2022 MAKING IT SPECIAL SECTION

WINTER 2021-2022

THE VALUE OF VERSATILITY STORIES OF BUSINESSES ADAPTING IN CHALLENGING TIMES

This publication was produced by the special content department of Anchorage Daily News in collaboration with First National Bank Alaska, member FDIC and Equal Housing Lender.

The ADN news department was not involved in its production.

TABLE OF CONTENTS 2 BUILDING A BUSINESS ONE CAKE AT A TIME 4 STAYING AFLOAT EVEN ON ROUGH SEAS 6 POWERING THROUGH A PANDEMIC 8 CHANGING TIRES, CHANGING HANDS

PUBLISHER

EDITORIAL DIRECTOR

ANDY PENNINGTON

NINA WLADKOWSKI

SALES MANAGER

DESIGNER

KIERA CLARK

LEVI BROWN

First National Bank Alaska has been Alaska’s community bank since 1922.

We’re proud to help Alaskans shape a brighter tomorrow by investing in your success as you take the leaps of faith, large and small, that enrich communities across the state.

Learn more at: FNBAlaska.com

Building a

Business ONE CAKE AT A TIME

ALASKA CAKE STUDIO KNOWS HOW TO ADAPT TO THE STATE’S UNIQUE NEEDS Getting a four-tiered wedding cake to rural Alaska is no easy feat. Take it from the experts at Alaska cAKe Studio, the Anchorage-based bakery with regular customers in Bethel, Dillingham and Utqiagvik, the northernmost city in the U.S. “A big wedding cake typically has to have its own seat on a flight,” said Bill Waltz, co-owner of cAKe Studio.

Booked on passenger flights or sent as air cargo shipments, the cakes are frozen, packaged, and dropped off with the given airline. Then there’s just one thing left to do: “Pray ... it gets there in one piece,” Waltz said.

For cAKe Studio co-owners Waltz and Will McDonald, whether shipping a wedding cake on a cargo flight or making special orders for service members who are far from home, adapting to the state’s unique needs is a big part of their small business.

But running a small business in Alaska — especially during a pandemic — comes with a unique set of challenges and lessons learned along the way.

‘We get to be part of their lives’ cAKe Studio was established in 2008 and has had a steady stream of regulars ever since. The bakery plays a small but important role in its customers’ lives as they celebrate birthdays, anniversaries, weddings and retirements through the years.

“Any time you have a life event, you celebrate,” said McDonald. “And what do you celebrate with? Usually a cake.”

“It’s a privilege that we have,” McDonald said. “It’s been kind of crazy that way, we get to be part of their lives.”

McDonald grew up in Homer, where he worked at a restaurant and quickly gravitated towards baking. He moved

to Charleston, South Carolina, where he received an associate degree in Baking and Pastry Arts from Johnson and Wales University before returning to Alaska.

After a few different jobs in the food industry, McDonald landed a top manager position at Alaska Wild Berry Products.

“It gave me a really good backing,” McDonald said of his time managing the multimillion-dollar candy company. While at Alaska Wild Berry Products, McDonald met Kirsten Roseberry, who has become a lifelong friend and collaborator.

Roseberry is a pastry chef with a degree in Culinary Arts from the NaNa tional Center for Hospitality Studies at Sullivan University in Louisville, Kentucky. Her experience includes high-volume environments, like banquets for 5,000 people.

“Coming from a different side of food service and combining our talent fuels our symbiotic creativity,” Roseberry said. “It lends to a very organic work environment.”

When McDonald opened cAKe Studio’s downtown storefront in Feb. 2010, he brought Roseberry along.

The bakery has been a steady success ever since.

‘I knew I was in trouble’ A few years later, Bill Waltz flew to Anchorage to meet McDonald. Waltz and McDonald had met on an online dating site a couple of years prior, and Waltz finally agreed to fly up from Indiana, although he was convinced that he would never move to Alaska.

“I knew probably about 30 minutes before landing that I was in trouble,” Waltz said of the flight to Anchorage over the Chugach Mountains.

