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MAY 2014
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Contents
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Calendar
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Q&A with Montgomery Police Chief Kevin J. Murphy
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DAS North America expands at a rapid pace
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River Region Freedom Park donations support military families
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Eggs & Issues with Sen. Jeff Sessions
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Reporter’s Notebook
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The “Super Six” students begin classes at Montgomery Regional Medical School
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Charles Jackson receives the Young Professional of the Year award
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Missouri company buys Alagasco
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Investor Profile: BlueCross/ BlueShield of Alabama
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Montgomery Chamber of Commerce Convention & Visitor Bureau is key in the city’s travel industry
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Jones School of Law Clinics awarded the Unity Award
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Sadie’s Global Travel provides vacation customization
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Member Profile: Montgomery Academy
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Business Buzz
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Members on the Move
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Ribbon Cuttings & Ground Breakings
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New Members
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Economic Intel
May 2014 Montgomery Business Journal
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THE NUMBER ONE BUSINESS SOURCE FOR MONTGOMERY AND THE RIVER REGION PUBLISHER
Randall L. George EDITORIAL
Tina McManama David Zaslawsky Lashanda Gaines Melissa Bowman DESIGN
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Linda Drumheller 334-240-9494 mbjsales@montgomerychamber.com Montgomery Business Journal c/o Montgomery Area Chamber of Commerce Post Office Box 79 41 Commerce Street Montgomery, Alabama 36101 Telephone: 334-834-5200 Fax: 334-265-4745 Email: mbj@montgomerychamber.com www.montgomerychamber.com/mbj The Montgomery Business Journal (USPS NO. 025553) is published monthly except for the combined issues of June/July/August and November/December, by the Montgomery Area Chamber of Commerce, 41 Commerce Street, Montgomery AL 36104, (334) 834-5200, www.montgomerychamber.com. Subscription rate is $30 annually. Periodicals Postage Paid at Montgomery Alabama, 36119+9998, USPS NO. 025553. Volume 6, Issue 5 POSTMASTER send address changes to Montgomery Business Journal, c/o Montgomery Area Chamber of Commerce, P.O. Box 79, 41 Commerce Street, Montgomery AL 36101, or email mbj@montgomerychamber.com. The Montgomery Business Journal welcomes story ideas from its readers. Email to: editor@montgomerychamber.com. Subscriptions are a part of the Montgomery Area Chamber of Commerce dues structure. Subscriptions can also be purchased for $30 per year at www.montgomerychamber.com/mbjsub.
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Montgomery Business Journal May 2014
Thinking global. Banking local.
Ann Sadie Osten, President of Sadie’s Global Travel with her private banker, Polly Hardegree of River Bank & Trust.
Going further and providing service that’s world-class. It’s a passion we share with our business clients at River Bank & Trust. From managing every
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Calendar Montgomery Area Chamber of Commerce Events
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JUNE 60 MINUTE COFFEE Sponsored by Alabama Artificial Limb & Orthopedic Services (AALOS) 8 AM @ Montgomery Antiques & Interiors 1955 Eastern Boulevard, Montgomery Free event, exclusively for Chamber Members ALABAMA UPDATE Presenting Sponsor: Beasley, Allen, Crow, Methvin, Portis & Miles, P.C. 11 AM @ Embassy Suites Montgomery Hotel and Conference Center 300 Tallapoosa Street, Montgomery Registration: montgomerychamber.com/ALupdate BUSINESS PLANNING SEMINAR Business Basics Presenting Sponsor: BWS Technologies 4 PM @ Small Business Resource Center 600 South Court Street, Montgomery $10 at the door
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BUSINESS AFTER HOURS Sponsored by New Park Development 5 PM @ New Park Pool 1507 Morningside Park Drive, Montgomery Free event, exclusively for Chamber Members
Montgomery Business Journal May 2014
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IT FORUM Presenting Sponsor: Ken Heitkamp Consulting 11:30 AM @ Capital City Club 201 Monroe Street, Montgomery Registration: montgomerychamber.com/IT_forum
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60 MINUTE COFFEE Sponsored by The Grandma Home House Retreat 8 AM @ The Grandma Home House Retreat 386 Old Campbell Road, Pike Road Free event, exclusively for Chamber Members MILITARY FAMILY APPRECIATION DAY AT THE ZOO Presenting Sponsor: Capitol Chevrolet 11 AM @ Montgomery Zoo 2301 Coliseum Parkway Montgomery Free with Military Identification BUSINESS AFTER HOURS Sponsored by Spa at Montgomery 5 PM @ Renaissance Montgomery Hotel & Spa 201 Tallapoosa Street, 8th Floor, Montgomery Free event, exclusively for Chamber Members
BUSINESS PLANNING SEMINAR Business Basics Presenting Sponsor: BWS Technologies June 2nd & 16th 4 PM @ Small Business Resource Center 600 South Court Street, Montgomery $10 at the door
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MBJ: How many employees in the Montgomery Police Department? Murphy: About 720. MBJ: What is the operating budget? Murphy: Currently about $53 million. MBJ: How many homicides are there through March 16 vs. March 2013? Murphy: Three homicides – two were murders and one was self-defense. MBJ: How many homicides were there through March 2013?
Kevin J. Murphy is the Montgomery Police Department chief.
Murphy: There were 15 through this time last year. MBJ: Please talk about the misconceptions of Montgomery’s crime rate and how it is safer than neighboring cities? Murphy: This graph represents a 20-year span of part one crimes for the City of Montgomery.
A SAFE CITY Q & A WITH POLICE CHIEF KEVIN J. MURPHY Kevin J. Murphy is the Montgomery Police Department chief. He was recently interviewed by the Montgomery Business Journal’s David Zaslawsky. Montgomery Business Journal: What are your responsibilities as police chief? Murphy: I’m the top administrator for the police department. I oversee daily operations; crime issues; community relations; and internal matters of the police department.
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Montgomery Business Journal May 2014
MBJ: What are part one crimes? Murphy: It’s what you consider major crimes: homicide, aggravated assault, rape and felonies like burglary, felony theft, auto theft. These are considered serious crimes. (In 2013,) we fell below 10,000 part one crimes. When I saw that number I started doing some research. I found that the last time the City of Montgomery fell below 10,000 part one crimes was in 1984 – this is the first time in 30 years. Although Montgomery had an exceptionally high year in violent crime; overall crime was down significantly. MBJ: What was the worst recent year for part one crimes? Murphy: In 2002, we had the highest crime during (a) 20-year period starting from 1993 to 2013. We had 16,576 part one crimes. When we fell below 10,000, I thought that was a pretty phenomenal decline. MBJ: What do you attribute that to? Murphy: Crime in the United States has been falling. We have been following the national trend. I can’t say that Montgomery is the exception to the rule – that we’re the only city that’s seeing these results. It’s pretty universal in the country.
MBJ: How would you characterize Montgomery? Murphy: Everything you do in crime analysis is comparative in nature. You compare your crime statistics – your crime numbers today to yesterday; this week to last week; this month to the previous month; you compare by years. It’s a report card on where you’ve been. When you start looking at the numbers the way you compare your city is to cities with like populations. If you look at Montgomery compared to cities close to our population like Little Rock. Ark., our crime rates are much lower here than they are in Little Rock. But you’re also going to find cities of like size in the country that have better numbers than us. We usually fall within the pretty high percentile of having a low crime rate. Montgomery is a safe city. MBJ: When you say that you are looking at the data to back it up. Murphy: Every month except August 2013 (had fewer crimes) than the year before. MBJ: The number of crimes was less in 2012 than 2011 and 2013 was less than 2012 except August. Do you expect this trend to continue? Murphy: It won’t go down forever. MBJ: Will it continue to decline for a few more years? Murphy: It’s hard to say. Criminologists and sociologists have a very difficult time in predictive analysis. The abatement of crime in the late 1990s and early 2000s – no one saw it coming. No one was able to predict it. We don’t know where it is going to end up. MBJ: After last year’s high number of homicides – the most in 30-plus years – there were a lot of different things the department was doing. Please talk about some of the newer initiatives and are those some of the reasons for the reduction in the number of homicides?
Murphy: There are two ways to combat it: short-term initiatives and long-term initiatives. The short-term initiatives are easy to formulate and put into play. You can look at the CompStat report, a weekly analysis. These weekly reports give the numbers that show any increase or decrease in crime. It breaks the city down by precinct; breaks it down by district; and even to the street and specific address. We do this every week. It gives the management here the opportunity to put resources of personnel in the hotspots. We don’t wait for this weekly report to come out before (we) start to react to the problem. You put your resources where you have a lot of activity. The following week when this report comes out you will see a reduction. MBJ: After you remove those resources, is there an increase in crimes? Murphy: Yes. It’s a push-pull thing. You don’t put all your resources in an area where they’re not necessarily needed. We’ll go into an area and get some semblance of control. With crime – you’re just going to manage it. You are never going to totally control it. You have to be careful the way you apply your resources because you can overextend in one area and cause a gap in another. This gives commanders in the field the ability to identify problems and address them before they get out of control. MBJ: What are some of the initiatives the department is using? Murphy: In this area (pointing to a map), there are bike officers, some undercover; maybe just an added, visible uniform presence. You might have some drug activity. Let’s say this map shows several car break-ins. We also have something called an arrest bulletin that shows every arrest that’s being made in this
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CONTINUED ON PAGE 10 May 2014 Montgomery Business Journal
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area. You can see by the legend on the arrest bulletin (the type of arrest). You can superimpose the arrest bulletin on top of part one crimes and see where (someone) was arrested for possession of crack cocaine in the same area you are experiencing an inordinate amount of car break-ins. (The individual) is on probation; he is a junkie; he’s unemployed. It’s not hard to figure out who is breaking into your cars. He doesn’t have a job so how is he supporting his drug habit. There have been instances where we pulled prints from the card and matched them up to the burglaries in the area. This is a scientific way of doing things. We’ve actually cleared cases using this technology. It’s good stuff. There’s definitely a science to it. MBJ: Are there other short-term initiatives the department is using? Murphy: The DART team – direct area response team. It’s a specialized unit that is fast-moving. They’ve made a lot of illegal gun seizures; stolen guns; a lot of drug arrests. They go into a neighborhood very swiftly and really gain control of a problem very fast. There has been data that’s shown that 65
To me, it’s the holistic approach – the parents need to be involved and they need to be counseled and treated. - Montgomery Police Chief Kevin J. Murphy
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Montgomery Business Journal May 2014
to 70 percent of people committing felony crimes already have misdemeanor papers on them. In other words, have a warrant for their arrest for a misdemeanor. So we pull a stack of misdemeanor warrants and go out and serve them. Have we prevented a crime? Have we stopped a crime from occurring? Quite possibly; maybe; we don’t know. If 65 percent of the people breaking into cars or committing felonies already have paper on them and we’re going out and serving those warrants and placing them in jail, where they’re not on the streets to commit a felony. Maybe we have caused that number to go below 10,000. A short-term initiative can be something that lasts for a day or two or a month. They have proven to be effective because they are easy to measure. MBJ: What about long-term initiatives? Murphy: The long-term initiatives take longer to measure: Operation Good Shepherd (pastors assist crime victims and witnesses); mentoring programs and that type of thing – you’re not going to know for sure whether that program is successful for years down the road. MBJ: Please talk about the Montgomery Violent Crime Commission and its impact? Murphy: It’s a multidisciplinary approach to combating violent crime. You have people in corrections, parole, the education system, medical field, mental health, school system, prosecutors and of course, the police. They take a multifaceted approach to violent crime, but again you’re not necessarily going to see the fruit on the tree for some years later. Those long-term initiatives take longer to heed any results, but you still do them. You always want a short-term concurrent with the long term. MBJ: Don’t the long-term initiatives have the potential to have a much greater impact than the short-term initiatives? Murphy: That’s right. I’m working with some of these kids and you’ve got to catch a young person very early in life and steer them away from some of those poor decisions that obviously people find themselves in when they end up on this map. You work with a child who is exposed to an environment dysfunctional with drugs; a dysfunctional home life; alcoholism; mental illness. They become a product of that environment. If you can reach out and touch these kids and be a positive influence in their lives, maybe they won’t turn to drugs, alcohol and suffer from mental illness, but you’re not going to know
that for 10 years. There are success stories out there. I think one of the challenges that we face as a community – so many of these long-term initiatives deal with young people. Here’s the problem that I’ve seen: Dispute resolution in the public school system, where they teach these kids and give them skills to deal with conflict. It’s great, but that child leaves school and goes home to that same dysfunctional environment that caused them to not be able to deal with frustration. MBJ: You’re saying that the dispute resolution techniques learned at school are not reinforced at home. Murphy: They’re not. The parents need to be going to the school classes, too. To me, it’s the holistic approach – the parents need to be involved and they need to be counseled and treated. MBJ: Hasn’t the community become more and more engaged about violent crime last year with the high number of homicides? Murphy: I think they did to a certain degree. When it comes to this type of phenomenon, people have a very short memory. Now that we’ve suffered only two homicides (through
late March) in 2014, people have a tendency to go back to their comfort zone. My fear is that there are just going to forget about 2013. Things are OK now. Somebody may say at the end of the year: ‘we just had X amount of murders, which isn’t so bad.’ Let’s say we have only 20 homicides in 2014. Is 20 acceptable? Fifty was certainly not. Again, people fall into a sense of comfort. The year before we had 33 murders. I guess that seemed to be OK because nobody got up in arms about it, but that’s 33 families who lost a loved one whose life was abruptly ended. MBJ: You told WSFA 12 News: “I think we’ve gotten away from the personal aspect of the victims. These are people with families, names and faces and we have to get back to the human side and figure out why this is happening.” How do you get the community to view the victims as people? Murphy: People tend to depersonalize crimes of violence. You read it in the paper or you see it on the news – an extraordinary act of violence in another state; another city. You think, ‘Wow, that’s terrible.’ People depersonalize in our society violent crime. They see it on TV; they see it in the movies and it’s just not real to them.
