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): December 31, 2007

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

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

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

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

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

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

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

TABLE OF CONTENTS

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

Item 2.02. Results of Operations and Financial Condition

     On January 30, 2008, Pinnacle West Capital Corporation (the “Company” or “Pinnacle West”) issued a press release regarding its financial results for its fiscal quarter ended December 31, 2007. A copy of the press release is attached hereto as Exhibit 99.9.

     Certain of the Information referenced in Item 7.01 below relates to the Company’s results of operations for its fiscal quarter ended December 31, 2007. This Information is attached hereto as Exhibits 99.2, 99.3, 99.7 and 99.9.

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 and 99.8). 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.

2008 Earnings Outlook

     In this discussion, earnings per share amounts are after income taxes and are based on diluted common shares outstanding. The earnings guidance in this Form 8-K supersedes all previous earnings guidance provided by Pinnacle West.

     We estimate that our base level of consolidated earnings for 2008 will be within a reasonable range of $2.50 per share. We currently expect Arizona Public Service Company (“APS”) 2008 earnings to be basically flat compared with 2007, excluding the effects of abnormal weather and prior years’ tax adjustments. These estimates assume a March 1, 2008 effective date for APS’ request pending before the Arizona Corporation Commission (the “ACC”) for a $30 million increase in pretax annual retail revenues under an ACC-approved transmission cost adjustment mechanism and do not include any potential earnings effect from proposed amendments to APS’ line extension schedule (see below). We currently estimate that 2008 net income for our real estate subsidiary, SunCor Development Company (“SunCor”), will be approximately $20 million, reflecting continued weakness in the western United States real estate markets.

     For additional information regarding the retail transmission cost adjustment request pending before the ACC and the related Federal Energy Regulatory Commission (“FERC”) rate case, see “FERC Rate Case” in Note 5 of Notes to Condensed Consolidated Financial Statements in the Pinnacle West/APS Quarterly Report on Form 10-Q for the fiscal quarter ended September 30, 2007 (the “September 2007 Form 10-Q”) and “FERC Rate Case” in the Pinnacle West/APS Current Report on Form 8-K filed December 31, 2007. For information on the proposed line extension amendments, see “APS General Rate Case and Power Supply Adjustor” in Note 5 of Notes to Condensed Consolidated

2

Financial Statements in the September 2007 Form 10-Q and “Line Extension Schedule” in the Pinnacle West/APS Current Report on Form 8-K filed December 21, 2007.

Forward-Looking Statements

     Our earnings forecasts are subject to numerous risks, including those described below. This Form 8-K contains forward-looking statements regarding our 2008 earnings outlook. Neither the Company nor APS assumes any obligation to update these statements or make any further statements on any of these issues, except as required by applicable law. Because actual results may differ materially from expectations, we caution readers not to place undue reliance on these statements. A number of factors could cause future results to differ materially from historical results, or from results or outcomes currently expected or sought by Pinnacle West or APS. In addition to the Risk Factors described in Item 1A of the Pinnacle West/APS Annual Report on Form 10-K for the fiscal year ended December 31, 2006, these factors include, but are not limited to, state and federal regulatory and legislative decisions and actions, particularly those affecting our rates and our recovery of fuel and purchased power costs; the ongoing restructuring of the electric industry, including the introduction of retail electric competition in Arizona and decisions impacting wholesale competition; the outcome of regulatory, legislative and judicial proceedings, both current and future, relating to the restructuring and environmental matters (including those related to climate change); market prices for electricity and natural gas; power plant performance and outages; transmission outages and constraints; weather variations affecting local and regional customer energy usage; customer growth and energy usage; regional economic and market conditions, including the results of litigation and other proceedings resulting from the California energy situation, volatile fuel and purchased power costs and the completion of generation and transmission construction in the region, which could affect customer growth and the cost of power supplies; the cost of debt and equity capital and access to capital markets; current credit ratings remaining in effect for any given period of time; our ability to compete successfully outside traditional regulated markets (including the wholesale market); the performance of our marketing and trading activities due to volatile market liquidity and any deteriorating counterparty credit and the use of derivative contracts in our business (including the interpretation of the subjective and complex accounting rules related to these contracts); changes in accounting principles generally accepted in the United States of America and the interpretation of those principles; the performance of the stock market and the changing interest rate environment, which affect the value of our nuclear decommissioning trust, pension, and other postretirement benefit plan assets, the amount of required contributions to Pinnacle West’s pension plan and contributions to APS’ nuclear decommissioning trust funds, as well as the reported costs of providing pension and other postretirement benefits; technological developments in the electric industry; the strength of the real estate market in SunCor’s market areas, which include Arizona, Idaho, New Mexico and Utah; and other uncertainties, all of which are difficult to predict and many of which are beyond the control of Pinnacle West and APS.

3

Item 9.01. Financial Statements and Exhibits

(d) Exhibits.

Exhibit No.	Registrant(s)	Description
99.1	Pinnacle West APS	Pinnacle West Capital Corporation quarterly consolidated statistical summary (cover page and list of contents).
99.2	Pinnacle West APS	Pinnacle West Capital Corporation quarterly consolidated statistical summary for the three and twelve-month periods ended December 31, 2007 and 2006.
99.3	Pinnacle West APS	Pinnacle West Capital Corporation consolidated statistics by quarter for 2007.
99.4	Pinnacle West APS	Pinnacle West Capital Corporation consolidated statistics by quarter for 2006.
99.5	Pinnacle West APS	Pinnacle West Capital Corporation consolidated statistics by quarter for 2005.
99.6	Pinnacle West APS	Pinnacle West Capital Corporation consolidated statistics by quarter for 2004.
99.7	Pinnacle West APS	Pinnacle West Capital Corporation earnings variance explanations for the three and twelve months ended December 31, 2007 and 2006 and unaudited condensed consolidated statements of income for the three and twelve months ended December 31, 2007 and 2006.
99.8	Pinnacle West APS	Glossary of Terms.
99.9	Pinnacle West APS	Earnings News Release issued on January 30, 2008.

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: January 30, 2008	By:	/s/ Donald E. Brandt
		Donald E. Brandt
		Executive Vice President and Chief Financial Officer
	ARIZONA PUBLIC SERVICE COMPANY (Registrant)
Dated: January 30, 2008	By:	/s/ Donald E. Brandt
		Donald E. Brandt
		President and Chief Financial Officer

5

Exhibit Index

Exhibit No.	Registrant(s)	Description
99.1	Pinnacle West APS	Pinnacle West Capital Corporation quarterly consolidated statistical summary (cover page and list of contents).
99.2	Pinnacle West APS	Pinnacle West Capital Corporation quarterly consolidated statistical summary for the three and twelve-month periods ended December 31, 2007 and 2006.
99.3	Pinnacle West APS	Pinnacle West Capital Corporation consolidated statistics by quarter for 2007.
99.4	Pinnacle West APS	Pinnacle West Capital Corporation consolidated statistics by quarter for 2006.
99.5	Pinnacle West APS	Pinnacle West Capital Corporation consolidated statistics by quarter for 2005.
99.6	Pinnacle West APS	Pinnacle West Capital Corporation consolidated statistics by quarter for 2004.
99.7	Pinnacle West APS	Pinnacle West Capital Corporation earnings variance explanations for the three and twelve months ended December 31, 2007 and 2006 and unaudited condensed consolidated statements of income for the three and twelve months ended December 31, 2007 and 2006.
99.8	Pinnacle West APS	Glossary of Terms.
99.9	Pinnacle West APS	Earnings News Release issued on January 30, 2008.

6

EX-99.1

Exhibit 99.1

Last Updated          1/30/2008

Pinnacle West Capital Corporation

Quarterly Consolidated Statistical Summary

Periods Ended December 31, 2007 and 2006

List of Contents

2007 Fourth Quarter Summary

2007 by Quarter

2006 by Quarter

2005 by Quarter

2004 by Quarter

Quarters may not sum to totals due to rounding.

