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Contents 6 Calendar
34 30
8
12
8
Q&A with Mike Hubbard
12
Regions is a “big-little� Bank
14
Wilson Price Merges with Two Other Accounting Firms
16
Travel Industry Emphasizes Youth Sports
22
BB&T is Committed to the Community
24
Hyundai Elantra Named 2012 North American Car of the Year
30
Business Council of Alabama Unveils Legislative Agenda
34
Montgomery County Commission Chairman Elton N. Dean, Sr. Deeply Touched by Award
35
Business Buzz
40
Members on the Move
42
Ribbon Cuttings & Ground Breakings
43
New Members
44
Economic Intel
42
february 2012
February 2012 Montgomery Business Journal
3
THE NUMBER ONE BUSINESS SOURCE FOR MONTGOMERY AND THE RIVER REGION PUBLISHER
Randall L. George Executive Editor
Tina McManama Managing Editor
David Zaslawsky
START THE YEAR OFF WITH A CLEAN SLATE.
Editorial assistanT
LaShanda Gaines Design
Copperwing Design Photographer
Robert Fouts On the cover:
Y.D. Lim, president and CEO of Hyundai Motor Manufacturing Alabama, LLC, shows off the Montgomery-built Elantra, the 2012 North American Car of the Year. Advertising:
Linda Drumheller 334-240-9494 mbjsales@montgomerychamber.com
Call now to receive your free, no-obligation estimate
334-277-7749 www.MAIDS.com Scan with your smartphone QR code app to like us on Facebook.
Referred for a reason.
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Montgomery Business Journal February 2012
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 4, Issue 2. 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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www.aronov.com neal.berney@aronov.com February 2012 Montgomery Business Journal
5
Calendar Montgomery Area Chamber of Commerce Events
FEBRUARY & ISSUES WITH SENATOR RICHARD SHELBY 6 EGGS Presenting Sponsor: Troy University 7:30 AM @ RSA Activity Center 201 Dexter Avenue, Montgomery Details and registration: www.montgomerychamber.com/shelby
BUSINESS PLANNING SEMINAR 4 PM @ Small Business Resource Center 600 South Court Street, Montgomery $10 at the door, Registration not required
8
60 MINUTE COFFEE Sponsored by The Deli at Alley Station 8 AM @ The Deli at Alley Station 130 Commerce Street, Suite 100, Montgomery Free event, exclusively for Chamber Members
16
MINORITY BUSINESS DEVELOPMENT COMMUNITY FORUM Presented by Care Ambulance, 7:30 AM @ Small Business Resource Center 600 South Court Street, Montgomery Registration: www.montgomerychamber.com/forum
20
BUSINESS PLANNING SEMINAR 4 PM @ Small Business Resource Center 600 South Court Street, Montgomery $10 at the door, Registration not required
22
LUNCHWORKS Noon @ Small Business Resource Center 600 South Court Street, Montgomery Registration: www.montgomerychamber.com/lunchworks
23
BUSINESS AFTER HOURS Sponsored by Jack Ingram Mercedes Benz, 5 PM @ Jack Ingram Mercedes Benz 217 Eastern Boulevard, Montgomery Free event, exclusively for Chamber Members
Save the Date
13th ANNUAL CHAMBER OPEN Presenting Sponsor Jim Wilson & Associates Monday, April 9, 2012, Wynlakes Golf & Country Club
$155/person Chamber Member $175 for Non-Members Register online at www.montgomerychamber.com/open
6
Montgomery Business Journal February 2012
MARCH PLANNING SEMINAR 5 BUSINESS 4 PM @ Small Business Resource Center, 600 South Court Street, Montgomery $10 at the door, Registration not required
7
60 MINUTE COFFEE Sponsored by Fortis College, 8 AM @ Fortis College 3470 Eastdale Circle, Montgomery Free event, exclusively for Chamber Members
19
BUSINESS PLANNING SEMINAR 4 PM @ Small Business Resource Center 600 South Court Street, Montgomery $10 at the door, Registration not required
29
BUSINESS AFTER HOURS Sponsored by Virginia College, 5 PM @ Virginia College 6200 Atlanta Highway, Montgomery Free event, exclusively for Chamber Members
Convention Calendar compiled by the Montgomery Area Chamber of Commerce Convention & Visitor Bureau
February 2/9-2/12 Health Occupations Students of America Convention 2/9-2/12 Alabama Sheriff Conference 2/14-2/17 Alabama Farmer’s Cooperative Annual Meeting 2/23-2/26 Youth Legislature Conference 2/24-2/25 Student Alabama Education Association Spring Conference 2/25-3/1 Home Builders Association of Alabama Winter Board Meeting
March 3/5-3/7
Alabama State University National HBCU Conference
3/6-3/9
Alabama Community Education Annual Conference
3/11-3/14 Alabama Rural Water Association Annual Conference 3/25-3/28 Alabama Probate Judges Association Meeting
February 2012 Montgomery Business Journal
7
speaker vows friendly business environment Q&A with mike hubbard
Mike Hubbard (R-Auburn) is the Speaker of the Alabama House of Representatives. He was recently interviewed by Montgomery Business Journal Managing Editor David Zaslawsky. Montgomery Business Journal: What are your responsibilities as the Speaker of the House?
Fouts Commercial Photography
Mike Hubbard is Speaker of the Alabama House of Representatives.
Hubbard: As the Speaker, I am the presiding officer of the House of Representatives; elected by the membership. It’s very similar to the Congress and House of Representatives, where the members elect a Speaker. I’m third in line in succession to the governor. You have appointment power. There are a number of appointments the Speaker makes, both legislators and non-legislators. For instance, the Speaker makes (appointments) to the ethics commission and other commissions. From a legislative standpoint, the Speaker makes the appointments of all the committee chairs and all of the members of the committees, which is unlike Congress. MBJ: You must have a lot of lawmakers asking you to be named to their desired committees.
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Montgomery Business Journal February 2012
Hubbard: Yes. You approve travel and those kinds of things. I’m the Speaker for all of the House, not just the Republicans. From a partisan standpoint, clearly I’m a Republican – past party chairman; past minority leader – but, now that I am in this role it’s different. My job is to make sure that the flow of legislation moves properly; that we adhere to the rules of the House; and my job as presiding officer is to make sure that it’s done fairly and properly. MBJ: How difficult and complicated is it to make all of those committee appointments? I would imagine it must be very important who is on which committee. Hubbard: It is. MBJ: Doesn’t that dictate what types of bills come out of the committees? Hubbard: It does. We never had the opportunity to do that before. When I put together the committees it was really the first time. It was quite a chore. It took a lot of time and a lot of thought because you try to play to members’ strengths, their backgrounds, their professions, their interests. You can’t be an expert on everything. One of the first things I learned when I became a legislator is that you learn a little about a lot of different things, but you have to concentrate on one particular area where you become an expert. We had a lot of new members and they all pretty much
came from a business background because they’re the people we recruited to run and sought out when we were looking to flip the Legislature – put it in Republican control. By putting the committees together the way I did, we really have a very pro-business House of Representatives and really we have a probusiness Legislature, the Senate included. There is no way to describe the House other than it is conservative and pro-business. MBJ: How many people do you have on staff? Hubbard: We have six people on staff. The previous Speaker had four. We have the same payroll, but I changed it up a little bit. He didn’t have a communications director and didn’t have a legal counsel. We have taken on a different role than the previous Speaker – more of policy-oriented. We have taken a real hard stance on and (become) a real active participant in policy and helping to put legislation together. It has been very helpful to have a lawyer who actually works for the Speaker’s office and in return works for the entire membership. Our attorney used to work in the legislative fiscal office so he has a background in that, which helps a lot. He is very knowledgeable about budgets and very
helpful to the committee chairmen. I have a constituent relations person and a legislative affairs person, who works with the rules chairman on legislation and works with me on the appointments. MBJ: What are your top priorities to improve the state’s economy? Hubbard: Our No. 1 priority (from the) last session – aside from passing all the things that we promised that we would pass during the campaign – is jobs and do whatever we can to make the environment in Alabama as business-friendly as it can possibly be. To incentivize new companies to come here, but even more important is to make it attractive for existing businesses to grow and expand and prosper. The leadership certainly understands of both Houses that nothing happens unless it is done by the private sector. We redistribute what the private sector generates. In order for us to grow, the private sector has to grow and we’re working toward achieving that. MBJ: How do you achieve that? Hubbard: One of the things that we heard loud and clear … I put together a Speaker’s
Commission on Job Creation last session, which proved to be extremely successful. Instead of us saying as legislators, “we’re going to come up with all the ideas,” – we actually went to the people who do it every day, trying to grow their business; become more efficient; and have to deal with government and tell us, what can we do to help? What are some burdens on you that maybe we can work with and try to eliminate or diffuse? What are some things we can do that would incentivize you to grow and expand? We got great feedback. If you talk to people and ask for advice, they will give you their opinions. Some of them were not workable, (and) some of them were not exactly how they came out but were the genesis of some legislation that we already passed. MBJ: What were those pieces of legislation? Hubbard: One was the Made in Alabama jobs bill. We passed it last session and it came from our commission. It went through some transformations, but the idea was, provide a temporary offset of foreign tariffs during the Continued on page 10
February 2012 Montgomery Business Journal
9
continued from page 9
construction process for foreign companies who choose to locate in Alabama. It gives our economic developers locally and at the state level a tool in their toolbox that no other state has. It makes perfect sense. I believe very soon you are going to see an announcement of new jobs being created as a result of that bill.
You’re making me non-productive because I have to spend time on it; I have to put personnel on it; and we spend so much time on that when it would be better if we were spending our time trying to figure out how to make more money and how to expand and how to grow my business instead of having to comply with all of these crazy regulations.”
MBJ: One of the recommendations from that jobs commission was establishing a Small Business Financing Authority. In the final report it states if there were a one-time, $5 million appropriation it will enable the state to assist 200-plus small businesses and generate $35 million in private equity and credit in the first year. Sounds like a no-brainer.
We started asking questions: “Why do we have this regulation?” A lot of times we don’t get a good answer. If you can’t justify it then we don’t need to have it. The reg flex bill that we will propose as part of our agenda, I believe it will pass. Before any new regulation can be imposed, we have to do a thorough study to find out what fiscal impact it has on the private sector. It makes perfect sense. As
Right now, there is nothing more important than creating jobs. I think the majority of the members of the Legislature are going to see that is very important. Hubbard: One of the problems that a lot of small businesses have – they said, “We don’t have access to capital.” The banks have gotten so tight and federal regulators are putting the handcuffs on the banks to where they are putting people out of business. People with good ideas or who can expand don’t have access to capital. MBJ: In these days of very tight budgets, is a one-time, $5 million appropriation likely in the 2012 legislative session that starts Feb. 7? Hubbard: You have to prioritize on what is important and obviously we have to fund state government, but you can take a $5 million investment and get a multiple return from it then you have to look at what is in the best interest of the taxpayer. Right now, there is nothing more important than creating jobs. I think the majority of the members of the Legislature are going to see that is very important. In the scheme of things, that ($5 million) is not a lot of money. We have to be very careful how we set that up. It’s kind of out-of-the-box thinking. The No. 1 deal that we heard from businesses is, “You guys are killing us with red tape and regulations.
