	Business		2,998			3,616			4,005			3,252			13,870			467
64	Total		5,369			6,378			8,236			5,592			25,574			1,292
	RETAIL USAGE (KWh/Average Customer)
65	Residential		2,816			3,193			4,704			2,717			13,418			(39	)
66	Business		28,919			33,816			36,595			29,726			129,392			(1,137	)
	RETAIL USAGE - WEATHER NORMALIZED (KWh/Average Customer)
67	Residential		2,770			3,240			4,941			2,686			13,624			491
68	Business		28,422			33,944			37,227			29,871			129,495			(511	)
	ELECTRICITY DEMAND (MW)
69	System peak demand		3,979			5,632			6,402			4,432			6,402			70

See Glossary of Terms. Page 17 of 31

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
70	Nuclear		2,148			1,860			2,364			1,812			8,184			(131	)
71	Coal		2,887			3,035			3,417			3,327			12,666			1,300
72	Gas, oil and other		367			1,339			2,547			1,074			5,327			(764	)
73	Total		5,402			6,234			8,328			6,213			26,177			405
	Purchased power
74	Firm load		701			1,532			1,068			1,024			4,325			1,214
75	Marketing and trading		5,506			7,167			9,301			8,218			30,192			2,443
76	Total		6,207			8,699			10,369			9,242			34,517			3,657
77	Total energy sources		11,609			14,933			18,697			15,455			60,694			4,062
	POWER PLANT PERFORMANCE
	Capacity Factors
78	Nuclear		88	%		77	%		96	%		74	%		84	%		(3	)%
79	Coal		77	%		81	%		90	%		88	%		84	%		8	%
80	Gas, oil and other		5	%		20	%		38	%		12	%		18	%		(10	)%
81	System average		44	%		50	%		64	%		48	%		51	%		(4	)%
	Generation Capacity Out of Service and Replaced for Native Load (average MW/day)
82	Nuclear		135			233			13			261			161			29
83	Coal		149			153			63			61			107			(163	)
84	Gas		49			47			39			34			42			(163	)
85	Total		333			433			115			356			310			(296	)

See Glossary of Terms. Page 18 of 31

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
86	Palo Verde	$	43.73		$	50.36		$	51.86		$	51.23		$	49.30		$	0.70
87	SP15	$	48.37		$	54.73		$	57.09		$	60.62		$	55.20		$	3.82
	Off-Peak
88	Palo Verde	$	33.66		$	33.74		$	33.37		$	38.21		$	34.75		$	2.72
89	SP15	$	36.90		$	37.32		$	37.18		$	43.07		$	38.62		$	3.96
	WEATHER INDICATORS
	Actual
90	Cooling degree-days		273			1,598			2,471			352			4,694			(205	)
91	Heating degree-days		552			11			—			422			985			249
92	Average humidity		39	%		19	%		26	%		45	%		32	%		1	%
	10-Year Averages
93	Cooling degree-days		80			1,491			2,540			420			4,531			420
94	Heating degree-days		521			36			—			415			972			415
95	Average humidity		43	%		24	%		33	%		40	%		35	%		0	%
	ECONOMIC INDICATORS
	Building Permits — Metro Phoenix (b)
96	Single-family		10,045			13,636			14,111			10,325			48,117			8,466
97	Multi-family		1,757			1,324			2,149			2,356			7,586			859
98	Total		11,802			14,960			16,260			12,681			55,703			9,325
	Arizona Job Growth (c)
99	Payroll job growth (% over prior year)		2.7	%		3.3	%		3.6	%		3.9	%		3.4	%		2.0	%
100	Unemployment rate (%, seasonally adjusted)		5.2	%		5.1	%		4.9	%		4.6	%		5.0	%		(0.7	)%

Sources:
(a)	This price is an 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

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2003

																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	$	16		$	43	$	100		$	21		$	181		$	(18	)
2	Pinnacle West Energy		4			1		2			(15	)		(8	)		11
3	APS Energy Services		8			5		1			3			16			(12	)
4	SunCor		1			2		6			36			46			36
5	El Dorado		—			—		—			—			(1	)		4
6	Parent Company		(11	)		3		—			—			(9	)		(32	)
7	Income From Continuing Operations		18			54		109			45			225			(11	)
8	Income From Discontinued Operations — Net of Tax		7			2		1			4			16			37
9	Cumulative Effect of Change in Accounting — Net of Tax		—			—		—			—			—			66
10	Net Income	$	25		$	56	$	110		$	49		$	241		$	92
	EARNINGS PER SHARE BY SUBSIDIARY — DILUTED
11	Arizona Public Service	$	0.17		$	0.47	$	1.10		$	0.24		$	1.98		$	(0.37	)
12	Pinnacle West Energy		0.05			0.01		0.02			(0.16	)		(0.08	)		0.15
13	APS Energy Services		0.08			0.06		0.01			0.03			0.18			(0.15	)
14	SunCor		0.01			0.03		0.07			0.39			0.50			0.37
15	El Dorado		—			—		—			—			(0.01	)		0.05
16	Parent Company		(0.11	)		0.02		(0.01	)		(0.01	)		(0.10	)		(0.36	)
17	Income From Continuing Operations		0.20			0.59		1.19			0.49			2.47			(0.31	)
18	Income From Discontinued Operations — Net of Tax		0.08			0.02		0.01			0.05			0.16			0.41
19	Cumulative Effect of Change in Accounting — Net of Tax		—			—		—			—			—			0.77
20	Net Income	$	0.28		$	0.61	$	1.20		$	0.54		$	2.63		$	0.87
21	BOOK VALUE PER SHARE	$	29.39		$	29.95	$	30.68		$	30.97		$	30.97		$	1.57
	COMMON SHARES OUTSTANDING - DILUTED (Thousands)
22	Average		91,359			91,450		91,467			91,403			91,405			6,441
23	End of Period		91,257			91,262		91,271			91,288			91,288			33

See Glossary of Terms. Page 20 of 31

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2003

													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
24	Residential	$	168	$	233	$	363	$	193	$	957		$	51
25	Business		196		251		284		222		953			25
26	Total retail		364		484		647		415		1,910			76
	Wholesale revenue on delivered electricity
27	Traditional contracts		3		4		5		3		15			6
28	Off-system sales		—		—		—		—		—			—
29	Transmission for others		6		5		9		7		27			(3	)
30	Other miscellaneous services		7		6		6		7		26			9
31	Total regulated electricity		380		499		667		432		1,978			88
	MARKETING AND TRADING SEGMENT
32	Electricity and other commodity sales		117		101		83		91		392			105
33	Total operating electric revenues	$	497	$	600	$	750	$	523	$	2,370		$	193
	ELECTRIC SALES (GWH)
	REGULATED ELECTRICITY SEGMENT
	Retail sales
34	Residential		2,104		2,543		4,126		2,374		11,147			703
35	Business		2,849		3,450		3,891		3,226		13,416			499
36	Total retail		4,953		5,993		8,017		5,600		24,563			1,202
	Wholesale electricity delivered
37	Traditional contracts		130		131		127		112		500			26
38	Off-system sales		—		—		—		—		—			—
39	Retail load hedge management		109		205		446		333		1,093			(1,549	)
40	Total regulated electricity		5,192		6,329		8,590		6,045		26,156			(321	)
	MARKETING AND TRADING SEGMENT
41	Wholesale sales of electricity		7,372		6,798		7,255		7,377		28,802			5,947
42	Total electric sales		12,564		13,127		15,845		13,422		54,958			5,626
See Glossary of Terms.												page 21 of 31

