Texas		74-0607870
(State or other jurisdiction of incorporation or organization)		(I.R.S. Employer Identification No.)
Stanton Tower, 100 North Stanton, El Paso, Texas		79901
(Address of principal executive offices)		(Zip Code)

		Page No.
PART I.    FINANCIAL INFORMATION
Item 1.    Financial Statements
Consolidated Balance Sheets – September 30, 2002 and December 31, 2001		1
Consolidated Statements of Operations – Three Months, Nine Months and Twelve Months Ended September 30, 2002 and 2001		3
Consolidated Statements of Comprehensive Operations – Three Months, Nine Months and Twelve Months Ended September 30, 2002 and 2001		5
Consolidated Statements of Cash Flows – Nine Months Ended September 30, 2002 and 2001		6
Notes to Consolidated Financial Statements		7
Independent Accountants’ Review Report		18
Item 2.    Management’s Discussion and Analysis of Financial Condition and Results of Operations		19
Item 3.    Quantitative and Qualitative Disclosures About Market Risk		30
Item 4.    Controls and Procedures		30
PART II.    OTHER INFORMATION
Item 1.    Legal Proceedings		31
Item 6.    Exhibits and Reports on Form 8-K		31

		September 30, 2002 (Unaudited)			December 31, 2001
ASSETS
(In thousands)
Utility plant:
Electric plant in service		$	1,720,689		$	1,708,908
Less accumulated depreciation and amortization			533,963			472,297
Net plant in service			1,186,726			1,236,611
Construction work in progress			121,365			86,802
Nuclear fuel; includes fuel in process of $5,375 and $11,356, respectively			78,508			74,004
Less accumulated amortization			38,795			33,177
Net nuclear fuel			39,713			40,827
Net utility plant			1,347,804			1,364,240
Current assets:
Cash and temporary investments			62,140			27,994
Accounts receivable, principally trade, net of allowance for doubtful accounts of $3,506 and $3,525, respectively			80,542			75,025
Accumulated deferred income taxes			37,401			39,299
Inventories, at cost			24,760			24,356
Undercollection of fuel revenues			2,666			26,797
Prepayments and other			11,441			9,741
Total current assets			218,950			203,212
Deferred charges and other assets:
Decommissioning trust funds			56,219			60,901
Undercollection of fuel revenues—noncurrent			15,147			—
Other			15,876			16,086
Total deferred charges and other assets			87,242			76,987
Total assets		$	1,653,996		$	1,644,439

		September 30, 2002 (Unaudited)				December 31, 2001
CAPITALIZATION AND LIABILITIES
(In thousands except for share data)
Capitalization:
Common stock, stated value $1 per share, 100,000,000 shares authorized, 62,387,646 and 61,982,963 shares issued, and 219,981 and 267,334 restricted shares, respectively		$	62,608			$	62,250
Capital in excess of stated value			262,200				257,891
Unearned compensation – restricted stock awards			(1,946	)			(2,041	)
Retained earnings			303,447				265,775
Accumulated other comprehensive income (loss), net of tax			(3,425	)			752
			622,884				584,627
Treasury stock, 12,715,195 and 11,991,637 shares, respectively; at cost			(144,363	)			(134,434	)
Common stock equity			478,521				450,193
Long-term debt, net of current portion			588,685				590,925
Financing obligations, net of current portion			26,200				28,440
Total capitalization			1,093,406				1,069,558
Current liabilities:
Current portion of long-term debt and financing obligations			61,396				90,355
Accounts payable, principally trade			24,791				24,626
Taxes accrued other than federal income taxes			19,468				16,153
Interest accrued			14,124				16,860
Overcollection of fuel revenues			—				3,265
Other			18,595				16,502
Total current liabilities			138,374				167,761
Deferred credits and other liabilities:
Decommissioning liability			143,806				137,614
Accrued postretirement benefit liability			87,958				84,974
Accumulated deferred income taxes			123,316				116,850
Accrued pension liability			30,945				30,694
Other			36,191				36,988
Total deferred credits and other liabilities			422,216				407,120
Commitments and contingencies
Total capitalization and liabilities		$	1,653,996			$	1,644,439

		Three Months Ended September 30,								Nine Months Ended September 30,
		2002				2001				2002				2001
Electric utility operating revenues		$	205,100			$	209,466			$	532,624			$	603,983
Energy expenses:
Fuel			37,543				49,741				99,941				152,400
Purchased and interchanged power			33,682				23,809				78,907				74,957
			71,225				73,550				178,848				227,357
Electric utility operating revenues net of energy expenses			133,875				135,916				353,776				376,626
Energy services operations:
Operating revenues			968				1,016				3,663				3,001
Operating expenses			3,862				1,351				7,014				4,464
			(2,894	)			(335	)			(3,351	)			(1,463	)
Other electric utility operating expenses:
Other operations			38,389				34,948				105,409				99,640
Maintenance			10,367				8,996				32,851				34,177
Depreciation and amortization			22,715				22,432				67,724				66,831
Taxes other than income taxes			11,323				11,109				33,739				32,648
			82,794				77,485				239,723				233,296
Operating income			48,187				58,096				110,702				141,867
Other income (deductions):
Investment income (loss), net			(1,132	)			747				(955	)			3,354
Other, net			(751	)			(482	)			(1,685	)			(1,735	)
			(1,883	)			265