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Montgomery Business Journal February 2012
further evidence that we are a pro-business Legislature, that (regulations flexibility bill) is going to be one of our linchpins of our agenda coming up. The end result is to make certain that we don’t burden the private sector with onerous regulations. If you have agencies promulgating rules and regulations and not going through the lawmaking process there is no check and balance and then you can end up with problems. MBJ: I read about incentives for data processing centers. What is that about? Hubbard: We have an opportunity to recruit some data processing centers. We have the data to back it up: They have a ripple effect in creating jobs and stimulating the economy. We have an opportunity to recruit those to Alabama. We have the labor; we have the infrastructure. They are a very clean business to bring in. We think it’s a good use of money.
It has a ripple effect on other entities. That is a niche and we’ve gotten really good with automobiles; steel industry; and good on biotech with Hudson Alpha up in Huntsville and all resources at UAB (University of AlabamaBirmingham). The data centers are another niche that we can really excel in. It doesn’t require a lot of site prep. Again, it’s another tool we can give to our economic developers on the state level and local level; they can use or choose not to use it. We believe very quickly after we pass that we will have a success right away. MBJ: Have you been contacted by a data processing center telling you if there are incentives they are coming to Alabama? Hubbard: Yes. We think if we can get companies to look at Alabama – and I’ll tell you they are looking at us now because we have a really good reputation in the State of Alabama as being pro-business; very productive workers; a friendly Legislature now; friendly court system. If we can get people to look at Alabama then it pretty much sells itself. We have a lot to offer in this state. Sometimes if people have never been to Alabama and they have one image – but if you get them here and they look they are never going to leave. MBJ: Are there any other proposals geared to small businesses? I read where you are recommending a task force to study streamlining and simplifying sales, use and lease taxes. Hubbard: That is a big deal and will be a big deal for retailers. Right now we require you to pay sales tax on the local level; county level; municipal level; state level. We put together a commission to come back with a plan for us to implement that would consolidate that so you pay once and it gets dispersed out. It makes it so much easier and less expensive on the small business. Right now, it’s expensive just in time that you have to devote to paying your taxes. MBJ: For small businesses that could mean the business owner spending their time.
MBJ: What are the incentives to attract data processing centers?
Hubbard: It could or somebody who you would rather do something else. If you talk to the retail association, who represents retailers, they are going to say, “We have been wanting that for decades.” That is something we are going to make a reality.
Hubbard: It has the number of jobs spelled out in the bill and what the average salary has to be. These are pretty high-income jobs.
MBJ: You have talked about making “the necessary investments” in the state’s two-year college system to “meet Alabama’s jobless
with Alabama jobs.” How much money are you talking about and what type of programs? Hubbard: Putting it in business terms, I look at it and I know President Pro Tem (Del) Marsh – we have a very close relationship – and we’re on the same page. In business you wouldn’t produce a product that you didn’t talk to your customer to find out if they need it or not. There has to be a communication between industry and business and education to make sure we are producing what they need. It makes common sense. They have done that in Florida, where industry and business have a seat at the table. It makes so much sense on so many fronts and the biggest one is to make sure that when people get out of school they have a job. In the twoyear system we shouldn’t continue to put out the same thing we put out 25 years ago. The world has changed and it is changing. We need to have a direct communication with the business community to tell us what they need now; what they are going to need five years from now; and what they are going to need 10 years from now so that can be implemented in K-12 and the
two-year system. Dr. Tom Bice, who is the new superintendent of schools, he gets it. He understands that whole area that there needs to be some collaboration. I’m excited about working with him. I think we are going to have a great relationship between the Legislature and state Department of Education. I look at it from a business standpoint. You don’t put out a product that you don’t have a market for. MBJ: Or you won’t stay in business very long. Hubbard: You go out of business. We don’t go out of business, but you keep putting people out there who don’t have jobs. There has to be a connection there between what we’re producing … it has to go to the career tech. That’s another big deal for us to make sure we’re working in concert with the state Department of Education so that the career tech folks are plugged in to what the needs are. It’s hard to guide someone into an area if you don’t understand what’s going on and what the needs are. We have to bring those together and I believe we can do that through the appropriations process and just by working together for a common goal.
MBJ: Communication doesn’t cost anything. Hubbard: Exactly, communication and working together and making sure everybody has the same plan. MBJ: Please talk about existing industries vs. recruiting new businesses. Hubbard: The vast majority of the new jobs, I think 80 percent – are going to be created by existing industries. We can’t lose sight and the new businesses and the big announcements – they are sexy. The ones you can bring in 500 jobs, but it’s a fact that the vast majority of new jobs are going to be created by existing industries. We can’t forget that. We can’t provide incentives at the expense of existing industries. We also have to understand that these folks have been good corporate citizens for a long time and they have been creating jobs for a long time. We have to be very mindful of existing industries and make sure that we are being fair to existing industries at the same time we’re being proactive in recruiting new industries to come. •
February 2012 Montgomery Business Journal
11
Investor Profile
Arthur DuCote, the Central Alabama area president for Regions Financial Corp., is based in Montgomery.
Sophisticated Products Plus Personal Service Regions is a bank with the best of both by David Zaslawsky
photography by Robert Fouts
“We’re a big-little bank.” That’s how Arthur DuCote, Central Alabama area president for Regions Financial Corp., describes the company.
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Montgomery Business Journal February 2012
Regions Financial Corp. River Region impact Number of branches “Regions is a large enough bank to have sophisticated products and services, but locally focused in such a way that you receive the personal service you would at a small bank,” he said. “We still make decisions locally. We are extremely strong community supporters both in terms of dollars and that distinguishes us from a lot of other large banks. The scope in which we can do that certainly distinguishes us from small banks.” Regions is the only Fortune 500 bank headquartered in Alabama and that has its advantages. “It makes a difference in terms of giving back to the state and being a part of the community, where you go to church and raise your children in the same community that you do your business,” DuCote said. “It adds up in terms of community service as well as the dollars that you can provide in those communities.” But size really does matter. “We can offer the advantages of sophisticated products and services that come along with scale and scope of your operation and that would include specifically designed products for small businesses – not a one-stop-shop-fits-all checking account or loan product for small businesses,” DuCote said. “We also have sophisticated cash management and fraud-prevention products for large businesses. We invest a lot of money in technology to be able to deliver those kinds of things.” That sheer size has enabled the bank to offer new products and services. Under the umbrella, “Our ‘Regions Now Banking’ products are specifically designed to meet the needs of a broader group of consumers that visit our branches,” DuCote said. One of those products is “Ready Advance.” It is an Internet-based loan product for customers, who have maintained a checking account in good standing for nine months, according to DuCote. A customer may borrow up to $500 and it is paid back through a direct deposit. There is a fee per $100 borrowed. “You do it online and before you know it, you aren’t even dealing with the bank during normal operating hours and you have the credit that you need to take care of life,” DuCote said. “It has really, really met a need for a lot of consumers – as you can imagine.” Another new product is a pre-loaded debit card, which a customer can add to and check the balance at a Regions ATM. DuCote said that some parents are using the pre-loaded debit card for their children in college, but another use is for customers to save money for Christmas – a type of Christmas club account.
22
Number of employees
320
Total amount of loans
$900 million
Total amount of deposits
$1.8 billion
Total amount of trust assets
$1.4 billion
Grand total book of business
$4.1 billion
Source: Regions Financial Corp.
way for our company and in a safe, responsible way for the customer,” DuCote said. He said the fee “is much less expensive than traditional providers (charge for) this service.” These products and services are by-products of Regions’ size, “but I don’t want to over-emphasize size,” DuCote said. “Size is nothing more in terms of offering these kinds of sophisticated products and services – than a ticket to the game. You still have to show up and provide great service and earn your customers’ business first, second, third … “You can be as big as you want to be, but if you’re not an entity with a strong service ethic and want to do a good job for your clients it doesn’t matter how big you are. Big doesn’t make you successful.” What does make Regions’ successful? “Our job is to help people reach their financial goals,” DuCote said. “It’s as simple as that. We do that through loans, deposits, investments, insurance, trust. It is our job to be a partner for our customers. We make sure that we hire people that have a high-service ethic and high integrity. They are willing to invest in their profession to be the best bankers they can possibly be. What that ends up being is a group of associates that care about whether or not they are successful in helping their customers reach their goals. If we do that well – day in and day out – we will be a successful bank; make a good living; and have a successful company all at the same time. “It sounds very, very simple, but is the driving force behind our approach to business and it impacts what we do every single day.” •
Regions has also become an authorized Western Union service site – that is a site at all 1,700 branches. “We are now in the money transfer business,” DuCote said. “It meets the needs of our customers that wanted to use us for that business anyway and would come to us and ask us how to solve these problems. We can now do it.” Regions is partnering with a Tennessee firm to launch a new service of cashing checks for non-customers. “Now we can offer check cashing for non-Regions’ customers for a fee and do it in a safe, responsible
February 2012 Montgomery Business Journal
13
Richard M. Stabler (left) and Charles A. Jordan are co-managing members of the newly formed Warren Averett Wilson Price.
Compiled from wire reports
BIRMINGHAM – The Montgomery-based accounting firm of Wilson, Price, Barranco, Blankenship & Billingsley, P.C., is joining the firms of Warren, Averett, Kimbrough & Marino, LLC, and O’Sullivan Creel, LLP. Warren Averett is based in Birmingham and O’Sullivan Creel is based in Pensacola, Fla.
Wilson Price Merges with Accounting Firms Three CPA firms are merging to create one of the five largest in the Southeast
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Montgomery Business Journal February 2012
The newly combined firm, which is called Warren Averett, LLC, features 500-plus employees and operates 12 offices. Warren Averett will rank among the top 35 accounting firms in the country. Each of three firms will offer increased services, which will include wealth management, staffing and recruiting, technology consulting and outsourcing and retirement plan administration and investments. Each firm will also have experts in such areas as health care, manufacturing, financial services, construction, aerospace and defense, life science and technology, public sector and real estate.
