PHOENIX - Pinnacle West Capital Corporation (NYSE: PNW) announced today it has retained the services of Effective Marketing Strategies, Inc., a Los Angeles-based marketing consulting company, to conduct an advertising agency review on Pinnacle West’s behalf.

The agency review will cover communication assignments for the company and its subsidiaries, including Arizona Public Service Co. (APS), the Company’s principal subsidiary. The review will focus on advertising agencies established in Arizona, but consideration will be given to other agencies located in the West. The review and selection process will be completed by mid-September.

Agencies are invited to submit their credentials by June 15, 2001, by contacting Michael W. Marsak, president of Effective Marketing Strategies at (310) 821-6473.

Pinnacle West is a Phoenix-based company with consolidated assets of approximately $7 billion and consolidated revenues of about $3.7 billion. Through its subsidiaries, the company generates, sells and delivers electricity and sells 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.

Contacts

Media:
Damon Gross, (602) 250-2269
Will Diaz, (602) 250-2265

Analyst:
Michael W. Marsak; 310-821-6473

This press release contains forward-looking statements that involve risks and uncertainties, which include, but are not limited to, the ongoing restructuring of the electric industry; the outcome of the regulatory proceedings relating to the restructuring; regional economic and market conditions, which could affect customer growth and the cost of power supplies; the cost of debt and equity capital; weather variations affecting customer usage; and the strength of the real estate market. These factors and the other matters discussed above may cause future results to differ materially from historical results, or from results or outcomes currently expected or sought by the Company.