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2003

																	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)
43	Deferred fuel and purchased power regulatory asset — beginning balance	$	—		$	—		$	—		$	—		$	—		$	—
44	Deferred fuel and purchased power costs — current period		—			—			—			—			—			—
45	Amounts recovered through revenues		—			—			—			—			—			—
46	Deferred fuel and purchased power regulatory asset — end of period	$	—		$	—		$	—		$	—		$	—		$	—
	MARKETING AND TRADING SEGMENT PRETAX GROSS MARGIN ANALYSIS (Dollars in Millions)
	Realized and Mark-To-Market Components
47	Electricity and other commodity sales, realized (a)	$	25		$	20		$	4		$	16		$	65		$	(56	)
48	Mark-to-market reversals on realized sales (b)		(3	)		1			(3	)		(1	)		(6	)		35
49	Change in mark-to-market value of forward sales		(3	)		(1	)		(3	)		(5	)		(12	)		(64	)
50	Total gross margin	$	19		$	20		$	(2	)	$	10		$	47		$	(85	)
	By Pinnacle West Entity
51	Parent company marketing and trading division	$	2		$	4		$	(2	)	$	(9	)	$	(5	)	$	(95	)
52	APS		6			4			(6	)		4			8		$	6
53	Pinnacle West Energy		(1	)		—			—			9			8		$	4
54	APS Energy Services		12			12			6			6			36		$	—
55	Total gross margin	$	19		$	20		$	(2	)	$	10		$	47		$	(85	)

(a)	The net effect on pretax gross margin from realization of prior-period mark-to-market included in line 47 and in line 48 is zero. Realization of prior-period mark-to-market relates to cash flow recognition, not earnings recognition. The opposites of amounts included in line 47 are included in line 48. For example, line 48 shows that a prior-period mark-to-market gain of $6 million was transferred to “realized” for the total year 2003. A $6 million realized gain is included in the $65 million on line 47 for the total year 2003.
(b)	Quarterly amounts do not total to the annual amounts because of intra-year mark-to-market eliminations.
See Glossary of Terms.		page 22 of 31

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2003

																		Increase
																		(Decrease)
Line		1st Qtr			2nd Qtr			3rd Qtr			4th Qtr			Year-To-Date				vs Prior YTD
	AVERAGE ELECTRIC CUSTOMERS
	Retail customers
56	Residential		827,937			821,331			824,655			839,539			828,366				26,565
57	Business		101,999			102,601			103,262			104,521			103,096				2,868
58	Total		929,936			923,932			927,917			944,060			931,462				29,432
59	Wholesale customers		65			66			66			66			66				(1	)
60	Total customers		930,001			923,998			927,983			944,126			931,528				29,431
61	Customer Growth (% over prior year)		3.3	%		3.1	%		3.2	%		3.4	%		3.3	%			0.2	%
	RETAIL SALES (GWH) — WEATHER NORMALIZED
62	Residential		2,223			2,520			3,872			2,264			10,879				389
63	Business		2,886			3,485			3,858			3,174			13,403				498
64	Total		5,109			6,005			7,730			5,438			24,282				887
	RETAIL USAGE (KWh/Average Customer)
65	Residential		2,541			3,096			5,004			2,828			13,457				432
66	Business		27,927			33,625			37,677			30,865			130,529				1,288
	RETAIL USAGE — WEATHER NORMALIZED (KWh/Average Customer)
67	Residential		2,685			3,067			4,695			2,697			13,133				50
68	Business		28,290			33,969			37,360			30,371			130,006				1,251
	ELECTRICITY DEMAND (MW)
69	System peak demand		3,569			5,571			6,332			5,124			6,332				529
See Glossary of Terms.																	page 23 of 31

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2003

																		Increase
																		(Decrease)
Line		1st Qtr			2nd Qtr			3rd Qtr			4th Qtr			Year-To-Date				vs Prior YTD
	ENERGY SOURCES (GWH)
	Generation production
70	Nuclear		2,306			2,047			2,230			1,732			8,315				(666	)
71	Coal		2,770			2,824			2,972			2,800			11,366				(690	)
72	Gas, oil and other		1,288			1,572			2,696			535			6,091				1,722
73	Total		6,364			6,443			7,898			5,067			25,772				366
	Purchased power
74	Firm load		(12	)		606			1,099			1,418			3,111				1,492
75	Marketing and trading		6,489			6,527			7,498			7,235			27,749				4,045
76	Total		6,477			7,133			8,597			8,653			30,860				5,537
77	Total energy sources		12,841			13,576			16,495			13,720			56,632				5,903
	POWER PLANT PERFORMANCE
	Capacity Factors
78	Nuclear		98	%		86	%		93	%		72	%		87	%			(7	)%
79	Coal		75	%		75	%		79	%		74	%		76	%			(4	)%
80	Gas, oil and other		26	%		31	%		44	%		9	%		28	%			1	%
81	System average		58	%		59	%		64	%		41	%		55	%			(8	)%
	Generation Capacity Out of Service and Replaced for Native Load (average MW/day)
82	Nuclear		31			136			61			297			131				64
83	Coal		292			254			277			253			269				102
84	Gas		189			148			154			338			205				157
85	Total		512			538			492			888			605				323
See Glossary of Terms.																	page 24 of 31

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2003

																	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
86	Palo Verde	$	49.66		$	48.88		$	52.88		$	42.98		$	48.60		$	16.32
87	SP15	$	54.35		$	50.73		$	53.54		$	46.88		$	51.38		$	17.16
	Off-Peak
88	Palo Verde	$	36.09		$	25.48		$	36.08		$	30.48		$	32.03		$	12.14
89	SP15	$	39.70		$	28.27		$	37.81		$	32.85		$	34.66		$	12.97
	WEATHER INDICATORS
	Actual
90	Cooling degree-days		76			1,550			2,701			572			4,899			24
91	Heating degree-days		349			17			—			370			736			(64	)
92	Average humidity		44	%		18	%		30	%		34	%		31	%		4	%
	10-Year Averages
93	Cooling degree-days		80			1,491			2,540			420			4,531			—
94	Heating degree-days		521			36			—			415			972			—
95	Average humidity		43	%		24	%		33	%		40	%		35	%		0	%
	ECONOMIC INDICATORS
	Building Permits — Metro Phoenix (b)
96	Single-family		8,030			10,613			11,191			9,817			39,651			5,339
97	Multi-family		863			2,053			1,231			2,580			6,727			(347	)
98	Total		8,893			12,666			12,422			12,397			46,378			4,992
	Arizona Job Growth (c)
99	Payroll job growth (% over prior year)		1.1	%		0.9	%		1.5	%		2.0	%		1.4	%		1.4	%
100	Unemployment rate (%, seasonally adjusted)		5.8	%		5.9	%		5.7	%		5.3	%		5.7	%		(0.5	)%

