Exhibit 99.3
Last Updated | 7/26/2007 |
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 | $ | 79 | $ | (9 | ) | ||||||||||||||||
2 | Pinnacle West Energy | — | — | — | — | |||||||||||||||||||||
3 | APS Energy Services | 1 | (1 | ) | — | (1 | ) | |||||||||||||||||||
4 | SunCor | 8 | — | 8 | (22 | ) | ||||||||||||||||||||
5 | El Dorado | (2 | ) | — | (2 | ) | — | |||||||||||||||||||
6 | Parent Company | 5 | 5 | 9 | 4 | |||||||||||||||||||||
7 | Income From Continuing Operations | 16 | 79 | — | — | 94 | (28 | ) | ||||||||||||||||||
Income (Loss) From Discontinued Operations — Net of Tax | ||||||||||||||||||||||||||
8 | Silverhawk | — | — | — | (1 | ) | ||||||||||||||||||||
9 | SunCor | 1 | — | 2 | — | |||||||||||||||||||||
10 | NAC | — | — | — | — | |||||||||||||||||||||
11 | Total | 1 | — | — | — | 2 | (1 | ) | ||||||||||||||||||
12 | Net Income | $ | 17 | $ | 79 | $ | — | $ | — | $ | 96 | $ | (29 | ) | ||||||||||||
EARNINGS PER SHARE BY SUBSIDIARY — DILUTED | ||||||||||||||||||||||||||
13 | Arizona Public Service | $ | 0.04 | $ | 0.75 | $ | 0.79 | $ | (0.10 | ) | ||||||||||||||||
14 | Pinnacle West Energy | — | — | — | — | |||||||||||||||||||||
15 | APS Energy Services | 0.01 | (0.01 | ) | — | (0.01 | ) | |||||||||||||||||||
16 | SunCor | 0.09 | — | 0.08 | (0.22 | ) | ||||||||||||||||||||
17 | El Dorado | (0.02 | ) | — | (0.02 | ) | — | |||||||||||||||||||
18 | Parent Company | 0.04 | 0.04 | 0.09 | 0.04 | |||||||||||||||||||||
19 | Income From Continuing Operations | 0.16 | 0.78 | — | — | 0.94 | (0.29 | ) | ||||||||||||||||||
Income (Loss) From Discontinued Operations — Net of Tax | ||||||||||||||||||||||||||
20 | Silverhawk | — | — | — | — | |||||||||||||||||||||
21 | SunCor | — | — | 0.01 | (0.01 | ) | ||||||||||||||||||||
22 | NAC | — | — | — | — | |||||||||||||||||||||
23 | Total | — | — | — | — | 0.01 | (0.01 | ) | ||||||||||||||||||
24 | Net Income | $ | 0.16 | $ | 0.78 | $ | — | $ | — | $ | 0.95 | $ | (0.30 | ) | ||||||||||||
25 | BOOK VALUE PER SHARE | $ | 34.45 | $ | 34.13 | * | $ | 34.13 | * | 1.05 | ||||||||||||||||
COMMON SHARES OUTSTANDING (Thousands) | ||||||||||||||||||||||||||
26 | Average — Diluted | 100,622 | 100,779 | 100,718 | 1,156 | |||||||||||||||||||||
27 | End of Period | 100,115 | 100,290 | 100,290 | 1,006 |
* | Estimate |
See Glossary of Terms. | Page 8 of 31 |
Last Updated 7/26/2007
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 | $ | 581 | $ | 42 | |||||||||||||||||
29 | Business | 264 | 342 | 606 | 40 | |||||||||||||||||||||
30 | Total retail | 510 | 677 | — | — | 1,187 | 82 | |||||||||||||||||||
Wholesale revenue on delivered electricity | ||||||||||||||||||||||||||
31 | Traditional contracts | 5 | 9 | 14 | 1 | |||||||||||||||||||||
32 | Off-system sales | 7 | 10 | 17 | (17 | ) | ||||||||||||||||||||
33 | Transmission for others | 7 | 7 | 14 | 2 | |||||||||||||||||||||
34 | Other miscellaneous services | 7 | 8 | 15 | — | |||||||||||||||||||||
35 | Total regulated operating electricity revenues | 536 | 711 | — | — | 1,247 | 68 | |||||||||||||||||||