The definitions of terms used in this statistical summary are contained
in the “Glossary of Terms” on the Pinnacle West website at:
http://www.pinnaclewest.com/files/investors/2007Q4QuarStatsGloss.pdf

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

EX-99.2

Exhibit 99.2

Last Updated 1/30/2008

Pinnacle West Capital Corporation

Quarterly Consolidated Statistical Summary

Periods Ended December 31, 2007 and 2006

		3 Mo. Ended December									12 Mo. Ended December
Line		2007			2006			Incr (Decr)			2007			2006			Incr (Decr)
	EARNINGS CONTRIBUTION BY SUBSIDIARY ($ Millions)
1	Arizona Public Service	$	—		$	13		$	(13	)	$	284		$	270		$	14
2	Pinnacle West Energy		—			—			—			—			—			—
3	APS Energy Services		(2	)		(2	)		—			—			(3	)		3
4	SunCor		5			3			2			12			50			(38	)
5	El Dorado		(1	)		(1	)		—			(6	)		(3	)		(3	)
6	Parent Company		1			(3	)		4			9			3			6
7	Income From Continuing Operations		3			10			(7	)		299			317			(18	)
	Income (Loss) From Discontinued Operations — Net of Tax
8	Silverhawk		—			—			—			—			1			(1	)
9	SunCor		3			8			(5	)		11			10			1
10	Other		(3	)		—			(3	)		(3	)		(1	)		(2	)
11	Total		—			8			(8	)		8			10			(2	)
12	Net Income	$	3		$	18		$	(15	)	$	307		$	327		$	(20	)
	EARNINGS PER SHARE BY SUBSIDIARY — DILUTED
13	Arizona Public Service	$	—		$	0.13		$	(0.13	)	$	2.82		$	2.70		$	0.12
14	Pinnacle West Energy		—			—			—			—			—			—
15	APS Energy Services		(0.02	)		(0.02	)		—			(0.01	)		(0.03	)		0.02
16	SunCor		0.05			0.03			0.02			0.12			0.50			(0.38	)
17	El Dorado		(0.01	)		(0.01	)		—			(0.06	)		(0.03	)		(0.03	)
18	Parent Company		0.01			(0.03	)		0.04			0.09			0.03			0.06
19	Income From Continuing Operations		0.03			0.10			(0.07	)		2.96			3.17			(0.21	)
	Income (Loss) From Discontinued Operations — Net of Tax
20	Silverhawk		—			—			—			—			—			—
21	SunCor		0.03			0.08			(0.05	)		0.11			0.10			0.01
22	Other		(0.03	)		—			(0.03	)		(0.02	)		—			(0.02	)
23	Total		—			0.08			(0.08	)		0.09			0.10			(0.01	)
24	Net Income	$	0.03		$	0.18		$	(0.15	)	$	3.05		$	3.27		$	(0.22	)
25	BOOK VALUE PER SHARE	$	35.09	*	$	34.48		$	0.61		$	35.09	*	$	34.48		$	0.61
	COMMON SHARES OUTSTANDING (Thousands)
26	Average — Diluted		100,963			100,474			489			100,835			100,010			825
27	End of Period		100,486			99,959			527			100,486			99,959			838

* Estimate

See Glossary of Terms. Page 2 of 31

Last Updated 1/30/2008

Pinnacle West Capital Corporation

Quarterly Consolidated Statistical Summary

Periods Ended December 31, 2007 and 2006

		3 Mo. Ended December								12 Mo. Ended December
Line		2007		2006			Incr (Decr)			2007		2006		Incr (Decr)
	ELECTRIC OPERATING REVENUES (Dollars in Millions)
	REGULATED ELECTRICITY SEGMENT
	Retail
28	Residential	$	263	$	242		$	21		$	1,418	$	1,271	$	147
29	Business		323		302			21			1,354		1,239		115
30	Total retail		586		544			42			2,772		2,510		262
	Wholesale revenue on delivered electricity
31	Traditional contracts		7		(3	)		10			33		22		11
32	Off-system sales		17		12			5			50		46		4
33	Transmission for others		7		7			—			29		26		3
34	Other miscellaneous services		10		9			1			34		31		3
35	Total regulated operating electricity revenues		627		569			58			2,918		2,635		283
	MARKETING AND TRADING
36	Electricity and other commodity sales		78		71			7			343		331		12
37	Total operating electric revenues	$	705	$	640		$	65		$	3,261	$	2,966	$	295
	ELECTRIC SALES (GWH)
	REGULATED ELECTRICITY SEGMENT
	Retail sales
38	Residential		2,667		2,571			96			13,772		12,994		778
39	Business		3,685		3,584			101			15,400		14,976		424
40	Total retail		6,352		6,155			197			29,172		27,970		1,202
	Wholesale electricity delivered
41	Traditional contracts		190		166			24			923		883		40
42	Off-system sales		448		504			(56	)		1,479		1,613		(134	)
43	Retail load hedge management		125		340			(215	)		1,025		1,590		(565	)
44	Total regulated electricity		7,115		7,165			(50	)		32,599		32,056		543
	MARKETING AND TRADING
45	Wholesale sales of electricity		2,334		3,690			(1,356	)		10,620		16,355		(5,735	)
46	Total electric sales		9,449		10,855			(1,406	)		43,219		48,411		(5,192	)

See Glossary of Terms. Page 3 of 31

Last Updated 1/30/2008

Pinnacle West Capital Corporation

Quarterly Consolidated Statistical Summary

Periods Ended December 31, 2007 and 2006

		3 Mo. Ended December									12 Mo. Ended December
Line		2007			2006			Incr (Decr)			2007			2006			Incr (Decr)
	POWER SUPPLY ADJUSTOR (“PSA”) — REGULATED ELECTRICITY SEGMENT (Dollars in Millions)
47	Deferred fuel and purchased power regulatory asset — beginning balance	$	150		$	209		$	(59	)	$	160		$	173		$	(13	)
48	Deferred fuel and purchased power costs — current period		(9	)		19			(28	)		189			244			(55	)
49	Regulatory disallowance		—			—			—			(14	)		—			(14	)
50	Interest on deferred fuel		2			2			—			7			8			(1	)
51	Amounts recovered through revenues		(32	)		(70	)		38			(231	)		(265	)		34
52	Deferred fuel and purchased power regulatory asset — ending balance	$	111		$	160		$	(49	)	$	111		$	160		$	(49	)
	MARKETING AND TRADING PRETAX GROSS MARGIN ANALYSIS (Dollars in Millions)
	Realized and Mark-To-Market Components
53	Electricity and other commodity sales, realized (a)	$	11		$	17		$	(6	)	$	54		$	54		$	—
54	Mark-to-market reversals on realized sales (a) (b)		(3	)		(6	)		3			(7	)		(14	)		7
55	Change in mark-to-market value of forward sales		2			(3	)		5			1			—			1
56	Total gross margin	$	10		$	8		$	2		$	48		$	40		$	8
	By Pinnacle West Entity
57	APS	$	—		$	5		$	(5	)	$	7		$	14		$	(7	)
58	Pinnacle West		9			2			7			31			17			14
59	APS Energy Services		1			1			—			10			9			1
60	Pinnacle West Energy		—			—			—			—			—			—
61	Total gross margin	$	10		$	8		$	2		$	48		$	40		$	8

Future Marketing and Trading Mark-to-Market Realization

As of December 31, 2007, Pinnacle West had accumulated net mark-to-market gains of $9 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: 2008, $2 million; and thereafter, $7 million.

(a)

Net effect on pretax gross margin from realization of prior-period mark-to-market included in line 53 and in line 54 is zero. Realization of prior-period mark-to-market relates to cash flow recognition, not earnings recognition. The arithmetic opposites of amounts included in line 53 are included in line 54. For example, line 54 shows that a prior-period mark-to-market gain of $3 million was transferred to “realized” for the fourth quarter of 2007. A $3 million realized gain is included in the $11 million on line 53 for the fourth quarter of 2007.