Kirsten Roseberry, Lead Pastry Chef, and Will McDonald, Owner and Head Pastry Chef of cAKe Studio.

MAKING IT | 2

“I thought it was the most beautiful thing I had seen in a long time.”

Waltz moved to Anchorage a few months later, bringing just two suitcases along. He started working at cAKe Studio and “quickly learned there’s a difference between making cookies with grandma and making 1,000 cookies for an order,” he chuckled.

Waltz soon transitioned to a business manager role, with McDonald and Roseberry running the kitchen.

“That’s what makes us a great team,” Waltz said. “And that’s what makes Alaska cAKe Studio a great business. We have different interests and passions that marry well together.”

The bakery serves a population as diverse as Alaska itself. The largest wedding cake they have ever made was five tiers and meant to serve up to 400 people, Waltz said. And they have orders from all over the country for service members stationed at Joint Base Elmendorf-Richardson — surprise treats from far-away loved ones.

“We love that part. We love to provide that to our service members,” said Waltz, a veteran himself.

Graduating with a degree in Culinary Arts from Sullivan University in Louisville, KY, Kirsten Roseberry has now been working in the hospitality business for over 25 years.

My favorite thing about the bank is that they’re local. That’s always been important to me.

Roseberry’s favorite order so far was for the Anchorage Symphony Orchestra. They created a cake shaped like a baby grand piano in celebration of Chopin’s birthday.

The cake sat on top of an 8-foot table and as concertgoers walked by, they commented on the “mini grand piano,” Roseberry said.

“At intermission people were shocked we were cutting into the mini grand piano, which was a cake,” Roseberry said. “Those kinds of moments are priceless.”

‘One of the best decisions that we have ever made’

cAKe Studio specializes in creating custom cakes, desserts, or pastries for any occassion.

3 | MAKING IT

Today, cAKe Studio can be found on the first floor of the 5th Avenue Mall in downtown Anchorage, where customers can pick up custom cake orders, or treats like strawberry champagne cupcakes and gluten-free carrot cake.

Since Waltz came onboard, he has developed new strategies that have expanded the business and pushed the boundaries of what McDonald thought was possible.

One of the best investments they have made was in building out a robust website, said McDonald, who wasn’t initially convinced it was the right move.

“I have to say, I was very apprehensive,” McDonald said. “And it has been one of the best decisions that we have ever made.”

Customers can use the website to build a custom order, which is then ready within

48 hours. Waltz has researched other bakeries across the U.S. and beyond and has yet to find one that offers a similar online ordering function, he said. While other small businesses scrambled to get online when the COVID-19 pandemic hit, cAKe Studio already had a strong, user-friendly digital storefront comfortably in place.

As cAKe Studio has grown and changed, First National Bank Alaska has helped the bakery navigate its small business needs.

“My favorite thing about the bank is that they’re local,” McDonald said.

“That’s always been important to me.”

First National has helped the bakery streamline its processes and secure its accounts. And when cAKe Studio needed a new point-of-sale system — crucial to tracking business — bank staff helped recommend and implement a new system.

“They really did give us some different directions and choices,” McDonald said.

“That was really beneficial, because I didn’t know anything about it.”

As cAKe Studio grew, so did its commitment to Alaska. The bakery now routinely donates cakes to several organizations, including Passage House, under the umbrella of Covenant House Alaska. At Passage House, pregnant teenagers in need of housing and support are provided a safe environment for themselves and their child.

“It’s the small things, when you’re homeless or you’re displaced, that mean the most,” Waltz said. “Everybody needs a birthday cake.”

‘You can’t let fear hold you hostage’ In March 2020, the pandemic forced cAKe Studio to shift gears in an instant. They scaled back production and made the difficult decision to cut staff as they struggled with loss of revenue and surging costs. At one point, a bag of flour more than tripled in price due to high demand, McDonald said.

