Last Updated

7/31/2014

3 Months Ended June 30,

6 Months Ended June 30,

Line

2014

2013

Incr (Decr)

2014

2013

Incr (Decr)

EARNINGS CONTRIBUTION BY SUBSIDIARY (Dollars in Millions)

1

Arizona Public Service

 $

144

 $

142

 $

2

 $

172

 $

177

 $

(5)

2

El Dorado

-

-

-

-

(1

)

1

3

Parent Company

(3

)

(3

)

-

(6

)

(4

)

(2)

4

Net Income

141

139

2

166

172

(6)

5

Less: Net Income Attributable to Noncontrolling Interests

9

8

1

18

16

2

6

Net Income Attributable to Common Shareholders

 $

132

 $

131

 $

1

 $

148

 $

156

 $

 (8)

EARNINGS PER SHARE BY SUBSIDIARY - DILUTED

7

Arizona Public Service

 $

1.30

 $

1.28

 $

0.02

 $

1.55

 $

1.59

 $

 (0.04)

8

El Dorado

-

-

-

-

(0.01

)

0.01

9

Parent Company

(0.03

)

(0.02

)

(0.01

)

(0.05

)

(0.03

)

(0.02)

10

Net Income

1.27

1.26

0.01

1.50

1.55

(0.05)

11

Less: Net Income Attributable to Noncontrolling Interests

0.08

0.08

0.00

0.16

0.15

0.01

12

Net Income Attributable to Common Shareholders

 $

1.19

 $

1.18

 $

0.01

 $

1.34

 $

1.40

 $

 (0.06)

13

BOOK VALUE PER SHARE

 $

38.35

 $

36.66

 $

1.69

 $

38.35

 $

36.66

 $

 1.69

COMMON SHARES OUTSTANDING (Thousands)

14

Average - Diluted

111,002

110,932

70

110,925

110,843

82

15

End of Period

110,407

109,993

414

110,407

109,993

414

See Glossary of Terms

Page 1 of 4

Last Updated

7/31/2014

3 Months Ended June 30,

6 Months Ended June 30,

Line

2014

2013

Incr (Decr)

2014

2013

Incr (Decr)

ELECTRIC OPERATING REVENUES
(Dollars in Millions)

Retail

16

Residential

 $

428

 $

444

 $

(16

)

 $

710

 $

752

$

(42

)

17

Business

416

420

(4

)

745

749

(4

)

18

Total retail

844

864

(20

)

1,455

1,501

(46

)

Wholesale revenue on delivered electricity

19

Traditional contracts

15

15

-

26

26

-

20

Off-system sales

30

17

13

78

39

39

21

Native load hedge liquidation

-

3

(3

)

-

4

(4

)

22

Total wholesale

45

35

10

104

69

35

23

Transmission for others

8

8

-

16

15

1

24

Other miscellaneous services

9

8

1

16

16

-

25

Total electric operating revenues

 $

906

 $

915

 $

(9

)

 $

1,591

 $

1,601

$

(10

)

ELECTRIC SALES (GWH)

Retail sales

26

Residential

3,204

3,344

(140

)

5,586

6,074

(488

)

27

Business

3,797

3,877

(80

)

7,027

7,148

(121

)

28

Total retail

7,001

7,221

(220

)

12,613

13,222

(609

)

Wholesale electricity delivered

29

Traditional contracts

230

213

17

374

343

31

30

Off-system sales

789

537

252

1,892

1,354

538

31

Retail load hedge management

0

84

(84

)

0

115

(115

)

32

Total wholesale

1,019

834

185

2,266

1,812

454

33

Total electric sales

8,020

8,055

(35

)

14,879

15,034

(155

)

See Glossary of Terms

Page 2 of 4

Last Updated

7/31/2014

3 Months Ended June 30,

6 Months Ended June 30,

Line

2014

2013

Incr (Decr)

2014

2013

Incr (Decr)

AVERAGE ELECTRIC CUSTOMERS

Retail customers

34

Residential

1,029,918

1,015,649

14,269

1,032,966

1,018,733

14,233

35

Business

129,197

127,993

1,204

129,015

127,944

1,071

36

Total retail

1,159,115

1,143,642

15,473

1,161,981

1,146,677

15,304

37

Wholesale customers

55

51

4

56

52

4

38

Total customers

1,159,170

1,143,693

15,477

1,162,037

1,146,729

15,308

39

Total customer growth (% over prior year)

1.4%

1.3%

0.1%

1.3%

1.4%

(0.1)%

RETAIL SALES (GWH) - WEATHER NORMALIZED

40

Residential

3,167

3,234

(67)

5,776

5,800

(24)

41

Business

3,759

3,830

(71)

6,979

7,058

(79)

42

Total

6,926

7,064

(138)

12,755

12,858

(103)

43

Retail sales (GWH) (% over prior year)

(2.0)%

1.1%

(3.1)%

(0.8)%

0.8%

(1.6)%

RETAIL USAGE
(KWh/Average Customer) 

44

Residential

3,111

3,292

(181)

5,408

5,962

(554)

45

Business

29,393

30,287

(894)

54,462

55,866

(1,404)

RETAIL USAGE - WEATHER NORMALIZED
(KWh/Average Customer)

46

Residential

3,075

3,184

(109)

5,592

5,693

(101)

47

Business

29,098

29,927

(829)

54,090

55,165

(1,075)

ELECTRICITY DEMAND (MW)

48

Native load peak demand

6,316

6,883

(567)

6,316

6,883

(567)

WEATHER INDICATORS - RESIDENTIAL

Actual

49

Cooling degree-days

530

580

(50)

530

580

(50)

50

Heating degree-days

6

1

5

245

614

(369)

51

Average humidity

13%

14%

(1)%

13%

14%

(1)%

10-Year Averages

52

Cooling degree-days

483

483

-

483

483

-

53

Heating degree-days

10

10

-

499

499

-

54

Average humidity

15%

15%

-

15%

15%

-

See Glossary of Terms.

Page 3 of 4

Last Updated

7/31/2014

3 Months Ended June 30,

6 Months Ended June 30,

Line

2014

2013

Incr (Decr)

2014

2013

Incr (Decr)

ENERGY SOURCES (GWH)

Generation production

55

Nuclear

2,197

2,246

(49)

4,709

4,702

7

56

Coal

2,739

2,903

(164)

5,535

5,656

(121)

57

Gas, oil and other

1,370

1,261

109

2,448

2,511

(63)

58

Total generation production