(b)

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

See Glossary of Terms. Page 4 of 31

Last Updated  1/30/2008

Pinnacle West Capital Corporation

Quarterly Consolidated Statistical Summary

Periods Ended December 31, 2007 and 2006

		3 Mo. Ended December									12 Mo. Ended December
Line		2007			2006			Incr (Decr)			2007			2006			Incr (Decr)
	AVERAGE ELECTRIC CUSTOMERS
	Retail customers
62	Residential		972,654			949,132			23,522			966,013			936,464			29,549
63	Business		121,898			117,342			4,556			120,314			115,431			4,883
64	Total		1,094,552			1,066,474			28,078			1,086,327			1,051,895			34,432
65	Wholesale customers		56			80			(24	)		61			77			(16	)
66	Total customers		1,094,608			1,066,554			28,054			1,086,388			1,051,972			34,416
67	Customer growth (% over prior year)		2.6	%		4.1	%		(1.5	)%		3.3	%		4.4	%		(1.1	)%
	RETAIL SALES (GWH) - WEATHER NORMALIZED
68	Residential		2,702			2,634			68			13,369			13,004			365
69	Business		3,660			3,603			57			15,236			15,016			220
70	Total		6,362			6,237			125			28,605			28,020			585
	RETAIL USAGE (KWh/Average Customer)
71	Residential		2,742			2,709			33			14,257			13,876			381
72	Business		30,230			30,552			(322	)		127,998			129,749			(1,751	)
	RETAIL USAGE - WEATHER NORMALIZED (KWh/Average Customer)
73	Residential		2,778			2,775			3			13,839			13,886			(47	)
74	Business		30,027			30,706			(679	)		126,644			130,082			(3,438	)
	ELECTRICITY DEMAND (MW)
75	System peak demand		5,376			5,316			60			7,545			7,652			(107	)

See Glossary of Terms.

Page 5 of 31

Last Updated  1/30/2008

Pinnacle West Capital Corporation

Quarterly Consolidated Statistical Summary

Periods Ended December 31, 2007 and 2006

		3 Mo. Ended December									12 Mo. Ended December
Line		2007			2006			Incr (Decr)			2007			2006			Incr (Decr)
	ENERGY SOURCES (GWH)
	Generation production
76	Nuclear		1,430			1,868			(438	)		7,793			6,988			805
77	Coal		3,350			3,337			13			13,342			13,176			166
78	Gas, oil and other		1,553			1,628			(75	)		6,700			7,384			(684	)
79	Total generation production		6,333			6,833			(500	)		27,835			27,548			287
	Purchased power
80	Firm load		913			223			690			5,388			4,290			1,098
81	Marketing and trading		2,730			4,326			(1,596	)		12,516			18,868			(6,352	)
82	Total purchased power		3,643			4,549			(906	)		17,904			23,158			(5,254	)
83	Total energy sources		9,976			11,382			(1,406	)		45,739			50,706			(4,967	)
	POWER PLANT PERFORMANCE
	Capacity Factors
84	Nuclear		57	%		75	%		(18	)%		79	%		71	%		8	%
85	Coal		87	%		87	%		0	%		87	%		87	%		0	%
86	Gas, oil and other		21	%		22	%		(1	)%		23	%		25	%		(2	)%
87	System average		47	%		50	%		(3	)%		52	%		51	%		1	%
	Generation Capacity Out of Service and Replaced for Native Load (average MW/day) (a)
88	Nuclear		470			267			203			204			153			51
89	Coal		164			155			9			158			82			76
90	Gas		264			286			(22	)		271			89			182
91	Total		898			708			190			633			324			309

(a) Includes planned and unplanned outages

See Glossary of Terms.

Page 6 of 31

Last Updated  1/30/2008

Pinnacle West Capital Corporation

Quarterly Consolidated Statistical Summary

Periods Ended December 31, 2007 and 2006

		3 Mo. Ended December									12 Mo. Ended December
Line		2007			2006			Incr (Decr)			2007			2006			Incr (Decr)
	ENERGY MARKET INDICATORS (a)
	Electricity Average Daily Spot Prices ($/MWh)
	On-Peak
92	Palo Verde	$	57.18		$	52.72		$	4.46		$	61.43		$	56.76		$	4.67
93	SP15	$	68.13		$	62.16		$	5.97		$	66.44		$	61.95		$	4.49
	Off-Peak
94	Palo Verde	$	44.39		$	39.62		$	4.77		$	41.24		$	37.09		$	4.15
95	SP15	$	50.71		$	46.27		$	4.44		$	45.99		$	40.61		$	5.38
	WEATHER INDICATORS
	Actual
96	Cooling degree-days		595			457			138			5,161			4,695			466
97	Heating degree-days		398			383			15			995			851			144
98	Average humidity		30	%		33	%		(3	)%		30	%		28	%		2	%
	10-Year Averages
99	Cooling degree-days		441			441			—			4,640			4,640			—
100	Heating degree-days		296			296			—			840			840			—
101	Average humidity		38	%		38	%		0	%		33	%		33	%		0	%
	ECONOMIC INDICATORS
	Building Permits — Metro Phoenix (b) (d)
102	Single-family		1,877			2,939			(1,062	)		21,168			26,507			(5,339	)
103	Multi-family		2,436			817			1,619			12,833			9,895			2,938
104	Total		4,313			3,756			557			34,001			36,402			(2,401	)
	Arizona Job Growth (c) (d)
105	Payroll job growth (% over prior year)		1.6	%		5.1	%		(3.5	)%		3.0	%		5.4	%		(2.4	)%
106	Unemployment rate (%, seasonally adjusted)		3.8	%		4.1	%		(0.3	)%		3.8	%		4.1	%		(0.3	)%

Sources:
(a)	Average of daily prices obtained and used with permission from Dow Jones & Company, Inc.
(b)	Arizona Real Estate Center, Arizona State University W.P. Carey College of Business
(c)	Arizona Department of Economic Security
(d)	Economic indicators reflect periods ended November 30, 2007 (latest available data) and November 30, 2006.

See Glossary of Terms.

Page 7 of 31

EX-99.3

Exhibit 99.3

Last Updated 1/30/2008

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2007

																	Increase
																	(Decrease)
Line		1st Qtr			2nd Qtr			3rd Qtr			4th Qtr			Year-To-Date			vs Prior YTD
	EARNINGS CONTRIBUTION BY SUBSIDIARY ($ Millions)
1	Arizona Public Service	$	4		$	75		$	204		$	—		$	284		$	14
2	Pinnacle West Energy		—			—			—			—			—			—
3	APS Energy Services		1			(1	)		2			(2	)		—			3
4	SunCor		8			—			(2	)		5			12			(38	)
5	El Dorado		(2	)		—			(3	)		(1	)		(6	)		(3	)
6	Parent Company		5			5			—			1			9			6
7	Income From Continuing Operations		16			79			201			3			299			(18	)
	Income (Loss) From Discontinued Operations — Net of Tax
8	Silverhawk		—			—			—			—			—			(1	)
9	SunCor		1			—			8			3			11			1
10	Other		—			—			—			(3	)		(3	)		(2	)
11	Total		1			—			8			—			8			(2	)
12	Net Income	$	17		$	79		$	209		$	3		$	307		$	(20	)
	EARNINGS PER SHARE BY SUBSIDIARY — DILUTED
13	Arizona Public Service	$	0.04		$	0.75		$	2.03		$	—		$	2.82		$	0.12
14	Pinnacle West Energy		—			—			—			—			—			—
15	APS Energy Services		0.01			(0.01	)		0.01			(0.02	)		(0.01	)		0.02
16	SunCor		0.09			—			(0.02	)		0.05			0.12			(0.38	)
17	El Dorado		(0.02	)		—			(0.03	)		(0.01	)		(0.06	)		(0.03	)
18	Parent Company		0.04			0.04			—			0.01			0.09			0.06
19	Income From Continuing Operations		0.16			0.78			1.99			0.03			2.96			(0.21	)
	Income (Loss) From Discontinued Operations — Net of Tax
20	Silverhawk		—			—			—			—			—			—
21	SunCor		—			—			0.08			0.03			0.11			0.01
22	Other		—			—			—			(0.03	)		(0.02	)		(0.02	)
23	Total		—			—			0.08			—			0.09			(0.01	)
24	Net Income	$	0.16		$	0.78		$	2.07		$	0.03		$	3.05		$	(0.22	)
25	BOOK VALUE PER SHARE	$	34.45		$	34.13		$	35.55		$	35.09	*	$	35.09	*		0.61
	COMMON SHARES OUTSTANDING (Thousands)
26	Average — Diluted		100,622			100,779			100,829			100,963			100,835			825
27	End of Period		100,115			100,290			100,367			100,486			100,486			838