Sources:
(a)	This price is an 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

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2002

																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	$	32	$	64		$	87		$	16		$	199		$	(82	)
2	Pinnacle West Energy		1		1			10			(31	)		(19	)		(37	)
3	APS Energy Services		2		11			7			8			28			38
4	SunCor		1		2			(1	)		8			10			7
5	El Dorado		—		(3	)		(2	)		—			(5	)		(5	)
6	Parent Company		17		(6	)		8			4			23			(12	)
7	Income From Continuing Operations		53		69			109			5			236			(91	)
8	Income (Loss) From Discontinued Operations — Net of Tax		1		6			(8	)		(20	)		(21	)		(21	)
9	Cumulative Effect of Change in Accounting — Net of Tax		—		—			—			(66	)		(66	)		(51	)
10	Net Income	$	54	$	75		$	101		$	(81	)	$	149		$	(163	)
	EARNINGS PER SHARE BY SUBSIDIARY — DILUTED
11	Arizona Public Service	$	0.37	$	0.76		$	1.02		$	0.19		$	2.35		$	(0.95	)
12	Pinnacle West Energy		0.01		0.01			0.12			(0.37	)		(0.23	)		(0.44	)
13	APS Energy Services		0.03		0.13			0.08			0.09			0.33			0.45
14	SunCor		0.02		0.02			(0.01	)		0.09			0.13			0.09
15	El Dorado		—		(0.04	)		(0.02	)		—			(0.06	)		(0.06	)
16	Parent Company		0.20		(0.07	)		0.10			0.07			0.26			(0.16	)
17	Income From Continuing Operations		0.63		0.81			1.29			0.07			2.78			(1.07	)
18	Income (Loss) From Discontinued Operations — Net of Tax		—		0.08			(0.10	)		(0.24	)		(0.25	)		(0.25	)
19	Cumulative Effect of Change in Accounting — Net of Tax		—		—			—			(0.77	)		(0.77	)		(0.60	)
20	Net Income	$	0.63	$	0.89		$	1.19		$	(0.94	)	$	1.76		$	(1.92	)
21	BOOK VALUE PER SHARE	$	30.06	$	30.54		$	31.39		$	29.40		$	29.40		$	(0.06	)
	COMMON SHARES OUTSTANDING — DILUTED (Thousands)
22	Average		84,884		84,926			84,797			85,302			84,964			34
23	End of Period		84,789		84,768			84,756			91,255			91,255			6,531

See Glossary of Terms. Page 26 of 31

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2002

												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
24	Residential	$	171	$	226	$	337	$	172	$	906	$	(9	)
25	Business		195		251		270		212		928		(24	)
26	Total retail		366		477		607		384		1,834		(33	)
	Wholesale revenue on delivered electricity
27	Traditional contracts		2		1		3		3		9		(64	)
28	Off-system sales		—		—		—		—		—		—
29	Transmission for others		6		6		6		12		30		4
30	Other miscellaneous services		4		2		4		7		17		(1	)
31	Total regulated electricity		378		486		620		406		1,890		(94	)
	MARKETING AND TRADING SEGMENT
32	Electricity and other commodity sales		62		41		83		101		287		(183	)
33	Total operating electric revenues	$	440	$	527	$	703	$	507	$	2,177	$	(277	)
	ELECTRIC SALES (GWH)
	REGULATED ELECTRICITY SEGMENT
	Retail sales
34	Residential		2,141		2,441		3,806		2,056		10,444		109
35	Business		2,771		3,429		3,681		3,036		12,917		(147	)
36	Total retail		4,912		5,870		7,487		5,092		23,361		(38	)
	Wholesale electricity delivered
37	Traditional contracts		71		121		142		140		474		(739	)
38	Off-system sales		—		—		—		—		—		—
39	Retail load hedge management		158		230		1,958		296		2,642		(398	)
40	Total regulated electricity		5,141		6,221		9,587		5,528		26,477		(1,175	)
	MARKETING AND TRADING SEGMENT
41	Wholesale sales of electricity		4,212		4,443		7,104		7,096		22,855		6,854
42	Total electric sales		9,353		10,664		16,691		12,624		49,332		5,679

See Glossary of Terms. Page 27 of 31

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2002

																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)
43	Deferred fuel and purchased power regulatory asset — beginning balance	$	—		$	—		$	—	$	—		$	—		$	—
44	Deferred fuel and purchased power costs — current period		—			—			—		—			—			—
45	Amounts recovered through revenues		—			—			—		—			—			—
46	Deferred fuel and purchased power regulatory asset — end of period	$	—		$	—		$	—	$	—		$	—		$	—
	MARKETING AND TRADING SEGMENT PRETAX GROSS MARGIN ANALYSIS (Dollars in Millions)
	Realized and Mark-To-Market Components
47	Electricity and other commodity sales, realized (a)	$	39		$	25		$	19	$	38		$	121		$	(62	)
48	Mark-to-market reversals on realized sales (b)		(22	)		(9	)		2		(8	)		(41	)		(47	)
49	Change in mark-to-market value of forward sales		23			3			23		(1	)		52			(76	)
50	Total gross margin	$	40		$	19		$	44	$	29		$	132		$	(185	)
	By Pinnacle West Entity
51	Parent company marketing and trading division	$	35		$	9		$	32	$	14		$	90		$	12
52	APS		1			—			1		—			2			(233	)
53	Pinnacle West Energy		—			—			—		4			4			4
54	APS Energy Services		4			10			11		11			36			32
55	Total gross margin	$	40		$	19		$	44	$	29		$	132		$	(185	)

(a)

The net effect on pretax gross margin from realization of prior-period mark-to-market included in line 47 and in line 48 is zero. Realization of prior-period mark-to-market relates to cash flow recognition, not earnings recognition. The opposites of amounts included in line 47 are included in line 48. For example, line 48 shows that a prior-period mark-to-market gain of $41 million was transferred to “realized” for the total year 2002. A $41 million realized gain is included in the $121 million on line 47 for total year 2002.

(b)

Quarterly amounts do not total to the annual amounts because of intra-year mark-to-market eliminations.

