Exhibit 12.1 ARIZONA PUBLIC SERVICE COMPANY COMPUTATION OF EARNINGS TO FIXED CHARGES ($000'S) Nine Months Ended 9/30/02 2001 2000 1999 1998 1997 -------- -------- -------- -------- -------- -------- Earnings: Income from continuing operations $182,772 $280,688 $306,594 $268,322 $255,247 $251,493 Income taxes 119,505 183,136 195,665 133,015 133,452 129,986 Fixed charges 127,246 166,939 179,381 179,088 183,398 189,600 -------- -------- -------- -------- -------- -------- Total earnings $429,523 $630,763 $681,640 $580,425 $572,097 $571,079 ======== ======== ======== ======== ======== ======== Fixed Charges: Interest charges $100,846 $130,525 $141,886 $140,948 $144,695 $150,335 Amortization of debt discount 2,129 2,650 2,105 2,084 2,410 2,336 Estimated interest portion of annual rents 24,271 33,764 35,390 36,056 36,293 36,929 -------- -------- -------- -------- -------- -------- Total fixed charges $127,246 $166,939 $179,381 $179,088 $183,398 $189,600 ======== ======== ======== ======== ======== ======== Ratio of Earnings to Fixed Charges (rounded down) 3.37 3.77 3.79 3.24 3.11 3.01 ======== ======== ======== ======== ======== ========