Despite the challenges, the bakery has adapted and kept its doors open. They shifted to curbside pickups and deliveries and poured resources into their website.

“You have to be able to roll with the punches and roll with the changes,” Waltz said. “You just can’t let fear hold you hostage.”

One silver lining in the pandemic is the community support that has flowed back to cAKe Studio from organizations the bakery has supported in the past.

“When the community turned back around, especially these nonprofit organizations, and said, ‘we value you, let us support you,’ that meant the world to us,” Waltz said.

“You can’t beat that,” Waltz said. “You can’t put a value on that.”

Staying

Afloat EVEN ON ROUGH SEAS

FROM STORMY WEATHER TO AN OIL SPILL TO A GLOBAL PANDEMIC — BABKIN CHARTERS HAS LEARNED TO ADAPT Captains Brad and Alex von Wichman of Babkin Charters.

On a cold, wintry day earlier this spring, sister-brother duo Alex and Brad von Wichman found themselves someplace they wouldn’t usually be at lunchtime at the beginning of charter season: sitting together in Whittier, drinking coffee.

At this time of year, they’re usually out on the water, each captaining a vessel for Babkin Charters, the business they own and run together with Brad’s wife, Kjersti.

“I was supposed to start a trip today, but we’ve got storm warnings in the sound,” Alex said.

It isn’t often that a charter has to be postponed for weather, but

The von Wichman family.

it does happen. That’s just the nature of the business when you work on the ocean, along with making sure clients understand their itineraries may be subject to change for safety reasons.

“You have to be completely up front and honest about the reality of the situation,” Brad said. “Tell them up front: ‘This is Alaska, and we work around the weather.’”

The value of versatility Captaining a ship is a lot like running a business: You hope for clear skies and smooth sailing, but when rough weather sets in, you need to be prepared to batten down the hatches and ride out

the storm.

“It’s all just part of the deal,” Brad said.

The von Wichmans’ business philosophy is deeply rooted in the values of flexibility and versatility.

Over the last year in particular, they’ve been glad they live by the advice Brad said he’d give any small business owner: “Don’t do just one thing. Do as many things as you possibly can.”

The von Wichmans fill just about every role in their business and have taught themselves how to do anything from managing spreadsheets to applying for fishing permits to fixing plumbing problems, doing as much of their own work as they can.

“It’s not boring,” Alex said.

That adaptability and willingness to try new things were the qualities that led to the launching of their charter business more than 30 years ago. Alex and Brad grew up in Anchorage and spent summers exploring Prince William Sound and Resurrection Bay on their family’s 21-foot fishing boat. As teenagers, they started shrimping with their brother, hauling out the pots by hand. In 1981, the family upgraded to the 42-foot Alexandra, and Brad and Alex worked their way through college fishing for halibut, sea urchins, shrimp and herring.

Then fate threw a wrench into the works.

In the spring of 1989, as Alex

was about to graduate from the University of Utah, the Exxon Valdez ran aground on Bligh Reef.

Instead of fishing, they spent that summer working on oil spill cleanup and ferrying scientists around Prince William Sound.

“The fisheries, after that, looked pretty dismal,” Brad said. “So we wanted to expand and decided to go into chartering.” That’s when Babkin Charters was born. The Alexandra can be outfitted for either commercial fishing or passenger charters. The family soon found a new rhythm, fishing in the early season and then resetting the boat for an overnight charter season that runs from April through September.

You know that it’s just more personal at First National.

Around the same time, the business — and the family — grew through the addition of Kjersti Nilsen, one of Alex’s college ski teammates. Born in Norway, Kjersti joined Alex and Brad on a drive up the Alcan after graduation in 1989 and ended up staying.

“Mom always said, ‘Be nice to your sister, because she will have friends,’” Brad said.

Mom’s advice proved to be wise.

Brad and Kjersti (now Kjersti von Wichman) married in 1997 and spent their honeymoon cruising

from Tacoma to Valdez on the newly-built Babkin. For years, Kjersti’s onboard cooking set the benchmark for Babkin Charters’ meals, but when she and Brad became parents, she transitioned to an onshore role as the company’s “logistics manager,” keeping things running while Brad and Alex are out on charter.