See Glossary of Terms. Page 28 of 31

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2002

																	Increase
																	(Decrease)
Line		1st Qtr			2nd Qtr			3rd Qtr			4th Qtr			Year-To-Date			vs Prior YTD
	AVERAGE ELECTRIC CUSTOMERS
	Retail customers
56	Residential		801,000			795,681			798,590			811,930			801,801			25,462
57	Business		99,335			100,096			100,318			101,177			100,228			2,030
58	Total		900,335			895,777			898,908			913,107			902,029			27,492
59	Wholesale customers		67			67			67			67			67			1
60	Total customers		900,402			895,844			898,975			913,174			902,096			27,493
61	Customer Growth (% over prior year)		3.2	%		3.2	%		3.1	%		3.2	%		3.1	%		(0.5	)%
	RETAIL SALES (GWH) — WEATHER NORMALIZED
62	Residential		2,148			2,461			3,746			2,135			10,490			641
63	Business		2,776			3,410			3,696			3,024			12,905			86
64	Total		4,924			5,871			7,441			5,159			23,395			727
	RETAIL USAGE (KWh/Average Customer)
65	Residential		2,673			3,068			4,766			2,532			13,025			(287	)
66	Business		27,896			34,258			36,691			30,011			129,241			(4,384	)
	RETAIL USAGE — WEATHER NORMALIZED (KWh/Average Customer)
67	Residential		2,681			3,093			4,690			2,630			13,083			396
68	Business		27,943			34,065			36,839			29,885			128,754			(1,788	)
	ELECTRICITY DEMAND (MW)
69	System peak demand		3,921			5,425			5,803			3,828			5,803			116

See Glossary of Terms. Page 29 of 31

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2002

																	Increase
																	(Decrease)
Line		1st Qtr			2nd Qtr			3rd Qtr			4th Qtr			Year-To-Date			vs Prior YTD
	ENERGY SOURCES (GWH)
	Generation production
70	Nuclear		2,257			2,242			2,387			2,095			8,981			596
71	Coal		2,890			2,703			3,280			3,183			12,056			(516	)
72	Gas, oil and other		337			659			1,918			1,455			4,369			375
73	Total		5,484			5,604			7,585			6,733			25,406			455
	Purchased power
74	Firm load		70			846			859			(157	)		1,619			(1,342	)
75	Marketing and trading		3,993			4,599			8,771			6,340			23,704			6,051
76	Total		4,063			5,445			9,630			6,183			25,323			4,709
77	Total energy sources		9,547			11,049			17,215			12,916			50,729			5,164
	POWER PLANT PERFORMANCE
	Capacity Factors
78	Nuclear		96	%		95	%		100	%		87	%		94	%		6	%
79	Coal		78	%		72	%		87	%		84	%		80	%		(4	)%
80	Gas, oil and other		12	%		20	%		38	%		29	%		27	%		(10	)%
81	System average		62	%		62	%		69	%		60	%		63	%		(7	)%
	Generation Capacity Out of Service and Replaced for Native Load (average MW/day)
82	Nuclear		62			66			12			129			67			(60	)
83	Coal		184			279			88			116			167			—
84	Gas		12			18			106			54			48			16
85	Total		258			363			206			299			282			(44	)

See Glossary of Terms. Page 30 of 31

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2002

																	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
86	Palo Verde	$	26.86		$	30.65		$	35.45		$	36.18		$	32.28		$	(86.13	)
87	SP15	$	28.46		$	31.51		$	35.55		$	41.35		$	34.22		$	(85.77	)
	Off-Peak
88	Palo Verde	$	22.17		$	14.10		$	18.21		$	25.09		$	19.89		$	(41.68	)
89	SP15	$	22.76		$	15.95		$	19.54		$	28.52		$	21.69		$	(51.79	)
	WEATHER INDICATORS
	Actual
90	Cooling degree-days		89			1,741			2,647			398			4,875			(247	)
91	Heating degree-days		472			—			—			328			800			(360	)
92	Average humidity		28	%		16	%		27	%		38	%		27	%		(9	)%
	10-Year Averages
93	Cooling degree-days		80			1,491			2,540			420			4,531			—
94	Heating degree-days		521			36			—			415			972			—
95	Average humidity		43	%		24	%		33	%		40	%		35	%		0	%
	ECONOMIC INDICATORS
	Building Permits — Metro Phoenix (b)
96	Single-family		7,682			9,666			8,689			8,275			34,312			1,447
97	Multi-family		1,249			2,005			2,662			1,158			7,074			(1,930	)
98	Total		8,931			11,671			11,351			9,433			41,386			(483	)
	Arizona Job Growth (c)
99	Payroll job growth (% over prior year)		(0.8	)%		(0.2	)%		(0.1	)%		1.1	%		0.0	%		(1.0	)%
100	Unemployment rate (%, seasonally adjusted)		6.3	%		6.2	%		6.1	%		6.0	%		6.2	%		1.5	%

Sources:
(a)	This price is an 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

LAST UPDATED: 10/27/05

Exhibit 99.7

Pinnacle West Capital Corporation
Earnings Variance Explanations
for the Periods Ended September 30, 2005 and 2004

     This discussion explains the changes in our consolidated earnings for the three-month and nine-month periods ended September 30, 2005 and 2004. Condensed Consolidated Statements of Income for the three months and nine months ended September 30, 2005 and 2004 follow this discussion. We will file our Quarterly Report on Form 10-Q for the fiscal quarter ended September 30, 2005 on or before November 9, 2005. We suggest that this discussion be read in connection with the Pinnacle West Capital Corporation Annual Report on Form 10-K for the fiscal year ended December 31, 2004 and the Quarterly Reports on Form 10-Q for the fiscal quarters ended March 31, 2005 and June 30, 2005. Additional operating and financial statistics and a glossary of terms are available on our website (www.pinnaclewest.com).

EARNINGS CONTRIBUTION BY BUSINESS SEGMENT

     We have three principal business segments (determined by products, services and the regulatory environment):

• 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;

• our marketing and trading segment, which consists of our competitive energy business activities, including wholesale marketing and trading and APS Energy Services’ commodity-related energy services; and

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

     The following table summarizes net income for the three months and nine months ended September 30, 2005 and 2004 (dollars in millions):

	Three Months Ended				Nine Months Ended
	September 30,				September 30,
	2005		2004		2005			2004
Regulated electricity	$	70	$	94	$	152		$	152
Marketing and trading		7		4		18			22
Real estate		7		4		26			10
Other (a)		1		2		3			25
Income from continuing operations		85		104		199			209
Discontinued operations — net of tax:
Marketing and trading (b)		1		—		(64	)		(3	)
Real estate (c)		14		1		16			2
Other (d)		4		—		4			1
Net income	$	104	$	105	$	155		$	209

(a)	The nine months ended September 30, 2004 includes a $21 million (after-tax) gain related to the sale of a limited partnership interest in the Phoenix Suns.
(b)	See “Pending Sale of Silverhawk” below.
(c)	Primarily relates to the sale of commercial properties.
(d)	Primarily relates to additional gain from the sale of NAC.

General

     Throughout the following explanations of our results of operations, we refer to “gross margin.” With respect to our regulated electricity segment and our marketing and trading segment, gross margin refers to electric operating revenues less purchased power and fuel 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 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 segments. We believe that investors benefit from having access to the same financial measures that our management uses. In addition, we have reclassified certain prior-period amounts to conform to our current-period presentation.