“The strategic move to combine Alabama’s largest firm, one of Montgomery’s most prestigious firms and a significant, regional Gulf Coast firm creates tremendous opportunity for all involved,” James W. Cunningham, CEO of Warren Averett, said in a statement. “The joint resources and expertise resulting from this move will enable us to draw from the best and brightest talent and experience to effectively serve each client.” Cunningham will continue to serve as CEO and managing member of Warren, Averett, Kimbrough & Marino, which has offices in Birmingham, Huntsville, Cullman and Anniston, and affiliate offices in Auburn, Dallas and Houston. Wilson Price will operate as Warren Averett Wilson Price with Charles A. Jordan and Richard M. Stabler retaining their roles as co-managing members. “When we look at the state of the profession, we recognize that many of our clients are becoming more complex and sophisticated,” Stabler said in a
statement. “Many are multi-national, multi-state and multi-lines of business, which calls for specialized, more strategic accounting services. This merger allows us to provide the best of these services.” Jordan said in a statement, “The wonderful part about bringing three high-quality firms together is that we’ll be able to adopt the best practices of three great firms to make an even better firm.” Wilson Price thanked its clients and friends in a letter and also wrote: “During the past few years, we have watched our profession undergo significant changes which have caused us to be even more committed to raising the bar with the level of expertise we bring to our clients, while remaining focused on quality and personalized service. It is with this in mind that we would like to share with you some very exciting news.”
was effective January 1. The letter also contained the following: “Our highest priority is to ensure you consistent quality and proactive service. You may continue to reach us at our current addresses and all phone and fax numbers will remain the same. As we see opportunities to enhance our service to you, we may introduce new team members and services to add both value and expertise to your relationship with our firm.” O’Sullivan Creel will operate as Warren Averett O’Sullivan Creel and Mort O’Sullivan will continue his role as managing member. In addition to its Pensacola office the firm has offices in Destin, Fort Walton and Crestview, Fla., and two Alabama offices: Foley and Fairhope. •
That news was the merger with the two other accounting firms, which
February 2012 Montgomery Business Journal
15
Scoring River Region capitalizes on new and improved sports venues by David Zaslawsky photography by Robert Fouts
A new soccer complex; a newly renovated Cramton Bowl; and a soonto-be completed 90,000-square-foot multipurpose indoor sports facility. This may sound like the beginning of a sports story, but it is all about economic development and in particular the travel industry. It specifically illustrates that the City of Montgomery and Montgomery County are leveraging sporting venues to host events. Those events translate into hotel rooms filling up; restaurants filling up; people filling up their gas tanks; people shopping, etc. You get the picture. Sporting events are big business – a critical target segment of the area’s travel industry – and will be a focus in 2012 thanks to a recent, comprehensive travel industry survey conducted by Berkeley Young, president of Young Strategies Inc. He recommended an aggressive effort to promote the new and improved sporting venues to attract sporting events to the area. That strategy has resulted in the Montgomery Area Chamber of Commerce’s Convention & Visitor Bureau (CVB) restructuring its staff and realigning sales markets, according to Dawn Hathcock, vice president, Montgomery
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Montgomery Business Journal February 2012
Area Chamber of Commerce, CVB. “We have taken a shotgun approach and we are now narrowing that down.”
The hotel also benefits from softball tournaments held at nearby Dean Fain Park, a four-field complex.
She said the CVB is aggressively pursuing sports events. “There will be multiple people selling sports, including the Central Alabama Sports Commission,” Hathcock said. “We could have a whole sales team selling sports and still leave things on the table. That’s how much is out there.”
The sports segment represents just 5.3 percent of the group category in the travel industry survey. The entire group category accounts for about 29 percent of all the travelers followed by individual business travelers (24.2 percent), travelers attending a conference or meeting (24.1 percent) and leisure travelers (23 percent).
Montgomery did land the six-day, 32-team 2012 and 2013 National Association of Intercollegiate Athletics men’s soccer national championships thanks in part to a new Emory Folmar YMCA Soccer Complex near Auburn University Montgomery. The new facility, which is scheduled to be completed in April, will feature two championship stadium fields, eight lighted regulation fields, seating for 4,000 spectators as well as an indoor practice facility. The 105-room Fairfield Inn & Suites by Marriott on EastChase Parkway is one of several host hotels for the national championship soccer tournament. “We want them to have a great experience at the hotel, but more so we want them to have a great experience in our city so they are telling other affiliate organizations about the venues that are here; the services; the hotels – so that when there are other tournaments that come up they look at Montgomery,” said Layne Matthews, general manager of Fairfield Inn.
Those athletes and their families spend on average nearly $600 for their entire stay, which tops the amount spent by business travelers and conference/ meeting attendees. The sports events participants and their families also shop at Eastdale Mall and EastChase and eat at restaurants throughout the city. Embassy Suites Montgomery Hotel and Conference Center in downtown Montgomery has a sales manager dedicated to the sports market. Embassy General Manager Tom Quatrochi said that the hotel “has tremendous success with college athletics,” including hosting visiting teams playing at Auburn University. He is looking forward to new and renovated sports venues. “They could bring a significant portion of the youth market into Montgomery that we have not seen before,” he said. “We are working closely with the CVB in trying to tap that market.” Those sports events are coming. “You will see more and more sporting events in the region,” Hathcock said. “The great thing about the sports market is they like
all types of hotels. They don’t necessarily need a full-service hotel. That’s the great thing about sports – it helps our market across the board whereas a convention is more pinpointed toward convention center hotels or adjacent to the convention center.” The 86-room Hampton Inn & Suites sits across from the city’s largest hotel – the 342-room Renaissance Montgomery Hotel & Spa at the Convention Center. The Hampton Inn is not a full-service hotel, but it does offer a full, hot breakfast buffet. Sandy Curry, the hotel’s director of sales, said the property lacks enough rooms with two beds to accommodate sports groups. She said that Hampton Inn was “built as a corporate hotel” and has 64 rooms with king-sized beds and 22 rooms with two queen beds. That was the case before the Hampton Inn owner bought the former Madison Hotel property, which is being gutted, according to Curry. She said the new hotel, which is tentatively scheduled to open by early fall, will have 150-plus rooms and will offer plenty of rooms with double beds. At that time,
Curry will be equipped to handle the athletes and their families from sporting events. Targeting sporting events is just a sliver of the travel industry pie, but one that is ripe for growth. The city has nearly 6,800 hotel rooms, which generated a combined lodging revenue of $81.3 million in 2010. It was a nice rebound from revenue of $78.3 million in 2009. Those totals are solely for lodging room revenue. When you add food and beverage, shopping and gasoline, you begin to see the impact the local travel industry has on the River Region. “This is economic development that is very swift and very effective because whatever we do today will influence a traveler who is going to come within the next 90 days and they are going to put sales tax in the coffers that helps us all,” Young said. The area’s two hotspots for travelers are downtown and EastChase, where the newest hotels are and that’s where visitors want to stay, Young said. The newest hotels usually have higher room rates and higher
occupancy rates, according to Young. Six of the 12 hotels that opened after 2008 were at EastChase. Two each opened downtown; off of Interstate 85, Exit 6; and Hope Hull. His survey found that the 1,068 hotel rooms downtown from 12 properties generated 27 percent of the total lodging revenue with 16 percent of area’s rooms. The 10 properties in EastChase with a combined 782 rooms – 11 percent of the area’s total inventory – accounted for 17 percent of the total revenues. The most highly concentrated number of hotels and rooms is off of Exit 6. The 29 properties near there have a combined 2,573 rooms – about 38 percent of the entire market. Although the sports market will be getting plenty of attention, the Renaissance and Embassy are focused on the corporate side. One of the Renaissance sales managers concentrates on the corporate market, said Mike Eveleth, the hotel’s general manager. The hotel’s parent company – PCH Resorts – has three sales managers who handle the Continued on page 19
February 2012 Montgomery Business Journal
17
Revitalized downtown here to stay by David Zaslawsky As the director of sales for the Hampton Inn & Suites in downtown Montgomery, Sandy Curry pitches the advantages of the city to prospective clients. Her job has gotten much easier thanks to an aggressive and highly detailed plan to revitalize downtown. She marvels at the development. “Everyone is noticing the growth downtown and they are noticing how convenient it is,” Curry said. She said that with Southern Trails opening a store where the former Montgomery Brew Pub was located “gives me something to sell. I’ve got clothing down here. I’ve got somewhere for them (travelers) to go and shop. They can actually clothes shop and that is wonderful for me. “I sell everything that we have downtown because to sell (Hampton Inn), I have to sell the city.” Curry said that she promotes the entertainment venues, including the various ethnic restaurants. Her big pitch to prospective travelers: “You are within walking distance of all these things.” Those venues almost adjacent to the Hampton Inn are expanding with The Alley extension, a new restaurant and future retail outlets. Now with the revitalization of Dexter Avenue, there will be even more restaurants and another entertainment venue. That was not always case. Dawn Hathcock, vice president, Montgomery Area Chamber of Commerce’s Convention & Visitor Bureau, recalled a travel industry survey conducted in 2003. Hathcock said some of the visitors’ comments about downtown were: “dark; no activity; very quiet after 5 p.m.” A 2011 travel industry survey conducted by Young Strategies Inc. showed a very different attitude toward downtown. “It is a place where people now want to be instead of a place where there was nothing to do,” Hathcock said. The revitalization reshaped the landscape: Riverwalk Stadium; Riverwalk; Riverwalk Amphitheatre; Renaissance Montgomery Hotel & Spa at the Convention Center; Hampton Inn & Suites, The Alley – not to mention new restaurants and retail outlets. Not far from 18
Montgomery Business Journal February 2012
downtown, Cramton Bowl was renovated and a 92,000-square-foot multipurpose indoor sports facility will open this year. “The (recent) survey confirms that we are going in the right direction with what’s going on throughout the city,” Hathcock said. “We have the ability for the recruitment of conventions, sporting events and new events or activities. Because of the new venues we have and those that are still being built there are a lot more opportunities for us to capitalize on what’s out there.” Mike Eveleth, general manager at the Renaissance, said a lot of cities build a hotel and then stop. “We continue to see changes downtown and it’s all for the better. I hear it from our conference people, too. The attendees that are coming in here absolutely love the fact that they come in and we can do their meetings all under one roof and that’s their exhibits, meals – the whole package under one roof. They have the ability if they want to get off the property and blow off a little steam – we have The Alley. “There just continues to be more options for that group customer and that will prove to be a really big benefit here down the road if we can continue to capitalize on it.” Tom Quatrochi, general manager of the Embassy Suites Montgomery Hotel & Conference Center, praises the revitalization of downtown. “What is going on in downtown is electrifying in a lot of respects. There are just so many choices for people now. We have such great restaurants down here and I think the Alley Bar is the best bar in the city. “You have so many venues that a conventioneer can visit that they don’t have to eat at the same place twice for an entire week just within the downtown area. When you get people down here and they see what’s actually going on – and a lot of these guys (meeting planners) are planning two or three years out – it’s going to be fantastic for them.” •
“It is a place where people now want to be, instead of a place where there was nothing to do.” – Dawn Hathcock, vice president, Montgomery Area Chamber of Commerce’s Convention & Visitor Bureau
continued from page 17
association business, Eveleth said. Eveleth said that corporate visitors spend the most money at the Renaissance. Young said that hoteliers’ top priority is corporate meetings followed by government, sports and SMERF (social, military, education, religious and fraternal), associations and group tours. “It’s all about how we develop strategies for these different areas and different types of products (hotels),” Young said. “It’s not a one-size fits all strategy.” The Renaissance has a director of sales; director of marketing; four sales managers and two executive meeting managers. Two of the sales managers focus on SMERF. The executive meeting managers “book it and cook it,” Eveleth said. “You call them – it’s a one-stop shop. They book your rooms; they book your catering; they book your meeting space; any audio visual – they handle the whole thing.” The hoteliers are optimistic about 2012 although Eveleth said that the Renaissance
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“is scrambling a little bit” because fewer room nights were booked heading into 2012. “It’s cyclical,” he said about the hotel industry. Layne Matthews “Companies lay off people and get smaller and then the economy gets better and they begin to make a lot more money. Then they look to expand and start hiring. Then they make a whole bunch of money and want to give rewards and do training. That’s where the hotels come in.” With a second hotel, Curry is excited about 2012. She will no longer be limited to groups of 20 or less. The new hotel means that Curry can accommodate groups of 50 to 60. “I’ll have meeting space and I’ll have food and beverage.”