MBJ: You don’t think of the victims as real people. Murphy: Right, but when it starts to become your community and your city it makes something very depersonalized – very personal. I had a psychiatrist tell me once that someone mentioned what were they (criminal) thinking? He made a good point – it’s the absence of thinking. MBJ: The mayor said that last year’s Centennial Hill Bar & Grill shooting on Highland Avenue that left three people dead was a turning point for the community. What was the impact? Murphy: We just said a moment ago that people get back to their comfort zone. I think you saw a definite reaction to the Centennial Hill case. Before, in some of the homicides we experienced there was a question of where’s the rage; where’s the outcry; where were those who were going to say we’ve had it and this has gone too far? I think we saw that with the Centennial Hill case. MBJ: Was there a turning point because a female college student, who was a bystander, was slain? CONTINUED ON PAGE 12
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Murphy: It could be. I saw some of that. People become enraged, but the problem is the sustainability of that. People burn out quick; they get on with their lives. I think her death was … she was just in the wrong place at the wrong time.” MBJ: Would you please talk about victimology. Murphy: You’re looking at some lifestyle choices … are you safer in your living room and with your family or are you less safe in a bar surrounded by alcohol and drugs? There are certain rates of risks involved in some lifestyle choices. Do you use drugs? Do you sell drugs? Do you engage in prostitution? Are you a habitual alcoholic? Do you have multiple sexual partners? Do you engage in criminal activity? As a subset or subgroup or a group, criminals have the highest incidence of crime victimology than any other subset. MBJ: They are hanging out with other criminals and turn against each other. Murphy: Yes, thank you. These types of lifestyle choices have an impact on whether or not you’re going to be a likely victim of a crime.
MBJ: I did see your presentation on victimology and I remember if someone had a job; was a homeowner; monogamous; did not abuse drugs or alcohol, the odds of being a crime victim were nearly nil. Murphy: We’re not saying the random victim does not happen, but they are the exception. We’re talking about violent crime. Anybody can be the victim of a property crime. If you look at the 50 homicide victims from last year, more of them than not fell into one or more of these categories and some of them fell into several categories. I can remember one mother of a victim telling the detectives, ‘I just knew it was a matter of time.’ She knew her son was hanging around with the wrong crowd; engaged in the wrong activity; and he ended up getting killed. We had one homicide last year where these two guys go and rob someone and started arguing over the proceeds of the crime. And one of them shot and killed the other one. Risk or risk factors go into play. Most victims of violent crime know their perpetrator and a lot of them fall into these categories.
local news. It’s not news that there were no murders. How do you overcome that? Murphy: If it bleeds it leads – that’s an old newspaper thing. It’s sensational. I’ve had people tell me that ‘I’m moving to Pike Road’ and that’s fine. You’re still going to have to buy an alarm for your house. You’re still going to have to have dead-bolt locks. You’re still going to have to have some security measures. You can’t completely protect yourself from being a victim of a crime. You can take certain measures to try to mitigate it like getting an alarm system, getting a privacy fence, getting a dog and getting a camera system and deadbolt locks; having a wireless alarm system where if they cut the phone line it’s still going to the alarm company. If you move to Pike Road, you’re still going to have to do these things. You’re also going to have to consider the response time by the county deputies is going to be a little slower than in the city, where there are more officers per capita and shorter distance to travel to get to your house. The county has a lot further to go to get from point A to B. •
MBJ: Every time there is a murder it’s front page news or will be a lead story on the
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Montgomery Business Journal May 2014
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Once again, city, county and state officials are overjoyed that a Korean automotive company has under-promised and over-delivered. This time it’s DAS North America, a tier 2 supplier to Hyundai Motor Manufacturing Alabama’s plant in Montgomery. It’s now a question as to what degree has DAS, which produces seat components, underpromised and over-delivered.
DAS Corp. President and CEO Kyung Ho Kang spoke at the company’s grand opening for the DAS North America facility in Montgomery.
From its initial announcement, DAS officials said the company would invest $50 million in a manufacturing facility in Montgomery and create 200-plus jobs. The company’s first 60 employees were hired two years ago and the work force has grown to 193 this year. About $11.5 million of the initial investment was for a temporary facility at Interstate Industrial Park.
DAS North America expands quickly
Then at a ground-breaking ceremony in June 2013 for its plant at the Montgomery Industrial Park in East Montgomery, company officials said the work force would grow to 400 employees for the 300,000-square-foot facility. It was only fitting that at the mid-March grand opening for that manufacturing plant, company officials said the facility had been expanded to 360,000 square feet – a 20 percent increase. There’s more. That $50 million investment has surged to $86 million, including $20 million for the building. And those 400 employees will grow to 440 by the end of next year. The dynamics have changed because DAS will begin to manufacture its own parts instead of shipping them from Korea and that means buying millions of dollars worth of equipment including three massive presses.
Rapid Expansion by David Zaslawsky
photography by Robert Fouts
Another expansion is the company’s capacity, which will grow from equipping a maximum of 750,000 vehicles a year to 1 million.
work force “is a testament of what DAS North America believes its bright future to be in the State of Alabama and in the River Region.”
Even the number of acres where the facility was built increased. Montgomery Mayor Todd Strange said the original plan called for 14 acres. “As we were negotiating the contract and the incentives, they said, ‘Oh, excuse us. We’re so sorry. We need 15 more acres and we said, ‘Yes, sir. We can do that.”
The growth story is only beginning, according to James Uhm, chief operating officer for DAS North America, which supplies its seat components to Lear Corp., which then supplies the seats to Hyundai as a tier 1 or direct supplier.
The number of jobs has doubled; the land has doubled; and the company’s investment has jumped close to 75 percent from when DAS announced it was building its first North American manufacturing facility in Montgomery. Alabama Commerce Secretary Greg Canfield said the increased investment and
With Hyundai Motor Manufacturing Alabama’s facility in Montgomery producing about 400,000 vehicles a year and Kia Motor Manufacturing Georgia building another 350,000-plus vehicles – DAS seat components will be in the Sonata as well as the Santa Fe and Sorento in Georgia. Uhm said the facility is “a perfect location” – 20 miles from the Hyundai plant and 75 miles from the Kia site. DAS CONTINUED ON PAGE 16
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Montgomery Business Journal May 2014
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CONTINUED FROM PAGE 14
will supply seat components for 575,000 vehicles by next March, according to Uhm. That still leaves another 250,000 to 300,000 vehicles that DAS will be able to equip and the company is looking to supply automotive plants in Mississippi, Tennessee and even Michigan, Uhm said. The company owns an adjacent lot for future growth and there is
plenty of room to add a building. Uhm even pointed out the available land during a guided tour of the new facility. DAS North America could someday have between 1,000 and 2,000 employees, Uhm said. The company is already three years ahead of its timetable, according to Uhm. He said annual sales are expected to grow from
$121 million in 2014 to $190 million next year and $240 million in 2016. “Every time that you talk about the dollar; every time you talk about the investment; every time that you talk about the sale – is just music to our ears because the cash register is ringing,â€? Strange said. “Anything good for you is bringing good for the city, the county and the citizens of this great River Region.â€? The seat components enable the seat to recline, move forward and back as well as up and down and tilt. Some seat components had been sent to Lear before the grand opening. DAS Corp. President and CEO Kyung Ho Kang said, “It’s truly an honor to be here today for the grand opening of the new DAS North America plant. We are extremely happy that all of you (are here) today to celebrate with us this joyous occasion.â€? •
Company officials and elected leaders were among those attending the grand-opening ceremony for DAS North America’s plant at Montgomery Industrial Park.
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Montgomery Business Journal May 2014
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PARTNERSHIPS REALLY DO MATTER by David Zaslawsky
When DAS North America had an issue, Montgomery County Commission Chairman Elton N. Dean Sr. stepped in and resolved the matter with a phone call. When he tells a company coming to Montgomery or an existing company expanding that the county is a partner, he means it. It’s not just a good line at a news announcement. It matters. Now that puts into perspective what he told DAS North America officials at the company’s grand opening, including the top executive of the parent company, DAS Corp. “We have to make sure that you are successful,” Dean said. “We recruited you here. We’re not just going to leave you standing. We are going to be that extended family that helps you be successful. “We talked about customer satisfaction last night at dinner. You are our customer. You will always be our customer, but you are being
elevated today as a member of our family – our true family – a family that we want to continue to invest in you and you in us.” The company’s new $20 million facility is located at the county-owned Montgomery Industrial Park, which is part of Commissioner Reed Ingram’s district. He said, “I’ll tell you, we’re not just going to be a family – we’re going to be a team member with you. We really welcome you to Montgomery County and anything that we can do to help you – we’re not behind you, we are shoulder-toshoulder; side-by-side.” DAS North America, which builds seat components, is a tier 2 supplier to Hyundai Motor Manufacturing Alabama’s plant in Montgomery and the Kia plant in West Point, Ga. DAS North America supplies Lear Corp., which sends parts directly to the automakers as a tier 1 supplier. DAS Corp. President and CEO Kyung Ho Kang talked about those all important partnerships. “This is without a doubt an important breakthrough for DAS together in partnership with the city and the county of Montgomery. With the continuing partners of the city and the county we are confident that
… this manufacturing facility (will) have the support of very important customers, which (are) mainly Hyundai and Kia as well as other OEM (original equipment manufacturers) and tier 1 partners.” Alabama Commerce Secretary Greg Canfield also talked about the partnerships. “The State of Alabama and Gov. Robert Bentley are very happy to be a partner in this. We stand committed to continue this partnership and to support DAS North America so that your future endeavors in the State of Alabama will be very successful.” Montgomery Mayor Todd Strange said, “It is about the togetherness; it is about partnerships. He talked about the Commerce Department’s involvement in the project as well as the Montgomery Area Chamber of Commerce and the Alabama Department of Economic and Community Affairs, which provided a $200,000-plus Community Development Block Grant for infrastructure. DAS North America Chief Operating Officer James Uhm said, “It has been wonderful working with the city and the county and the chamber of commerce.” •
Palomar insurance
May 2014 Montgomery Business Journal
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schedules. And to see it come to fruition and have a very happy client – it’s just a sense of accomplishment.” When Alabama’s Commerce Secretary Greg Canfield said that it was “a very short period of time” to build DAS North America’s 360,000-square-foot facility in nine months, he may have been understating the obvious. Even the DAS Corp. chairman and CEO noted the quick turnaround from the groundbreaking. “It was only nine months ago that we all stood here…” Kyung Ho Kang said at the opening ceremony. Travis Marshall is a partner at Marshall Design-Build.
GROUNDBREAKING ACHIEVEMENT by David Zaslawsky photography by Robert Fouts
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Montgomery Business Journal May 2014
It is a miraculous feat and accomplishment by Marshall Design-Build, a local company. “That you can actually get something like this done in such a short time frame makes you proud,” said Travis Marshall, a partner at Marshall Design-Build along with his father, Mitchell Marshall, and a brother, Chet Marshall. “You do become emotionally involved in it,” Travis Marshall said. “It’s certainly a sense of accomplishment when you work as hard as everybody has worked. You’re working weekends. You’re working late at night to get these things done to meet their
From the start this was a Herculean task with a tight deadline from DAS North America, because the seat component manufacturer had to meet the production schedules of the Hyundai Motor Manufacturing Alabama plant in Montgomery and the Kia plant in West Point, Ga. “If we don’t finish then they (DAS North America) have to get a jumbo jet and ship parts from Korea until we can finish,” Travis Marshall said. “And you can imagine what it costs to ship parts on a jumbo jet from Korea to America.” Meeting those production goals meant “millions and millions and millions of dollars” for DAS, according to Marshall. Time was definitely an enemy for Marshall, but the weather turned out to be the major obstacle. Not only were there rain days, but Montgomery had snow and ice. “It seemed like it rained two out of seven days and three out of seven days,” he said. Without the adverse weather, the project might have been finished earlier. “It very well could have been done in eight months if we had not had the
amount of lost work days due to the weather,” Travis Marshall said.
things out the door so that we can begin construction,” Travis Marshall said.
DAS NORTH AMERICA FACILITY
How did Marshall Design-Build finish the massive project – the second largest it’s done, next to the 500,000-square-foot facility for Hyundai supplier SMART Alabama in Luverne? Marshall said that working 12-hour days, seven days a week “is the only way” to complete this type of project in such a short time span.
The company uses different teams of consultants for different projects, and in this case, for an industrial project – there was one architect and six engineers on the team, which is coordinated by Marshall DesignBuild. This team is accustomed to “the fast-paced nature of the industrial-type work,” Travis Marshall said. The team members “know exactly what we want and they know what to expect.”
60,000 CUBIC YARDS
There are, however, two other critical factors: the design-build concept and basic communication to make sure all the sub-contractors are on the same page with Marshall Design-Build, which was the project’s general contractor. The bottom line with the design-build concept is implementing the plan while developing the plan. Dirt is moved before the architectural plan is completed. Structural steel was ordered long before it was needed. Construction starts before the detailed office finishes of carpet, paint and door hardware have been fully designed. This project “requires even at the design stage working at a very fast pace to get
That was long, long days. There was work done at night. And there were weekly meetings lasting up to 1 ½ hours with 20 to 30 people. “The weekly meetings are a must for a project like this so that everything stays on track,” Travis Marshall said. Although the company has been working with Korean clients for a decade, the DAS North America facility is a highly visible project. “We’re going to do a good job for anybody regardless, but because it’s such a highprofile job, it just adds to the pressure to do it; and do it right; do it on time; and to have a happy client.” •
CUT AND RE-COMPACT ONSITE SOILS OFFSITE FILL MATERIALS
117,345 CUBIC YARDS
SOILS’ MATERIALS
201,156 CUBIC YARDS CONCRETE
15,638 CUBIC YARDS STRUCTURAL STEEL AND REBAR
772 TONS
SKILLED WORKERS WORKING 10- TO 12HOUR DAYS SIX TO SEVEN DAYS A WEEK
MORE THAN 130
AVERAGE NUMBER OF WORKERS PER DAY DURING THE PRIME TIME OF CONSTRUCTION
66
Source: Marshall Design-Build
May 2014 Montgomery Business Journal
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(BRAC) action, which could occur in 2017, according to Greene.
Freedom Park now under construction at Maxwell Air Force Base will be used by important people – airmen and their families. “We all know how important it is to support the military families,” said Joe Greene, vice president, Military and Governmental Affairs for the Montgomery Area Chamber of Commerce. “This (park) shows our gratitude and appreciation for what they do to protect the freedoms we all enjoy and for us to show gratitude for their sacrifices and for what they contribute to the community both socially and economically.”
