Pinnacle West Capital Corporation (Pinnacle West) is a holding company that conducts business through its subsidiaries. Pinnacle West derives its revenues and earnings from its wholly owned subsidiary, Arizona Public Service Company (APS). APS is a vertically-integrated electric utility that provides either retail or wholesale electric service to most of the State of Arizona. APS provides electric service to approximately 1.1 million customers. The Company owns or leases approximately 6,340 megawatts of regulated generation capacity and it holds a mix of both long-term and short-term purchased power agreements for additional capacity, including a variety of agreements for the purchase of renewable energy. The Company�s subsidiaries include El Dorado Investment Company (El Dorado) and SunCor Development Company (SunCor). On August 19, 2011, the Company sold APS Energy Services Company, Inc., a subsidiary of the Company.