nights in 2011, Quatrochi said. He said all the 237 rooms were renovated, including replacing concrete and drywall in the bathrooms and adding new Sandy Curry fixtures. The rooms have new nightstands, dressers and tables. “We are seeing a flat demand for 2012, but we have increased our prices slightly and we do believe we will get an ROI (return on investment) from the renovation,” he said. Hathcock is positive about 2012. “We feel good about 2012 and I think the next couple of years and the building of the new sports facility will be very important and that’s true for downtown as well as other parts of the city.” •
The Embassy is projecting an 8 percent increase in room nights this year, but that’s mainly because a major, $2 million renovation took away about 8,000 room
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February 2012 Montgomery Business Journal
19
Big kids on the block join forces by David Zaslawsky Two of the largest hotels in the River Region are across the street from each other and, as you would expect, compete fiercely. You would expect that, but did you know that Renaissance Montgomery Hotel & Spa at the Convention City and Embassy Suites Montgomery Hotel and Conference Center are partners when to comes to citywide conventions? That’s because the two general managers – Mike Eveleth at the Renaissance and Tom Quatrochi at the Embassy – have an understanding. “We know we compete and that’s just the nature of the business,” Eveleth said. “What we agree on (is) if it’s 300 rooms or less we are full competition, which is generally what my cap is. I can’t take anymore than that. “It’s that larger piece that I can’t take it all and he can’t take it all and that’s where we try to work together for the mutual good of downtown.”
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Montgomery Business Journal February 2012
He could have easily be talking about all of Montgomery because when the two largest downtown hotels fill up, travelers then stay at various sites throughout the city. The two general managers are working closely with the Montgomery Area Chamber of Commerce’s Visitor & Convention Bureau. “I’ve been here for two years and one of the first things I did was, I went over and met Mike (Eveleth),” Quatrochi said. “We sat down and had dinner together. I think Mike is a consummate hotelier. He really knows what he is doing. I was very gratified to have someone of that level to work with …” Those citywide conventions the general managers refer to mean 1,000-plus conventioneers with 600 to 900 room nights. “We are able to offer over 600 room nights and they (Renaissance) have that magnificent convention center across the street,” Quatrochi said. “We are willing participants to do whatever is possible to get people downtown as often and as frequently as possible.”
Tom Quotrochi
Mike Eveleth
The Renaissance (342 rooms) and Embassy (237 rooms) have a combined 579 rooms, but when you add the 86-room Hampton Inn & Suites, which is across the street from the Renaissance, there are 600-plus room nights in a concentrated area. The Hyundai dealers’ convention in 2010 was a citywide event. There were so many people here that conventioneers and meeting planners’ support staffs stayed at nine area hotels from Prattville to Hope Hull, near the Hyundai Motor Manufacturing Alabama facility.
Unveiling the ‘new Montgomery’ There were 4,000 rooms and an estimated economic impact of $3.5 million to $5 million, according to travel industry officials. Hyundai booked 1,500 room nights at the Renaissance and “rented the entire hotel,” according to Eveleth. He told the Montgomery Business Journal that Hyundai was using every meeting room, the convention center, the ballroom and the Montgomery Performing Arts Centre. Of course, a convention that size creates compression or a ripple effect, sending would-be business travelers and tourists to other hotels. The Hyundai dealers’ convention created business for everybody. “We currently don’t get many citywide conventions,” Eveleth said. “We are focused on it. The two sales departments (Renaissance and Embassy) are working on citywide conventions along with the CVB. Between us all, we are working on how do we bring those groups in.” Quatrochi said that the CVB often provides leads for conventions to both the Embassy and Renaissance. “It’s up to us to bring them here,” he said. “It’s up to us to
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by David Zaslawsky Montgomery Mayor Todd Strange likes to say: “If you haven’t seen Montgomery in the last five years – you haven’t seen Montgomery.” Those are the words that Dawn Hathcock, vice president, Montgomery Area Chamber of Commerce’s Convention & Visitor Bureau, will spread around the country. She calls it “the new Montgomery.” The CVB along with a public relations agency launched a campaign in January to promote the new Montgomery.
show them why Montgomery is the place they should have their convention. “Oftentimes, we’re competing against Mobile; we’re competing against Atlanta; we’re competing against Nashville. We’re competing against a lot of places in the Southeast. We are all trying for those dollars and those dollars are precious and vital to us.” •
“It’s our job to get that message out there because people who came here five or 10 years ago didn’t have the experience that they could coming back now,” Hathcock said. “The opportunities weren’t there.” Now there is a new Montgomery to sell to all types of groups. That promotional campaign will include pitching story ideas to specific media outlets and working with the travel media. “Our biggest challenge is getting the word out,” Hathcock said. “You want to show that the city is different and that there are exciting, fun things going on. It’s a progressive city that is going after young professionals. “When we go out and bring in a meeting and they are not familiar with Montgomery, you start that process with: ‘I want you to bring your meeting to Montgomery.’ You say that we really are a great fit for you. “They don’t know anything about Montgomery. They may have a preconceived notion of what Montgomery is. When we can bring them here for a site visit, I would say our closure rate is about 90 percent.” •
30 February 2012 Montgomery Business Journal 21
Investor Member Profile BUSINESS BUZZ (CONTINUED FROM PAGE 63)
Guy Davis is area executive for BB&T.
Committed to Community 142-year-old bank finds perfect fit in Montgomery by Jennifer Kornegay photography by Robert Fouts
BB&T may be fairly new to Montgomery, but this bank is by no means new and not at all new to the South, two facts that BB&T Area Executive Guy Davis believes made it the right choice to buy Colonial Bank.
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Montgomery Business Journal February 2012
“Colonial was a big part of the Montgomery community, and some banks might not have fit into Montgomery as well and as naturally as we do,” he said. “The good thing about BB&T is that we are a Southern bank with 142 years of experience banking in the Southeast.” The bank, based in Winston-Salem, N.C., acquired Colonial Bank from the FDIC in August 2009 and was proactive in its approach to its new market, making a big statement with a large donation. “One of the first things that BB&T did when it came was give a $100,000 gift to United Way,” Davis said. “We wanted the community to know that we are here to stay and ready to be a real part of things.” The bank has given back in other ways as well. Davis chaired the United Way drive last year, and BB&T’s Lighthouse Project puts aside money in each community that allows bank employees to get involved in local charities in a hands-on way. “It goes further than just writing a check,” Davis said. Today, BB&T operates 13 branches in five counties in Central Alabama, the area that Davis oversees. The Montgomery native and Auburn grad has been with BB&T for two years. He was quick to point to BB&T’s strength as it major asset. “We were one of three banks in the country that did not have a moneylosing quarter at any point during the financial crisis,” Davis said. “BB&T does not owe the federal government any money for TARP; we paid it back at the earliest opportunity.” Davis also explained what he believes sets BB&T apart from the crowd of banks in the area. “All banks offer similar products and services; what makes a bank different is its people, and ours are great,” he said. “Also, we are the ninth-largest bank in the country, but we operate on community bank model, so the decision-making that is important to our clients is done locally, and that’s different from many large banks. But the breadth of our products and services separates us from smaller banks, so it’s really the best of both worlds.” Others — including the bank’s customers — seem to agree with Davis’ assessment. In 2010, Greenwich Associates, a national organization that measures customer satisfaction for banks, gave BB&T 20 out of 20 possible points. “We were first bank in our peer group to receive that,” Davis said, “and the award was based strictly on feedback from our clients.”
BB&T Number of Employees
159 Number of Branches in River Region
13 Opened in Montgomery in August 2009
But it’s not all rosy. BB&T, like other banks and financial institutions, currently faces some strict new regulations, which, according to Davis, can stifle the banking industry and business in general. “The regulatory environment is as stringent as it ever has been in my 22-year career as a banker,” Davis said. “That regulatory pressure creates uncertainty in the business community and can hinder growth and investment in businesses.” Despite this challenge, BB&T is sticking to a core philosophy of serving its customers. “Regardless of the regulatory environment, we are going to work with the cards we are dealt and do our best to meet our clients’ needs,” Davis said. While Davis believes that having BB&T here is a benefit to Montgomery, the Capital City and entire River Region have been good for BB&T, too, as Davis explained. “I think Montgomery is one of the best places to do business in the country as evidenced by the local economic development,” he said. “I recognize that there are businesses and individuals in this community hurting, but we still see the River Region as having a more stable economy than many others.” As a result, BB&T is looking forward to its future in Montgomery and will soon be a part of all the activity downtown when it moves its corporate headquarters to the new RSA Dexter Avenue Building this spring. “BB&T typically likes to have a presence in downtown areas, and the excitement of everything going on down there really drew us in,” Davis said. “We’re happy to be another addition to the great growth going on downtown.” •
February 2012 Montgomery Business Journal
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hyundai ELANTR 2012 North American Car of the Year
by David Zaslawsky photography by Robert Fouts
Front Row (l-r): Tanga Woods, Delaunta Tucker, Sharon Collins, President Y.D. Lim Back Row (l-r): Scott Smith, Donnell Hill, Jocatherine Simmons, Will Sumlin
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TRA
“Our team members’ dedication to growing the Hyundai brand by building safe and quality cars is why our company is an American success story right here in Alabama.” - Y.D. Lim, President and CEO, Hyundai Motor Manufacturing Alabama, LLC
The news of the Elantra being named the 2012 North American Car of the Year stunned a Hyundai Motor America executive.
Krafcik told reporters that winning the 2012 North American Car of the Year award “should be helpful for our brand going forward.”
“ … We are very surprised and humbled,” John Krafcik, CEO of Hyundai Motor America, told MSN Autos shortly after learning about the prestigious award. “It’s an amazing honor.”
The competition is fierce to be even named a finalist for the 2012 North American awards.
The Elantra beat out the Ford Focus and Volkswagen Passat, which Krafcik told MSN Autos were “amazing” and “incredible,” respectively. The Elantra and the Korean automaker’s Sonata are produced at the Hyundai Motor Manufacturing Alabama facility in Montgomery. “Elantra speaks to the success of our recipe of bold design and great fuel economy,” Krafcik said in a statement at the 2012 North American International Auto Show in Detroit. “In a year with some truly breakthrough competitors, we are honored that the jury recognizes Elantra’s far-reaching impact on the industry.” The jury that Krafcik referred to is a group of automotive journalists who select the overall winners and finalists for the 2012 North American Car of the Year and the 2012 North American Truck of the Year. The Truck of the Year was the Land Rover Range Rover Evoque. The Elantra, which starts at $16,445, gets an estimated 33 miles per gallon and 40 miles per gallon on the highway.