FREEDOM PARK DONATIONS SUPPORT MILITARY FAMILIES by David Zaslawsky photography by Robert Fouts
The almost $500,000 Freedom Park is a big deal and in need of additional funding to complete the project. “We don’t want this to be constructed over a long period of time,” Greene said. “We would like to get it completed by the summertime so it could be used. There is a sense of urgency for us to be able to raise the money needed to complete the park because (it) is already under construction.” The 3.5-acre park features playgrounds, barbecue facilities, restrooms, pavilions, soccer field, walking track and eight exercise stations. “A project of this type and scope requires some time to inform a large enough donor base to be able to get to your goal,” Greene said. “It’s constantly informing people of the importance of the park and how it relates to maintaining and sustaining Maxwell Air Force Base in Montgomery.” Greene earlier said that Freedom Park is a “premier project” of the P4 initiative (publicpublic and public-private partnerships). Those partnerships can help protect the base if there is a Base Realignment and Closure
“These kinds of projects are very important for protecting and preserving the base,” Col. Trent Edwards he told the Montgomery Business Journal. “The more partnerships and projects like this we can have whenever they start looking at these bases for closures, the better protected we will be.” At a groundbreaking ceremony earlier this year for Freedom Park, Col. Trent Edwards, 42nd Air Base Wing commander who oversees Maxwell and Gunter Annex, said, “Freedom Park will be the central family area for Maxwell Air Force Base – visible to all who enter the front gate and traverse down Maxwell Boulevard (as) a symbol of the River Region’s appreciation of its military and the military’s appreciation of the citizens we protect and defend.” He said the park “will ultimately symbolize the incredible relationship we have between the military and the local community, because this isn’t something they have to do. This is their way of saying thank you to the men and women that serve this great nation.” Montgomery Mayor Todd Strange said at the ceremony: “I know that this park will be a wonderful opportunity for military families to enjoy and always remember the River Region and the partnership that it represents.” • HOW TO CONTRIBUTE Checks should be made out to the Montgomery Area Chamber of Commerce Foundation. The address is P.O. Box 79, Montgomery, AL 36101. For information, call the foundation at (334) 240-9423. All donations are tax deductible.
The Foundation has long supported projects that enhance education and quality of life in the Montgomery area, while preserving and promoting the unique history of our city. Freedom Park is a project that fulfills each of those tenets, enriching the lives of service men and women while honoring Montgomery’s unique legacy as the birthplace of civil aviation.
Cyber Security Could Secure More Jobs Sessions praises facilities at Gunter Annex
Sen. Jeff Sessions expects more and more funding for cyber security and both the state and Montgomery are well positioned to gain a share of that additional spending, which will create jobs. The state is poised to gain cyber security projects because of a “consortium of universities” in Alabama and Montgomery as well as “great facilities” at Gunter Annex, Sessions said. “We are excited about the work at DISA (Defense Information Systems Agency),” Sessions said, referring to the facility at Gunter Annex. “We keep seeing that expand significantly.” He also noted that DISA is one of eight Core Data Centers for the Defense Department. Earlier this year, a facility at Gunter Annex received $10 million for software security and Sessions, R-Alabama, said, “We hope that’s just the beginning of our expansion. We’re going to have to do more with cyber security.” The three-term U.S. senator, who is running for re-election this year, said he will try to secure $9 million for a new control tower at Maxwell Air Force Base, but it’s a long shot because earmarks have been eliminated. Sessions is not so sure getting rid of earmarks was a good thing and the Maxwell control tower project has to compete with thousands of other projects. He insisted it’s highly unlikely for a future Base Realignment and Closure Commission (BRAC). “We are going to have belt-
by David Zaslawsky
tightening throughout the Defense Department and it’s probably going to impact us here in a lot of ways,” Sessions said at the Montgomery Area Chamber of Commerce Eggs & Issues at the RSA Activity Center. He expects the defense budget to actually increase $13 billion a year – a 2.5 percent growth rate – for six years beginning in 2016. He had harsh words about the country’s debt and said there were several “simple” things to do to jumpstart the economy. Sessions warned that the national debt is projected to reach $25 trillion over the next 10 years and if interest rates, which are at historic lows, climb back to the anticipated level of around 5 percent, the annual interest on the national debt will rise from the current $211 billion to an unsustainable $880 billion. That is more than the current budgets for defense ($500 billion-plus) or Social Security ($700 billion) or Medicare ($500 billion). “You cannot borrow your way to prosperity,” said Sessions, who is the ranking member of the Senate’s Banking Committee; senior member of the Armed Services Committee; and a member of the Judiciary Committee and Environment and Public Works Committee. “We need to do better. We can do better.” His suggestions for doing better are: > Increasing natural gas and oil production on federal lands and offshore areas.
> A “flatter, simpler, progrowth tax policy.” > A “trade policy that more effectively defends American business and workers.” > Reducing the number of people who have “become dependent” on government programs and are not working. > Consolidating the myriad job-training programs. > Creating a “lawful system of immigration that serves the national interest.” > Balancing the budget “in at least 10 years.” Sessions said “if you tax more; regulate more; line up more debt; more health care – those things are negative, not positive. We need to reverse that trend.” If he was the chairman of the budget committee, and he could be if the Republicans gain control of the Senate in the November election, Sessions said, “There will be no room for failure – failure is not an option.” His ambitions apparently did not go any higher than that. Someone in the audience asked: “Are you going to or would you please run for president?” Sessions was caught off guard. “I’m flabbergasted that even came up. I do have one advantage over most of the candidates … I know that I’m not qualified to be president. It’s a very tough job.” •
> Eliminating “every regulation that’s not positive.”
May 2014 Montgomery Business Journal
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Reporter’s Notebook by David Zaslawsky
REINHARDT LEXUS AND TOYOTA EXPANDS Reinhardt Lexus and Toyota broke ground on an 83,000-square-foot facility and expects to add 33 employees. The former location will be home to a pre-owned vehicle facility. The new site represents a $17 million investment - $13 million for the building and another $4 million for the property. The company’s new vehicles and expanded maintenance department will be located there. The new facility will feature 42 service bays, including six for express maintenance services. The dealership is also buying an automated carwash and a mechanical waxer to eliminate the current hand washes and waxes.
DOWNTOWN LANDMARK The 104-year-old Bell Building has been sold for $3.1 million and will be developed into around 70 apartments. Located in downtown
Mike Reinhardt, general manager of Reinhardt Lexus and president of Reinhardt Motors, a family-owned business, said he projects revenue to increase 40 percent. He talked about the goal of selling 4,200 units a year. The company, which has been operating for nearly 75 years, has room for about 1,400 new vehicles, which includes property behind Capitol Chevrolet and 325 preowned vehicles.
Montgomery, the 12-story office building was sold in March by F&A Realty Montgomery Ltd. to a firm in Indiana. Mark Dauber, an associate broker with John
After the expansion, Reinhardt will have about 200 employees.
Stanley & Associates, said the buyer is seeking tax credits and that renovations could begin later this year. Dauber said the rents would be market rate. The Bell Building was the tallest building in Montgomery back in 1910 at 160.1 feet.
BUYING HOME-GROWN FOOD
BUILDING RESERVE FUND
Wind Creek Hospitality announced an initiative to use locally grown and produced food at Wind Creek properties as well as supporting food pantries and food banks in the region. The Southern Table initiative will support EAT South, which has a downtown farm.
Montgomery Mayor Todd Strange said the General Fund reserve fund has grown from $5 million to $15.1 million and is projected to reach about $25 million in a threeyear period.
Wind Creek Hospitality has bought nearly 250,000 pounds of local chicken in the last six months; nearly 50,000 pounds of catfish; and 15,000-plus pounds of locally made sausage. There is also a 24-foot-long food truck, which has been named “Good to Go” and is capable of producing hundreds of meals at a time.
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Montgomery Business Journal May 2014
MONTGOMERY IS ONE OF THE BEST FOR STARTING A BUSINESS Montgomery is ranked No. 23 on the 2014 best cities to start a business by WalletHub. The firm used 14 metrics to rank 150 cities. Mobile was ranked one spot higher at No. 22 while Huntsville was 25 and Birmingham was 31.
The 14 metrics were: access to financing; cost of office space; corporate taxes; employee availability; local cost of living; average annual salary; length of the average work day; work force education level; entrepreneurial activity; five-year survival rate; number of businesses per capita; real estate affordability; industry variety; and small business friendliness index.
THANKS FOR THE COMPLIMENTS
SAVING MONEY
A couple of years ago, Birmingham officials visited Montgomery to see the downtown redevelopment. Montgomery is still getting some official visits. Strange said that he recently met with a Huntsville group looking at downtown Montgomery, Riverwalk Stadium and the entertainment district. Officials from Biloxi, Miss., and Pensacola, Fla., have also visited downtown Montgomery. â&#x20AC;&#x153;Weâ&#x20AC;&#x2122;re getting a reputation of people wanting to see what weâ&#x20AC;&#x2122;ve done,â&#x20AC;? Strange said.
The City of Montgomery is working on reducing its power bill by first replacing light bulbs with more energy-efficient bulbs. The city did save thousands by training some of its employees to demolish dilapidated houses instead of paying a $2,500 abatement fee per house. Strange said the cityâ&#x20AC;&#x2122;s work force is down about 10 percent from when he took office in March 2009. He attributed most of the reduction to not filling positions and consolidations.
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May 2014 Montgomery Business Journal
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TALKING TRADE U.S. Sen. Jeff Sessions, R-Ala., said that GOP presidential nominee Mitt Romney spoke about the dangers of a trade war. “We’re in a trade war now and we’re just not fighting,” Sessions said at the Montgomery
SPRUCING UP Area Chamber of Commerce Eggs & Issues. “We’ve got too many situations in which our trade partners sell to us huge amounts and then one way or the other don’t buy from us. They should be buying from us. It will be good for them and be good for us.”
HISTORIC MONTH Although Hyundai’s U.S. sales for March were
GROWING AND GROWING
down 1.9 percent from a year ago, the 67,005 units sold were the
Alabama is ranked No. 8 in the growth of women-owned businesses – 76 percent during the last 17 years.
Korea automaker’s fifth-best month. Three of Hyundai Motor America’s top three months have been in March, including the all-time high of 69,728 vehicles sold in March 2012. The 68,306 units sold last March are No. 3 on the list. The No. 2 month is May 2013 (68,358 units) and the No. 4 is May 2012 (67,019 units).
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The City of Montgomery is spending $1.3 million on sidewalks, screening, painting and art work from St. Jude to Cottage Hill to prepare for the 50th anniversary of the Selma-to-Montgomery March next year. Strange said that 28 structures will be torn down.
Montgomery Business Journal May 2014
The state has an estimated 122,400 women-owned companies that have combined sales of $16.7 billion and have about 102,000 employees. Georgia was ranked No. 1 with a growth rate of 118 percent, according to the fourth annual American-Express OPEN State of the Women-Owned Businesses Report.
“leadership, preparation, thoughtfulness” to open a medical school while pursing accreditation, which lasts eight years.
The dean of the UAB Montgomery Regional Medical School calls the first six students to attend classes there “the super six.” Those super six are third-year students and there will be 20 more third-year students next year. “The goals of this campus will be to train medical students as highly competent as well as compassionate physicians,” said Dr. Wick Many, dean of the Montgomery regional medical school. “You can’t have one without the other.” The campus at Baptist Medical Center South, which is also home to the UAB Montgomery Internal Medicine Residency Program, will train students in the following areas: family medicine, neurology, obstetrics, internal medicine, pediatrics, psychiatry and surgery. Meanwhile, the regional medical school – there are others in Tuscaloosa and Huntsville as well as the main campus in Birmingham – is undergoing the accreditation process before opening. Dr. Selwyn M. Vickers, senior vice president for medicine at the University of Alabama-Birmingham and dean of the School of Medicine, credited Many’s
“Montgomery has demonstrated time and time again the maturity of a medical community that would not only desire to have the best care for its patients, but that next level of maturity to decide to invest the resources, time and energy to actually train the next generation of physicians,” Vickers said at a reception for the Montgomery regional medical school. “That’s an advancement in any medical community to do that and that’s something you all should be tremendously proud of. “We’re excited that our students are coming, but we’re excited first of all (about) the environment they are coming CONTINUED ON PAGE 26
Six
Super
First students attend Montgomery regional medical school by David Zaslawsky
May 2014 Montgomery Business Journal
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REGIONAL MEDICAL SCHOOL STAFF DR. WICK MANY DEAN
RAMONA HART HICKS DIRECTOR OF STUDENT AND ACADEMIC AFFAIRS
VALERIE JOHNSON TREAT Dr. Wick Many is dean of the UAB Montgomery Regional Medical School.
CONTINUED FROM PAGE 25
to. We couldn’t be prouder that they will be here in Montgomery with outstanding physicians who care first about their patients, but have now broadened their vision to care about training young physician leaders.” One of those super six is Jessica Epperson, who was born in Montgomery and graduated from Trinity Presbyterian School. “We really want to set the bar high for Montgomery and to make this campus the best in the state,” she said. Two of the goals of the regional medical campuses are to increase the number of physicians in the state and the number of primary care physicians. With Montgomery’s two residency programs, officials hope the physicians will stay and open a practice here. The Montgomery campus features a 22,500-square-foot simulation center with high-tech mannequins. “Students will spend their first day of surgery in the center’s fully equipped operating suite, learning about operating room etiquette and teamwork,” Many said in a statement. “In pediatrics, they can use a mannequin to learn to examine a newborn, which will help them get comfortable before they care for a real baby.” Many stressed that the staff will instill “a sense of social consciousness” in the medical
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Montgomery Business Journal May 2014
ADMINISTRATIVE AND FINANCIAL AFFAIRS OFFICER
CAMERON BAKER
COORDINATOR OF INFORMATION TECHNOLOGY
DR. LAMENDA BLAKENEY CLERKSHIP DIRECTOR FOR PEDIATRICS
DR. JOSEPH DESAUTELS
CLERKSHIP DIRECTOR FOR OBSTETRICS AND GYNECOLOGY
DR. VIKAS GUPTA
CLERKSHIP DIRECTOR FOR FAMILY MEDICINE
DR. JOSEPH P. LUCAS CLERKSHIP DIRECTOR FOR PSYCHIATRY
DR. DUNCAN B. MCRAE JR. CLERKSHIP DIRECTOR FOR SURGERY
DR. STEVE SUGGS CLERKSHIP DIRECTOR FOR NEUROLOGY
DR. KENNETH J. WOOL CLERKSHIP DIRECTOR FOR INTERNAL MEDICINE
students. “It is indeed a privilege to be a physician and therefore have obligations to give back to their community,” Many said. “That’s what we’d like to be endeavoring to do.” Vickers said the medical students’ “future is built on a foundation of a community that has their interest at their heart and you can’t have a better foundation to work with …” •
It was ironic that Charles Jackson was on the selection committee for the Young Professional of the Year Award. Jackson said he declined when someone tried to nominate him for the award because he was serving on the selection committee. He received a phone call from a client on the day that the nominations were due. “I’m thinking it’s something to do with recent work,” said Jackson, founder and marketing director of Emerge Business Solutions. The company provides business development; marketing and design; and information technology support.