* Estimate

See Glossary of Terms. Page 8 of 31

Last Updated 1/30/2008

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2007

												Increase
												(Decrease)
Line		1st Qtr		2nd Qtr		3rd Qtr		4th Qtr		Year-To-Date		vs Prior YTD
	ELECTRIC OPERATING REVENUES (Dollars in Millions)
	REGULATED ELECTRICITY SEGMENT
	Retail
28	Residential	$	246	$	335	$	574	$	263	$	1,418	$	147
29	Business		264		342		425		323		1,354		115
30	Total retail		510		677		999		586		2,772		262
	Wholesale revenue on delivered electricity
31	Traditional contracts		5		9		12		7		33		11
32	Off-system sales		7		10		16		17		50		4
33	Transmission for others		7		7		8		7		29		3
34	Other miscellaneous services		7		8		9		10		34		3
35	Total regulated operating electricity revenues		536		711		1,044		627		2,918		283
	MARKETING AND TRADING
36	Electricity and other commodity sales		72		93		99		78		343		12
37	Total operating electric revenues	$	608	$	804	$	1,143	$	705	$	3,261	$	295
	ELECTRIC SALES (GWH)
	REGULATED ELECTRICITY SEGMENT
	Retail sales
38	Residential		2,734		3,287		5,084		2,667		13,772		778
39	Business		3,285		4,004		4,426		3,685		15,400		424
40	Total retail		6,019		7,291		9,510		6,352		29,172		1,202
	Wholesale electricity delivered
41	Traditional contracts		175		262		296		190		923		40
42	Off-system sales		243		310		478		448		1,479		(134	)
43	Retail load hedge management		117		254		529		125		1,025		(565	)
44	Total regulated electricity		6,554		8,117		10,813		7,115		32,599		543
	MARKETING AND TRADING
45	Wholesale sales of electricity		2,057		2,606		3,623		2,334		10,620		(5,735	)
46	Total electric sales		8,611		10,723		14,436		9,449		43,219		(5,192	)

See Glossary of Terms. Page 9 of 31

Last Updated 1/30/2008

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2007

																	Increase
																	(Decrease)
Line		1st Qtr			2nd Qtr			3rd Qtr			4th Qtr			Year-To-Date			vs Prior YTD
	POWER SUPPLY ADJUSTOR (“PSA”) — REGULATED ELECTRICITY SEGMENT (Dollars in Millions)
47	Deferred fuel and purchased power regulatory asset — beginning balance	$	160		$	118		$	137		$	150		$	160			(13	)
48	Deferred fuel and purchased power costs — current period		25			104			69			(9	)		189			(55	)
49	Regulatory disallowance		—			(14	)		—			—			(14	)		(14	)
50	Interest on deferred fuel		2			1			2			2			7			(1	)
51	Amounts recovered through revenues		(69	)		(72	)		(58	)		(32	)		(231	)		34
52	Deferred fuel and purchased power regulatory asset — ending balance	$	118		$	137		$	150		$	111		$	111		$	(49	)
	MARKETING AND TRADING PRETAX GROSS MARGIN ANALYSIS (Dollars in Millions)
	Realized and Mark-To-Market Components
53	Electricity and other commodity sales, realized (a)	$	12		$	22		$	6		$	11		$	54		$	—
54	Mark-to-market reversals on realized sales (a) (b)		(8	)		1			(3	)		(3	)		(7	)		7
55	Change in mark-to-market value of forward sales		10			(6	)		2			2			1			1
56	Total gross margin	$	14		$	17		$	5		$	10		$	48		$	8
	By Pinnacle West Entity
57	APS	$	(1	)	$	7		$	—		$	—		$	7		$	(7	)
58	Pinnacle West		10			9			1			9			31			14
59	APS Energy Services		5			1			4			1			10			1
60	Pinnacle West Energy		—			—			—			—			—			—
61	Total gross margin	$	14		$	17		$	5		$	10		$	48		$	8

Future Marketing and Trading Mark-to-Market Realization

As of December 31, 2007, Pinnacle West had accumulated net mark-to-market gains of $9 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: 2008, $2 million; and thereafter, $7million.

(a)

Net effect on pretax gross margin from realization of prior-period mark-to-market included in line 53 and in line 54 is zero. Realization of prior-period mark-to-market relates to cash flow recognition, not earnings recognition. The arithmetic opposites of amounts included in line 53 are included in line 54. For example, line 54 shows that a prior-period mark-to-market gain of $7 million was transferred to “realized” for the total year of 2007. A $7 million realized gain is included in the $54 million on line 53 for the total year of 2007.

(b)

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

See Glossary of Terms. Page 10 of 31

Last Updated 1/30/2008

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2007

																		Increase
																		(Decrease)
Line			1st Qtr			2nd Qtr			3rd Qtr			4th Qtr			Year-To-Date			vs Prior YTD
		AVERAGE ELECTRIC CUSTOMERS
		Retail customers
	62	Residential		965,428			962,095			963,874			972,654			966,013			29,549
	63	Business		118,649			119,792			120,918			121,898			120,314			4,883
	64	Total		1,084,077			1,081,887			1,084,792			1,094,552			1,086,327			34,432
	65	Wholesale customers		63			62			61			56			61			(16	)
	66	Total customers		1,084,140			1,081,949			1,084,853			1,094,608			1,086,388			34,416
	67	Customer growth (% over prior year)		3.8	%		3.5	%		3.2	%		2.6	%		3.3	%		(1.1	)%
		RETAIL SALES (GWH) - WEATHER NORMALIZED
	68	Residential		2,648			3,214			4,805			2,702			13,369			365
	69	Business		3,228			3,977			4,371			3,660			15,236			220
	70	Total		5,876			7,191			9,176			6,362			28,605			585
		RETAIL USAGE (KWh/Average Customer)
	71	Residential		2,832			3,417			5,275			2,742			14,257			381
	72	Business		27,687			33,425			36,601			30,230			127,998			(1,751	)
		RETAIL USAGE - WEATHER NORMALIZED (KWh/Average Customer)
	73	Residential		2,743			3,340			4,985			2,778			13,839			(47	)
	74	Business		27,204			33,202			36,152			30,027			126,644			(3,438	)
		ELECTRICITY DEMAND (MW)
	75	System peak demand		4,781			6,982			7,545			5,376			7,545			(107	)

See Glossary of Terms. Page 11 of 31

Last Updated 1/30/2008

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2007

																		Increase
																		(Decrease)
Line			1st Qtr			2nd Qtr			3rd Qtr			4th Qtr			Year-To-Date			vs Prior YTD
		ENERGY SOURCES (GWH)
		Generation production
	76	Nuclear		2,299			1,846			2,218			1,430			7,793			805
	77	Coal		3,164			3,265			3,563			3,350			13,342			166
	78	Gas, oil and other		1,151			1,517			2,479			1,553			6,700			(684	)
	79	Total generation production		6,614			6,628			8,260			6,333			27,835			287
		Purchased power
	80	Firm load		278			1,676			2,521			913			5,388			1,098
	81	Marketing and trading		2,262			3,055			4,469			2,730			12,516			(6,352	)
	82	Total purchased power		2,540			4,731			6,990			3,643			17,904			(5,254	)
	83	Total energy sources		9,154			11,359			15,250			9,976			45,739			(4,967	)
		POWER PLANT PERFORMANCE
		Capacity Factors
	84	Nuclear		94	%		75	%		89	%		57	%		79	%		8	%
	85	Coal		84	%		86	%		93	%		87	%		87	%		0	%
	86	Gas, oil and other		16	%		21	%		34	%		21	%		23	%		(2	)%
	87	System average		50	%		49	%		61	%		47	%		52	%		1	%
		Generation Capacity Out of Service and Replaced for Native Load (average MW/day)(a)
	88	Nuclear		57			266			22			470			204			51
	89	Coal		203			189			79			164			158			76
	90	Gas		267			405			147			264			271			182
	91	Total		527			860			248			898			633			309