Adventure on the agenda So what’s it like working with your sibling?

“It has its moments,” Brad said.

“That’s why we have separate boats,” Alex added, laughing.

All kidding aside, the von Wichmans have a close relationship — they even finish one another’s sentences — and they enjoy working together. Brad’s teenage kids are crew members, too, and having them in the family business has been a lot of fun and a big help.

“It’s a great thing for them because they’re learning how to deal with people,” Brad said. “They’re learning responsibilities.”

Babkin Charters’ sailings are tailored to charter groups’ individual desires, and no two trips are alike. Most guests want to see whales; many are interested in hiking, back-country skiing, kayaking or blueberry picking, depending on the season. Alaska’s unique attractions are on a lot of travelers’ bucket lists.

MAKING IT | 4

know their local branch manager — Rachel Carlson at Anchorage’s U-Med location — by name, and the employees recognize their families when they come in. Last season, Brad said, he lost count of the number of times he had to stop by First National to ask for help getting commercial fishing license transfers notarized.

Even though the lobby was closed as a health and safety measure, it was easy to make an appointment to come in for the help he needed.

“We love them,” Alex said. “You know that it’s just more personal (at First National).”

Hope on the horizon

Vessels “The Babkin” and “The Alexandra” stop in front of Beloit Glacier.

Last year, however, was anything but normal.

Pivoting amid a pandemic

Kjersti von Wichman chisels at freshly-gathered glacier ice.

“Most want to see a tidewater glacier while we still have them,” Alex said.

Guests sail on the Alexandra, which accommodates up to six passengers, and/or the Babkin, a 58-foot charter boat that sleeps up to 12. The Alexandra offers a little more of a camping experience, with V-berths in a shared bunk space, while the Babkin’s all-teak interior features three cozy staterooms. Comfortable cabins, toasty heaters and delicious meals are ready to welcome passengers back after a day of

5 | MAKING IT

Alaska adventuring.

“If it’s your typical Prince William Sound day where it’s wet outside … you always have a nice warm, dry boat to come back to,” Brad said.

“A little whiskey with glacier ice is nice at the end of the day, too,” Alex added.

During a normal season, Babkin hosts clients from all over the U.S. and across the world — scientists, vacationers, photographers, adventure-seekers — and is booked solid from spring through early fall.

In 2020, the COVID-19 pandemic all but shut down Alaska’s travel and tourism industry.

Much like the 1989 oil spill, the pandemic forced a major shift in Babkin’s business. But while the Exxon Valdez disaster left visible, lingering reminders everywhere, COVID has been notable for the things that can’t be seen — an invisible virus, a calendar mostly empty of bookings, an indefinite end date.

During the 2020 season, school trips were canceled, multigenerational family vacations were ill-advised, and international visitors — like the European and Japanese tourists that Babkin often hosts — were locked down at home.

Babkin responded to the challenge by trying to be, as Alex put it, “as fluid as possible.” With only three charters on the books, the crew spent most of last season fishing as much as they could, both on their own permits and on behalf of other permit holders.

“You’ve just got to roll with it,” Brad said. “We fished through October last year.” Prices were depressed

because of decreased demand from restaurants, but “it was still income,” he added.

Like thousands of other Alaska employers, Babkin Charters received funds through the federal Paycheck Protection Program (PPP) to help get through the year.

“PPP has been a godsend,” Brad said. “That’s saved so many businesses.”

First National Bank Alaska helped Babkin secure the PPP funds that were vital to making it through 2020 in good shape, Alex said. A representative from First National called Babkin the very first day that the bank started accepting PPP applications and helped walk Alex through the process — even keeping the call going for a smooth handoff after the first banker’s wife went into labor while he was on the phone with Alex.

“That’s how personal it is,” Alex said. “It was just seamless.”