Charles Jackson (center) was the recipient of the Young Professional of the Year Award. He is flanked by Emerge Montgomery President Zillah Fluker and last year’s winner R. Platt Boyd IV.
GIVING BACK TO THE COMMUNITY Charles Jackson receives the Young Professional of the Year Award by David Zaslawsky
photography by Robert Fouts
Jackson said that he went to his client’s office, he saw a nomination package for the Young Professional of the Year Award. “I cannot do this,” he said. “Regretfully, I have to decline. It is my responsibility to serve on this (selection) committee.” The next day he received an email that told him he was no longer on the selection committee. The nomination he received came as a surprise and it was a shock when Jackson was named the Young Professional of the Year Award winner. When he accepted his award at the annual event at the Capital City Club, Jackson said, “Wow.” He said “wow” a few more times. “To hear your name called as the recipient of the award was definitely a wow moment because of the magnitude of knowing how much work other finalists are actually doing in the community and in their profession. It was one of those things where you are a little overwhelmed with excitement.” Leadership Montgomery Executive Director Cheryl Carter praised the five finalists – Braxton Weimer, Jackson, Christie de la Vega, Jody Thrasher and Traci Howell. “The accomplishments of just the nominees is overwhelming. Montgomery is extremely fortunate to have the young people that they have in our community.” Jackson was joined at the fourth annual event by his wife, mother and two sisters. He said it was “joy to share this moment” with his mother who has been undergoing cancer treatments. CONTINUED ON PAGE 28
May 2014 Montgomery Business Journal
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TRACI HOWELL
Information Technology Specialist, the Department of Defense
CHRISTIE DE LA VEGA
Development Coordinator, Child Protect
JODY THRASHER
Accountant, Aldridge, Borden & Co.
BRAXTON WEIMER
Financial Advisor, Morgan Stanley
YOUNG PROFESSIONAL OF THE YEAR FINALISTS
CONTINUED FROM PAGE 27
He was also joined by his first boss, Francesca AdlerBaeder, a professor and researcher at Auburn University. Jackson recalled asking AdlerBaeder to market a program for one of her initiatives. He was a recent college graduate and all of 23 years old and was “asking to be trusted with a multi-million-dollar budget.” It was intimidating, he said. “Everything that I have done since then was built upon that,” Jackson said. “A lot of the things that I learned from my years at Auburn have been a building block for me launching out and starting a business.” The award is for a young professional ages 22-40 “who has demonstrated noteworthy commitment to excellence in their profession and community as whole,” according to a press release. The announcement was made by the EMERGE Montgomery Torchbearers’ Leadership Class alumni. Jackson, an Air Force reservist, mentors area youth; provides career guidance to young professionals; supports non-profit organizations with in-kind consultation services as well as volunteers for United Way, Montgomery Education Foundation, 100 Black Men of Greater Montgomery and Rebuilding Together Central Alabama.
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Montgomery Business Journal May 2014
“What I see with this award is not necessarily just recognition of what has been done,” Jackson said. “To me, it would be a dishonor to the award to be satisfied with the work that has been done. The award more than anything to me is a charge and challenge to continue to do even more. We live in a time where we cannot be complacent about what we’ve done and how far we’ve come and where our community is right now. Each of us as community leaders need to take personal responsibility in figuring out what we can do more to serve our community as a whole.” He was born and raised in Montgomery and has been motivated to make changes – “young professionals can and do make changes. I care about Montgomery.” EMERGE Montgomery President Zillah Fluker said, “This is a very special opportunity we have to pause and recognize those who are going above and beyond the call of duty. I want to congratulate those who have been nominated – those who will be recognized here, but then those others who were also considered. It’s indicative of our growth and progress. “And we have to use this opportunity as young professionals; seasoned professionals; as individuals just supporting the mission of Montgomery – use this opportunity to motivate ourselves so that we can realize what we have in front of us and what potentially happens to a community that really moves things to the next level.” •
Missouri company buys Alagasco by David Zaslawsky
Although a Missouri-based company bought Alabama Gas Corp. for $1.6 billion, the Alabama utility will most likely remain the same. The Laclede Group, which purchased Alabama’s largest natural gas company, is not expected to make major changes. “They recognize Alagasco as a brand and as an entity,” Alagasco President Dudley Reynolds told al.com. “They intend to keep the company largely intact.” Laclede Group President and CEO Suzanne Sitherwood said in a statement, “Alagasco is an excellent fit for Laclede, and allows us to leverage our combined scale, industry expertise and more than 150 years of experience to drive customer and shareholder value. “We look forward to welcoming Alagasco’s customers and employees into the Laclede
family, and to working with Alabama regulators, and state and local officials. Laclede will ensure that Alagasco remains an active participant in advancing Alabama’s economic development efforts and supporting civic and charitable activities.” The sale enables Birmingham-based Energen Corp. to concentrate on exploration and production. Energen plans to use the Alagasco sale to reduce debt, develop its Permian Basin and speed up drilling projects. Alagasco has 422,000-plus customers, giving the Laclede Group about 1.6 million customers. Laclede “will extend its excellent customer service tradition in its new service area in Alabama,” Energen Corp. Chairman and CEO James McManus said in a statement. The sale, which includes $320 million of Alagasco debt, is subject to approval, but is expected to close later this year. Alagasco
generated $533 million in revenue last year and net income was $57.4 million. It marks the second major transaction by Laclede, which bought Missouri Gas Energy for $975 million late last year and gained about 500,000 customers. In a message to customers, Reynolds wrote: “Alagasco will continue to provide the same level of service and reliability that our customers expect and will remain the preeminent natural gas provider in Alabama. “Once the transaction is finalized, we will be supported by a large and growing natural gas company that, like Alagasco, has a long history of providing a safe and reliable natural gas service. Laclede also shares our commitment to community involvement. I truly believe this is a positive move for our company, our employees, and most importantly, our customers.” •
May 2014 Montgomery Business Journal
29
Investor Profile
Richard E. Byrd is the Montgomery district manager for BlueCross BlueShield of Alabama.
COMPANY BlueCross BlueShield of Alabama offers ‘competitively priced’ product by David Zaslawsky
photography by Robert Fouts
There has been much written about the Affordable Care Act and BlueCross BlueShield of Alabama has undergone some major changes to adapt to the new health care law. The company had to change its rating model, according to Richard E. Byrd, who as district manager for BlueCross BlueShield of Alabama oversees the Montgomery district, which includes Dothan and Selma. He said the firm could no longer rate customers on pre-existing conditions or health status or even decide not to offer insurance. “You have to charge everybody the same as long as they are the same age; live in the same area,” Byrd said. As expected the firm has seen an increase in phone calls, but Byrd said a lot of that is people trying to understand the new law. Because of the new law, the firm now had to collect and charge for fees and taxes associated with the Affordable Care Act. He said the firm’s costs are ongoing “as we get modifications that are passed down from Washington; clarifications or changes in their interpretations of the law. Those things are conspiring to increase the costs of what we’re doing.” Although it’s still a little early, Byrd said there has been “a little bit of an uptick” in people signing up for health care insurance directly with BlueCross BlueShield. He said the insurer offers the same plans as the government exchange: metal level plans, which are platinum, gold, silver and bronze. “We adjusted the benefits to meet those metal level plans,” he said. Prior to the Affordable Care Act, BlueCross offered four primary plans. Now there are eight to 10 plans whether an individual goes to the health exchange or deals directly with BlueCross. Individuals may be eligible for a subsidy to buy health care insurance depending on the size of the family and household income. That subsidy is based on the second-lowest level of the silver plan, according to Byrd, but may be used to purchase any plan. There is not a subsidy with a direct plan with BlueCross, Byrd said. Blue Cross picks up 90 percent of the expected costs of the platinum plan and the member pays the remaining 10 percent, Byrd said. The gold plan is 80-20; silver is 70-30; and the bronze plan is 60-40. “The less out-of-pocket for the members are going to be the more expensive plans,” he said, “and the ones where (members) pick up more of the costs will be the less expensive plans.” BlueCross BlueShield is the only health insurer in Alabama that is in every county and boasts a network of 10,000-plus physicians. “We have a real commitment to not only our members and their health needs, but we also have a commitment to the communities where we live,” Byrd said. He said BlueCross BlueShield “is very community-focused.”
BLUECROSS BLUESHIELD OF ALABAMA EMPLOYEES IN THE RIVER REGION
19
EMPLOYEES IN THE MONTGOMERY DISTRICT
32
CUSTOMERS IN THE RIVER REGION
340,000
CUSTOMERS STATEWIDE
2.1 MILLION
He said that BlueCross BlueShield of Alabama competes against United Health, VIVA and Humana. “We are offering a good product that is competitively priced and I would say – very competitively priced – or we would have additional competition,” Byrd said “If BlueCross was not being as efficient in how we do things; how we price things; what we offer to our membership – there would be opportunities for competitors to come in and take advantage of that. We work on eight cents on the dollar. We pay 92 percent of the claims dollars or the dollars we receive go out in claims.” He said BlueCross is a not-for-profit corporation and its administrative expense ratio of 6.6 percent is one of the lowest in the industry. Byrd said some rivals are for-profit companies, which would want returns much greater than eight percent. Byrd said that competing against that eight percent is difficult for other insurers, coupled with Alabama being a rural state with metros that are not large enough for others “to justify the cost it would take” to build a network. BlueCross, which has operated in Alabama since 1936, has been successful because of its employees and customer-first philosophy, Byrd said. “Since our beginning, we have proven to be a solid, stable company that cares about Alabama’s future,” he said. “We are ‘The Caring Company’ with employees who are truly concerned about our customers’ well being; who work to improve the community; and who respect each other.” •
May 2014 Montgomery Business Journal
31
MONTGOMERY CHAMBER KEEPS
TOURISM RIGHT ON TRACK
BY DAVID ZASLAWSKY PHOTOGRAPHY BY ROBERT FOUTS
Those of us in Montgomery have always known what a gem our city is, but now it seems the entire nation thinks so as well. The Capital of Dreams was recently named the Best Historic City in the country in a USA Today 10Best Readersâ&#x20AC;&#x2122; Choice travel award contest, beating out such competitors as Boston, Philadelphia, Charleston and New Orleans. This latest honor is just further proof that Montgomery is on the national radar as a must-see destination. While the cityâ&#x20AC;&#x2122;s history, Southern charm, and unique venues have helped launch it into the spotlight, what continues to fuel its rapidly growing tourism industry is the partnership of the City of Montgomery, Montgomery County Commission and the Montgomery Chamber. CONTINUED ON PAGE 34
CONTINUED FROM PAGE 33
Tourism or the local travel industry generates incredible revenue. From 2010 through 2013, there were nearly 5.3 million room nights citywide resulting in a $1.4 billion economic impact. The Alabama Department of Tourism released a report in 2014 with some staggering numbers for tourism last year in Montgomery County: Spending rose 8 percent to $661 million; annual wages topped $240 million; and there were 10,500 jobs.
Those numbers – $900 million and 10,500 jobs – tell only the tip of the story. That is not the full economic impact, which easily tops $1 billion. Local tourism/travel industry has a Hyundai-esque impact. “Tourism is an economic development project,” said Leslie Sanders, chairman of the Montgomery Area Chamber of Commerce Board of Directors. And the driving force behind the local travel industry is the Montgomery Chamber CVB, which has been racking up its own share of impressive numbers: > The number of Montgomery Chamber CVB-generated events/meetings has increased 51 percent (144 to 218) from 2010-2013. > The number of attendees from those 2010-2013 meetings/events has increased 66 percent (59,292 to 98,212).
“Tourism is an economic development project.”
> The number of contracted room nights from the same period has increased 57 percent (59,300 to 92,857). > The economic impact has increased 56 percent ($16 million in 2010 to $25 million in 2013).
– Leslie Sanders, chairman of the Montgomery Area Chamber of Commerce Board of Directors
Those numbers will continue growing as the staff is working on 172 leads that would result in 92,000 room nights and an estimated economic impact of $24 million. Of course, the Montgomery Chamber CVB won’t turn all those leads into contracts, but will get its share. “You have to understand that tourism attracts tax dollars and the more dollars that we get in our general fund, the more that we can spend,” said Montgomery County Commission Chairman Elton N. Dean Sr. The county received $1.6 million from lodging taxes in its 2013 fiscal year and through February of this year was up 21 percent over the previous year ($130,000 for the first five months of fiscal 2014). In 2010, the City of Montgomery received $5.5 million from lodging taxes and projections for this year are $7.2 million, which does include a 2.5 percent lodging tax increase. “It’s a big number,” Montgomery Mayor Todd Strange said. All of these numbers associated with the local tourism industry are big and Montgomery is enjoying increases in both hotel occupancy rates and room demand that the state’s other three metros can only dream about. Montgomery’s occupancy rate rose 4.4 percent in 2012 vs. 2011 while Mobile’s fell -0.7 percent; Huntsville fell -2.7 percent and Birmingham fell -3.6 percent. The story was similar for 2013 vs. 2012 when Montgomery’s occupancy rate was up 4.9 percent while Birmingham fell -0.4 percent; Huntsville fell -5.8 percent, but Mobile was up 1.5 percent. For that same period, Montgomery’s room demand jumped 8.1 percent and the next closest was Mobile at 1.5 percent. So how are things looking for the first two months of 2014 vs. 2013? Montgomery’s occupancy rate jumped 12.4 percent and room demand surged 14.6 percent. Birmingham’s occupancy rate was up 5.6 percent, but Mobile fell -2.6 percent and Huntsville fell -8.0 percent. Dean said that the Montgomery Chamber CVB deserves nearly all the credit for the increases and Strange gives the staff “huge CONTINUED ON PAGE 37
The annual dragon boat races attract hundreds to the banks of the Alabama River.