(a) Includes planned and unplanned outages

See Glossary of Terms. Page 12 of 31

Last Updated 1/30/2008

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2007

																		Increase
																		(Decrease)
Line			1st Qtr			2nd Qtr			3rd Qtr			4th Qtr			Year-To-Date			vs Prior YTD
		ENERGY MARKET INDICATORS (a)
		Electricity Average Daily Spot Prices ($/MWh)
		On-Peak
	92	Palo Verde	$	54.62		$	64.64		$	69.26		$	57.18		$	61.43		$	4.67
	93	SP15	$	60.02		$	68.75		$	68.84		$	68.13		$	66.44		$	4.49
		Off-Peak
	94	Palo Verde	$	42.06		$	41.46		$	37.03		$	44.39		$	41.24		$	4.15
	95	SP15	$	45.86		$	46.14		$	41.23		$	50.71		$	45.99		$	5.38
		WEATHER INDICATORS
		Actual
	96	Cooling degree-days		172			1,708			2,686			595			5,161			466
	97	Heating degree-days		589			8			—			398			995			144
	98	Average humidity		36	%		18	%		30	%		30	%		30	%		2	%
		10-Year Averages
	99	Cooling degree-days		97			1,557			2,544			441			4,640			—
	100	Heating degree-days		513			31			—			296			840			—
	101	Average humidity		42	%		22	%		32	%		38	%		33	%		0	%
		ECONOMIC INDICATORS
		Building Permits — Metro Phoenix (b) (d)
	102	Single-family		7,017			7,447			4,827			1,877			21,168			(5,339	)
	103	Multi-family		4,131			3,573			2,687			2,436			12,833			2,938
	104	Total		11,148			11,020			7,514			4,313			34,001			(2,401	)
		Arizona Job Growth (c) (d)
	105	Payroll job growth (% over prior year)		4.1	%		3.3	%		2.6	%		1.6	%		3.0	%		(2.4	)%
	106	Unemployment rate (%, seasonally adjusted)		4.0	%		3.7	%		3.6	%		3.8	%		3.8	%		(0.3	)%

Sources:

(a)	Average of daily prices obtained and used with permission from Dow Jones & Company, Inc.
(b)	Arizona Real Estate Center, Arizona State University W.P. Carey College of Business
(c)	Arizona Department of Economic Security
(d)	Economic indicators reflect periods ended November 30, 2007 (latest available data).

See Glossary of Terms. Page 13 of 31

EX-99.4

Exhibit 99.4

Last Updated 1/30/2008

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2006

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

See Glossary of Terms. Page 14 of 31

Last Updated 1/30/2008

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2006

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

See Glossary of Terms. Page 15 of 31

Last Updated 1/30/2008

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2006

																	Increase
																	(Decrease)
Line		1st Qtr			2nd Qtr			3rd Qtr			4th Qtr			Year-To-Date			vs Prior YTD
	POWER SUPPLY ADJUSTOR (“PSA”) - - REGULATED ELECTRICITY SEGMENT (Dollars in Millions)
47	Deferred fuel and purchased power regulatory asset — beginning balance	$	173		$	169		$	175			209		$	173		$	173
48	Deferred fuel and purchased power costs — current period		13			78			134			19			244			73
49	Regulatory disallowance		—			—			—			—			—			—
50	Interest on deferred fuel		1			3			2			2			8			6
51	Amounts recovered through revenues		(18	)		(75	)		(102	)		(70	)		(265	)		(265	)
52	Deferred fuel and purchased power regulatory asset — ending balance	$	169		$	175		$	209		$	160		$	160		$	(13	)
	MARKETING AND TRADING PRETAX GROSS MARGIN ANALYSIS (Dollars in Millions)
	Realized and Mark-To-Market Components
53	Electricity and other commodity sales, realized (a)	$	10		$	17		$	7		$	17		$	54		$	(1	)
54	Mark-to-market reversals on realized sales (a) (b)		(1	)		(1	)		(1	)		(6	)		(14	)		2
55	Change in mark-to-market value of forward sales		1			—			(3	)		(3	)		—			(20	)
56	Total gross margin	$	10		$	16		$	3		$	8		$	40		$	(19	)
	By Pinnacle West Entity
57	APS	$	8		$	2		$	(3	)	$	5		$	14		$	20
58	Pinnacle West		(1	)		11			4			2			17			(42	)
59	APS Energy Services		3			3			2			1			9			8
60	Pinnacle West Energy		—			—			—			—			—			(5	)
61	Total gross margin	$	10		$	16		$	3		$	8		$	40		$	(19	)

Future Marketing and Trading Mark-to-Market Realization

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

(a)

Net effect on pretax gross margin from realization of prior-period mark-to-market included in line 53 and in line 54 is zero. Realization of prior-period mark-to-market relates to cash flow recognition, not earnings recognition. The arithmetic opposites of amounts included in line 53 are included in line 54. For example, line 54 shows that a prior-period mark-to-market gain of $14 million was transferred to “realized” for the total year 2006. A $14 million realized gain is included in the $54 million on line 53 for the total year 2006.

(b)

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

See Glossary of Terms. Page 16 of 31

Last Updated 1/30/2008

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2006

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

See Glossary of Terms. Page 17 of 31

Last Updated 1/30/2008

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2006

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

(a) Includes planned and unplanned outages

See Glossary of Terms. Page 18 of 31

Last Updated 1/30/2008

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2006

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

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

See Glossary of Terms. Page 19 of 31

EX-99.5

Exhibit 99.5

Last Updated 1/30/2008

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2005

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

See Glossary of Terms. Page 20 of 31

Last Updated 1/30/2008

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2005

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

See Glossary of Terms. Page 21 of 31

Last Updated 1/30/2008

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2005

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

(a)

Net effect on pretax gross margin from realization of prior-period mark-to-market included in line 53 and in line 54 is zero. Realization of prior-period mark-to-market relates to cash flow recognition, not earnings recognition. The arithmetic opposites of amounts included in line 53 are included in line 54. For example, line 54 shows that a prior-period mark-to-market gain of $16 million was transferred to “realized” for the total year 2005. A $16 million realized gain is included in the $55 million on line 53 for the total year 2005.

(b)

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

See Glossary of Terms. Page 22 of 31

Last Updated 1/30/2008

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

See Glossary of Terms. Page 23 of 31

Last Updated 1/30/2008

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

(a) Includes planned and unplanned outages

See Glossary of Terms. Page 24 of 31

Last Updated 1/30/2008

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

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

See Glossary of Terms. Page 25 of 31

EX-99.6

Exhibit 99.6

Last Updated 1/30/2008

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2004

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

See Glossary of Terms. Page 26 of 31

Last Updated 1/30/2008

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2004

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

See Glossary of Terms. Page 27 of 31

Last Updated 1/30/2008

Pinnacle West Capital Corporation

Consolidated Statistics By Quarter

2004

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

(a)

Net effect on pretax gross margin from realization of prior-period mark-to-market included in line 53 and in line 54 is zero. Realization of prior-period mark-to-market relates to cash flow recognition, not earnings recognition. The opposites of amounts included in line 53 are included in line 54. For example, line 54 shows that a prior-period mark-to-market gain of $5 million was transferred to “realized” for the total year 2004. A $5 million realized gain is included in the $64 million on line 53 for the total year 2004.

