Exhibit 12.1 PINNACLE WEST CAPITAL CORPORATION COMPUTATION OF EARNINGS TO FIXED CHARGES(a) (THOUSANDS OF DOLLARS) Six Months Twelve Months Ended Ended December 31 -------- ------------------------------------------------------------ 6/30/01 2000 1999 1998 1997 1996 -------- -------- -------- -------- -------- -------- Earnings: Net Income from Continuing Operations .......... $129,062 $302,332 $269,772 $242,892 $235,856 $211,059 Income Taxes ................................... 84,770 194,200 141,592 138,589 126,943 99,224 Fixed Charges .................................. 103,834 202,804 194,070 201,184 215,201 230,978 -------- -------- -------- -------- -------- -------- Total ..................................... 317,666 699,336 605,434 582,665 578,000 541,261 ======== ======== ======== ======== ======== ======== Fixed Charges: Interest Expense ............................... 86,572 166,447 157,142 163,975 177,383 192,705 Estimated Interest Portion of Annual Rents ................................. 17,262 36,357 36,928 37,209 37,818 38,273 -------- -------- -------- -------- -------- -------- Total Fixed Charges ....................... 103,834 202,804 194,070 201,184 215,201 230,978 ======== ======== ======== ======== ======== ======== Ratio of Earnings to Fixed Charges (rounded down) ................................. 3.05 3.44 3.11 2.89 2.68 2.34 ======== ======== ======== ======== ======== ======== Estimated interest portion of Unit 2 lease payments included in estimated interest portion of annual rentals ...................... $ 16,186 $ 33,411 $ 33,878 $ 34,315 $ 34,720 $ 35,083 ======== ======== ======== ======== ======== ======== (a) We have reclassified certain prior year amounts to conform to the current year presentation.