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Montgomery Business Journal May 2014
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OCCUPANCY RATE
MONTGOMERY CHAMBER CONVENTION & VISITOR BUREAU IMPACT
2012 vs. 2011 Montgomery
4.4%
0.5%
Mobile
-0.7%
-0.4%
Huntsville
-2.7%
-1.7%
Birmingham
-3.6%
-4.1%
YEAR
CITYWIDE OCCUPANCY RATE
ROOM DEMAND
ECONOMIC IMPACT
2010
51%
1,288,569
$340 million
Montgomery
4.9%
8.1%
2011
52%
1,295,242
$342 million
Mobile
1.5%
1.5%
2012
54%
1,302,196
$344 million
Birmingham
-0.4%
1.0%
$371 million
Huntsville
-5.8%
-0.5%
2014 vs. 2013 (January-February)
2013
57%
1,403,639
2013 vs. 2012
YEAR
MEETINGS/ EVENTS HELD
ATTENDEES
ROOM NIGHTS
ECONOMIC IMPACT
2010
144
59,292
59,300
$16 million
Montgomery
12.4%
14.6%
5.6%
6.8%
2011
163
76,005
61,731
$16 million
Birmingham
2012
213
101,416
96,581
$25 million
Mobile
-2.1%
-1.1%
2013
218
98,212
92,857
$25 million
Huntsville
-8.0%
4.0%
Sources: Montgomery Area Chamber of Commerce and Smith Travel Research
36
ROOM DEMAND
Montgomery Business Journal May 2014
CONTINUED FROM PAGE 34
credit.” Meanwhile, Sanders said the staff does “an unbelievable job – they really do. I’m not just saying that for going out and not only seeking groups and event coordinators and planners to come here, but once they come here they make sure they’re taken care of.” Hathcock said one of the reasons for Montgomery’s growing tourism numbers is a diverse market. “We’re not solely dependent on sports. We’re not solely dependent on government business; convention business; reunions; leisure tourism. We have a good mix of all of it.” Getting those groups and events to Montgomery is the first step. It does help that the city and county invested millions in new and renovated sports facilities such as Cramton Bowl, Multiplex at Cramton Bowl and the Emory Folmar Soccer Complex, but if-you-build-it-they-wil-come works in movies and not in the travel industry world. “Anybody can have the big box – the facilities if you will – but what makes a city unique and what makes people want to come back is the history of the city; what they have to offer a visitor,” Hathcock said. “That is everything
“You are investing in experts that know how to do this and they get better and better every year.”
- Elton N. Dean Sr., chairman of the Montgomery County Commission
from entertainment venues; it’s restaurants; nightlife; family friendly. Montgomery has done a great job of putting a package together where things are walkable in the downtown. There are plenty of things to do throughout the city. We’re not concentrated in one area. You have the Alabama Shakespeare Festival CONTINUED ON PAGE 38
May 2014 Montgomery Business Journal
37
The Alabama Shakespeare Festival is one of Montgomeryâ&#x20AC;&#x2122;s top tourist attractions.
â&#x20AC;&#x153;What makes a city unique and what makes people want to come back is the history of the city; what they have to offer a visitor.â&#x20AC;? - Dawn Hathcock, vice president, Montgomery Area Chamber of Commerce Convention & Visitor Bureau
CONTINUED FROM PAGE 37
in East Montgomery near a lot of soccer fields. You have shopping venues in East Montgomery. You have good restaurants throughout the city at different levels. People want to have a unique experience. You have different things that are available for them.â&#x20AC;? The Montgomery Chamber CVB informs visitors of those entertainment venues, restaurants, shopping and nightlife. â&#x20AC;&#x153;They (CVB staff) are the GPS to get people here and then continue to be their guide,â&#x20AC;? Sanders said. â&#x20AC;&#x153;They go from GPS to Siri.â&#x20AC;?
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Montgomery Business Journal May 2014
0%-B([SR LQGG
$0
Hathcock, who has been with the Chamber for 12-plus years, knows the players in the tourism market and the director of sales has been there eight-plus years. To bring groups/ events to Montgomery, the staff attends 18 trade shows in a typical year. “Those are appointment-based shows,” Hathcock said. The Montgomery Chamber was host to 50plus meeting planners and frequently hosts travel writers. In May, about 100 journalists with the National Food & Wine Travel Writers will visit Montgomery. The Chamber works closely with the Central Alabama Sports
Commission to attract a wide range of sporting events to the city.
works the multicultural, religious, social, fraternal and motor coach segments.
A Chamber salesperson dedicated to the sports segment is recruiting a horseshoe event – a blockbuster World Championship Tournament from the National Horseshoe Pitchers Association. The tournament would have about 2,000 participants during a twoweek period in 2016. The tournament means about 4,500 room nights and a multi-million dollar economic impact. The Chamber CVB designed a detailed proposal that featured facilities, hotels and things to do.
“We don’t have that kind of expertise,” Dean said. “You are investing in experts that know how to do this and they get better and better every year.”
“Things that are happening right now, we sold two years ago,” Hathcock said. “People don’t see the sales pattern.”
The county and the city help fund the Chamber through lodging taxes. “It’s a nobrainer investment,” said Sanders, who is vice president of Alabama Power Co.’s Southern Division. “The Convention & Visitor Bureau and their industry bring jobs to every sector. It’s a tipping point to the larger development – small, medium and large. When you improve the quality of life in any city, you grow jobs. It’s a formula that works.” Just how important is local tourism? Consider that a business traveler spends on average $264 a day. Some groups spend a little more and some a little less. Consider that the city has about 7,600 rooms.
It was a couple of years ago that Montgomery landed a national fire chiefs’ conference and that resulted in the city getting the Firefighter Combat Challenge. Staff is dedicated to market segments. There is the sports market. The director of sales handles the state associations and government markets. There is a salesperson devoted to education, corporate, regional and national associations. Another salesperson
That’s not lost on the mayor when he visits groups. “One of my good lines is: ‘I see your smiling faces. I’m delighted to see it, but I see dollar signs.’ I go on to say: ‘You’re a really well-off group so I’m expecting you to beat the average.’ ” •
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May 2014 Montgomery Business Journal
39
Above Left: Montgomery Mayor Todd Strange. Above Right: Sporting events have been a key segment for Montgomery’s travel industry.
TOURISM CREATES ‘WOW FACTOR’ by David Zaslawsky
Montgomery Mayor Todd Strange is fond of saying, “If you haven’t seen Montgomery in 10 years, you haven’t seen Montgomery.”
and stopping off are two different things. Now, we’ve taken advantage of the interstate system to get people to stop off.”
A number of those high-profile projects in the past 10 years have been tourismrelated: Renaissance Montgomery Hotel & Spa at the Convention Center; Hampton Inn & Suites Montgomery-Downtown; The Alley; Multiplex at Cramton Bowl; and the Emory Folmar Soccer Complex.
People are also moving to downtown. “It’s vogue now,” Sanders said about the revival of downtown living.
Some of those high-profile projects were just as much for locals as tourists, including Riverwalk Stadium, Riverwalk, Riverwalk Amphitheatre and many of the shopping venues at the sprawling EastChase development are less than 10 years old. The local tourism industry has had a major impact on changing the perception of Montgomery – its image. “We’ve done so many things to move that needle forward and people now come and it’s almost a wow factor,” Strange said. “I (hear) it over and over and over again: ‘I was here 10 years ago. I was here 15 years ago, but wow, it has changed dramatically since I was here.’ ” Leslie Sanders, chairman of the Montgomery Area Chamber of Commerce Board of Directors, said, “All the interstates go through here, but before, you never had to get off the interstate. Going through
“The more people we get living downtown and throughout the city – when tourists come here they see a vibrant city and they see things going on,” said Dawn Hathcock, vice president of the Chamber Convention & Visitor Bureau. “I think that just helps to spur that activity and they think this is a cool place.” Developers are seeing that, too. Retail Specialists is transforming Commerce Street parking lot into 64 upscale apartments and two restaurants. StoneRiver Co. is building a 165-unit, four-story apartment complex on Maxwell Boulevard. Foshee Management Co. is building 100 loft apartments, retail and restaurants in the Market District on Lower Dexter Avenue. “It’s so important that we continually invest in tourism,” Montgomery County Commission Chairman Elton N. Dean Sr. said. “We have people now that want to come to Montgomery. It used to be that we would go see how other cities attract certain things, but now people are coming to Montgomery and find out how we do things. “There are so many things that are happening because of people moving back to Montgomery and have seen what Montgomery has to offer. It is just amazing how that perception has changed about Montgomery.” •
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Montgomery Business Journal May 2014
Jones School of Law Clinics at Faulkner University were the recipient of the 2014 Unity Award. (From left) Matthew Vega, incoming dean of the Jones School of Law; law professor John Craft; and Leadership Montgomery President Carolyn Bryan.
Law professor John Craft and third-year law students at Faulkner University’s Thomas Goode Jones School of Law visited 15-plus senior groups last year and talked about elder law and estate planning in addition to other topics. The Jones School of Law offers three clinics – elder law, family violence and mediation – and those legal services are free. “I just want to say that I am proud of our clinics,” said Matthew Vega, who will be taking over as dean of the Jones School of Law in the summer. He can be even prouder as the law clinics were named the 2014 Unity Award winner at the second annual event at Embassy Suites Montgomery – Hotel & Conference Center.
Jones School of Law Clinics Receive Unity Award by David Zaslawsky
photography by Robert Fouts
“We’ve had a tremendous opportunity to help students understand … not just teach them how to practice law, but to help them understand that law affects society; it can change cultures; it can make a difference in people’s lives,” Vega said. “And we hope that the clinics are just a small way of helping them learn how to do that – not just for a short time, but for a lifetime in careers, professions in the law field.” CONTINUED ON PAGE 42
May 2014 Montgomery Business Journal
41
“What a great sacrifice and unselfish service they give.” -Matthew Vega, incoming dean of the Jones School of Law
CONTINUED FROM PAGE 41
Jones School of Law has several partners with its elder law clinic including Legal Services Alabama, Montgomery Area Council on Aging, Central Alabama Aging Consortium and the Alabama State Bar. The law school’s family violence clinic works with One Place Family Justice Center, Legal Services Alabama, Family Sunshine Center, Montgomery County Task Force on Domestic Violence, Autauga County Task Force on Domestic Violence and the Alabama Coalition Against Domestic Violence. “I am truly blessed to accept this award … on behalf of Faulkner University Jones School of Law,” Craft said. He said one of the primary objectives is to “teach our students how to practice law and actually apply the law with a real client and actual disputes in cases at the Montgomery County Courthouse.” Eddie Stivers, president of Stivers Ford Lincoln Mazda and the presenting sponsor for the Unity Award, noted that 26 individuals and groups were nominated for the award.
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Montgomery Business Journal May 2014
He said the nominees “selflessly built cross-cultural bridges in our community; saw community issues; gave a voice to the voiceless; and a light for those without hope. They are truly the doers of good deeds and the doers of good work and because of their noble endeavors we are a healthier and better community.” Keynote speaker Jack Hawkins Jr., chancellor of Troy University, said “that unity captures the essence of that competitive edge we have.” He said the Unity Award nominees “are making a difference in this community and I applaud each and every one of them. What a great sacrifice and unselfish service they give.” •
2014 UNITY AWARD NOMINEES
Blake Baker Building Our Neighborhoods for Development and Success Brantwood Children’s Home Family Promise Family Sunshine Center Pastor Anderson T. Graves II Hope Inspired Ministries Anna Kate Ingram-Bowen The Junior League of Montgomery Charles Lewis Montgomery Area Council on Aging’s Meals on Wheels Montgomery Area Nontraditional Equestrians
Mary Ellen’s Hearth Montgomery Job Corps Center Reality and Truth Ministries Council on Substance Abuse Strategies to Elevate People Henry Tellis Thomas McPherson River Region United Way Woodmen of the World of South Alabama
2014 UNITY AWARD FINALISTS BRIDGE BUILDERS OF ALABAMA ELLEN BROOKS COMMON GROUND MINISTRIES LAW CLINICS AT JONES SCHOOL OF LAW KATHY SAWYER AND LAURIE WEIL
May 2014 Montgomery Business Journal
43
Ann Sadie Osten is president and owner of Sadieâ&#x20AC;&#x2122;s Global Travel.
Tailored Trips Sadieâ&#x20AC;&#x2122;s Global Travel sets sights on high-end clients by David Zaslawsky
44
Montgomery Business Journal May 2014
photography by Robert Fouts
s
additional for, but they want to know it’s taken care of. It’s for the person who really wants that particular service. There are people that don’t mind paying for service and want it. When your flight has been canceled and you are frantically waiting in line with everybody else who just had the same flight canceled, a simple call to your travel agent will likely result in a new flight and a quick end to any frustration. Or you could finally get to the front of the line and learn that all the seats on the next available flight have been booked by all those people standing in line in front of you. That’s exactly what happened after 9/11. “People were calling us that had booked online,” said Ann Sadie Osten, president and owner of Sadie’s Global Travel. “We had to service our customers. We made sure that we got them where they needed to be or rerouted them or got them home. These other individuals were on hold for hours. They had no advocate for them. I think that’s what differentiates us.” It does make a big difference booking a flight online and paying a little less than booking through a travel agency. “When they come to us, they are going to get experience and they are going to get someone who is knowledgeable about the area,” said Osten, who has operated her own agency for 20 years and been in the travel industry for 31 years. “We travel. We have a past history and we do site visits.” Osten said she is well versed about Europe and the Caribbean. “I can tell you about all the islands and where the best resorts are.” The agency, which receives about 25 percent of its revenue from the high-end travel market, wants to be more engaged in that area by offering customized itineraries. She recently was working with a couple taking a month-long trip to Europe, starting in London followed by stays in Paris, Switzerland and Italy. “I mapped out a complete itinerary,” Osten said. She also suggested some areas to visit in Switzerland.
“That’s the client that we are looking for. The ones that really want to be taken care of and appreciate that service. We would like to differentiate ourselves for someone that is really looking for that service level. That is probably one of our greatest strengths – our personalized service and our expertise in customizing and delivering (trips).” Sadie’s Global Travel offers group and incentive travel, including corporate travel. The company concentrates on smaller companies with 75 or fewer employees. “We’re going to deliver service and we’re going to deliver someone you know when you call,” Osten said. “It’s not going to be a res (reservation) center you’re calling into. We’re all about relationships.” That means that Osten and her staff ask questions and listen. “A lot of times it is our job to educate them,” she said. “Some people come in here and have no idea where they want to go.” Osten will ask a client what they are interested in; who is traveling with them. “I’m going to do the who, what, when, where, how many, but more importantly, what I’m going to do is determine what you’ve done on past vacations so that I have a real understanding of what your expectations are in resorts and where you like to travel.”