Pending Sale of Silverhawk

     In June 2005, we entered into an agreement to sell our 75% interest in Silverhawk to Nevada Power Company. The Nevada Public Utilities Commission approved the sale in September 2005. Closing of the sale is subject to additional regulatory approvals, including approval by the FERC and clearance by the Federal Trade Commission, which are expected to be received in the fourth quarter of 2005. As a result of this pending sale, we recorded an

2

after-tax loss from discontinued operations of approximately $55 million in the second quarter of 2005. The marketing and trading segment discontinued operations amounts in the chart above also include the revenues and expenses related to the operations of Silverhawk.

Deferred Fuel and Purchased Power Costs

     APS’ retail rate settlement became effective April 1, 2005. As part of the settlement, the ACC approved a 4.2% annual retail rate increase and a power supply adjustor (“PSA”) that provides mechanisms for adjusting rates to reflect variations in fuel and purchased power costs. In accordance with the PSA, APS defers for future rate recovery 90% of the difference between actual fuel and purchased power costs and the amount for such costs currently included in base rates. Actual fuel and purchased power costs are higher than prior periods primarily due to higher fuel prices. The current base rate for fuel and purchased power costs is based on 2003 price levels and spot prices for natural gas and wholesale power have increased over 25% since then. Fuel costs were also higher because all of our latest generation plant additions needed to serve customer growth are higher-cost natural gas fired plants. Finally, fuel and purchased power costs were higher because plant outage days were higher in the three-months and nine-months ended September 30, 2005 compared to the prior year periods. The amount of APS’ pretax PSA deferrals at September 30, 2005 was $143 million, including $80 million of PSA deferrals that are the subject of a pending surcharge application before the ACC. Although APS defers actual fuel and purchased power costs on a current basis, APS’ recovery of the deferrals from its ratepayers is subject to annual PSA adjustments and ACC approval of periodic surcharge applications.

Operating Results — Three-month period ended September 30, 2005 compared with three-month period ended September 30, 2004

     Our consolidated net income for the three months ended September 30, 2005 was $104 million compared with $105 million for the prior-year period. The current quarter net income included $19 million (after-tax) from discontinued operations, which is primarily related to sales of commercial properties at SunCor. Income from continuing operations decreased $19 million in the period-to-period comparison, reflecting the following changes in earnings by segment:

• Regulated Electricity Segment — Income from continuing operations decreased approximately $24 million primarily due to the regulatory disallowance of plant costs in accordance with the retail rate settlement. This negative factor was partially offset by a retail price increase effective April 1, 2005; PSA deferrals, net of higher fuel and purchased power costs; higher retail sales volumes due to customer growth; effects of weather on retail sales; and lower depreciation due to lower depreciation rates.

• Marketing and Trading Segment — Income from continuing operations increased approximately $3 million primarily due to higher mark-to-market gains on contracts for future delivery resulting from higher forward prices for wholesale electricity.

3

• Real Estate Segment — Income from continuing operations increased approximately $3 million primarily due to increased parcel and commercial property sales.

4

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:
Retail price increase effective April 1, 2005	$	27		$	16
PSA deferrals, net of higher fuel and purchased power costs		22			13
Higher retail sales volumes due to customer growth, excluding weather effects		21			13
Effects of weather on retail sales		16			10
Miscellaneous items, net		(5	)		(3	)
Net increase in regulated electricity segment gross margin		81			49
Marketing and trading segment gross margin:
Higher mark-to-market gains on contracts for future delivery due to higher forward prices for wholesale electricity		9			5
Miscellaneous items, net		(4	)		(2	)
Net increase in marketing and trading segment gross margin		5			3
Net increase in gross margin for regulated electricity and marketing and trading segments		86			52
Regulatory disallowance of plant costs, in accordance with the
APS retail rate settlement		(143	)		(87	)
Higher real estate segment contribution primarily related to increased parcel and commercial property sales		5			3
Higher other income primarily due to increased interest income		6			4
Lower depreciation and amortization due to lower depreciation rates partially offset by higher depreciable assets		6			4
Miscellaneous items, net		1			5
Net decrease in income from continuing operations	$	(39	)		(19	)
Discontinued operations primarily related to real estate asset sales					18
Net decrease in net income				$	(1	)

Regulated Electricity Segment Revenues

     Regulated electricity segment revenues were $82 million higher for the three months ended September 30, 2005 compared with the prior-year period primarily as a result of:

• a $29 million increase in retail revenues related to customer growth, excluding weather effects;

• a $27 million increase in retail revenues due to a price increase effective April 1, 2005;

• a $21 million increase due to the effects of weather on retail sales;

5

• an $8 million increase in Off-System Sales primarily due to sales previously reported in the marketing and trading segment classified as of April 2005 as sales in the regulated electricity segment in accordance with the APS retail rate settlement; and

• a $3 million decrease due to miscellaneous factors.

Marketing and Trading Segment Revenues

     Marketing and trading segment revenues were $16 million higher for the three months ended September 30, 2005 compared with the prior-year period primarily as a result of:

• a $9 million increase in mark-to-market gains on forward contracts resulting from higher prices for wholesale electricity;

• a $7 million increase from higher prices for competitive retail sales in California;

• a $6 million increase in energy trading revenues on realized sales of electricity primarily due to higher delivered electricity prices; and

• a $6 million decrease from generation sales other than Native Load due to lower sales volumes and the elimination of sales previously reported in the marketing and trading segment classified as of April 2005 as sales in the regulated electricity segment in accordance with the APS retail rate settlement.

Real Estate Revenues

     Real estate revenues were $6 million higher for the three months ended September 30, 2005 compared with the prior-year period primarily due to increased parcel sales at SunCor.

Operating Results — Nine-month period ended September 30, 2005 compared with nine-month period ended September 30, 2004

     Our consolidated net income for the nine months ended September 30, 2005 was $155 million compared with $209 million for the prior-year period. The current year period net income included a loss from discontinued operations of $44 million (after-tax), which is primarily related to the pending sale and revenue and expenses related to Silverhawk (see discussion above), partially offset by sales of commercial properties at SunCor. Income from continuing operations decreased $10 million in the period-to-period comparison, reflecting the following changes in earnings by segment:

• Regulated Electricity Segment — Income from continuing operations remained the same as the prior year period. The current period includes the regulatory disallowance of plant costs in accordance with the APS retail rate settlement; higher operations and maintenance costs primarily related to

6

	customer service, generation and benefit costs; and higher property taxes due to increased plant in service. These negative factors were offset by a retail price increase effective April 1, 2005; higher retail sales volumes due to customer growth; PSA deferrals, net of higher fuel and purchased power costs; the absence of regulatory asset amortization; effects of weather on retail sales and lower depreciation due to lower depreciation rates.
•	Marketing and Trading Segment — Income from continuing operations decreased approximately $4 million primarily due to lower realized margins on wholesale sales and competitive retail sales in California, partially offset by higher mark-to-market gains on contracts for future delivery due to higher forward prices for wholesale electricity.
•	Real Estate Segment — Income from continuing operations increased approximately $16 million primarily due to increased parcel sales.
•	Other Segment — Income from continuing operations decreased approximately $22 million primarily due to an after-tax gain related to the sale of a limited partnership interest in the Phoenix Suns recorded in the prior-year period.