MARKETING AND TRADING | ||||||||||||||||||||||||||
36 | Electricity and other commodity sales | 72 | 93 | 165 | (10 | ) | ||||||||||||||||||||
37 | Total operating electric revenues | $ | 608 | $ | 804 | $ | — | $ | — | $ | 1,412 | $ | 58 | |||||||||||||
ELECTRIC SALES (GWH) | ||||||||||||||||||||||||||
REGULATED ELECTRICITY SEGMENT | ||||||||||||||||||||||||||
Retail sales | ||||||||||||||||||||||||||
38 | Residential | 2,734 | 3,287 | 6,021 | 318 | |||||||||||||||||||||
39 | Business | 3,285 | 4,004 | 7,289 | 119 | |||||||||||||||||||||
40 | Total retail | 6,019 | 7,291 | — | — | 13,310 | 437 | |||||||||||||||||||
Wholesale electricity delivered | ||||||||||||||||||||||||||
41 | Traditional contracts | 175 | 262 | 437 | 41 | |||||||||||||||||||||
42 | Off-system sales | 243 | 310 | 553 | (337 | ) | ||||||||||||||||||||
43 | Retail load hedge management | 117 | 254 | 371 | (429 | ) | ||||||||||||||||||||
44 | Total regulated electricity | 6,554 | 8,117 | — | — | 14,671 | (288 | ) | ||||||||||||||||||
MARKETING AND TRADING | ||||||||||||||||||||||||||
45 | Wholesale sales of electricity | 2,057 | 2,606 | 4,663 | (3,161 | ) | ||||||||||||||||||||
46 | Total electric sales | 8,611 | 10,723 | — | — | 19,334 | (3,449 | ) | ||||||||||||||||||
See Glossary of Terms. | Page 9 of 31 |
Last Updated 7/26/2007
Pinnacle West Capital Corporation
Consolidated Statistics By Quarter
2007
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 | $ | 160 | $ | (13 | ) | ||||||||||||||||
48 | Deferred fuel and purchased power costs — current period | 25 | 104 | 129 | 38 | |||||||||||||||||||||
49 | Regulatory disallowance | — | (14 | ) | (14 | ) | (14 | ) | ||||||||||||||||||
50 | Interest on deferred fuel | 2 | 1 | 3 | (1 | ) | ||||||||||||||||||||
51 | Amounts recovered through revenues | (69 | ) | (72 | ) | (141 | ) | (48 | ) | |||||||||||||||||
52 | Deferred fuel and purchased power regulatory asset — ending balance | $ | 118 | $ | 137 | $ | — | $ | — | $ | 137 | $ | (38 | ) | ||||||||||||
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 | $ | 39 | $ | 10 | |||||||||||||||||
54 | Mark-to-market reversals on realized sales (a) (b) | (8 | ) | 1 | (4 | ) | (1 | ) | ||||||||||||||||||
55 | Change in mark-to-market value of forward sales | 10 | (6 | ) | (2 | ) | (4 | ) | ||||||||||||||||||
56 | Total gross margin | $ | 14 | $ | 17 | $ | — | $ | — | $ | 33 | $ | 5 | |||||||||||||
By Pinnacle West Entity | ||||||||||||||||||||||||||
57 | APS | $ | (1 | ) | $ | 7 | $ | 6 | $ | (4 | ) | |||||||||||||||
58 | Pinnacle West Marketing & Trading (c) | 1 | — | 2 | 2 | |||||||||||||||||||||
59 | Parent Company (c) | 9 | 9 | 19 | 7 | |||||||||||||||||||||
60 | APS Energy Services | 5 | 1 | 6 | — | |||||||||||||||||||||
61 | Pinnacle West Energy | — | — | — | — | |||||||||||||||||||||
62 | Total gross margin | $ | 14 | $ | 17 | $ | — | $ | — | $ | 33 | $ | 5 | |||||||||||||
Future Marketing and Trading Mark-to-Market Realization