“We’re going to deliver service and we’re going to deliver someone you know when you call.” – Ann Sadie Osten, president and owner of Sadie’s Global Travel
Her business has shifted over the years from corporate travel being the largest segment to leisure, groups and incentive travel. She said incentive travel is growing again. “I’m getting more and more calls about incentivizing their employees,” she said. “It’s really a win-win for the company and the employer. I still believe that there is a huge market for that.” So far, 2014 “has started off very strong,” Osten said. That follows a slightly down 2013 after gains from 2009-2012. •
“It’s like concierge services when you think about it,” Osten said. “I do everything from dinner reservations and theater reservations. These are the little things that people may pay
May 2014 Montgomery Business Journal
45
Investor Member Profile Profile BUSINESS BUZZ (CONTINUED FROM PAGE 63)
David Farace is Head of School for Montgomery Academy.
Pursuing Excellence The Montgomery Academy prepares students for a lifetime of leadership and service by Melissa George Bowman
photography by Robert Fouts
Anyone visiting the campus of The Montgomery Academy will instantly feel a scholarly vibe. Classic architecture, Ivy League-esque academic halls and distinguished portraits of former headmasters comprise the 55-year-old institution.
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Montgomery Business Journal May 2014
THE MONTGOMERY ACADEMY YEAR FOUNDED
1959 Venture just past the lobby, however, and you will find the more contemporary scene of Head of School Dave Farace standing, not sitting, in his office. The energetic Farace, now in his fourth year at the school, recently removed his desk so he could move freely about the office while conducting business or visiting with students, faculty and parents. This novel approach embodies the culture of The Montgomery Academy: a school rooted in strong tradition but embracing innovation. The Montgomery Academy opened its doors in September 1959 when it welcomed 110 students to classrooms located in two Victorian-era houses on South Perry Street. Four years later, the school moved to its present location on Vaughn Road. Since that time it has added a lower school campus on Perry Hill Road and undergone many additions and expansions. With all that has changed, what has remained constant is the school’s commitment to its mission, which focuses on honor, scholarship and service. “I love our mission,” Farace said. “That really drives everything, all of the decisions we make.” A college preparatory school offering 21 Advanced Placement and honors courses, The Montgomery Academy has developed a reputation for academic excellence. However, Farace is quick to point out the school strives to educate “the whole child” by exposing students to a wide variety of programs and activities that he refers to as “co-curricular” rather than extra-curricular because “there’s nothing extra about them.” These include the arts, athletics and community service programs. “We believe our students are learning all the time in every corner of our campus,” Farace said. “If you look at a typical MA student they’re really achieving a great deal academically in the classroom, but then they also might be a two-sport athlete and also involved in the play or in our chorus or in our forensics program. They are really engaged in the life of the school.” Such engagement has paid off as the school has received many prestigious distinctions. MaxPreps.com recently ranked Montgomery Academy the top sports school in Alabama, noting that this fall it earned state championships in volleyball and boys and girls crosscountry and also made it to the state quarterfinals in football. Additionally, the Upper School Chorus was one of 17 choruses selected among college, high school, middle school and community choruses in 11 states to perform at the American Choral Directors Association 2014 Southern Division conference in Jacksonville, Fla. The school’s forensics program is also ranked in the top 1 percent nationally. While achievement in the classroom, on the field or on the stage is a high priority, The Montgomery Academy places just as much emphasis on instilling in its students a desire to serve.
STUDENTS
830 IN GRADES K-12 MISSION
THE MONTGOMERY ACADEMY DEVELOPS LEADERS COMMITTED TO HONOR, SCHOLARSHIP, SERVICE AND THE PURSUIT OF EXCELLENCE. WEBSITE
WWW.MONTGOMERYACADEMY.ORG For that reason, classes participate in a variety of small service projects, and on a larger scale, the entire school commits to assisting one nonprofit each year. This year that organization is Habitat for Humanity. Honor is another core value guiding the school’s mission. Not only do all students sign an honor code, they also elect peers to serve on the Honor Council. Students who may have broken the honor code go before this body. The student-led council decides if a violation has occurred. It then determines an appropriate punishment that it recommends to Farace who makes the final decision. “I’m really impressed with those students,” Farace said. “It’s a great example of when you give students an important leadership opportunity, they always rise to the occasion.” The Honor Council is not the only area where student input is valued. The school has recently implemented a professional development program for faculty members that includes students’ confidential evaluations of their teachers. The system lets students know their voices are being heard while giving teachers valuable feedback. Such innovation will continue to be part of the school’s programming in years to come, according to Farace. On the horizon are plans for more experiential learning opportunities that will expose students to education beyond the traditional classroom. Building additional leadership programs into the curriculum is another goal as well as offering professional learning communities, or PLCs, to faculty that allow for greater collaboration among teachers. As Farace puts it, the school will be “investing in people going forward” while staying true to the school’s mission. “I believe we have always been a school that develops leaders,” he said.
“I think if they learn early on the importance of serving others and in serving a cause that’s greater than themselves, then that’s going to make them very successful in life,” Farace said.
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Member News
BUSINESS BUZZ producing construction agencies that have demonstrated their commitment to the industry.
Paul Duncan
Serving businesses and professionals since 1897, CNA is the country’s eighth-largest commercial insurance writer and the 13th-largest property and casualty company.
COLDWELL BANKER TOWNE REALTY SALES ASSOCIATE RANKED IN TOP 10 MONTGOMERY – Coldwell Banker Towne Realty Sales Associate Paul Duncan of Montgomery ranked in the Top 10 among the sales associates throughout Alabama in the Coldwell Banker system in Total Units Closed for 2013. The firm recently held its annual awards luncheon to recognize the top producers for 2013, who were Duncan, Wanda Ellis, Janice Qualls, Jane Peak, Keith Helms, Sheila Woodham and Diana Miles. TURNER INSURANCE & BONDING CO. SELECTED TO LEADER BOARD MONTGOMERY – CNA has named Turner Insurance & Bonding Co. to its 2014 Construction Leader Board. Turner Insurance & Bonding Co. was one of only 28 agencies that were selected for the Leader Board from more than 1,000 construction-focused agencies throughout the country. CNA’s Construction Leader Board was developed in 2012 to recognize and reward top-
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Rhea Ingram
AUM COLLEGE OF BUSINESS RECEIVES PRESTIGIOUS REACCREDITATION MONTGOMERY – The Association to Advance Collegiate Schools of Business (AACSB) has reaccredited Auburn University at Montgomery’s College of Business. The college was first accredited by AACSB in 1978, and accounting earned initial accreditation in 2012. This winter, the program was visited and evaluated by business educators representing AACSB’s Continuous Improvement Review Committee. The AACSB’s board of directors ratified the committee’s decision to extend reaccreditation to the business programs offered at AUM. Less than 1 percent of the world’s business schools achieve
Montgomery Business Journal May 2014
accreditation of their business and accounting programs from AACSB International. “Our faculty and staff are committed to continuously improving the educational experience for our students, and AACSB reaccreditation confirms that we are still progressing in the right direction,” Rhea Ingram, dean of the College of Business, said in a statement. The college was recently recognized as a Best Business School by The Princeton Review, which noted the program’s “affordable” tuition, “reputation for academic excellence” and “instructors who bring real-life business experiences to the classroom” and “have connections in the business world.” Organized into the departments of accounting, information systems and management, and economics, finance and marketing, the college offers undergraduate and graduate degrees. Courses are offered online, nights and weekends. Bachelor’s degrees are available in accounting, economics, finance, general business, human resources management, information systems management, management and marketing. The college also offers a master of business administration, executive MBA and Master of Science in information systems management.
Total Image President Joan Brinsfield offers a wide range of products and services, including photo album or book; gallery wrap; metal wall art; or processed prints. The company’s new website is www.totalimage.com
Katie Owens
GOODWYN, MILLS & CAWOOD EMPLOYEE RECEIVES ARCHITECTURAL LICENSE BIRMINGHAM – Katie Owens of Goodwyn, Mills & Cawood Inc. recently passed her final architect registration exam to become a licensed architect. Since starting at GMC in 2010 as an intern, Owens has accumulated a project portfolio, including the Madison County and Calhoun County Departments of Human Resources, Greystone Country Club Master Plan, UAB Residence Hall, Crossville Elementary School, Pepper Place Alley improvements and Robotics Technology Park Phase III, for which she will now be serving as the project manager. She works out of the firm’s Birmingham office.
CAPITOL FILMWORKS NOW CALLED TOTAL IMAGE
Owens received her bachelor’s degree in architecture from Auburn University.
MONTGOMERY – After 40-plus years Capitol Filmworks has changed its name to Total Image.
JACKSON HOSPITAL PUBLICATION RECEIVES GOLD MARCOM AWARD
The company, which was founded by René Brinsfield, grew from a sports film processing lab to a photography lab serving customers nationwide.
MONTGOMERY – Jackson Hospital’s quarterly print magazine, Partners, was the recipient of a 2013 MarCom gold award. Partners was recognized for design work in the
Late Summer 2013 issue, which featured Jackson Hospitalâ&#x20AC;&#x2122;s Center for Robotic and Minimally Invasive Surgery.
viewers the visual experience of zooming in and out of galaxies and planets, circling a planet or traveling through the universe.
MarCom Awards is a creative competition for individuals or companies involved in the conception, writing and design of print, visual, audio and Web materials and programs. About 6,000 entries are submitted each year from corporate marketing and communications departments, advertising agencies, public relations firms, design shops, production companies and freelancers.
The new digital system will also offer a greater variety of programming options beyond astronomy, including programs on natural history, biology and other fields. The project included a complete renovation of the auditorium including refurbished seating.
Partners magazine is published as a community service for the friends and patrons of Jackson Hospital.
Jack Hawkins
MONTGOMERY â&#x20AC;&#x201C; Visitors to the W.A. Gayle Planetarium will get an even-more out-ofthis-world experience thanks to a new full-dome digital projector and renovation. The planetarium closed in late January for the $500,000 upgrade project that replaced the 45-year-old analog projector in use since the planetarium first opened in 1969. The new fulldome digital projector is capable of creating more dynamic, immersive shows. The new system is controlled by computer with the images of stars and planets emanating from a single digital projector in the center of the dome, giving
â&#x20AC;&#x153;This is really a transition â&#x20AC;Ś from high touch to high tech,â&#x20AC;? he said in a statement. â&#x20AC;&#x153;To see the capacity today and know what it means will provide a tremendous educational opportunity for students of all ages.â&#x20AC;? The project was funded by the City of Montgomery and Troy University with support from the Daniel Foundation, Hyundai Motor Manufacturing Alabama and the State of Alabama Education Trust Fund. â&#x20AC;&#x153;We researched the various projection systems on the market to determine the best fit for Montgomery,â&#x20AC;? planetarium director Rick Evans said in a statement. â&#x20AC;&#x153;That research has paid off, and we are ecstatic with the new Super Mediaglobe. We now have a digital, threedimensional map of the entire universe.â&#x20AC;?
Com i
2015 ng
W.A. GAYLE PLANETARIUM UNVEILS FULL-DOME DIGITAL PROJECTION SYSTEM
Troy University Chancellor Jack Hawkins Jr. said the planetarium would provide expanded educational opportunities for k-12 students and college students alike.
/ B 0
The W.A. Gayle Planetarium is located in Oak Park and is operated by Troy University for the City of Montgomery. The planetarium offers public shows 3 p.m. Monday-Thursday and 2 p.m. Sunday. Admission is $5 and children under 5 are admitted free. (CONTINUED ON PAGE 50)
May 2014 Montgomery Business Journal
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Gene Cody
Wes Cline
COLDWELL BANKER COMMERCIAL MOORE COMPANY REALTY NAMED NO. 1 OFFICE MONTGOMERY – Coldwell Banker Commercial Moore Company Realty was named the No. 1 office in Alabama for Coldwell Banker Commercial Affiliates. It is the fourth straight year the local realty firm was ranked No. 1 in the state. The firm’s Gene Cody was named the top agent in the state. Cody and Wes Cline were awarded the Bronze Circle of Distinction for 2013.
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“Coldwell Banker Commercial Moore Company Realty exemplifies the standards of excellence for which Coldwell Banker Commercial offices are known,” Fred Schmidt, president and chief operating officer of Coldwell Banker Commercial Affiliates Inc., said in a statement. FOUR STAR FREIGHTLINER ADDS INSPECTION SERVICE
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Montgomery Business Journal May 2014
MONTGOMERY – Four Star Freightliner has expanded its service department to include services that will ensure its customers’ tractors and trailers meet state
When trucks that are equipped with trailers are brought in for service to Four Star locations in Montgomery, Dothan, Tifton, Ga., Valdosta, Ga., or Tallahassee, Fla., customers have the option of having their trailers inspected. A Four Star Freightliner service employee will perform a six-point inspection of the trailer, which includes the lights, brakes, airlines, door seals and door handles if the customer requests it. Customers will also have the option of receiving a Department of Transportation inspection. Four Star Freightliner’s inventory has been increased to handle any repair if deemed necessary by a service team member. For information, call (800) 239-8785 to speak with a service adviser. CIVIL HERITAGE TRAIL DEBUTS IN DOWNTOWN MONTGOMERY MONTGOMERY – The Downtown Montgomery Business Association (DMBA) unveiled a new Civil Heritage Trail in downtown Montgomery. The trail unifies a large number of Civil War and Civil Rights Movement sites and attractions. The walkable downtown area makes it easy for tourists and locals to visit the place where the constitution of the Confederate States of America was created as well as the home of Dr. Martin Luther King Jr., and many other sites which tell the story of how events in Alabama changed the world. Inspired by Boston’s Freedom Trail, Jeff Dean, a native of Montgomery, introduced the initial concept of a civil heritage trail to the DMBA several years ago. The DMBA adopted the project as a way to enhance
BUSINESS BUZZ tourism and commerce in the downtown area and to encourage awareness and interest in these historic sites. With the support of the City of Montgomery, the DMBA has brought the Civil Heritage Trail to fruition. “As the trail grows in popularity, it will draw more people to the downtown area, increasing patronage of local businesses and enhancing the downtown area,” Jeff Andrews, former DMBA president, said in a statement. “Montgomery is able to tell an incredible dual history of both the Civil War and the Civil Rights Movement. The debut of the trail will be a wonderful new addition to the revitalization of Montgomery’s downtown.” Each site on the trail is indicated by a blue bike rack near or on the grounds of each site. A brochure and map is also available at the Montgomery Visitor Center and at the trail sites to provide information and assistance. The self-guided trail is approximately 3.5 miles and can be traveled on foot, bike, Segway or car. NEPTUNE TECHNOLOGY GROUP DEBUTS NEW WEBSITE TALLASSEE – Neptune Technology Group has launched a new website that enables the company to have greater flexibility and control over its content. The website – www.neptunetg.com - is easy to navigate, compatible with commonly used browsers and now conforms to all forms of mobile and desktop devices. Among the improved functionality is a rotating video player carousel on the home page that enables Neptune to display marketing videos on desktop and mobile devices. Now, Neptune can easily manage these videos within the CMS work area as well as stream the videos from YouTube.