7

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:
Retail price increase effective April 1, 2005	$	54		$	32
Higher retail sales volumes due to customer growth, excluding weather effects		41			25
PSA deferrals, net of higher fuel and purchased power costs		39			23
Effects of weather on retail sales		14			8
Miscellaneous items, net		(4	)		(2	)
Net increase in regulated electricity segment gross margin		144			86
Marketing and trading segment gross margin:
Higher mark-to-market gains on contracts for future delivery due to higher forward prices for wholesale electricity		9			5
Lower unit margins on competitive retail sales in California		(7	)		(4	)
Lower realized margins on wholesale sales primarily due to lower sales volumes and higher prices		(7	)		(4	)
Miscellaneous items, net		(1	)		—
Net decrease in marketing and trading segment gross margin		(6	)		(3	)
Net increase in gross margin for regulated electricity and marketing and trading segments		138			83
Regulatory disallowance of plant costs, in accordance with the APS retail rate settlement		(143	)		(87	)
Higher real estate segment contribution primarily related to increased parcel sales		27			16
Lower other income primarily due to sale of limited partnership interest in Phoenix Suns recorded in the prior-year period partially offset by higher interest income		(32	)		(19	)
Operations and maintenance increases primarily due to:
Customer service costs, including planned maintenance and demand side management costs		(17	)		(10	)
Generation costs, including planned maintenance		(14	)		(8	)
Benefit costs		(2	)		(1	)
Depreciation and amortization decreases primarily due to:
Absence of regulatory asset amortization		20			12
Lower depreciation rates partially offset by higher depreciable assets		13			8
Higher property taxes primarily due to increased plant in service		(10	)		(6	)
Miscellaneous items, net		5			2
Net decrease in income from continuing operations	$	(15	)		(10	)
Discontinued operations primarily related to the pending sale of Silverhawk (see discussion above) and real estate assets sales					(44	)
Net decrease in net income				$	(54	)

8

Regulated Electricity Segment Revenues

     Regulated electricity segment revenues were $143 million higher for the nine months ended September 30, 2005 compared with the prior-year period primarily as a result of:

• a $56 million increase in retail revenues related to customer growth, excluding weather effects;

• a $54 million increase in retail revenues due to a price increase effective April 1, 2005;

• a $20 million increase in Off-System Sales primarily due to sales previously reported in the marketing and trading segment classified as of April 2005 as sales in the regulated electricity segment in accordance with the APS retail rate settlement;

• a $12 million increase in retail revenues related to weather; and

• a $1 million increase due to miscellaneous factors.

Marketing and Trading Segment Revenues

     Marketing and trading segment revenues were $23 million lower for the nine months ended September 30, 2005 compared with the prior-year period primarily as a result of:

• a $25 million decrease from generation sales other than Native Load due to lower sales volumes and the elimination of sales previously reported in the marketing and trading segment classified as of April 2005 as sales in the regulated electricity segment in accordance with the APS retail rate settlement;

• a $10 million increase in mark-to-market gains on forward contracts resulting from higher prices for wholesale electricity;

• a $6 million decrease from lower volumes on competitive retail sales in California; and

• a $2 million decrease in energy trading revenues on realized sales of electricity primarily due to lower volumes.

Real Estate Revenues

     Real estate revenues were $46 million higher for the nine months ended September 30, 2005 compared with the prior-year period primarily due to increased parcel sales at SunCor.

9

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

	THREE MONTHS ENDED
	SEPTEMBER 30,						Increase (Decrease)
	2005			2004			Amount			Percent
Operating Revenues
Regulated electricity segment	$	753,428		$	670,559		$	82,869			12.4	%	B
Marketing and trading segment		107,031			91,267			15,764			17.3	%	B
Real estate segment		78,755			72,754			6,001			8.2	%	B
Other revenues		16,369			12,585			3,784			30.1	%	B
Total		955,583			847,165			108,418			12.8	%	B
Operating Expenses
Regulated electricity segment purchased power and fuel		203,519			202,156			1,363			0.7	%	W
Marketing and trading segment purchased power and fuel		86,945			76,684			10,261			13.4	%	W
Operations and maintenance		158,940			158,607			333			0.2	%	W
Real estate segment operations		65,880			66,414			(534	)		0.8	%	B
Depreciation and amortization		87,123			93,360			(6,237	)		6.7	%	B
Taxes other than income taxes		34,325			31,020			3,305			10.7	%	W
Other expenses		13,521			9,568			3,953			41.3	%	W
Regulatory disallowance		143,217			—			143,217			100.0	%	W
Total		793,470			637,809			155,661			24.4	%	W
Operating Income		162,113			209,356			(47,243	)		22.6	%	W
Other
Allowance for equity funds used during construction		2,852			(1,327	)		4,179			314.9	%	B
Other income		8,694			2,786			5,908			212.1	%	B
Other expense		(4,915	)		(5,094	)		179			3.5	%	B
Total		6,631			(3,635	)		10,266			282.4	%	B
Interest Expense
Interest charges		47,046			46,715			331			0.7	%	W
Capitalized interest		(3,301	)		(4,506	)		1,205			26.7	%	W
Total		43,745			42,209			1,536			3.6	%	W
Income From Continuing Operations Before Income Taxes		124,999			163,512			(38,513	)		23.6	%	W
Income Taxes		40,305			59,183			(18,878	)		31.9	%	B
Income From Continuing Operations		84,694			104,329			(19,635	)		18.8	%	W
Income From Discontinued Operations
Net of Income Taxes		19,043			1,071			17,972			1678.1	%	B
Net Income	$	103,737		$	105,400		$	(1,663	)		1.6	%	W
Weighted-Average Common Shares Outstanding — Basic		98,697			91,357			7,340			8.0	%
Weighted-Average Common Shares Outstanding — Diluted		98,816			91,491			7,325			8.0	%
Earnings Per Weighted-Average Common Share Outstanding
Income From Continuing Operations — Basic	$	0.86		$	1.14		$	(0.28	)		24.6	%	W
Net Income — Basic	$	1.05		$	1.15		$	(0.10	)		8.7	%	W
Income From Continuing Operations — Diluted	$	0.86		$	1.14		$	(0.28	)		24.6	%	W
Net Income — Diluted	$	1.05		$	1.15		$	(0.10	)		8.7	%	W

Certain prior-year amounts have been reclassified to conform to the 2005 presentation.