As of June 30, 2007, Pinnacle West had accumulated net mark-to-market gains of $24 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, $7 million; and 2008, $17 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 loss of $1 million was transferred to “realized” for the second quarter of 2007. A $1 million realized loss is included in the $22 million on line 53 for the second quarter of 2007. | |
(b) | Quarterly amounts do not total to annual amounts because of intra-year mark-to-market eliminations. | |
(c) | On February 1, 2007, the Parent Company transferred its market based rate tariff and wholesale power sales agreements to a newly-created subsidiary, Pinnacle West Marketing & Trading, which resulted in Pinnacle West no longer being a public utility under the Federal Power Act. As a result, Pinnacle West is no longer subject to FERC jurisdiction in connection with its issuance of securities or its incurrence of long-term debt. |
See Glossary of Terms. | Page 10 of 31 |
Last Updated 7/26/2007
Pinnacle West Capital Corporation
Consolidated Statistics By Quarter
2007
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 | ||||||||||||||||||||||||||
63 | Residential | 965,428 | 962,095 | 963,762 | 33,161 | |||||||||||||||||||||
64 | Business | 118,649 | 119,792 | 119,220 | 5,033 | |||||||||||||||||||||
65 | Total | 1,084,077 | 1,081,887 | — | — | 1,082,982 | 38,194 | |||||||||||||||||||
66 | Wholesale customers | 63 | 62 | 63 | (13 | ) | ||||||||||||||||||||
67 | Total customers | 1,084,140 | 1,081,949 | — | — | 1,083,045 | 38,181 | |||||||||||||||||||
68 | Customer growth (% over prior year) | 3.8 | % | 3.5 | % | 3.7 | % | (0.8 | )% | |||||||||||||||||
RETAIL SALES (GWH) - WEATHER NORMALIZED | ||||||||||||||||||||||||||
69 | Residential | 2,648 | 3,214 | 5,862 | 264 | |||||||||||||||||||||
70 | Business | 3,228 | 3,977 | 7,205 | 24 | |||||||||||||||||||||
71 | Total | 5,876 | 7,191 | — | — | 13,067 | 288 | |||||||||||||||||||
RETAIL USAGE (KWh/Average Customer) | ||||||||||||||||||||||||||
72 | Residential | 2,832 | 3,417 | 6,247 | 119 | |||||||||||||||||||||
73 | Business | 27,687 | 33,425 | 61,139 | (1,653 | ) | ||||||||||||||||||||
RETAIL USAGE - WEATHER NORMALIZED (KWh/Average Customer) | ||||||||||||||||||||||||||
74 | Residential | 2,743 | 3,340 | 6,082 | 67 | |||||||||||||||||||||
75 | Business | 27,204 | 33,202 | 60,435 | (2,454 | ) | ||||||||||||||||||||
ELECTRICITY DEMAND (MW) | ||||||||||||||||||||||||||
76 | System peak demand | 4,781 | 6,982 | 6,982 | 358 |
See Glossary of Terms. | Page 11 of 31 |
Last Updated | 7/26/2007 |
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 | ||||||||||||||||||||||||||
77 | Nuclear | 2,299 | 1,846 | 4,145 | 1,227 | |||||||||||||||||||||
78 | Coal | 3,164 | 3,265 | 6,429 | 164 | |||||||||||||||||||||
79 | Gas, oil and other | 1,151 | 1,517 | 2,668 | (655 | ) | ||||||||||||||||||||
80 | Total generation production | 6,614 | 6,628 | — | — | 13,242 | 736 | |||||||||||||||||||