Other site feature improvements include an enhanced literature document search, an interactive map of global territory managers and distributors as well as Neptune’s knowledge-base section. The new site also touts performance improvements with a 14-second increase in home page load time. The website was implemented by Square Root Interactive. “We are looking forward to how Square Root will help Neptune grow our Web presence in the future,” Neptune marketing specialist Niki Peterson said in a statement. Neptune Technology Group Inc. is a pioneer in the development of automatic meter reading (AMR) and advanced metering infrastructure (AMI) technologies for more than 47 years. Since 1892 Neptune has continually focused on the evolving needs of utilities – revenue optimization, operational efficiencies, and improved customer service. The company offers a fully integrated migration path for its utility customers to meet their needs now and in the future. Neptune is located in Tallassee, Alabama. NEW WEBSITE PROMOTES CIVIL RIGHTS ANNIVERSARY EVENTS MONTGOMERY – A new website, Dreammarcheson.com was launched to provide information to the public about the 50th anniversary of the Selma-toMontgomery Voting Rights Marches and the 60th anniversary of the Montgomery Bus Boycott. Both anniversaries take place in 2015. The site was created by a partnership between the Montgomery Area Chamber of Commerce Convention & Visitor Bureau (CVB), City of Montgomery, City of Selma, Selma and Dallas County Chamber of Commerce and the (CONTINUED ON PAGE 52)
May 2014 Montgomery Business Journal
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BUSINESS BUZZ (CONTINUED FROM PAGE 51) National Parks Service Lowndes Interpretive Center. The site features brief explanations of the historic events which took place in each location. It also includes a list of 2015 events, marking the important anniversaries. The site is designed to assist a traveler or group tour planner by providing access to event, lodging and sales representatives’ information. The site will also be an outlet for future news regarding special events and tourism packages for 2015 in Selma, Lowndes County and Montgomery.
“We wanted to provide a solution that aligned with the HTAA’s mission of improving the life of professional drivers and their families across the country by providing them low-cost access to health care and health care information while at home or on the road,” Trey Sylvest, vice president of operations at Dextera HR, said in a statement.
the University of Alabama. He founded Bruce Reid Advertising in 1976, which became Reid & Mount Advertising in 1978, evolved into Reid/O’Donahue Advertising in 1990, and in 2013 merged with LWT Communications to form Stamp Idea Group, an advertising, interactive and media firm.
Dextera Benefit Solutions LLC is a division of Montgomery-based Dextera HR, which provides payroll, human resource and employee benefit services in the Southeast. HTAA is based in Montgomery.
JUBILEE RUN FOR CANCER SCHEDULED FOR MID-MAY
Montgomery’s oldest race will start at 7 a.m. at Old Alabama Town. The Jubilee Run For Cancer includes an 8-kilometer event and a 2-mile run/walk coordinated by Montgomery MultiSport.
For information, call the Montgomery Chamber CVB at (334) 261-1100. DEXTERA BENEFIT SOLUTIONS SIGNS DEAL WITH HEALTHY TRUCKING ASSOCIATION OF AMERICA MONTGOMERY – Dextera Benefit Solutions LLC has partnered with the Healthy Trucking Association of America (HTAA) to provide its members with access to Dextera’s MedTeam Direct Telehealth program. MedTeam Direct provides enrollees and their families with access to physicians and their services via telephone or online for a monthly fee. With this program, the HTAA’s 17,000-plus members will have 24/7 access to board-certified physicians for non-urgent care needs. Physicians can be reached either by phone, email, or even video communications such as Skype. Members with smartphones also have an app available to them for both Apple and Android devices. Doctors can provide prescriptions for some ailments such as sinus infections, pink eye and other similar diagnoses.
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MONTGOMERY – The 36th annual Jubilee Run For Cancer benefiting the American Cancer Society’s Relay for Life is set for May 17.
Bruce Reid
REID NAMED TO UNIVERSITY OF ALABAMA LEADERSHIP BOARD MONTGOMERY – Stamp Idea Group partner Bruce S. Reid has been named to The University of Alabama College of Arts and Sciences Leadership Board. He is also a member of the College of Communications and Information Sciences Board of Visitors for the university and was selected as Outstanding Alumni in 2005. The leadership board, established by the university in the early 1990s, consists of alumni and friends of the college who partner with the dean to advance the goals of the college and provide student scholarships and faculty fellowships. Reid is a native of Montgomery and received a bachelor’s degree in communications/English from
Montgomery Business Journal May 2014
There will be a wide range of activities including a wellness expo, live music, stage demonstrations and children’s area. This year participants can join teams and create a fundraising website to financially support the fight against cancer. Prizes will be awarded to the top fundraising individual and team. The Wacky Costume Contest will ramp-up the celebration with awards for the wackiest running outfit. The theme is “I CANcer-vive.” Online registration is $25 and available through 2 p.m. May 15. Late registration is $30 and dayof registration is $35. Registered runners ages 6 and up will receive a tech shirt. Younger participants may register for $15 and receive a T-shirt. “This event is a lot of fun for people of all fitness levels and it gives residents an opportunity to come together for the important fight against cancer,” run director
Kathy Wood said in a statement. “With a new theme, fundraising opportunities and activities, this should be the best year yet.” This is the third straight year that Alfa Insurance is the host for the Jubilee Run For Cancer. For information, including registration, visit JubileeRun.org. For the latest updates, follow Jubilee Run on Twitter and like Jubilee Run on Facebook. TROY UNIVERSITY APPROVED TO OFFER DOCTORATE DEGREE IN SPORT MANAGEMENT TROY – The Alabama Commission on Higher Education approved Troy University’s first-ever doctor of sport management degree. The doctorate in sport management will be offered both in class and online. “The sport management program will fill a strong, distinct and welldocumented societal, education and economic need for students Troy University serves,” John Miller, interim dean of the College of Health and Human Services and a sport management professor, said in a statement. Miller said that over the past two decades, research indicates the sport industry has grown from a $121 million nationwide industry into a $435 billion industry that generates billions of dollars in economic impacts in the state. The commission also approved Troy University’s proposal to offer a Master of Arts in Economics degree. The program is designed to prepare students to pursue careers in public policy, government, business and the nonprofit sector. In another development, Troy University has been named a “Best Buy” for its online Master of Business Administration
BUSINESS BUZZ degree and for its online master’s programs in management and human resources. GetEducated.com, a consumer advocacy group for online students, ranked Troy’s online MBA program in the top 20 of 124 regionally accredited business schools in the nation.
Michael Lange
ASSOCIATED BUSINESS SERVICES MERGES WITH ALABAMA COMPUTER ASSOCIATES MONTGOMERY – Associated Business Services announced a merger with Alabama Computer Associates to form ABS Technology LLC. The new company will continue to build custom systems, repair business and residential computers, manage commercial networking, perform data recovery, and virus removal and protection as did Alabama Computer Associates. New partner Michael Lange brings a programming and technology background that allows ABS Technology LLC to expand its offerings to include data conversions, point of sale systems setup and maintenance, ERP systems, inventory management and a partnership with Dell to include new systems sales and installation for Montgomery businesses at competitive prices. The company also designs disaster recovery plans.
ABS Technology LLC will support business accounting technology needs to help businesses in software transitions and upgrade outdated systems. Currently the firm is working with many businesses to upgrade Windows XP operating systems as Microsoft sunsets the XP operating system. ABS Technology LLC supports clients with Office 365 providing them enterprise class email and collaboration solutions. The company’s partnership with Carbonite allows it to offer saleable cloud-based backup solutions for small business customers and provides electronic documents storage and management for small business customers through a third-party association. Associated Business Services began as a Montgomery accounting firm in 1979. Alabama Computer Associates has been owned and operated by Robert Lloyd since 2002. Bob Lloyd and Basil Stinson have been with Alabama Computer Associates since 1995 and will continue to serve their clients.
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Member News
MEMBERS ON THE MOVE GOODWYN, MILLS & CAWOOD HIRES THREE FOR HEALTH CARE FIELD MONTGOMERY – Goodywn, Mills & Cawood Inc. hired three people for its health care department.
Thomas Parham
Carli Small
Kevin Kempke
The new hires are Architect Thomas Parham; Business Development Coordinator Carli Small; and Intern Architect Kevin Kempke. With the additions, the firm will support its health care clients as well as seek new opportunities. Parham is an architect with more than 12 years of experience in health care and health carerelated design. He received a master’s degree in architecture + health from Clemson University. His experience designing health care-related facilities includes bed tower additions, surgery centers, cancer centers and medical office buildings. Among his list of projects are the Shelby Baptist South Tower; Princeton Baptist East Expansion; Marshall Medical Cancer Center; and Mission Cancer Center in Asheville, N.C. Small received a bachelor’s degree in environmental studies from the University of Alabama. She will be responsible for
business development and organizational support for the health care division and will be working to maintain current and develop new client relationships across the company’s Southeastern footprint. Prior to joining GMC, Small worked for Interiorscapes Inc. in business development and marketing. Kempke received a bachelor’s degree in architecture from Auburn University in 2007 and has a background in health care/ health-related design. Most recently, Kempke managed onand off-site development for the $180 million UAB Women’s & Infants’ Facility and the HazelrigSalter Radiation Oncology Center, along with the 9,000 square-foot Clanton Fire Station.
Prior to joining Square Root Interactive, Jones worked in digital journalism and public relations. She was a member of senior leadership in a statewide print and digital news company, and helped launch a digital content-producing hub for a broadcast company with television stations across the country. Square Root Interactive is a website design and consulting agency.
Ray Taylor
FOUR STAR FREIGHTLINER ADDS SALES REPRESENTATIVE MONTGOMERY – Ray Taylor has joined Four Star Freightliner as its new and used truck sales representative. Michelle Jones
SQUARE ROOT INTERACTIVE HIRES ACCOUNT EXECUTIVE MONTGOMERY – Square Root Interactive has hired Michelle Jones as an account executive. Jones brings more than 17 years of experience in communications, social media and search engine optimization. She will work as the liaison between the client and creative-technical staff as they develop website solutions. She is also responsible for managing the day-to-day operations for client projects.
Taylor brings more than 30 years of experience in the trucking industry to Four Star Freightliner. He spent the last 20 years selling trucks, trailers and heavy equipment. He also served as a general manager for a large trucking firm in the Montgomery area. “I get a lot of repeat customers and my customers often send me referrals,” Taylor said in a statement. “I just enjoy what I do. That’s what has made me so successful in this business.” Taylor will sell new and used medium/heavy duty trucks. He will also be responsible for leasing and renting vehicles. “Ray knows our area and is able to compete in the market right now,” Sales Manager David
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Montgomery Business Journal May 2014
Turner said in a statement. “Ray has always created great relationships with his customers. He was actually recommended to us by a customer who was already doing business with us.”
Patty VanderWal
PRATTVILLE CHAMBER BOARD NAMES VANDERWAL PRESIDENT PRATTVILLE – The Prattville Area Chamber of Commerce Board of Directors announced that Patty VanderWal has been named president of the Chamber. “I am excited and honored to serve as the new president
of the Prattville Chamber,” VanderWal said in a statement. “The Chamber’s work is vital to our business community and I look forward to working with the Chamber’s board, volunteers and staff to continue positioning the Chamber as a business and community resource. I will continue to work to elevate the Chamber in the community and to build stronger ties for the organization’s members, city/county governments and the residents of Prattville and Autauga County.” As the Chamber’s president, VanderWal will oversee the staff and work closely with the board of directors. “We are excited to have Patty as our new president,” Walter Kennedy, chairman of the Prattville Area Chamber of Commerce Board of Directors, said in a statement. “She has strong ties to our community
and a love for Prattville and Autauga County that is evident in all she does. Patty is an advocate for business and community development. We look forward to working with her and strengthening our Chamber’s relationship with the community it serves.” VanderWal, who has been with the Prattville Chamber for six years, served as executive vice president/financial director for the past year. She has also served as finance director/office manager and interim president. Prior to joining the Chamber, VanderWal was a small business owner from 2000 until 2008. She served on the Prattville Chamber board and the executive committee from 2005 until 2008. She also served as a volunteer at the Chamber and was named Ambassador of the Year. A native of Prattville, VanderWal received a degree in business
administration from Auburn University at Montgomery. She is a certified public accountant.
Amanda Benson
WELCH HORNSBY HIRES SENIOR PLANNING ASSOCIATE MONTGOMERY – Amanda Benson has joined Welch Hornsby Investment Advisors firm as a senior planning associate. Benson has 12 years of experience working with highnet-worth clients in the fee-only financial planning industry. (CONTINUED ON PAGE 56)
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May 2014 Montgomery Business Journal
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(CONTINUED FROM PAGE 55)
She will develop, research and implement new processes and procedures for the financial planning department; collect, organize and review data gathered from clients and assist in the creation of clients’ financial plans, which include personal financial statements, estate and income tax planning opportunities, family risk (insurance) management, education planning, retirement planning and procedures for the financial and resource optimization; and participate in financial planning meetings.
“At Welch Hornsby, we seek talented people to create an extraordinary client relationship,” President and CEO Edward V. Welch Jr. said in a statement. “We certainly believe Amanda Benson’s strong skill set and financial planning knowledge will enhance our private wealth clients’ overall experience.” She holds dual degrees in accounting and in consumer sciences with a concentration in family financial planning and counseling from the University of Alabama. Welch Hornsby, which has its headquarters in Montgomery, has offices in Birmingham and Charlotte, N.C.
Banker Commercial Emerging Broker Training program, which provides online and in-person training for new real estate agents to help prepare them for all aspects of real estate negotiations and transactions. The company manages 4 millionplus square feet of commercial buildings in three states. •
Sam Meadows
COLDWELL BANKER COMMERCIAL MOORE COMPANY REALTY ANNOUNCES HIRE MONTGOMERY – Coldwell Banker Commercial Moore Company Realty hired Sam Meadows for the sales and leasing team.