The list is continually whittled and jurors were asked to select the three car finalists from a list of 17. Some of the vehicles on that list of 17 were the Audi A6 and A7, Chrysler 300/ SRT-8, Toyota Camry, Toyota Prius V and Volkswagen Beetle. Hyundai had three vehicles on the short list: Accent, Elantra and Veloster. Hyundai has been receiving this type of accolade for the past few years. The Sonata was a 2011 finalist for North American Car of the Year. The Chevy Volt was the winner last year. In 2009, Hyundai’s Genesis was named North American Car of the Year. The three finalists for 2012 North American Truck of the Year were BMW X3, Honda CR-V and Land Rover Range Rover Evoque from a list of seven candidates. Only vehicles that are “all new or substantially changed” are eligible for the competition. The vehicles are judged on various factors including design, safety, handling, value for the dollar and driver satisfaction.The finalists and overall winners are selected by automotive journalists from the United States and Canada. •
February 2012 Montgomery Business Journal
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Hyundai sales soar to new heights by David Zaslawsky After smashing through the 500,000-unit barrier last year, Hyundai Motor Group Chairman Chung Mong-Koo expected to sell 600,000-plus units for 2011. Mission accomplished. Hyundai sold about 100,000-plus more units in 2011 than 2010 and closed out the year with 645,691 vehicles sold. It marks the third time in 11 years that Hyundai has sold 100,000-plus units more than the previous year. It also represents an increase of 20 percent from 2010. What do you do for an encore? Bust through the 700,000-unit barrier this year? If the expectations are for a 10 percent increase in the U.S. market, that would push sales past 700,000. Last year was so remarkable that seven of Hyundai’s all-time best selling months were in 2011; six of Elantra’s best selling months were in 2011; and five of Sonata’s best-selling months were also in 2011. “We are encouraged by the present market fundamentals combined with consistent signals including brisk holiday selling that indicates a broader industry recovery,” Dave Zuchowski, executive vice president of national sales for Hyundai Motor America, said in a statement. “We finished 2011 with solid momentum and much improved inventory levels and are enthusiastic about our prospects for 2012 as we continue to launch a broad array of new product entries.”
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Montgomery Business Journal February 2012
Two of the more amazing feats in 2011 were the number of Sonatas and Elantras sold. Both of the vehicles, which are produced at Hyundai’s Motor Manufacturing Alabama (HMMA) plant in Montgomery, shattered their best previous sales years. More than 225,000 Sonatas were sold – the first time sales topped 200,000. Sales in 2011 increased 15 percent from 2010. The Sonata was among a handful of cars with more than 200,000 retail units sold, which excludes fleet sales. “Consumers tell us they have segmentleading levels of satisfaction with the bold design and real-world fuel economy of the Sonata – this recipe has been extremely successful for all of our new Hyundai products,” John Krafcik, president and CEO of Costa Mesa, Calif.-based Hyundai Motor America, said in a statement. More than 185,000 Elantras were sold in 2011, breaking its previous record of annual sales by 50,000-plus units. Sales of the Elantra soared 41 percent from 2010. “Right now, we are in the enviable position of having consumers who are eager to purchase
Montgomery-built Sonatas and Elantras,” said Robert Burns, senior manager for public relations and sales for HMMA. “The fluidicsculpture design has drawn new customers to the Hyundai brand. HMMA team members will continue to do their part to build sedans that exceed the expectations of Sonata and Elantra buyers. That is the only way we can continue to grow the brand in the very competitive compact and mid-sized sedan segments.” With its top best-selling vehicles manufactured in Montgomery, Hyundai is poised for another banner year in 2012. The Sonata and Elantra accounted for almost twothirds of all Hyundai sales in 2011. Hyundai, along with its sister company Kia, which has a manufacturing at West Point, Ga., sold a combined 1.1 million vehicles in the U.S. That topped the goal of 1.06 million vehicles set by Chung. The two companies sold a combined 894,496 units in 2010.
The Kia plant, which manufactures the Sorento, Optima and the Hyundai Santa Fe, recently increased its production capacity to 360,000 units in a $100 million expansion.
Elantra’s top months
April 2011 22,100 Aug. 2009 21,673 May 2011 20,006
Both Hyundai and Kia are expected to continue their torrid pace in 2012 with hot-selling models. Hyundai introduced two new vehicles late last year – Veloster and Equus, which in 2012 will be available for the entire year.
June 2011 19,992
“Continually offering consumers stylish and fuel-efficient vehicles is critical to building Hyundai’s brand momentum and generating higher traffic in dealer showrooms across the country,” Burns said, referring to the Korean automaker’s 2011 average fuel economy level of 36 miles per gallon (highway) for the entire lineup. The Hybrid Sonata, Elantra sedan, Accent and Veloster all get 40 miles per gallon on the highway.
July 2011; 15,181
“The broad mix of vehicles drive traffic in Hyundai showrooms and Alabamabuilt vehicles are leading the way,” Burns said. •
March 2011 19,255 July 2010 18,215 Aug. 2010 15,181 Aug. 2011 15,054
Sonata’s top months
Dec. 2007 24,872 March 2011 22,894 May 2011 22,754 April 2011 21,738 Aug. 2010 21,399 May 2010 21,195
June 2008 14,482
July 2011 20,884
Elantra annual sales/ranking
Aug. 2011 20,682
2011 186,361 (2) 2010 132,246 (2)
Dec. 2005 20,853 Sept. 2010 20,639
Hyundai’s top months
Mar 2011 61,873 ApR 2011 61,754 Aug. 2009 60,467 July 2011 59,561 May 2011 59,214 June 2011 59,209 Aug 2011 58,505 July 2010 54,106
2009 103,269 (2)
Sonata annual sales/ranking
2008 94,720 (2)
2011 225,961 (1)
2007 85,724 (3)
2010 196,623 (1)
2006 98,853 (2)
2009 120,028 (1)
Hyundai’s annual U.S. sales
2005 116,336 (2)
2008 117,357 (1)
1997 113,186
2004 112,892 (1)
2007 145,568 (1)
1998 90,217
2003 120,858 (1)
2006 149,513 (1)
1999 164,190
2002 120,638 (1)
2005 130,365 (1)
2000 244,391
2001 111,293 (1)
2004 107,189 (2)
2001 346,235
2000 104,099 (1)
2003 82,330 (2)
2002 375,119
2002 68,085 (4)
2003 400,221
2001 62,385 (3)
2004 418,615
2000 45,983 (3)
2005 455,012
Aug 2010 53,603 Oct 2011 52,402
2006 455,520 2007 467,009 2008 401,742 2009 435,064 2010 538,228 2011 645,691 Source Hyundai Motor America
February 2012 Montgomery Business Journal
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State’s auto industry fast becomes national power by David Zaslawsky The state’s automotive manufacturing industry is still in its infancy, but my, how it has grown up in such a short time, from 68,000 units in 1998 to 700,000-plus. Alabama, which ranked fifth nationally in vehicle production in 2010 and 2011, may move up a spot or two this year.
2010 Automotive production
1. Michigan – 1.6 million 2. Ohio – 1.1 million 3. Indiana – 890,000 4. Kentucky – 739,000
5. Alabama – 698,000 Source: Automotive News Data Center
“It’s significant to be No. 5 in the country, but you could potentially be looking at the position of No. 3 or No. 4 in the U.S. in automotive production, which is phenomenal given that it’s happened in the last 15 years,” Steve Sewell, executive vice president of the Economic Development Partnership of Alabama and a board member for the Alabama Automotive Manufacturers Association, told the Birmingham News. The state’s automotive production reached an all-time high of nearly 740,000 units in 2007, but the recession hit and the production numbers declined along with the overall number of vehicles purchased. With announcements of expansions, the state’s annual automotive production capacity is expected to increase to
75,000
2007
28
2008
Montgomery Business Journal February 2012
2009
300,500
195,561
150,000
327,042
225,000
250,519
300,000
2010
338,127
HMMA Annual vehicle Production
2011
nearly 900,000 units within the next few years. That would move Alabama past Kentucky to No. 4 and would also top Indiana, which is currently ranked third in automotive production. The Hyundai Motor Manufacturing Alabama (HMMA) plant in Montgomery is operating at full capacity – 338,127 units in 2011 (225,462 Sonatas and 112,665 Elantras). That was a 12.5 percent increase from 2010 when the company then built a record 300,500 vehicles. HMMA built a record 32,300 vehicles in August 2011, one of three months with 30,000-plus units. “During 2011, our team members delivered on their commitment to building high-quality vehicles to meet the recordbreaking demand for Alabama-built Sonatas and Elantras,” said Ashley Frye, vice president of production for HMMA. “The success of these two sedans is a testament to the incredible people we have working at our assembly plant and at the suppliers providing parts to HMMA.” The Hyundai manufacturing plant will continue to operate two, 10-hour shifts daily and some additional Saturday shifts to keep up with the vehicles’ strong demand. Honda announced it would increase its annual capacity from 300,000 units to 340,000 units at its Alabama facility. Mercedes-Benz has said it will add another 40,000 units to 200,000plus vehicles in the next few years as it may add C-class sedans in 2014. That 200,000 figure may be conservative as a Mercedes official has said that annual capacity may grow to 250,000 vehicles a year. Back in 2002 – before Hyundai opened its manufacturing facility – Mercedes and Honda built a combined 230,000 units. Hyundai began manufacturing vehicles in 2005. In 2006, about 10 years after automotive production began in the state, the 2 millionth vehicle was manufactured in Alabama. •
â&#x20AC;&#x153;I am very proud of the contribution HMMA team members made toward Elantra winning the North American Car of the Year award. Without their hard work, dedication, enthusiasm, support, and outstanding manufacturing craftsmanship, this award would not have been possible.â&#x20AC;? - Y.D. Lim, President and CEO, Hyundai Motor Manufacturing Alabama, LLC
February 2012 Montgomery Business Journal
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How Will Regulation Affect Business? Business Council of Alabama shifts from lobbying to advocacy by David Zaslawsky
“What you are trying to do is balance the legislation into this formula to determine an outcome,” Canary said. With the new act, businesses will be able to see the effect legislation will have on money, time and resources and how it will impact productivity and employment. “By having this Regulatory Flexibility Act in play, it sends a strong message to the government that they too, have to take a purview of this matter because it affects every agency of state government. “We now have an ability to have a review process and that will be critical.” He said that if legislation is “not done properly, the productivity levels and the employment opportunities become diminished and that’s what we’re fighting against.” Fouts commercial photography
William J. Canary is president and CEO of the BCA and Anita L. Archie is senior vice president of intergovernmental affairs, advocacy and communications/legal adviser for the BCA.