Babkin Charters started banking with First National after having an unpleasant experience with a “too big to fail”-type national bank.

“It’s local,” Alex said. “I think it makes a huge difference (compared to) when you call and get someone in Minnesota or Florida that doesn’t even know where Alaska is.”

Both Alex and Brad like that they

The people-focused service that they appreciate from First National Bank Alaska is the same kind of experience the von Wichmans try to foster in their own business. Being out on the water, living in close quarters for up to a week at a time, they savor the opportunity to get to know their guests.

“People are fascinating,” Alex said.

“You actually get to meet these people in a really comfortable, natural setting.”

This summer, they will have more opportunities to spend time in that setting. With vaccines widely available in Alaska — including to visitors — things seem like they’re starting to move back toward normal. The charter business is gradually picking up, although only the Babkin will carry passengers; the Alexandra is staying “pretty much in fishing mode” for the season, Brad said.

“We’re really cautiously optimistic,” Alex said, adding that they’re starting to hear more from parents interested in booking family trips with their children and grandchildren. Especially now that more is known about how COVID-19 spreads and can be prevented, a private charter is an attractive option, she added: “Multigenerational trips are starting to feel more confident, because they realize they’re in their own bubble when they’re with us.

We’re really quite isolated with what we do and where we go.”

And although no one knows when — or how — travel will go “back to normal,” the family behind Babkin Charters says they’re ready to adapt to whatever might come next so they can keep getting visitors out on the water to experience Alaska.

“They’re trusting us,” Brad said. “...to give them the trip of a lifetime,” Alex finished.

PoweringThrough A PANDEMIC

THE PROSPECTOR HAS THRIVED ON KEEPING CUSTOMERS EQUIPPED FOR ADVENTURE On the surface, retail is a straightforward business: The business stocks items that customers want and customers buy what they like.

Behind the scenes, it’s a little more complicated than that. Buyers have to forecast trends and predict needs. The customer experience has to be just right. And sometimes, just when you think you’ve got everything dialed in, a global pandemic throws a wrench into the works.

“You’ve got to be used to things mixing up every now and then,” said Joe Prax, owner of The Prospector outfitters.

Between pandemic shutdowns, labor shortages and a roller coaster economy, things have been extra mixed-up for Alaska retailers over the past few years. But while some businesses have struggled to survive the ride, The Prospector has managed to thrive by providing Alaskans the things they need to work and play safely in the time of COVID-19.

Equipping Alaskans in an unprecedented time A full-line clothing and outdoor sporting goods store with locations in Fairbanks and Valdez, the Prospector was first opened by Prax’s parents in 1985. After Prax graduated from college in 1993, he moved to Valdez to run the store. Over the years, the business organization went through a series of changes, and Prax became the sole owner in 2006.

“We concentrate on what Alaskans need to wear to have fun in Alaska,” he said.

“We try and have good quality work clothing and outdoor clothing.”

Customers come to The Prospector for anything from work boots to winter clothes to camping gear, and the business focuses on anticipating what they need to enjoy work and play, Prax said.

“You don’t want to fight your clothing,” he said. “You don’t want to fight your environment. If you’re out having a good time, you don’t want your boots to let you down.”

Like many business owners, Prax battened down the hatches when the pandemic began to shut down everyday life last March. Workwear sales remained steady to customers in industries like healthcare and oil production, but the forecast for other products was up in the air.

“We, like everybody, were very conservative — canceled orders and made sure we had all our expenses in line,” Prax said. “What we didn’t foresee was people wanting to get outdoors.”

Once the science started to indicate that outdoors was the safest place to gather, he added, it made sense that Alaskans would start making plans to get outside.

“We’re social people,” Prax said. “We like to get out and do stuff and see folks, and Alaskans are especially so. We’re still going to have our adventures and do our activities, and that’s why we’re here. You can’t live in Alaska and stay cooped up in the house.”

The Prospector team in Valdez, AK.