     B — Better
     W — Worse

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

	NINE MONTHS ENDED
	SEPTEMBER 30,						Increase (Decrease)
	2005			2004			Amount			Percent
Operating Revenues
Regulated electricity segment	$	1,749,110		$	1,605,952		$	143,158			8.9	%	B
Marketing and trading segment		267,460			290,107			(22,647	)		7.8	%	W
Real estate segment		232,950			186,762			46,188			24.7	%	B
Other revenues		46,763			32,904			13,859			42.1	%	B
Total		2,296,283			2,115,725			180,558			8.5	%	B
Operating Expenses
Regulated electricity segment purchased power and fuel		442,532			442,409			123			0.0	%	W
Marketing and trading segment purchased power and fuel		215,347			232,516			(17,169	)		7.4	%	B
Operations and maintenance		467,121			434,588			32,533			7.5	%	W
Real estate segment operations		190,555			175,560			14,995			8.5	%	W
Depreciation and amortization		262,030			294,942			(32,912	)		11.2	%	B
Taxes other than income taxes		103,528			93,658			9,870			10.5	%	W
Other expenses		39,451			25,893			13,558			52.4	%	W
Regulatory disallowance		143,217			—			143,217			100.0	%	W
Total		1,863,781			1,699,566			164,215			9.7	%	W
Operating Income		432,502			416,159			16,343			3.9	%	B
Other
Allowance for equity funds used during construction		8,407			2,859			5,548			194.1	%	B
Other income		18,019			49,980			(31,961	)		63.9	%	W
Other expense		(12,985	)		(14,274	)		1,289			9.0	%	B
Total		13,441			38,565			(25,124	)		65.1	%	W
Interest Expense
Interest charges		142,820			135,064			7,756			5.7	%	W
Capitalized interest		(10,134	)		(8,686	)		(1,448	)		16.7	%	B
Total		132,686			126,378			6,308			5.0	%	W
Income From Continuing Operations Before Income Taxes		313,257			328,346			(15,089	)		4.6	%	W
Income Taxes		113,863			119,476			(5,613	)		4.7	%	B
Income From Continuing Operations		199,394			208,870			(9,476	)		4.5	%	W
Income (Loss) From Discontinued Operations
Net of Income Taxes		(44,474	)		596			(45,070	)		7562.1	%	W
Net Income	$	154,920		$	209,466		$	(54,546	)		26.0	%	W
Weighted-Average Common Shares Outstanding — Basic		95,642			91,322			4,320			4.7	%
Weighted-Average Common Shares Outstanding — Diluted		95,755			91,430			4,325			4.7	%
Earnings Per Weighted-Average Common Share Outstanding
Income From Continuing Operations — Basic	$	2.08		$	2.29		$	(0.21	)		9.2	%	W
Net Income — Basic	$	1.62		$	2.29		$	(0.67	)		29.3	%	W
Income From Continuing Operations — Diluted	$	2.08		$	2.28		$	(0.20	)		8.8	%	W
Net Income — Diluted	$	1.62		$	2.29		$	(0.67	)		29.3	%	W

Certain prior-year amounts have been reclassified to conform to the 2005 presentation.

     B — Better
     W — Worse

EX-99.8

Exhibit 99.8

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

CONFIDENTIAL DRAFT 3b, 10/19/2005 1:21 PM

FOR IMMEDIATE RELEASE		October 27, 2005
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 2005 THIRD QUARTER EARNINGS
Net Income Lower due to Regulatory Disallowance

PHOENIX — Pinnacle West Capital Corp. (NYSE: PNW) today reported consolidated net income for the quarter ended September 30, 2005, of $103.7 million, or $1.05 per diluted share of common stock. This result compares with consolidated net income of $105.4 million, or $1.15 per diluted share, for the same period in 2004.

On-going consolidated earnings in the third quarter of 2005 were $186.4 million, or $1.89 per share, compared with $105.7 million, or $1.16 per share in the comparable 2004 quarter. On-going earnings for the 2005 third quarter exclude a regulatory disallowance of $87 million after income taxes, or $0.88 per share, resulting from the Company’s retail rate settlement approved by the Arizona Corporation Commission earlier this year and $4.3 million, or $0.04 per share, of income from discontinued operations related to the sales of the Company’s interests in NAC International and the Silverhawk Power Station. On-going earnings for the 2004 third quarter exclude a net loss from discontinued operations of $0.3 million, or $0.01 per share, related to Silverhawk and NAC.

“While our results reflect the rate decision from earlier this year, dramatic increases in natural gas prices and the state’s growing demand for electricity will require continuing cooperation from our Arizona regulators,” said Chairman Bill Post. “The ability to recover our costs — including higher fuel and purchased power — will be essential for the company to maintain the highest levels of reliability and to continue investing in critical infrastructure for Arizona’s economic growth.”

The quarter-to-quarter on-going results were favorably impacted by higher retail electricity revenues resulting from the Company’s first price increase in 14 years; higher retail sales volumes due to customer growth of 4.5 percent; deferred fuel and purchased power costs; improved results from the Company’s real estate operations; and warmer weather.

The Company expects earnings for 2005 to be within a reasonable range of $3.00 per share. This estimate does not reflect the effects of the regulatory disallowance or the Silverhawk sale.

Pinnacle West 2005 Third Quarter Earnings	October 27, 2005
	Page 2 of 2

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 2005 third quarter earnings and recent developments at 11 a.m. (ET) today, October 27, 2005. 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 reservation number 1347027. A replay of the call also will be available until 11:55 p.m. (ET), Wednesday, November 2, 2005, by calling (800) 642-1687 in the U.S. and Canada or (706) 645-9291 internationally and the same reservation number.

Pinnacle West is a Phoenix-based company with consolidated assets of about $12 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-

This press release contains a forward-looking statement about Pinnacle West’s 2005 earnings outlook. Pinnacle West does not assume any obligation to update this statement or to make any further statements on this issue, except as required by applicable law. Because actual results may differ materially from expectations, we caution readers not to place undue reliance on this statement. 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. In addition to the “Risk Factors” described in Exhibit 99.1 to Pinnacle West’s Report on Form 10-Q for the fiscal quarter ended June 30, 2005, these factors include, but are not limited to: state and federal regulatory and legislative decisions and actions, including by the Arizona Corporation Commission and the Federal Energy Regulatory Commission; 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 relating to the restructuring; the timely recovery of Power Supply Adjustor deferrals; 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 purchased power and fuel 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; the uncertainty that current credit ratings will remain 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 amount of required contributions to Pinnacle West’s pension plan and 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.