One of the more important pieces of legislation that the Business Council of Alabama is advocating is the Regulatory Flexibility Act.
the BCA. He said that bill requires what the regulatory impact will be on businesses as well as local governments (defined as a small government) and governmental agencies.
It’s modeled after the federal Regulatory Flexibility Act from 1980 and the Business Council of Alabama (BCA), which has 4,000-plus members and represents 750,000 people, hopes the bill passes early in the legislative session.
“No matter how well serving the conceptual application is the question then becomes what is the affect on that business directly in terms of its cost; in terms of the burdens; and in terms of its application,” Canary said.
“We are going to be a huge, huge advocate for the Regulatory Flexibility Act,” said William J. Canary, president and CEO of
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Montgomery Business Journal February 2012
He actually showed a reporter, using an algebra equation, how the Regulatory Flexibility Act impacts businesses. “For every piece of legislation, small businesses have to invest three things: money, time and resources.” He said that time, money and resources divided by productivity and employment equals outcome.
The organization’s role has shifted from lobbying to being in what Canary called “the advocacy business.” The state’s lawmakers call on the expert advice from BCA staff members, who are sources for health care and tax/ fiscal policy as well as many other areas. “They (BCA staff members) are well respected at the Legislature,” said Anita L. Archie, senior vice president of intergovernmental affairs, advocacy and communications/legal adviser for the BCA. “They know every member of the Legislature and not just the ones who may be in leadership.” She said when lawmakers have policy questions, they call the BCA and “the staff knows their issues whether it’s on the federal level or the state level,” Archie said. The BCA is looking forward to working with a pro-business Legislature. “It’s a refreshing experience going to the Statehouse, where you have the doors open and they are
willing to listen to our members and the issues that are important to them,” Archie said. “They (lawmakers) actually hear from a member of the BCA that testifies how a piece of legislation will impact them.” Canary said there was a “paradigm shift” in the Legislature when Republicans gained control in 2010. “The first time in a very, very, very long time for the business community – no one won for showing up and no one lost for showing up. There is a level playing field that exists today that for many (business people) in their lifetime had not existed before.” The BCA said its top priorities include regulatory relief; supporting tax legislation that is fair and does not single out any group; improving education; changing the definition of small business to 100 or less employees; legal reform; and protecting scrap metal businesses while cracking down on copper theft. For Canary, it all comes down to “putting the private sector first” and that means an emphasis on existing businesses and education. He pointed out that it is easier and infinitely more sustainable if 5,000
companies each create one job than for one company to create 5,000 jobs. It all starts with education. “Imagine if we could reduce the dropout rate?” Canary asked. “What type of economic incentive would that have to companies who want to come to our great state to grow?” The BCA is a fervent supporter of early childhood and pre-K investment because each dollar spent yields a $7 return, according to Canary. He insists that all children in the third grade read at a thirdgrade level and he advocates having a serious discussion about charter schools. Archie said that the two-year college system and technical programs offered in K-12 need to work closely together. “You can come out with a two-year degree or just some postsecondary training where you get a job that is highly skilled and you enjoy,” Archie said. “It’s all about expanding the opportunities out there to grow this economy in the State of Alabama.”
“It’s all about expanding the opportunities out there to grow this economy in the State of Alabama.” - Anita L. Archie, senior vice president of intergovernmental affairs, advocacy and communications/ legal adviser for the BCA
For information on contacting your elected officials, visit www.montgomerychamber. com/electedofficials. •
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February 2012 Montgomery Business Journal
31
Business Education Alliance: a Voice for children in the classroom by David Zaslawsky If a loosely formed Business Education Alliance could help marshal support for last year’s Students First Act, imagine what influence the group would have being well organized? Nobody will have to imagine for long what the group’s impact will be on the 2012 legislative session, which starts in February. One of the Business Council of Alabama’s top goals is a formalized Business Education Alliance (BEA), according to William J. Canary, president and CEO of the Business Council of Alabama (BCA). Canary said that the BEA is “a voice to represent children in the classroom. It is
outside the normal comfort box for business, but education is the heart of our future. The goal here is not one group having strength over another, it’s to look at the classroom and determine what’s necessary and important to provide a quality education that our children demand and that we need to be a competitive work force.” He said that without the alliance, the Students First Act would not have passed. The business community will work closely with educational groups to benefit both this year. “It is not strange for business to be involved in education initiatives,” said Anita L. Archie, senior vice president of intergovernmental affairs, advocacy and communications/legal adviser for the BCA. “It makes all the sense in the world.”
During last year’s legislative session the BCA, along with educational trade groups, the chancellor of the two-year college system and others, worked together to help pass the Students First Act, which dealt with fair dismissal. Archie said that the BEA recognizes that “education equals jobs. She said that students must receive “a quality education” so they can be employed and help generate revenue. The BEA will put forth “meaningful legislation,” according to Archie. “In order to change the whole dynamic of education and accelerate its opportunities, we thought there was no opportunity greater than to bring this united front together,” Canary said about the BEA. •
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Meetings 32
Montgomery Business Journal February 2012
Parties
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February 2012 Montgomery Business Journal
33
Montgomery County Commission Chairman Dean receives Chamber Chairman’s Award by David Zaslawsky
Fouts commercial photography
In interview-after-interview, Montgomery County Commission Chairman Elton N. Dean, Sr. talks about the importance of partnerships. “I can’t ever say enough about working together,” said Dean, who was first elected to the County Commission in 2000 and has been re-elected twice. While introducing the recipient of the Chairman’s Award as someone who constantly preaches partnerships, Dean had no idea that the immediate past Montgomery Area Chamber of Commerce Chairman of the Board of Directors Larry Puckett was talking about Dean. “As much as Larry Puckett and I talk and as much as the mayor (Todd Strange) and I talk, I had no idea about the award,” Dean said. When Puckett announced that he Dean was receiving the Chairman’s Award, Dean was visibly surprised, humbled and deeply moved. “I felt like what I’ve been doing was really worth something and somebody recognized it,” said Dean, who received the award at the Chamber’s 139th Annual Meeting held at the Renaissance Montgomery Hotel & Spa at the Convention Center.
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Montgomery Business Journal February 2012
Team player “Lots of times you do things in your life and you wonder if people really notice because I’ve always been a person (where) it hasn’t been about me – it’s what I can do for others,” Dean said. “I try to bring people together. I guess (it) proves to other people that people can work together and they can sit around the table without protesting or boycotting. I just want to prove that to other people.” The Chairman’s Award, which is not given every year, states: “In recognition of your willingness to serve, assist and offer your time, talents and visions which have helped to provide positive, progressive growth for our communities. 2011” Dean, who has been Commission chairman since March 2009, accepted the prestigious award “on behalf of everybody in that room (Montgomery Performing Arts Centre) because everybody has participated in the success of Montgomery.” That – making Montgomery a better place to live, work and play – is Dean’s priority.
“Like I always say, ‘it’s not about me.’ I just do things because I think it’s right. People need leaders, but I don’t consider myself a leader. I consider myself a team builder; a morale builder. I think success comes from when you can make people feel good about themselves and that they can recognize that they can be successful when you’re working together.” There he goes again talking about working together. Dean said the Chamber Chairman’s Award is a “prestigious honor, but I also recognize that there is more to do. We will never get where we want to be, but we’re making great strides and efforts in getting there. When I say we will never get where we want to be that’s because there is always room for improvement.” He understands that partnerships are key for making those great strides. •
Member News
Business Buzz
Don Henderson
JACKSON HOSPITAL CEO TAKES POST IN FLORIDA MONTGOMERY – Jackson Hospital President and CEO Don Henderson has announced his resignation.
medical primary care home for the area’s underinsured residents.
Law of Democracy, Land Planning; and other courses.
“There is no doubt that Jackson Hospital has prospered under Don Henderson’s leadership,” said Jim Ridling, chairman of the hospital’s board of trustees. “The hospital and clinics are in a strong position and are well poised for the future. We thank him for his service.”
The law school’s award-winning advocacy program produces students who are prepared at graduation to walk into trial and appellate courtrooms and excel, a skill that is highly-valued in many public service jobs.
A search committee of the board of trustees has begun the process of selecting a new president and CEO.
Henderson, 54, has accepted a position as CEO of the Central Florida Health Alliance in Leesburg, Fla. “I am honored to have served at Jackson Hospital for nearly seven years,” Henderson said. “My family and I have truly enjoyed our time here in Montgomery and the wonderful people we have met. My sincere thanks go to our employees, our medical staff members and our many volunteers for their support and dedication to our success.” During Henderson’s tenure, Jackson Hospital saw many changes including the construction of the Jackson Imaging and Jackson Surgery centers, the expansion of the cardiology department, the implementation of electronic medical records, and the growth of the Jackson Clinic to include primary care, specialists and urgent care physicians. Henderson was also part of the team of community leaders instrumental in the creation of the new River Region Health Center, which will provide a
Allen Howell
THOMAS GOODE JONES SCHOOL OF LAW NAMED ONE OF THE TOP PUBLIC SERVICE SCHOOLS MONTGOMERY – The National Jurist announced that it named Faulkner University, Thomas Goode Jones School of Law (Faulkner Law) as one of the 15 best law schools in the country at preparing students for public service in government. All Faulkner law students take Foundations of Law, a course that equips them to think critically about the relationships among ethics, principles, law, and policy. Students may take Law & Public Policy, which trains them to merge legal analysis with policy analysis; Health Law, which exposes them to health care policy; Law & Bioethics, Law & Christian Theology, Legislation,
“Being named a best law school for public service is quite an accomplishment in our current economy,” said Allen Howell, director of career services for Faulkner University. “The constriction of the private market has led to an increase in demand for government positions both at the federal and state level. Additionally, many government sectors have seen employment reductions themselves due to shrinking budgets. Yet, our law students have shown success in public service during their law school career and after they graduate.” Faulkner Law students can perform hands-on public service in two major ways while in law school. They can participate in the externship program for academic credit or serve as an intern or clerk in a government office. Summit Housing Partners buys New Orleans property MONTGOMERY – Summit Housing Partners announced the acquisition and redevelopment of Garden Oaks Apartments in New Orleans. After suffering extensive damage from Hurricane Katrina, the property’s sevenstory building became vacant. Summit’s affordable housing development group utilized
tax-exempt financing, federal tax credits and Federal Home Loan Bank AHP funds to create the necessary capital to acquire the property and begin an $8.5 million rehab of the 98 units and common areas of the building. “I am pleased with our group’s work on this development,” said Josh Mandell, head of development for Montgomerybased Summit Housing Partners. “While the effort involves a lot of planning and coordination, the results are exciting and rewarding,” he said. Summit Housing Partners is an owner, developer and manager of multifamily housing. The company’s portfolio has 14,400 units at 93 sites in 10 states
Rhon E. Jones
BEASLEY ALLEN SELECTS LITIGATOR OF THE YEAR MONTGOMERY – Beasley, Allen, Crow, Methvin, Portis & Miles, P.C., announced that Shareholder Rhon E. Jones was selected as the firm’s Litigator of the Year. The annual recognition is presented to the attorney who demonstrates exceptional professional skill throughout the course of the year and best represents the firm’s ideal of “helping those who need it most.” (Continued on page 36)
February 2012 Montgomery Business Journal
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BUSINESS BUZZ (CONTINUED FROM PAGE 35)
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Montgomery Business Journal February 2012
In addition to selecting the overall â&#x20AC;&#x153;top attorney,â&#x20AC;? Beasley Allen recognized excellence in each of its sections, naming the Lawyer of the Year in each. Honorees for 2011 are LaBarron N. Boone, personal injury section Lawyer of the Year; H. Clay Barnett, fraud section Lawyer of the Year; Navan Ward Jr., mass torts section Lawyer of the Year; Chris D. Glover, product liability section Lawyer of the Year; and Christopher D. Boutwell, toxic torts section Lawyer of the Year. â&#x20AC;&#x153;We are blessed to have lawyers in our firm who work hard for their clients and who always put their clientsâ&#x20AC;&#x2122; interest first,â&#x20AC;? founding shareholder Jere L. Beasley said. â&#x20AC;&#x153;This has to be a priority for all of us.â&#x20AC;? CUNNINGHAM GROUP WINS NATIONAL AWARD MONTGOMERY - Landscape Architecture Magazine has awarded the Cunningham Group a national award for a print ad the firm developed on behalf of long-time client Peacock Pavers. The Cunningham Group, a marketing and public relations firm located in downtown Montgomery, won a â&#x20AC;&#x153;Lammyâ&#x20AC;? award for â&#x20AC;&#x153;most persuasive.â&#x20AC;? The Landscape Architecture Magazine advertising awards are known as the Lammyâ&#x20AC;&#x2122;s. Confucius Institute at TROY opens classrooms in Montgomery TROY â&#x20AC;&#x201C; Students at high schools in Montgomery and Birmingham will have access to funding for Chinese language and cultural education thanks to a new partnership with the Confucius Institute at Troy University. Loveless Academic Magnet Program High School in Montgomery and the Highlands School in Birmingham have partnered with the Troy Confucius Institute to form Confucius Classroom extensions at each school. The move will provide the schools access to grant funding
to enrich and improve their existing Mandarin Chinese programs. The new Confucius Classrooms are the first such partnerships formed through Troyâ&#x20AC;&#x2122;s Confucius Institute and the first in the State of Alabama. There are more than 300 Confucius Classrooms worldwide as part of the global Confucius Institute network.