(b)

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

See Glossary of Terms. Page 28 of 31

Last Updated 1/30/2008

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

See Glossary of Terms. Page 29 of 31

Last Updated 1/30/2008

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

(a) Includes planned and unplanned outages

See Glossary of Terms. Page 30 of 31

Last Updated 1/30/2008

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

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

See Glossary of Terms. Page 31 of 31

EX-99.7

Exhibit 99.7

Last Updated 1/30/2008

Pinnacle West Capital Corporation
Earnings Variance Explanations
For the Periods Ended December 31, 2007 and 2006

     This discussion explains the changes in our consolidated earnings for the three-month and twelve-month periods ended December 31, 2007 and 2006. Unaudited Condensed Consolidated Statements of Income for the three months and twelve months ended December 31, 2007 and 2006 follow this discussion. We will file our Annual Report on Form 10-K for the year ended December 31, 2007 on or before February 29, 2008. We suggest that this discussion be read in connection with the Pinnacle West Capital Corporation (“Pinnacle West”) Annual Report on Form 10-K for the fiscal year ended December 31, 2006 and the Quarterly Reports on Form 10-Q for the fiscal quarters ended March 31, 2007, June 30, 2007 and September 30, 2007. Additional operating and financial statistics and a glossary of terms are available on our website (www.pinnaclewest.com).

EARNINGS CONTRIBUTION BY BUSINESS SEGMENT

     Pinnacle West’s two reportable business segments are:

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

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

     The following table summarizes income (loss) from continuing operations for the three months and twelve months ended December 31, 2007 and 2006 and reconciles net income in total (dollars in millions):

	Three Months Ended					Twelve Months Ended
	December 31,					December 31,
	2007			2006		2007			2006
Regulated electricity segment	$	(3	)	$	6	$	274		$	259
Real estate segment		5			4		12			50
All other (a)		1			—		13			8
Income from continuing operations		3			10		299			317
Income (loss) from discontinued operations — net of tax
Real estate segment (b)		3			8		11			10
Other (a)		(3	)		—		(3	)		—
Net income	$	3		$	18	$	307		$	327

(a)	Includes activities related to marketing and trading, APSES and El Dorado. None of these segments is a reportable segment.
(b)	Primarily relates to sales of commercial properties.

PINNACLE WEST CONSOLIDATED — RESULTS OF OPERATIONS

Operating Results — Three-month period ended December 31, 2007 compared with three-month period ended December 31, 2006

     Our consolidated net income for the three months ended December 31, 2007 was $3 million compared with $18 million for the comparable prior-year period. The current period includes income from discontinued operations of $3 million related to sales of commercial properties by SunCor and a loss from discontinued operations of $3 million related to an APSES project. The prior period includes income from discontinued operations of $8 million related to sales of commercial properties by SunCor. Income from continuing operations decreased $7 million in the period-to-period comparison and is reflected in the segments as follows:

• Regulated Electricity Segment — Income from continuing operations decreased approximately $9 million primarily due to higher operations and maintenance expense related to increased costs for generation (including increased maintenance and overhauls and the Palo Verde performance improvement plan) and customer service and other costs; higher depreciation and amortization primarily due to higher plant balances and rates; and income tax credits resolved in 2006 related to prior years. These negative factors were partially offset by higher retail sales primarily due to customer growth; higher capitalized financing costs primarily due to increased construction work in progress; and lower other taxes primarily due to lower property tax rates. In addition, higher fuel and purchased power costs related to commodity price increases were substantially offset by the deferral of such costs in accordance with the PSA. See “APS General Rate Case and Power Supply Adjustor” in Note 5 of Notes to Condensed Consolidated Financial Statements in the Pinnacle West/APS Quarterly Report on Form 10-Q for the fiscal quarter ended September 30, 2007 (“Note 5”).

• Real Estate Segment — Income from continuing operations increased approximately $1 million primarily due to sales of certain joint venture assets partially offset by lower sales of residential property resulting from the continued slowdown in the western United States real estate markets. Income from discontinued operations decreased $5 million due to decreased commercial property sales.

2

     Additional details on the major factors that increased (decreased) net income for the three-month period ended December 31, 2007 compared with the prior-year period are contained in the following table (dollars in millions):

	Increase (Decrease)
	Pretax			After Tax
Regulated electricity segment:
Higher retail sales primarily due to customer growth, excluding weather effects	$	9		$	5
Impacts of retail rate increase effective July 1, 2007:
Revenue increase related to higher Base Fuel Rate		71			43
Decreased deferred fuel and purchased power costs related to higher Base Fuel Rate		(68	)		(41	)
Net changes in fuel and purchased power costs related to prices:
Higher fuel and purchased power costs related to increased commodity prices		(41	)		(25	)
Increased deferred fuel and purchased power costs related to increased prices		40			24
Mark-to-market fuel and purchased power costs, net of related deferred fuel and purchased power costs		5			3
Operations and maintenance increases primarily due to:
Increased generation costs, including increased maintenance and overhauls and Palo Verde performance improvement plan		(16	)		(10	)
Customer service and other costs		(14	)		(9	)
Higher depreciation and amortization primarily due to higher plant balances and rates		(4	)		(2	)
Higher capitalized financing costs primarily due to increased construction work in progress		5			3
Lower other taxes primarily due to lower property tax rates		5			3
Income tax credits resolved in 2006 related to prior years		—			(4	)
Miscellaneous items, net		5			1
Decrease in regulated electricity segment net income		(3	)		(9	)
Higher real estate segment income from continuing operations primarily due to:
Higher sales of certain joint venture assets		8			5
Lower sales of residential property resulting from the continued slowdown in the western United States real estate markets		(12	)		(7	)
Lower other costs		6			3
Other miscellaneous items, net		3			1
Increase (decrease) in income from continuing operations	$	2			(7	)
Discontinued operations:
Lower commercial property real estate sales					(5	)
Other discontinued operations					(3	)
Decrease in net income				$	(15	)

Regulated Electricity Segment Revenues

     Regulated electricity segment revenues were $58 million higher for the three months ended December 31, 2007 compared with the prior-year period primarily because of:

3

• a $71 million increase in retail revenues due to a rate increase effective July 1, 2007;

• a $5 million increase in retail revenues due to the effects of weather;

• a $12 million increase in retail revenues primarily related to customer growth, excluding weather effects;

• a $38 million decrease in retail revenues related to recovery of PSA deferrals, which had no earnings effect because of amortization of the same amount recorded as fuel and purchased power expense (see Note 5); and

• an $8 million net increase due to miscellaneous factors.

Real Estate Segment Revenues

     Real estate segment revenues were $39 million lower for the three months ended December 31, 2007 compared with the prior-year period primarily because of:

• a $43 million decrease in residential property sales due to the continued slowdown in the western United States real estate markets; and

• a $4 million net increase due to miscellaneous factors.

All Other Revenues

     Marketing and trading revenues were $7 million higher for the three months ended December 31, 2007 compared with the prior-year period primarily due to higher mark-to-market gains because of changes in forward prices.

     Other revenues were $4 million higher for the three months ended December 31, 2007 compared to the prior-year period primarily as a result of increased sales by APSES of energy-related products and services.

Operating Results — 2007 compared with 2006

     Our consolidated net income for 2007 was $307 million compared with $327 million for 2006. The current period includes income from discontinued operations of $11 million related to sales of commercial properties by SunCor and a loss from discontinued operations of $3 million related to an APSES project. The prior year includes income from discontinued operations of $10 million related to sales of commercial properties by SunCor. Income from continuing operations decreased $18 million in the year-to-year comparison and is reflected in the segments as follows:

• Regulated Electricity Segment — Income from continuing operations increased approximately $15 million primarily due to higher retail sales related to customer growth; the effects of weather on retail sales; and impacts of the retail rate increase. These positive factors were partially offset by higher operations and maintenance expense primarily due to increased

4

generation costs (including increased maintenance and overhauls and the Palo Verde performance improvement plan), customer service and other costs; higher depreciation and amortization primarily due to increased plant balances; lower other income, net of expense, primarily due to miscellaneous asset sales in the prior year and lower interest income as a result of lower investment balances; and a regulatory disallowance. In addition, higher fuel and purchased power costs related to commodity price increases were substantially offset by deferral of such costs in accordance with the PSA. See Note 5 for further discussion of the regulatory disallowance and the PSA.

•

Real Estate Segment — Income from continuing operations decreased approximately $38 million primarily due to lower sales of residential property and land parcels resulting from the continued slowdown in the western United States real estate markets.

