Pinnacle West Capital Corp. (NYSE: PNW) today announced that Bill Stewart, CEO of Pinnacle West Energy, is retiring effective Dec. 1, 2003. He will report to Bill Post, Chairman of Pinnacle West Capital, until his retirement and will participate in the company’s Nuclear Oversight Committee.

"After Bill’s retirement, we will continue to realize the benefits of his expertise through his participation on the board of directors," said Post. "His accomplishments here have been substantial, and his influence will be felt for many years."

Stewart joined the Company in early 1994 as Executive Vice President – Nuclear for Arizona Public Service (APS), and, during his tenure, operations at the Palo Verde Nuclear Generating Station matched and surpassed performance levels of the most outstanding nuclear power plants in the world. Stewart also directed high-level performance by the Company’s fossil plants over the past five years. Moreover, he managed the Company’s generation expansion program, which provided about 1,800 megawatts of capacity essential to Arizona customers through additions at West Phoenix and Saguaro and a new plant near Palo Verde called Redhawk. Those plants were completed on time and under budget.

Jim Levine, currently APS Executive Vice President of Generation, will add the expansion program assets to his responsibilities, consolidating all generation operations under one structure. He will replace Stewart as CEO of Pinnacle West Energy.

"Jim Levine is an outstanding leader and will continue and further the work we have done together since I arrived," Stewart said. "He communicates effectively with his people and has a great reputation in the industry. He understands fundamentally what it takes to keep generating plants operating at top levels."

In a related move, Don Brandt, Chief Financial Officer at Pinnacle West, will assume responsibility for Power Marketing and Trading and will become CFO at APS, reporting to APS CEO Jack Davis.

Pinnacle West is a Phoenix-based company with consolidated assets of approximately $8.5 billion. Through its subsidiaries, the company generates, sells and delivers electricity and sells electricity and energy-related products and services to retail and wholesale customers in the western United States. It also develops residential, commercial, and industrial real estate projects.

Media:
Jim McDonald, (602) 250-3738 or (602) 321-3738

Analyst:
Rebecca Hickman, (602) 250-5668