PHOENIX-- A Glendale police officer was shot and killed Monday morning near 59th Avenue and Camelback Road and a suspect was wounded in a west Valley gun battle.

Police said the officer, Anthony Holly, 24, was backing up a fellow officer during a routine traffic stop on a car with three people inside.

Officers said they arrested one person in the vehicle. Another person in the suspect car drew a handgun from his waistband as officers approached and opened fire, hitting Holly, police said. AOT 2007

"I heard like about ten shots," neighbor Lupe Olivio told CBS 5 News.

Police said Holly was pulled from the line of gunfire by another officer.

Officers returned fire on the suspect, wounding him. A third person was taken into custody without incident.

Police officers and firefighters from Phoenix and Glendale flooded the scene and rushed Holly to St. Joseph's Hospital, where police said he was pronounced dead.

"This is an incredible loss," Glendale Police Chief Steve Conrad said in a news conference. "It's extremely traumatic for all of us."

Holly was a two-year veteran of the Glendale police force, according to officers.

"Obviously, our thoughts and prayers go out to Officer Holly, his family and friends," Conrad said.

All three people in the car were taken into custody.

CBS 5 News has learned two of the people pulled over had outstanding warrants.

Officers said Holly's death marks the first time in the history of the Glendale police force that an officer has died in the line of duty.

This is the second Glendale police officer shot in the line of duty in just two months.

In December, officer Jeremy Esh was shot during a traffic stop.

The bullet hit Esh in the neck, but he made a full recovery and just recently returned to work.

Stay with CBS 5 and for late-breaking updates.