Collin Gaston
WSFA 12 NEWS RETAINS NO.1 RANKING MONTGOMERY â&#x20AC;&#x201C; WSFA 12 News swept all major news time periods during the November 2011 ratings survey period, according to Nielsen Media Research. Today in Alabama at 5 a.m., 5:30 a.m., 6 a.m.; WSFA 12 News at Noon; WSFA 12 News at 5 p.m.; WSFA 12 News at 6 p.m.; and WSFA 12 News at 10 p.m. were all toprated with Central Alabama viewers. The television stationâ&#x20AC;&#x2122;s News First at 4 p.m. newscast was also top ranked. â&#x20AC;&#x153;We are thrilled to see the success our new 4 p.m. and 4:30 p.m. newscasts had in their first ratings book,â&#x20AC;? said WSFA 12 News Vice President and General Manager Collin R. Gaston. â&#x20AC;&#x153;We worked closely with the City of Montgomery to be the first station to utilize City of Montgomery traffic cameras in our 4 p.m. newscasts to help viewers get a jump on issues on the road.â&#x20AC;? WSFA.COM continues to lead the way as the No. 1 website and mobile site amongst all stations with more than 475,000 unique visitors and nearly 3.2 million page views monthly. WSFA 12 News mobile applications currently deliver 81,411 unique visitors and more than 1.8 million page views monthly.
BUSINESS BUZZ â&#x20AC;&#x153;Whether itâ&#x20AC;&#x2122;s serving our community with 12â&#x20AC;&#x2122;s Day of Giving or breaking into programming when the weather is threatening, we want our viewers to come to us first and thatâ&#x20AC;&#x2122;s what drives us each and every day,â&#x20AC;? Gaston said. Information Transport Solutions Receives prestigious certification WETUMPKA â&#x20AC;&#x201C; Information Transport Solutions Inc. announced that it has achieved an elite status. The company has been successfully audited and certified under the MSPAllianceâ&#x20AC;&#x2122;s (MSPA) Unified Certification Standard for Cloud and Managed Service Providers (UCS). UCS is the first program of its kind, specifically designed and created to provide business consumers of cloud and managed services with the assurance that
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ALABAMA POWER PARTNERS ON CONSERVATION GRANTS
the service provider they hire meets or exceeds the highest principles of quality in areas such as financial stability, facilities, managed services practices and customer satisfaction.
Chris Tippett along with Gregâ&#x20AC;&#x2122;s wife, Mary Robin Jurkiewicz, attended the magazineâ&#x20AC;&#x2122;s celebration of the new list at the Solomon R. Guggenheim Museum in New York.
â&#x20AC;&#x153;We are proud to receive this accreditation because it ensures we have the correct processes and procedures in place to provide extraordinary service to our customers,â&#x20AC;? said Quincy P. Minor, vice president of operations for Information Transport Solutions.
The event, hosted by Architectural Digestâ&#x20AC;&#x2122;s editor-in-chief Margaret Russell, was attended by celebrated names in the design world including Robert A.M. Stern, Martha Stewart and White House Decorator Michael Smith.
MCALPINE TANKERSLEY ARCHITECTURE SELECTED TO MAGAZINEâ&#x20AC;&#x2122;S TOP LIST MONTGOMERY â&#x20AC;&#x201C; McAlpine Tankersley Architecture has been selected to be among the AD100, Architectural Digest magazineâ&#x20AC;&#x2122;s biennial list of the top talents in architecture and interior design. McAlpine Tankersley partners Greg Tankersley, John Sease and
McAlpine Tankersley Architecture was founded in Montgomery in 1983 and is the partnership of Alabama natives Bobby McAlpine, Greg Tankersley, John Sease and Chris Tippett. The McAlpine design umbrella also includes McAlpine Booth & Ferrier Interiors, with offices in Nashville, Tenn., Atlanta and New York, and McAlpine Home furniture, which is available nationwide.
MONTGOMERY â&#x20AC;&#x201C; Alabama Power and the National Fish and Wildlife Foundation (NFWF) announced eight environmental stewardship grants that continue the partnershipâ&#x20AC;&#x2122;s mission of conserving Alabamaâ&#x20AC;&#x2122;s natural resources. Since 2002, Alabama Power, NFWF and other partners have provided more than $13.8 million through 108 Power of Flight and Longleaf Legacy grants. In addition, grant recipients have contributed more than $57.2 million in matching funds, resulting in an on-theground conservation impact of more than $71 million since the programsâ&#x20AC;&#x2122; inception. Through these two programs, more than 830,000 acres of longleaf pine and other critical (Continued on page 38)
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February 2012 Montgomery Business Journal
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BUSINESS BUZZ (CONTINUED FROM PAGE 37) habitat on public and private lands will be restored in Alabama and across the Southeast. The Power of Flight program focuses on conserving bird species of the Southeast. Launched in 2003, the program is the largest public/ private funding effort for bird conservation in the South.
suggestions for continuous improvement of our program,” said Rhea Ingram, dean of the AUM School of Business. “It is an exciting time for us. I am proud of our faculty, staff, administration and students for achieving this recognition. “In addition, the peer review team highlighted the positive relationships we have with our stakeholders and alumni within the community. This speaks volumes about the quality of our program.” ONLINE COMMERCE GROUP DEBUTS QUICK-SHIP VALUE CUSHIONS
Rhea Ingram
AUM RECEIVES ACCREDITATION FOR BUSINESS SCHOOL, ACCOUNTING MONTGOMERY – Auburn University Montgomery has achieved accreditation for its Bachelor of Science in Business Administration and accounting program from the Association to Advance Collegiate Schools of Business (AACSB). Less than 5 percent of the world’s business schools have received business accreditation from AACSB International, and less than 1 percent of these have achieved both business and accounting accreditation. AUM is now one of four business schools in Alabama, and one of 177 worldwide, with both business and accounting accreditation. To receive accounting accreditation, an institution must first earn or maintain AACSB business accreditation, which involves a meticulous internal review and evaluation process. Accounting accreditation requires the satisfaction of an additional set of standards that are specific to the discipline and profession of accounting. “We are very appreciative of the peer review team’s feedback and their willingness to share
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MONTGOMERY – Online Commerce Group, LLC, announced the addition of Quick-Ship Value Cushions to its flagship site of Cushion Source. The Quick-Ship Value Cushion line offers discounted cushions in a variety of standard styles and sizes for customers wanting a personal look without the price tag of a custom product. Once shoppers have selected the size and style of cushion, they can choose from a popular selection of versatile Sunbrella fabrics, including solids and stripes, specifically chosen to meet a wide range of color palates. In addition, these value priced cushions are made in the United States. “Our new line of Quick-Ship Value Cushions fit most standard seat, bench, chaise, Adirondack, ottoman and deep-seating sets,” said Bob Winter, general manager of Online Commerce Group. “These cushions are targeted specifically at the value shopper who traditionally has had to sacrifice on fabric options when shopping at big-box retailers.” Online Commerce Group is a leading niche e-retailer of upscale outdoor living products. The website is http://www. cushionsource.com/catalog/ quick-ship-value-cushions.
Montgomery Business Journal February 2012
bond issues nationwide and publishes rankings annually. Alabama State University prepares For second annual HBCU event
Thomas Ashley Harris
MERCHANT CAPITAL RANKED NO. 1 IN ALABAMA MONTGOMERY – Merchant Capital has again been ranked No. 1 in Alabama by Thomson Reuters for 2011. The firm served as seniormanager for 94 bond issues totaling nearly $1.2 billion and was ranked 25th nationally. The projects financed include funding for a variety of municipal issues, including education, water and sewer, industrial development and affordable housing. “This was another challenging year in the credit markets,” said Merchant Capital Chairman Thomas Ashley Harris. “We are pleased with our performance in 2011 and are optimistic that 2012 will see gradual stabilization in the financial marketplace and continued improvement in the economy. We are grateful for the confidence our clients placed in our hands in 2011, and Merchant Capital looks forward to serving municipal and corporate customers across the Southeast in 2012 and beyond.” Since its inception in 1987, Merchant Capital has managed more than $34.9 billion in municipal, industrial and housing bonds and has been ranked the No. 1 Alabama-based firm for the last 18 years. In addition to the corporate headquarters in Montgomery, Merchant Capital has offices in Atlanta and the West Coast. Thomson Reuters is an independent New Yorkbased company tracking
MONTGOMERY – More than 300 higher education professionals, alumni, entrepreneurs and government officials are expected to attend Alabama State University’s Historically Black Colleges and Universities (HBCU) Conference. The second annual event, scheduled March 5-7, will feature entrepreneurship experts from throughout the country. The theme of the March conference is “Entrepreneurship: Transforming Education, Government and Industry.” “The conference is geared for not just the higher education community, but also for government officials, small businesses, corporations, federal, state and local agencies to learn how to work with the different constituents to improve economic development in regions nationwide by using HBCU resources,” said Deborah Scott Thomas, an ASU alumna and president of Data Solutions & Technology Inc. Thomas said the goals of the conference are to offer attendees an opportunity to learn about business development, entrepreneurship, grants, contracting and fellowships. “The HBCU entrepreneurship conference brings together industry, government and education,” Thomas said. “Conference participants have an opportunity to develop relationships and partnerships that can help them be successful in their undertakings.” The conference also will place a special focus on the science, technology, engineering and mathematics disciplines. “Science, technology, engineering and mathematics are where a lot of funding is available and
BUSINESS BUZZ one of the places America feels will help give us a competitive edge to help keep us a global leader,” Thomas said.