5

     Additional details on the major factors that increased (decreased) net income for the year ended December 31, 2007 compared with the prior year are contained in the following table (dollars in millions):

	Increase (Decrease)
	Pretax			After Tax
Regulated electricity segment:
Higher retail sales primarily due to customer growth, excluding weather effects	$	46		$	28
Effects of weather on retail sales		37			23
Impacts of retail rate increase effective July 1, 2007:
Revenue increase related to higher Base Fuel Rate		185			113
Decreased deferred fuel and purchased power costs related to higher Base Fuel Rate		(171	)		(104	)
Non-fuel rate increase		6			4
Net changes in fuel and purchased power costs related to price:
Higher fuel and purchased power costs related to increased commodity prices		(121	)		(74	)
Increased deferred fuel and purchased power costs related to increased prices		115			70
Mark-to-market fuel and purchased power costs, net of related deferred fuel and purchased power costs		18			11
Regulatory disallowance (see Note 5)		(14	)		(8	)
Operations and maintenance increases primarily due to:
Increased generation costs, including increased maintenance and overhauls and Palo Verde performance improvement plan		(25	)		(15	)
Customer service and other costs		(21	)		(13	)
Higher depreciation and amortization primarily due to increased plant balances		(12	)		(7	)
Lower other income, net of expense, primarily due to lower interest income as a result of lower investment balances and miscellaneous asset sales in the prior year		(15	)		(9	)
Income tax benefits resolved in 2007 related to prior years		—			13
Income tax credits resolved in 2006 related to prior years		—			(14	)
Miscellaneous items, net		6			(3	)
Increase in regulated electricity segment net income		34			15
Lower real estate segment income from continuing operations primarily due to:
Lower sales of residential property resulting from the continued slowdown in the western United States real estate markets		(47	)		(29	)
Lower sales of land parcels		(12	)		(7	)
Higher other costs		(5	)		(2	)
Higher marketing and trading contribution primarily due to higher mark-to-market gains resulting from changes in forward prices and higher unit margins		8			5
Other miscellaneous items, net		(2	)		—
Decrease in income from continuing operations	$	(24	)		(18	)
Discontinued operations:
Increased commercial property real estate sales					1
Other discontinued operations					(3	)
Decrease in net income				$	(20	)

6

Regulated Electricity Segment Revenues

     Regulated electricity segment revenues were $283 million higher for the year ended December 31, 2007 compared with the prior year primarily because of:

• a $191 million increase in retail revenues due to a rate increase effective July 1, 2007;

• a $60 million increase in retail revenues primarily related to customer growth, excluding weather effects;

• a $50 million increase in retail revenues due to the effects of weather;

• a $3 million increase in revenues from Off-System Sales due to higher prices and volumes;

• a $35 million decrease in retail revenues related to recovery of PSA deferrals, which had no earnings effect because of amortization of the same amount recorded as fuel and purchased power expense (see Note 5); and

• a $14 million net increase due to miscellaneous factors.

Real Estate Segment Revenues

     Real estate segment revenues were $185 million lower for the year ended December 31, 2007 compared with the prior year primarily because of:

• a $167 million decrease in residential property sales due to the continued slowdown in western United States real estate markets; and

• an $18 million decrease primarily due to lower sales of land parcels.

All Other Revenues

     Marketing and trading revenues were $12 million higher for the year ended December 31, 2007 compared with the prior year primarily because of higher mark-to-market gains resulting from changes in forward prices and higher competitive retail sales volumes in California.

     Other revenues were $12 million higher for the year ended December 31, 2007 compared to the prior year primarily as a result of increased sales by APSES of energy-related products and services.

7

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

	THREE MONTHS ENDED
	DECEMBER 31,						Increase (Decrease)
	2007			2006			Amount			Percent
Operating Revenues
Regulated electricity segment	$	627,096		$	569,213		$	57,883			10.2% B
Real estate segment		42,055			81,470			(39,415	)		48.4% W
Marketing and trading		78,060			71,390			6,670			9.3% B
Other revenues		11,905			7,999			3,906			48.8% B
Total		759,116			730,072			29,044			4.0% B
Operating Expenses
Regulated electricity segment fuel and purchased power		259,991			225,160			34,831			15.5% W
Real estate segment operations		39,918			76,266			(36,348	)		47.7% B
Marketing and trading fuel and purchased power		67,899			62,840			5,059			8.1% W
Operations and maintenance		207,398			180,122			27,276			15.1% W
Depreciation and amortization		95,921			91,336			4,585			5.0% W
Taxes other than income taxes		23,802			28,425			(4,623	)		16.3% B
Other expenses		10,388			5,853			4,535			77.5% W
Total		705,317			670,002			35,315			5.3% W
Operating Income		53,799			60,070			(6,271	)		10.4% W
Other
Allowance for equity funds used during construction		6,321			3,700			2,621			70.8% B
Other income		12,718			9,568			3,150			32.9% B
Other expense		(12,198	)		(14,847	)		2,649			17.8% B
Total		6,841			(1,579	)		8,420			533.2% B
Interest Expense
Interest charges		54,268			52,841			1,427			2.7% W
Capitalized interest		(7,608	)		(6,394	)		(1,214	)		19.0% B
Total		46,660			46,447			213			0.5% W
Income From Continuing Operations Before Income Taxes		13,980			12,044			1,936			16.1% B
Income Taxes		10,492			1,518			8,974			591.2% W
Income From Continuing Operations		3,488			10,526			(7,038	)		66.9% W
Income (Loss) From Discontinued Operations
Net of Income Taxes		(577	)		7,953			(8,530	)		107.3% W
Net Income	$	2,911		$	18,479		$	(15,568	)		84.2% W
Weighted-Average Common Shares Outstanding — Basic		100,420			99,832			588			0.6%
Weighted-Average Common Shares Outstanding — Diluted		100,963			100,474			489			0.5%
Earnings Per Weighted-Average Common Share Outstanding
Income from continuing operations — basic	$	0.03		$	0.11		$	(0.08	)		72.7% W
Net income — basic	$	0.03		$	0.19		$	(0.16	)		84.2% W
Income from continuing operations — diluted	$	0.03		$	0.10		$	(0.07	)		70.0% W
Net income — diluted	$	0.03		$	0.18		$	(0.15	)		83.3% W

B — Better

W — Worse

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

	TWELVE MONTHS ENDED
	DECEMBER 31,						Increase (Decrease)
	2007			2006			Amount			Percent
Operating Revenues
Regulated electricity segment	$	2,918,163		$	2,635,036		$	283,127			10.7% B
Real estate segment		215,068			399,798			(184,730	)		46.2% W
Marketing and trading		342,371			330,742			11,629			3.5% B
Other revenues		48,018			36,172			11,846			32.7% B
Total		3,523,620			3,401,748			121,872			3.6% B
Operating Expenses
Regulated electricity segment fuel and purchased power		1,140,923			960,649			180,274			18.8% W
Real estate segment operations		193,926			324,861			(130,935	)		40.3% B
Marketing and trading fuel and purchased power		294,236			290,637			3,599			1.2% W
Operations and maintenance		734,705			691,277			43,428			6.3% W
Depreciation and amortization		373,436			358,644			14,792			4.1% W
Taxes other than income taxes		128,218			128,395			(177	)		0.1% B
Other expenses		38,925			28,415			10,510			37.0% W
Total		2,904,369			2,782,878			121,491			4.4% W
Operating Income		619,251			618,870			381			0.1% B
Other
Allowance for equity funds used during construction		21,195			14,312			6,883			48.1% B
Other income		24,694			44,016			(19,322	)		43.9% W
Other expense		(25,883	)		(27,800	)		1,917			6.9% B
Total		20,006			30,528			(10,522	)		34.5% W
Interest Expense
Interest charges		212,620			196,826			15,794			8.0% W
Capitalized interest		(23,063	)		(20,989	)		(2,074	)		9.9% B
Total		189,557			175,837			13,720			7.8% W
Income From Continuing Operations Before Income Taxes		449,700			473,561			(23,861	)		5.0% W
Income Taxes		150,920			156,418			(5,498	)		3.5% B
Income From Continuing Operations		298,780			317,143			(18,363	)		5.8% W
Income From Discontinued Operations
Net of Income Taxes		8,363			10,112			(1,749	)		17.3% W
Net Income	$	307,143		$	327,255		$	(20,112	)		6.1% W
Weighted-Average Common Shares Outstanding — Basic		100,256			99,417			839			0.8%
Weighted-Average Common Shares Outstanding — Diluted		100,835			100,010			825			0.8%
Earnings Per Weighted-Average Common Share Outstanding
Income from continuing operations — basic	$	2.98		$	3.19		$	(0.21	)		6.6% W
Net income — basic	$	3.06		$	3.29		$	(0.23	)		7.0% W
Income from continuing operations — diluted	$	2.96		$	3.17		$	(0.21	)		6.6% W
Net income — diluted	$	3.05		$	3.27		$	(0.22	)		6.7% W