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

	THREE MONTHS ENDED						NINE MONTHS ENDED
	SEPTEMBER 30,						SEPTEMBER 30,
	2005			2004			2005			2004
Operating Revenues
Regulated electricity segment	$	753,428		$	670,559		$	1,749,110		$	1,605,952
Marketing and trading segment		107,031			91,267			267,460			290,107
Real estate segment		78,755			72,754			232,950			186,762
Other revenues		16,369			12,585			46,763			32,904
Total		955,583			847,165			2,296,283			2,115,725
Operating Expenses
Regulated electricity segment purchased power and fuel		203,519			202,156			442,532			442,409
Marketing and trading segment purchased power and fuel		86,945			76,684			215,347			232,516
Operations and maintenance		158,940			158,607			467,121			434,588
Real estate segment operations		65,880			66,414			190,555			175,560
Depreciation and amortization		87,123			93,360			262,030			294,942
Taxes other than income taxes		34,325			31,020			103,528			93,658
Other expenses		13,521			9,568			39,451			25,893
Regulatory disallowance		143,217			—			143,217			—
Total		793,470			637,809			1,863,781			1,699,566
Operating Income		162,113			209,356			432,502			416,159
Other
Allowance for equity funds used during construction		2,852			(1,327	)		8,407			2,859
Other income		8,694			2,786			18,019			49,980
Other expense		(4,915	)		(5,094	)		(12,985	)		(14,274	)
Total		6,631			(3,635	)		13,441			38,565
Interest Expense
Interest charges		47,046			46,715			142,820			135,064
Capitalized interest		(3,301	)		(4,506	)		(10,134	)		(8,686	)
Total		43,745			42,209			132,686			126,378
Income From Continuing Operations Before Income Taxes		124,999			163,512			313,257			328,346
Income Taxes		40,305			59,183			113,863			119,476
Income From Continuing Operations		84,694			104,329			199,394			208,870
Income (Loss) From Discontinued Operations
Net of Income Taxes		19,043			1,071			(44,474	)		596
Net Income	$	103,737		$	105,400		$	154,920		$	209,466
Weighted-Average Common Shares Outstanding — Basic		98,697			91,357			95,642			91,322
Weighted-Average Common Shares Outstanding — Diluted		98,816			91,491			95,755			91,430
Earnings Per Weighted-Average Common Share Outstanding
Income From Continuing Operations — Basic	$	0.86		$	1.14		$	2.08		$	2.29
Net Income — Basic	$	1.05		$	1.15		$	1.62		$	2.29
Income From Continuing Operations — Diluted	$	0.86		$	1.14		$	2.08		$	2.28
Net Income — Diluted	$	1.05		$	1.15		$	1.62		$	2.29

Certain prior-year amounts have been reclassified to conform to the 2005 presentation.

PINNACLE WEST CAPITAL CORPORATION
NON-GAAP FINANCIAL MEASURE RECONCILIATION — NET INCOME (GAAP MEASURE) TO ON-GOING EARNINGS (NON-GAAP FINANCIAL MEASURE)

	Three Months Ended						Three Months Ended
	September 30, 2005						September 30, 2004
	Dollars in			Diluted			Dollars in			Diluted
	Millions			EPS			Millions			EPS
Net Income	$	103.7		$	1.05		$	105.4		$	1.15
Adjustments:
Regulatory disallowance	$	87.0			0.88		$	—			—
(Income) loss from discontinued operations — Silverhawk Power Station operations	$	(0.6	)		—		$	0.4			0.01
Income from discontinued operations — NAC International	$	(3.7	)		(0.04	)	$	(0.1	)		—
On-going Earnings	$	186.4		$	1.89		$	105.7		$	1.16

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				Pretax			After Tax
	SEPTEMBER 30,				Increase			Increase
	2005		2004		(Decrease)			(Decrease)
RECONCILIATION OF REGULATED ELECTRICITY SEGMENT GROSS MARGIN
Operating Income (closest GAAP measure)	$	162,113	$	209,356	$	(47,243	)	$	(28,710	)
Plus:
Operations and maintenance		158,940		158,607		333			202
Real estate segment operations		65,880		66,414		(534	)		(325	)
Depreciation and amortization		87,123		93,360		(6,237	)		(3,790	)
Taxes other than income taxes		34,325		31,020		3,305			2,008
Regulatory disallowance		143,217		—		143,217			87,033
Other expenses		13,521		9,568		3,953			2,402
Marketing and trading segment purchased power and fuel		86,945		76,684		10,261			6,236
Less:
Real estate segment revenues		78,755		72,754		6,001			3,647
Other revenues		16,369		12,585		3,784			2,300
Marketing and trading segment revenues		107,031		91,267		15,764			9,580
Regulated electricity segment gross margin	$	549,909	$	468,403	$	81,506		$	49,529
RECONCILIATION OF MARKETING AND TRADING SEGMENT GROSS MARGIN
Operating Income (closest GAAP measure)	$	162,113	$	209,356	$	(47,243	)	$	(28,710	)
Plus:
Operations and maintenance		158,940		158,607		333			202
Real estate segment operations		65,880		66,414		(534	)		(325	)
Depreciation and amortization		87,123		93,360		(6,237	)		(3,790	)
Taxes other than income taxes		34,325		31,020		3,305			2,008
Regulatory disallowance		143,217		—		143,217			87,033
Other expenses		13,521		9,568		3,953			2,402
Regulated electricity segment purchased power and fuel		203,519		202,156		1,363			828
Less:
Real estate segment revenues		78,755		72,754		6,001			3,647
Other revenues		16,369		12,585		3,784			2,300
Regulated electricity segment revenues		753,428		670,559		82,869			50,359
Marketing and trading segment gross margin	$	20,086	$	14,583	$	5,503		$	3,342

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

	NINE MONTHS ENDED				Pretax			After Tax
	SEPTEMBER 30,				Increase			Increase
	2005		2004		(Decrease)			(Decrease)
RECONCILIATION OF REGULATED ELECTRICITY SEGMENT GROSS MARGIN
Operating Income (closest GAAP measure)	$	432,502	$	416,159	$	16,343		$	9,932
Plus:
Operations and maintenance		467,121		434,588		32,533			19,770
Real estate segment operations		190,555		175,560		14,995			9,112
Depreciation and amortization		262,030		294,942		(32,912	)		(20,001	)
Taxes other than income taxes		103,528		93,658		9,870			5,998
Regulatory disallowance		143,217		—		143,217			87,033
Other expenses		39,451		25,893		13,558			8,239
Marketing and trading segment purchased power and fuel		215,347		232,516		(17,169	)		(10,434	)
Less:
Real estate segment revenues		232,950		186,762		46,188			28,068
Other revenues		46,763		32,904		13,859			8,422
Marketing and trading segment revenues		267,460		290,107		(22,647	)		(13,763	)
Regulated electricity segment gross margin	$	1,306,578	$	1,163,543	$	143,035		$	86,922
RECONCILIATION OF MARKETING AND TRADING SEGMENT GROSS MARGIN
Operating Income (closest GAAP measure)	$	432,502	$	416,159	$	16,343		$	9,932
Plus:
Operations and maintenance		467,121		434,588		32,533			19,770
Real estate segment operations		190,555		175,560		14,995			9,112
Depreciation and amortization		262,030		294,942		(32,912	)		(20,001	)
Taxes other than income taxes		103,528		93,658		9,870			5,998
Regulatory disallowance		143,217		—		143,217			87,033
Other expenses		39,451		25,893		13,558			8,239
Regulated electricity segment purchased power and fuel		442,532		442,409		123			75
Less:
Real estate segment revenues		232,950		186,762		46,188			28,068
Other revenues		46,763		32,904		13,859			8,422
Regulated electricity segment revenues		1,749,110		1,605,952		143,158			86,997
Marketing and trading segment gross margin	$	52,113	$	57,591	$	(5,478	)	$	(3,329	)