Item 8.01. Other Events.
Arizona Public Service Company ("APS") General Rate Case On April 21, 2009, during a public procedural conference, Arizona Public Service Company ("APS") and the parties to APS' pending general retail rate case advised an Arizona Corporation Commission ("ACC") administrative law judge that the parties had reached an agreement in principle on the revenue requirements at issue in the rate case, and that they continue to work through remaining settlement terms. The parties agreed that, by noon on May 4, 2009, they will file a term sheet with the ACC outlining the major terms agreed to by the parties and a request for procedural order, including the date for the filing of a definitive settlement agreement, as well as proposed testimony and hearing dates. The ACC must approve any definitive settlement agreement entered into by the parties. We cannot predict whether or when the parties will enter into a settlement agreement or, if the parties do so, whether or when the ACC would approve the settlement agreement. For information regarding the general rate case, see "2008 General Rate Case" in Note 3 of Notes to Consolidated Financial Statements in the Pinnacle West Capital Corporation/APS Report on Form 10-K for the fiscal year ended December 31, 2008.

---