B — Better
W — Worse

EX-99.8

Exhibit 99.8

Last Updated 1/30/08

Pinnacle West Capital Corporation
Quarterly Consolidated Statistical Summary
and Earnings Variance Explanations
Glossary of Terms

Amounts Recovered Through Revenues	Amounts recovered from retail customers through the power supply adjustor in the current period.
APS	Arizona Public Service Company, a subsidiary of Pinnacle West.
APSES	APS Energy Services Company, Inc., a subsidiary of Pinnacle West.
Arizona Job Growth	Percentage growth over the prior year in total non-farm payroll employment for the state of Arizona, non-seasonally adjusted.
Base Fuel Rate	The portion of APS’ retail base rates attributable to fuel and purchased power costs.
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.
Company	Pinnacle West Capital Corporation.
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 $0.0325 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 $0.0325 per kWh).

-2-

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.
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.
El Dorado	El Dorado Investment Company, a subsidiary of Pinnacle West.
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.

-3-

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.
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.

-4-

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.
Palo Verde	Palo Verde Nuclear Generating Station.
Pinnacle West	Pinnacle West Capital Corporation (the Company).
Pinnacle West Energy (PWEC)	Pinnacle West Energy Corporation, a subsidiary of the Company, dissolved as of August 31, 2006.
Pinnacle West Marketing & Trading	Pinnacle West Marketing & Trading Co., LLC, a subsidiary of Pinnacle West.
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 $0.0325 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.

-5-

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

EX-99.9

Exhibit 99.9

FOR IMMEDIATE RELEASE		January 30, 2008
Media Contact:	Alan Bunnell, (602) 250-3376	Page 1 of 2
Analyst Contacts:	Rebecca Hickman, (602) 250-5668
	Lisa Malagon, (602) 250-5671
Web site:	www.pinnaclewest.com

PINNACLE WEST REPORTS LOWER FOURTH QUARTER EARNINGS
APS Quarterly Results Down 98 Percent

PHOENIX — Pinnacle West Capital Corporation (NYSE: PNW) today reported consolidated net income for the quarter ended December 31, 2007, of $2.9 million, or $0.03 per diluted share of common stock. This result compares with net income of $18.5 million, or $0.18 per diluted share, for the same quarter a year ago.

The quarterly results were impacted by lower results from the Company’s utility and real estate operations. Arizona Public Service (APS), the Company’s principal subsidiary, reported net income of $0.3 million, compared with earnings of $12.9 million for the same period a year ago. In addition, real estate subsidiary SunCor Development Co. reported lower net income of $8.1 million, compared with $11.4 million in the final quarter of 2006, reflecting a continued slowdown in the western U.S. real estate markets.

The 2007 fourth-quarter earnings were negatively impacted by increased operation and maintenance costs primarily related to power plant maintenance and planned overhauls, as well as higher customer service, depreciation and other growth-related costs. These factors more than offset increased retail sales at APS primarily due to customer growth of 2.6 percent.

“Arizona’s growth and the increasing demand for energy require additional capital investment,” said Chairman Bill Post. “Meeting this growth — and finding a way to effectively pay for and recover the associated costs — will require a transparent, collaborative and forward-looking process with all our stakeholders. We are committed to working with our customers, communities and regulators to find solutions to these challenges.”

Post added that in 2007 the Company’s employees continued meeting the challenges of growth in Arizona. The Company recorded all-time best results in measures such as customer outage frequency and average outage duration, all while setting 35,000 new meters and managing one of the hottest summers on record. APS’ top-tier customer service also was recognized in 2007 survey results from J.D. Power and Associates. APS was rated number two among investor-owned electric utilities in the West for superior customer satisfaction by both residential and business customers.

PINNACLE WEST FOURTH QUARTER EARNINGS	January 30, 2008
	Page 2 of 2

For the year 2007 as a whole, Pinnacle West’s consolidated net income decreased 6 percent to $307.1 million, or $3.05 per share, compared with 2006 net income of $327.3 million, or $3.27 per diluted share. APS reported earnings of $283.9 million during the same period compared with $269.7 million in 2006. And, SunCor reported net income of $23.7 million, down from $60.5 million for the same period a year ago.

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

Conference Call

Pinnacle West invites interested parties to listen to the live web cast of management’s conference call to discuss the Company’s 2007 fourth-quarter earnings and year-end results, as well as recent developments at 11 a.m. (ET) today, January 30. The web cast can be accessed at www.pinnaclewest.com/presentations and will be available for replay on the web site for 30 days. To access the live conference call by telephone, dial (877) 356-3961 and enter conference ID number 28391511. A replay of the call also will be available until 11:55 p.m. (ET), Thursday, February 7, 2008, by calling (800) 642-1687 in the U.S. and Canada or (706) 645-9291 internationally and entering the same reservation number.

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

-30-

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

	THREE MONTHS ENDED						TWELVE MONTHS ENDED
	DECEMBER 31,						DECEMBER 31,
	2007			2006			2007			2006
Operating Revenues
Regulated electricity segment	$	627,096		$	569,213		$	2,918,163		$	2,635,036
Real estate segment		42,055			81,470			215,068			399,798
Marketing and trading		78,060			71,390			342,371			330,742
Other revenues		11,905			7,999			48,018			36,172
Total		759,116			730,072			3,523,620			3,401,748
Operating Expenses
Regulated electricity segment fuel and purchased power		259,991			225,160			1,140,923			960,649
Real estate segment operations		39,918			76,266			193,926			324,861
Marketing and trading fuel and purchased power		67,899			62,840			294,236			290,637
Operations and maintenance		207,398			180,122			734,705			691,277
Depreciation and amortization		95,921			91,336			373,436			358,644
Taxes other than income taxes		23,802			28,425			128,218			128,395
Other expenses		10,388			5,853			38,925			28,415
Total		705,317			670,002			2,904,369			2,782,878
Operating Income		53,799			60,070			619,251			618,870
Other
Allowance for equity funds used during construction		6,321			3,700			21,195			14,312
Other income		12,718			9,568			24,694			44,016
Other expense		(12,198	)		(14,847	)		(25,883	)		(27,800	)
Total		6,841			(1,579	)		20,006			30,528
Interest Expense
Interest charges		54,268			52,841			212,620			196,826
Capitalized interest		(7,608	)		(6,394	)		(23,063	)		(20,989	)
Total		46,660			46,447			189,557			175,837
Income From Continuing Operations Before Income Taxes		13,980			12,044			449,700			473,561
Income Taxes		10,492			1,518			150,920			156,418
Income From Continuing Operations		3,488			10,526			298,780			317,143
Income (Loss) From Discontinued Operations
Net of Income Taxes		(577	)		7,953			8,363			10,112
Net Income	$	2,911		$	18,479		$	307,143		$	327,255
Weighted—Average Common Shares Outstanding — Basic		100,420			99,832			100,256			99,417
Weighted-Average Common Shares Outstanding — Diluted		100,963			100,474			100,835			100,010
Earnings Per Weighted-Average Common Share Outstanding
Income from continuing operations — basic	$	0.03		$	0.11		$	2.98		$	3.19
Net income — basic	$	0.03		$	0.19		$	3.06		$	3.29
Income from continuing operations — diluted	$	0.03		$	0.10		$	2.96		$	3.17
Net income — diluted	$	0.03		$	0.18		$	3.05		$	3.27