MAKING IT | 6

The Prospector stocks items that Alaskans need to wear to have fun in this state. Photo courtesy of Joe Prax & provided by First National Bank Alaska.

Many Alaskans shop The Propector for their fishing gear needs. Photo courtesy of Joe Prax & provided by First National Bank Alaska. to grow in popularity.

Then there are the things that they just can’t get. Hunting ammunition is in short supply, with orders delayed up to a year, and bicycles are nearly impossible to find. Fortunately, customers have been flexible.

“People have been very understanding that things are different,” Prax said. “Who knew how fragile the supply chain really was?”

The value of good counsel The inside of The Prospector in Valdez, AK.

Supply chain challenges With even more Alaskans getting outdoors, The Prospector has had a busy year — and demand for its clothing and gear began to increase just as global supply chains were breaking down.

“That took a lot of scrambling, to get the products coming back in,” Prax said. “I’ve never seen anything like this. Just whole categories go away from vendors.”

Lead times for many items began to get longer and longer. Suppliers were canceling orders unexpectedly. And when stock was available, shipping problems caused even more delay.

Despite the adversity, Prax said he has been “lucky.”

“I have some longtime buyers and managers, and they were able to jump right on

7 | MAKING IT

things and knew what to do,” he said. “We’ve been in business a long time, so we have good relationships with our manufacturers.”

Prax’s employees — some of whom have been with the company two decades or more — have worked with their sales representatives to make substitutions and adjust orders based on availability, and business has been brisk.

“They sell bicycles and paddleboards and kayaks and stuff like that — those went very well,” said Will Stark, The Prospector’s banker at First National Bank Alaska. “This year, the challenge has been they can’t get as many as they’d like on the shelf.”

Along with watersports equipment, camp chairs have been a top seller, Prax said, something his buyers took a chance on by stocking up as soon as small outdoor gatherings began

From encouraging his employees to creating great customer experiences to bouncing around business ideas with his wife (herself an entrepreneur), Prax places a high value on the community aspects of entrepreneurship — a philosophy that also informs his relationships with vendors and partners. The Prospector has been banking with First National Bank Alaska since its second location opened in 1989, and Prax said he has come to rely on his relationship with his banker, Will Stark. “(Stark) has been just such a solid resource (for) looking at numbers and considering things,” Prax said. “He has been a great sounding board.”

Stark has helped advise The Prospector through several loans, a major construction project, and COVID, reaching out to Prax early in the pandemic to let him know how First National could help. Critically, Prax added, Stark doesn’t just rubber-stamp every idea — he offers pragmatic, realistic input.

“He doesn’t always say yes — and I’ve

seen the danger when banks don’t question anything,” Prax said. “He’s always made sure that when we got a loan, we needed it, and he’s gotten us the best terms. He realizes he’s got to look out for everybody. He’s just been a super resource for me.”

With loyal customer bases in Fairbanks and Valdez, solid advice from Stark, and demand for outdoor equipment continuing to surge, The Prospector is looking at another banner year in 2021. Prax doesn’t take success for granted; he knows this has been a tough time for many small businesses, and he is learning from the curves that have been thrown his way. After navigating the supply challenges of 2020 and 2021, The Prospector’s buying strategy will probably change for good.

“We used to order smaller amounts more frequently,” Prax said. “I think we’re going to have to do a better job of planning and keeping an eye on suppliers.”

While things may change behind the scenes, there’s one thing that won’t go away: The Prospector’s dedication to giving customers a top-quality shopping experience.

“Sometimes in a small town, you can think that you don’t have competition because there isn’t someone across the street,” Prax said.

“More than ever now, obviously, you can get just about everything online. Whatever we can do to take care of the customer coming through the door, we have to focus on that.

What’s the Google review they’re going to leave?”

ChangingTires, Changing Hands ALYESKA TIRE ENTERS ITS SECOND GENERATION OF CARING FOR CARS, TRUCKS — AND PEOPLE. Wheels and tires, fan belts and brake pads — automotive services are Alyeska Tire’s bread and butter.