Purchased power | ||||||||||||||||||||||||||
81 | Firm load | 278 | 1,676 | 1,954 | (151 | ) | ||||||||||||||||||||
82 | Marketing and trading | 2,262 | 3,055 | 5,317 | (3,872 | ) | ||||||||||||||||||||
83 | Total purchased power | 2,540 | 4,731 | — | — | 7,271 | (4,023 | ) | ||||||||||||||||||
84 | Total energy sources | 9,154 | 11,359 | — | — | 20,513 | (3,287 | ) | ||||||||||||||||||
POWER PLANT PERFORMANCE | ||||||||||||||||||||||||||
Capacity Factors | ||||||||||||||||||||||||||
85 | Nuclear | 94 | % | 75 | % | 85 | % | 25 | % | |||||||||||||||||
86 | Coal | 84 | % | 86 | % | 85 | % | 2 | % | |||||||||||||||||
87 | Gas, oil and other | 16 | % | 21 | % | 19 | % | (4 | )% | |||||||||||||||||
88 | System average | 50 | % | 49 | % | 50 | % | 3 | % | |||||||||||||||||
Generation Capacity Out of Service and Replaced for Native Load (average MW/day) (a) | ||||||||||||||||||||||||||
89 | Nuclear | 57 | 266 | 164 | (266 | ) | ||||||||||||||||||||
90 | Coal | 203 | 189 | 196 | (24 | ) | ||||||||||||||||||||
91 | Gas | 267 | 405 | 336 | 177 | |||||||||||||||||||||
92 | Total | 527 | 860 | — | — | 696 | (113 | ) | ||||||||||||||||||
(a) | Includes planned and unplanned outages |
See Glossary of Terms. | Page 12 of 31 |
Last Updated | 7/26/2007 |
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 | ||||||||||||||||||||||||||
93 | Palo Verde | $ | 54.62 | $ | 64.64 | $ | 59.63 | $ | 5.42 | |||||||||||||||||
94 | SP15 | $ | 60.02 | $ | 68.75 | $ | 64.39 | $ | 7.52 | |||||||||||||||||
Off-Peak | ||||||||||||||||||||||||||
95 | Palo Verde | $ | 42.06 | $ | 41.46 | $ | 41.76 | $ | 6.61 | |||||||||||||||||
96 | SP15 | $ | 45.86 | $ | 46.14 | $ | 46.00 | $ | 9.89 | |||||||||||||||||
WEATHER INDICATORS | ||||||||||||||||||||||||||
Actual | ||||||||||||||||||||||||||
97 | Cooling degree-days | 172 | 1,708 | 1,880 | 97 | |||||||||||||||||||||
98 | Heating degree-days | 589 | 8 | 597 | 129 | |||||||||||||||||||||
99 | Average humidity | 36 | % | 18 | % | 27 | % | 4 | % | |||||||||||||||||
10-Year Averages | ||||||||||||||||||||||||||
100 | Cooling degree-days | 97 | 1,557 | 1,654 | — | |||||||||||||||||||||
101 | Heating degree-days | 513 | 31 | 544 | — | |||||||||||||||||||||
102 | Average humidity | 42 | % | 22 | % | 32 | % | 0 | % | |||||||||||||||||
ECONOMIC INDICATORS | ||||||||||||||||||||||||||
Building Permits — Metro Phoenix (b) (d) | ||||||||||||||||||||||||||
103 | Single-family | 7,017 | 5,044 | 12,061 | (2,411 | ) | ||||||||||||||||||||
104 | Multi-family | 4,131 | 1,276 | 5,407 | 215 | |||||||||||||||||||||
105 | Total | 11,148 | 6,320 | — | — | 17,468 | (2,196 | ) | ||||||||||||||||||
Arizona Job Growth (c) (d) | ||||||||||||||||||||||||||
106 | Payroll job growth (% over prior year) | 4.1 | % | 3.5 | % | 3.9 | % | (1.9 | )% | |||||||||||||||||
107 | Unemployment rate (%, seasonally adjusted) | 4.0 | % | 3.8 | % | 3.9 | % | (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 May 31, 2007 (latest available data). |
See Glossary of Terms. | Page 13 of 31 |