To submit your business news for publication, email a press release to editor@montgomerychamber. com. Montgomery Area Chamber of Commerce Members only.
Meadows, a recent graduate of the University of Alabama who majored in history, will join the firm’s Birmingham office. He will also be enrolled in the Coldwell
Ribbon Cuttings & Ground Breakings
HERE WE GROW AGAIN
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Montgomery Business Journal May 2014
GOLDEN SHEARS AND MORE 1801 West 3rd Street Montgomery, AL 36106 334-220-6061 Reginald Miller-Owner Beauty Salons/Spas
REINHARDT MOTORS, INC. 720 Eastern Boulevard Montgomery, AL 36117 334-272-7147 Mike Reinhardt-Vice President/General Manager Automotive Dealers & Services
INFINITUS ENERGY 1551 Louisville Street Montgomery, AL 36104 954-838-8118 www.infinitus-energy.com Kyle Mowitz-CEO Recycling
ALLEGIANCE STAFFING 1231 B Perry Hill Road Montgomery, AL 36109 334-819-7753 www.allegiancestaffing.com Carol Lee-Owner Employment Agencies
NEW MEMBERS Answering Service
Home Health Services
ASK/ALWAYS OPEN Richard J. Burley 5815 Carmichael Road Montgomery, AL 36117 334-387-2758
FIRST LIGHT HOME CARE OF MONTGOMERY Lane Miller 495 St. Lukes Drive Montgomery, AL 36117 334-271-6500
Architects
Hotels/Motels
FOSHEE DESIGN & CONSTRUCTION, LLC John H. Foshee 44 Market Plaza, 8th Floor Montgomery, AL 36104 334-273-0313
MICROTEL INN & SUITES Craig Davis 100 Gibbons Drive-Atlanta Highway Montgomery, AL 36117 334-649-4465
Call Center
Human Resource Management Consulting
ASK/ALWAYS OPEN Richard J. Burley 5815 Carmichael Road Montgomery, AL 36117 334-387-2758
Consulting Services MOORE-ZEIGLER GROUP Douglas Moore 1807 Britton Lane Montgomery, AL 36104 334-261-4222
Dialysis Clinics FRESENIUS MEDICAL CARE CAPITOL CITY Jennifer B. Carter 255 South Jackson Street Montgomery, AL 36104 334-263-1028 FRESENIUS MEDICAL CARE MONTGOMERY BAPTIST Jennifer B. Carter 1400 Narrow Lane Parkway Montgomery, AL 36111 334-286-4011 FRESENIUS MEDICAL CARE MONTGOMERY HOME SERVICES Jennifer B. Carter 114 Mitylene Park Lane Montgomery, AL 36117 334-244-1478 FRESENIUS MEDICAL CARE TAYLOR ROAD Jennifer B. Carter 100 Mitylene Park Lane Montgomery, AL 36117 334-274-4300
PharmaceuticalSupplies/Equipment MIDLOTHIAN LABORATORIES Denise Wiesemann 780 Industrial Park Boulevard, Unit C Montgomery, AL 36117 334-288-8661
Physicians-Imaging MONTGOMERY OPEN MRI Linda Dennis 249 Winton M. Blount Loop Montgomery, AL 36117 334-213-0036
Restaurants
CORE CONSULTING Christy P. Hayes 3066 Zelda Road Montgomery, AL 36106 334-399-1926
TRUE Wesley True 503 Cloverdale Road - Unit 101 Montgomery, AL 36106 334-356-3814
Information Technology Firms
Swimming Pools/Spas
QUARKSOFT-USA Jim Pritts P.O. Box 98 Marbury, AL 36051 334-324-1788
Insurance Companies/ Services THE MADISON GROUP Craig Thomas 6538 Atlanta Highway Montgomery, AL 36117 334-649-6994
Machinery-Mfr. KYUNGSHINLEAR, LLC Wally Wilds 100 Smothers Road Montgomery, AL 36117 334-523-9455
BLUE HAVEN POOLS & SPAS Marc Mihalsky 4255 Wetumpka Highway Montgomery, AL 36110 334-277-3100
Telemarketing ASK/ALWAYS OPEN Richard J. Burley 5815 Carmichael Road Montgomery, AL 36117 334-387-2758
Trucking Services SUINUJ TRANSPORTATION, LLC Junius B. Clark 2600 Vaughn Lakes Boulevard, #1018 Montgomery, AL 36117 334-523-1492
Office Space-Flexible REGUS Laura Chew 445 Dexter Avenue, Suite 4050 Montgomery, AL 36104 334-498-1360
May 2014 Montgomery Business Journal
57
Unemployment Data Civilian Labor Force AREA
FEBRUARY P 2014
Montgomery MA
JANUARY R 2014
Unemployment Rate
FEBRUARY R 2013
FEBRUARY P 2014
JANUARY R 2014
FEBRUARY R 2013
166,376
165,658
166,948
7.40%
6.90%
7.20%
Autauga County
25,376
25,281
25,533
6.30%
5.90%
6.40%
Prattville City
16,175
16,071
16,312
5.40%
4.70%
5.70%
35,131
34,939
35,263
7.00%
6.40%
6.80%
3,911
3,877
3,971
12.60%
11.80%
13.50%
101,957
101,560
102,180
7.60%
7.20%
7.30%
91,216
90,891
91,390
7.50%
7.10%
7.20%
528,688
527,203
527,939
6.50%
5.90%
6.40%
89,186
88,913
88,972
8.40%
7.90%
8.20%
211,911
209,977
213,395
6.50%
5.90%
6.20%
89,991
89,182
90,672
6.50%
6.00%
6.30%
182,034
180,797
183,424
8.10%
7.70%
8.30%
84,703
84,115
85,189
8.50%
8.10%
8.50%
2,133,675
2,120,921
2,141,678
7.30%
6.80%
7.20%
155,027,000
154,381,000
154,727,000
7.00%
7.00%
8.10%
Elmore County Lowndes County Montgomery County Montgomery City Birmingham-Hoover MA Birmingham City Huntsville MA Huntsville City Mobile MA Mobile City Alabama United States
MA=Metropolitan Area. pPreliminary rRevised Estimates prepared by the Alabama Department of Industrial Relations in Cooperation with the Bureau of Labor Statistics, based on 2013 benchmark.
Sales Tax Collections MARCH 2014
MARCH 2013
YEAR OVER YEAR % CHANGE
YTD 2014
YTD 2013
YEAR OVER YEAR % CHANGE
Montgomery County
$3,399,717
$3,094,308
9.87%
$10,177,040
$10,027,979
1.49%
City of Montgomery
$7,781,751
$7,458,169
4.34%
$23,537,389
$23,394,582
0.61%
Pike Road
$134,675
$163,936
-17.85%
$464,084
$498,492
-6.90%
Millbrook
$461,516
$442,786
4.23%
$1,452,576
$1,424,918
1.94%
Autauga County
$623,662
$647,559
-3.69%
$1,928,269
$1,961,361
-1.69%
Wetumpka
$436,966
$478,626
-8.70%
$1,363,475
$1,483,220
-8.07%
Sources: Montgomery County Commission, City of Montgomery, City of Pike Road, Autauga County Commission, City of Prattville, Elmore County Commission, City of Wetumpka, City of Millbrook Note: YTD numbers are January 2013 thru current month.
58
Montgomery Business Journal May 2014
Building Starts Building Permits
Building Valuations
MARCH 2014
FEBRUARY 2014
MARCH 2013
MARCH 2014
FEBRUARY 2014
MARCH 2013
New Construction
24
20
35
$3,909,400
$2,971,000
$5,656,000
Additions and AlterationsÂ
94
71
57
$4,793,700
$10,727,700
$2,879,800
Others
21
20
25
$112,000
$152,400
$281,800
139
111
117
$8,809,100
$13,851,100
$8,817,600
Total
Source: City of Montgomery Building Department
Montgomery Metro Market Home Sales MARCH 2014
FEBRUARY 2014
MONTH/MONTH % CHANGE
MARCH 2013
YEAR/YEAR % CHANGE
STATEWIDE MARCH 2014
Median Price
$131,000
$139,000
-5.76%
$133,000
-1.50%
$121,213
Average Price
$143,541
$147,072
-2.40%
$146,290
-1.88%
$150,490
2,901
2,751
5.45%
2,730
6.26%
32,560
9
10.8
-16.67%
8.9
1.12%
9.1
Total # Sales
321
255
25.88%
307
4.56%
3,596
Days on Market
157
137
14.60%
115
36.52%
157
Units Listed Months of Supply
Source: Alabama Center for Real Estate (ACRE), The University of Alabama
May 2014 Montgomery Business Journal
59
Hyundai Sales VEHICLE
MAR 2014
MAR 2013
YTD 2014
YTD 2013
Accent
5,843
5,669
16,008
13,914
Sonata
19,248
18,013
40,253
47,285
Elantra
21,518
26,153
53,237
54,546
9,726
7,116
23,440
19,446
760
1,117
2,118
2,709
Tucson
4,627
4,073
12,116
11,010
Veloster
2,782
2,693
6,686
6,357
0
39
1
136
2,170
3,124
5,236
8,113
331
291
918
814
67,005
68,306
160,013
164,330
Santa Fe Azera
Veracruz Genesis Equus Total
Source: Hyundai Motor America
First Class Medicine The UAB School of Medicine Montgomery Regional Campus welcomes its first class of full-time medical students
Six third-year medical students have joined the Montgomery Regional Campus, creating the first class of medicine and a new generation of medical excellence for Montgomery and the River Region.
www.uab.edu/medicine/home/montgomery-campus
60
Montgomery Business Journal May 2014
Airline Fares Roundtrip airfare comparisons from Montgomery, Birmingham and Atlanta airports to key destinations. DESTINATION
MONTGOMERY
BIRMINGHAM
ATLANTA
Baltimore (BWI)
$431
$262
$289
Boston (BOS)
$416
$407
Charlotte, NC (CLT)
$245
Chicago (ORD)
DESTINATION
MONTGOMERY
BIRMINGHAM
ATLANTA
Miami (MIA)
$250
$279
$218
$290
Nashville (BNA)
$453
$453
$323
$249
$333
New Orleans (MSY)
$454
$272
$216
$421
$236
$308
New York (JFK)
$361
$297
$306
Cincinnati (CVG)
$375
$404
$265
Orlando (MCO)
$411
$257
$218
Dallas/Ft Worth (DFW)
$311
$291
$188
Philadelphia (PHL)
$417
$242
$374
Denver (DEN)
$363
$343
$303
Pittsburgh (PIT)
$411
$459
$238
Detroit (DTW)
$417
$335
$285
St Louis (STL)
$404
$269
$306
Houston (HOU)
$280
$314
$261
Seattle (SEA)
$471
$499
$383
Indianapolis (IND)
$421
$449
$218
Seoul (SEL)
$2,030
$1,567
$1,553
Las Vegas (LAS)
$461
$443
$404
Tampa (TPA)
$411
$261
$218
Los Angeles (LAX)
$461
$421
$372
Washington DC (DCA)
$411
$240
$321
Memphis (MEM)
$370
$370
$260
Date of travel: May 20-25, 2014. Date of pricing: April 13 Source: travelocity.com
Business and Personal
Solutions to meet your needs now and well into the future. We make banking easy and convenient, so that you have more time for the things in life that matter most.
4141 Carmichael Road (334) 395-7900 3311 Malcolm Drive (334) 395-7950 ǁǁǁ͘ŝďĞƌŝĂďĂŶŬ͘ĐŽŵ
May 2014 Montgomery Business Journal
61
Montgomery Regional Airport MARCH 2014 Air Carrier Operations
MARCH 2013
YEAR OVER YEAR % CHANGE
YTD 2014
YTD 2013
YEAR OVER YEAR % CHANGE
945
898
5.2%
2,396
2,542
-5.7%
6,564
5,020
30.7%
15,792
13,071
20.8%
Enplanements
13,447
14,194
-5.3%
35,145
39,073
-10.0%
Deplanements
13,646
13,896
-1.8%
36,157
39,537
-8.5%
Total Passengers
27,093
28,090
-3.5%
71,302
78,610
-9.3%
Total Operations
Source: Montgomery Regional Airport (MGM) Dannelly Field
Quarterly Reports NAME
American Eagle Outfitters
NET INCOME
EARNINGS PER SHARE
EARNINGS ESTIMATE
YEAR-AGO REVENUES
YEAR-AGO NET INCOME
NOTABLE
$1B
$10.5M
$0.05
$0.26
$1.1B
$94.8M
Profit plunged 89%
$156.1M
$12.3M
$0.69
$0.67
$162.9M
$14.3M
Sales fell 4.2%
Williams-Sonoma
$1.5B
$133.8M
$1.38
$1.35
$1.4B
$133.8M
Comparable brand revenue up 10.8%
Darden Restaurants
$2.2B
$109.7M
$0.82
$0.82
$2.3B
$134.4M
Red Lobster quarterly sales declined 8.7%
$217.8M
$16.9M
$0.64
$0.70
$217.4M
$19.8M
Same-store sales rose 1.7%
$572M
$28.1M
$0.30
$0.28
$594M
$27.1M
Sales fell 3.7%
$3.7B
$220.5M
$1.89
$1.93
$3.6B
$261.1M
Profit dropped 16%
$495.1M
$4M
$0.11
N/A
$533.4M
$6.6M
Sales declined 7.2%
Jos. A Bank Clothiers
$356M
$27.4M
$1.07
N/A
$355M
$28.4M
Dick’s Sporting Goods
$1.9B
$138.6M
$1.11
$1.10
$1.8B
$129.7M
Dollar General
$4.5B
$322M
$1.01
$1.01
$4.2B
$317M
Opened 650 stores in 2013
$112.8M
$14.8M
$0.21
$0.13
$118.1M
$4.8M
Quarterly profit tripled
$19.6B
$754M
$0.78
$0.91
$18.7B
$756M
Prescription sales up 7%
Kirkland’s
(Red Lobster, Olive Garden, LongHorn Steakhouse)
Hibbett Sports DSW GameStop Fred’s
Krispy Kreme Doughnuts Walgreen
62
QUARTERLY REVENUES
Montgomery Business Journal May 2014
Bought Men’s Wearhouse Sales increased 7.9%
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MONTGOMERY, AL WETUMPKA, AL
DOTHAN, AL
PRATTVILLE, AL
JACKSON, MS
NASHVILLE, TN
334.834.7660
www.jacksonthornton.com
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Post Office Box 79 Montgomery, AL 36101