But the company’s true passion isn’t cars and trucks — it’s people, especially the dedicated employees who keep its shops firing on all cylinders.

“We are a business that concentrates on people,” said Craig Wortham, who co-owns Alyeska Tire with his wife, Bethany. “We pride ourselves on being a place for an individual to thrive and blossom into the best version of themselves.”

It’s a commitment that goes beyond snow tires and oil changes and one that is now two generations strong.

An accidental success Alyeska Tire was established “quite by accident,” according to Wortham. When his parents, Jerry and Carla Wortham, opened a used car dealership and auto parts store in Kenai in 1978, they were “looking for an opportunity for their young family and a way to leave their mark,” he said.

“They buckled down, raised their three boys, and built one of the most successful tire companies in the country,” Wortham said. Today the business has eight locations spanning Alaska’s road system, providing tire sales and automotive repair from Fairbanks down to Homer.

Craig Wortham joined the family business shortly after returning home from Boise State University. He came back to Alaska planning to be a teacher. While job-hunting, he agreed to fill in at the Soldotna store, which had recently lost its manager.

“After 12 months, I had doubled the sales in that location and found myself enjoying the challenge,” Wortham said. “One year led into two, and the successes continued to build. I found a passion in the people, both customers and employees, and never really looked back.”

Today, he and Bethany own and operate Alyeska Tire. While the business has grown, expanded, and changed hands from one generation to the next, one thing has stayed constant: An emphasis on people over profit.

Carla and Jerry Wortham, founders of Alyeska Tire, stand alongside their son Craig and his wife, Bethany, who together own and operate the company today.

MAKING IT | 8

Alyeska Tire has locations up and down the highway system, including this one at 9360 Old Seward Hwy, Anchorage, AK. Photo provided by Alyeska Tire, courtesy of Arm Creative.

‘It’s all about relationships’ Passion for people is at the heart of Alyeska Tire’s success, said Tim Redder of First National Bank Alaska, who has been the company’s banker since 2007. It’s a value First National shares with the Wortham family.

“They put their employees first,” Redder said. “They wholeheartedly believe in taking care of their employees, paying their employees well for the work that they’re doing, and as such, their employees have longevity and loyalty to the company.”

To both generations of Worthams, running the company has been about more than financial gain.

“Profits are secondary to the human aspect of building a successful business,” Craig Wortham said. “It’s about relationships and trust.”

With locations up and down the highway system, a good customer experience hinges on positive interactions with employees. Along with competitive salaries, Alyeska Tire offers a bonus program that gives employees a stake in the business’ success each year.

“The people of Alyeska Tire are the heart and soul of who we are,” Wortham said. “They define us. We believe that they invest in our company by dedicating their time and energy to our success. In turn, we feel it’s important to invest in them.”

People-first in a pandemic Last year, investment in its employees took on new meaning as Alyeska Tire went the extra mile to ensure a healthy working environment during the COVID-19 pandemic.

“The safety and the well-being of their employees was first and foremost,” Redder said.

Alyeska Tire adopted a company-wide set of safety protocols by requiring face masks, adding new stanchion stations for social distancing, closing for sanitizing after potential workplace exposures, and increasing paid employee sick leave.

“When the COVID-19 pandemic began, we understood that we needed to provide a clean and safe place for our communi-

9 | MAKING IT

Photo provided by Alyeska Tire, courtesy of Arm Creative. ties to service their vehicles,” Wortham said. “As a company who prioritizes the person over profits, it wasn’t difficult to decide to be COVID-safe.”

In the beginning, he added, it was something of a challenge to get employees accustomed to wearing masks every day. That all

changed when the company came face-to-face with the impact of the virus.

“After losing a treasured employee to COVID, it became obvious to the staff what the right thing to do was,” Wortham said.

At times, that has meant standing firm with some

customers who have disagreed with the new safety measures.

