Business Segments

9 Months Ended

Sep. 30, 2012

Business Segments

Business Segments

5.Business Segments

Pinnacle West’s only reportable business segment is our regulated electricity segment, which consists of traditional regulated retail and wholesale electricity businesses (primarily retail and wholesale sales supplied to traditional cost-based rate regulation (“Native Load”) customers) and related activities and includes electricity generation, transmission and distribution.

Financial data for the three and nine months ended September 30, 2012 and 2011 and at September 30, 2012 and December 31, 2011 is provided as follows (dollars in millions):

	Three Months Ended September 30,					Nine Months Ended September 30,
	2012			2011		2012			2011
Operating revenues:
Regulated electricity segment	$	1,109		$	1,124	$	2,607		$	2,571
All other	—			1		2			2
Total	$	1,109		$	1,125	$	2,609		$	2,573
Net income attributable to common shareholders:
Regulated electricity segment	$	246		$	246	$	364		$	318
All other (a)	(1		)	9		(5		)	9
Total	$	245		$	255	$	359		$	327

	As of September 30, 2012		As of December 31, 2011
Assets:
Regulated electricity segment	$	13,426	$	13,068
All other (a)	34		43
Total	$	13,460	$	13,111

(a)All other activities relate to APSES, SunCor, Pinnacle West and El Dorado.  See Note 13 for discussion of discontinued operations.