“We have been called all kinds of names and have been the recipients of some brutal exchanges,” he said. “With that said, we are very proud of our stance and our attempt to be good stewards in the communities we do business. We have had some very positive experiences too, and some sincere exchanges of thanks and appreciation. Our values and our company culture (have) helped us persevere, and I believe Alaska appreciates our efforts.”

As an Alyeska Tire customer himself, Redder said he now makes an extra effort to let the employees know he appreciates the concern for his health and safety.

“When I go in, the employees welcome you, they’re positive; they’re smiling,” Redder said. “I would never know if they’re stressed out.”

That genuine sense of happiness, he added, speaks to the Wortham family’s multigenerational commitment to taking care of the people who work at Alyeska Tire. Redder recalled a recent conversation when he posed a question to Wortham: What motivates him to get up every morning and run his business?

His answer: He is committed to ensuring that his employees can take care of their families.

“He said, ‘Tim, I get to put hats, coats and gloves on the kids of every single one of my employees,’” Redder said. “At the end of the day, they’re a successful company, they’re a profitable company, and it has been that culture that has helped them grow as they have.”

A new generation Having spent his career working alongside his parents and spouse, Wortham is well acquainted with the challenges and rewards of running a family business.

“Time has taught us to appreciate one another’s strengths and weaknesses,” he said. “We have helped each other become better. There is not much more rewarding than sharing success with those you cherish.”

This year, Alyeska Tire went through the most significant evolution since it first expanded beyond the Kenai-Soldotna area.

After 43 years at the business’ helm, Jerry and Carla Wortham stepped down to enjoy a well-earned retirement, and Craig and Bethany Wortham took on the mantle of full ownership.

Running a family business is one thing, and selling it is quite another, even when the sale stays in the family. To help navigate the surprisingly complex process of handing off the company, the Worthams turned to Redder and his team at First National Bank Alaska.

It’s the customer service and the relationships that really set a bank and a banker apart.

“From our perspective, it was quite a bit of work that we were happy to take on,” Redder said. “As a banker, I did what was best for both the buyer and the seller.”

That meant using a multipronged approach. The team included multiple representatives from First National, Alyeska Tire’s attorney and accountant, and the junior and senior Wortham couples.

“Whenever we at First National work with a customer, of course, we’re not just looking at a loan or a deposit,” Redder said.

“We’re looking holistically in order to add value for our customers.”

As a community banker who has relationships with his customers personally and professionally, Redder said he feels a particular responsibility to make sure First National is taking the best possible care of all the businesses and individuals it serves.

“It’s the customer service and the relationships that really set a bank and a banker apart,” Redder said.

The sale ultimately took more than a year to complete — and while it may have been complex for the bank, it felt seamless to Craig Wortham and his family.

“The process was painless, especially considering the scope and size of the transaction,” Wortham said. “I am not sure they could have made the process any easier.

For them, it was clear it was about us and our business and the long-term viability of a mutually beneficial business relationship.”

Critically, he added First National — which is preparing to celebrate 100 years of shaping tomorrow for Alaska families and businesses in 2022 — understood the importance of setting Alyeska Tire up for continued growth and success in its second generation of ownership.

“To build what we have built, and to do it with the people you love, that is quite an achievement,” Wortham said. “We are very proud of being able to extend the legacy for another generation.”

After 43 years of running Alyeska Tire, Jerry and Carla Wortham retired, leaving the business in the new ownership of Craig and Bethany Wortham.

Alyeska Tire attributes much of its success to its multigenerational commitment to taking care of the people who work at the company. “It’s about relationships and trust,” Craig Wortham said.

MAKING IT | 10

Helping you succeed is at the heart of everything we do at First National. Since 1922, we’ve helped Alaskans move into a dream home, send kids to college, open new businesses and plan for comfortable retirement.

years 1922-2022

Our focus has always been about looking forward. With a century of local experience, innovation and community investment, we’re here for the long haul to meet the financial needs of Alaskans when it matters most.

Here’s to working together to shape a brighter tomorrow for the next 100 years.

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Shaping Tomorrow