Michael Hudson - motivational speaker, financial coach, entrepreneurial coach, executive business coach, sales coach, speaking coach and CEO of Money Talks International.
The conference will feature several keynote speakers and panelists, including:
Anthony V. Junior – program office director at the Department of the Navy’s Historically Black Colleges and Universities/ Minority Institutions.
Linda Y. Cureton - chief information officer for the National Aeronautics and Space Administration. Malcolm Jackson - EPA’s assistant administrator for the Office of Environmental Information and chief information officer.
Willie J. Gripper Jr. – director for the Joint Security and Hazardous Materials Safety Office-East for the Federal Aviation Administration.
Danny Jeter Sr., manager and leader of Jackson Thornton Technologies, said, “We are honored to be recognized by IBM with this prestigious level of business partnership. JTT provides our clients with the most reliable, efficient and secure technology tools available in the industry. We will continue to leverage our relationship with IBM so as to provide real-time solutions to our customers.”
Patti G. Perdue
Calvin R. Stamps – founder, managing partner and portfolio manager of Bretwood Capital Partners, LLC JACKSON THORNTON TECHNOLOGIES NAMED IBM PREMIER BUSINESS PARTNER
Senora Coggs – senior policy adviser for the Policy and Evaluation Division, Office of Civil Rights for the U.S. Department of Commerce.
Perdue, principal and managing partner of JTT. “We take great pride in our client relationships and this honor confirms that commitment to excellence.”
Danny Jeter
MONTGOMERY – Jackson Thornton Technologies, LLC, recently announced that IBM has awarded the company its highest partnership level identification, IBM Premier Business Partner. IBM recognized Jackson Thornton Technologies (JTT)
for its continued support, development, competency and customer satisfaction in the use of IBM business tools to provide solutions to the information technology marketplace. “This is quite an accomplishment for our team,” said Patti G.
The Premier Business Partner designation is reserved for a small percentage of IBM Business Partners that have achieved high standards in such areas as technical expertise and customer satisfaction. Of the more than 1,500 firms selling IBM servers in the Americas, about 150 companies reach Premier status. •
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©2012 Charter Communications. Offer available to new customers only. *40% savings includes 30Mbps Internet, one Phone line with unlimited long distance and Solution or Solution Plus Features Package, and Private View TV with a 12-month agreement. **Free installation applies to standard installation (a $148 value). Charges may apply for complex installation and additional outlets. Offer subject to change, expires 3/30/2012 and cannot be combined with other promotions. †Compared to comparable standard DSL speeds offered on att.com and Verizon.com as of 12/12/2011. ††Local phone service required to receive Unlimited Long Distance (ULD) and applies only to calls within the US, Puerto Rico and Canada. Usage monitored for improper use and abuse, and Charter may move customer to another long-distance plan or may restrict or cancel customer’s service. All services provided are subject to the terms of the subscriber’s agreement/applicable tariff. Restrictions apply. Call for details. ‡View Charter-Business.com/guarantee for details about the 30-day customer satisfaction guarantee.
February 2012 Montgomery Business Journal
39
Members on the Move ALABAMA POWER NAMES JORDAN EXTERNAL AFFAIRS MANAGER
BERINGER, CLARK AND PARKS BECOME SHAREHOLDERS
MONTGOMERY – Mike Jordan has been named external Mike Jordan affairs manager for Alabama Power’s Southern Division. Jordan will be responsible for media relations, managing civic and community partnerships and contacting with local elected officials in connection with Alabama Power activities. “We are excited to have Mike as a part of our team,” said Leslie Sanders, vice president for Alabama Power’s Southern Division. “His knowledge of Montgomery, communication skills and previous experience in the company’s governmental relations office make him a perfect fit for this position.” Alabama Power’s Southern Division includes all or part of 17 counties in South-Central Alabama. A native of Troy, Jordan joined Alabama Power in 2008 as the company’s legislative affairs manager, where he was responsible for monitoring state legislation and its potential impact on Alabama Power customers. Prior to joining Alabama Power, Jordan served as director of public relations for the Alabama Nursing Home Association and public information officer for the Alabama House of Representatives. He received a master’s degree in public administration from Troy University and a bachelor’s degree in history from Samford University. SAUNDERS RETURNS TO WNCF AS ACCOUNT EXECUTIVE MONTGOMERY – WNCF/WBMM Austin Saunders announced that Austin Saunders has returned to the company as an account executive. Saunders, who has 11 years of sales and management experience, worked for The Montgomery CW as a local sales manager from 2006-2009. The Montgomery CW is an affiliate of WNCF/WBMM. 40
Montgomery Business Journal February 2012
BEASLEY ALLEN NAMES NEW SHAREHOLDERS
He received a degree in mass communications from Louisiana State University in Baton Rouge, La.
Michael Beringer
MONTGOMERY – Wilson Price has announced that three professionals – Michael Beringer, Justin Clark and Lee Parks – were admitted as shareholders in the firm.
Beringer joined the tax department in 2004 and is a graduate of the Justin Clark University of Alabama. He was previously with a Big 4 accounting firm in Atlanta, where he worked for nine years specializing in international and domestic tax planning Lee Parks and compliance. He specializes in international tax planning and domestic bankruptcy matters as well as federal and state tax compliance for individuals and their businesses. Clark joined the firm in 2004 and has more than 11 years of public accounting experience. Prior to joining Wilson Price he was in public accounting with a Big 4 accounting firm in Montgomery. He specializes in accounting and assurance services for a wide range of industries. He received bachelor’s and master’s degrees from Troy University. Parks, who graduated from the University of Alabama, joined Wilson Price in 1997. He specializes in planning and conducting audits for clients in a wide range of industries including manufacturing, governmental and not-for-profit organizations. He is currently pursuing his designation as a certified government financial manager.
Chris Boutwell
Archie Grubb
Bill Hopkins
MONTGOMERY – Beasley, Allen, Crow, Methvin, Portis & Miles, P.C., announced Christopher D. Boutwell, Archie I. Grubb II, William E. Hopkins Jr. and William H. Robertson V are now shareholders. Boutwell joined Beasley Allen as an associate in the toxic torts section in 2008. He received a bachelor’s degree from the University of Alabama in 1992 and his Juris doctor from Thomas Goode Jones School of Law in 2005.
Grubb, who joined Beasley Allen in October 2009, practices in the consumer fraud section. Prior to joining Beasley Allen, he Bill Robertson worked for the Carlock, Copeland & Stair, LLP, law firm, where he practiced defense litigation. He also practiced personal injury litigation at Gary O. Bruce, P.C. He is a 1995 graduate of the University of Alabama, where he received a degree in history and political science. He is a 2003 graduate of the University Of Alabama School Of Law and was admitted to practice in Alabama in 2003 and Georgia in 2004. Hopkins joined Beasley Allen in November 2010 in the consumer fraud section. His practice focuses primarily on class-action litigation. He attended North Carolina State University, where he received a bachelor’s degree in 1988. He received his J.D. from the University of South Carolina School of Law in 1993. He worked in the South Carolina law firm of Whaley, McCutchen, Blanton & Rhodes, LLP, where he became a partner and was elected managing partner in 2005. He later founded
a law firm called McCutchen Blanton Hopkins & Campbell, LLP, before joining Beasley Allen. Robertson joined Beasley Allen as an associate in 2005, practicing in the firm’s consumer fraud section. He currently focuses his practice on cases involving mortgage fraud, and specifically those involving fraud with the origination and servicing of mortgages.
“Steve is a proven leader with experience in investments, finance, product development, risk management, customer service and marketing,” Newby said. “As executive vice president of business development and marketing, Steve has led efforts to make Alfa more competitive while providing enhanced service to policyholders. “By placing Alfa’s operations, marketing and business development functions under a single executive vice president, we will improve communication among divisions and ensure all Alfa employees share the same mission, goals and vision for the future.”
He graduated from Auburn University in 1999. Robertson received his Juris doctor from Thomas Goode Jones School of Law in 2005. ALFA INSURANCE PROMOTES RUTLEDGE TO EXECUTIVE VP, GM
Under Rutledge’s leadership, Alfa expanded its call center and website, developed new discounts and introduced an improved pricing system for auto insurance customers.
MONTGOMERY – Steve Rutledge has been named executive Steve Rutledge vice president and general manager for the Alfa Insurance companies.
pleasure and a strong sense of responsibility to our policyholders and our employees that I move into this expanded role,” Rutledge said. “Alfa is a great company made up of caring individuals who come to work each day and do their best to serve their customers and communities. I am proud to be associated with such an outstanding group of individuals.” Rutledge began his career with Alfa in 1984 as a securities analyst in the investments department. He later served as Alfa’s chief financial officer and senior vice president of investments before being named executive vice president. He holds a bachelor’s degree in accounting from Auburn University and is a certified public accountant. WAKA ANNOUNCES LOCAL AREA SALES MANAGER
His team also has embraced technology that is helping Alfa better manage risk while continuing to provide exceptional customer service. Rutledge said he is honored to serve Alfa and its policyholders in this expanded role, and he is excited about the opportunity to grow the company’s business.
Rutledge, who has led Alfa’s business development team since March 2010 and marketing efforts since September 2011, will now oversee all phases of the insurance company. He will report directly to Alfa President and CEO Jerry Newby.
“Having served alongside this great team at Alfa for many years it is with great
MONTGOMERY – Beau Boyd has been named local area sales manager for WAKA.
Beau Boyd
He previously worked at WNCF as an account executive in 2004 and was then promoted to local sales manager for WBMM in 2009. •
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February 2012 Montgomery Business Journal
41
RIBBON CUTTINGS & GROUND BREAKINGS
HERE WE GROW AGAIN
42
ProFitness 3D 3251 Malcolm Drive,Montgomery, AL 36116 334-356-0992 www.profitness3d.com Terry & Jennifer Biddy-Owners Steve Jackowiak-Owner Fitness Center/Gym
Vista Care Hospice 7075 Halcyon Park Drive, Suite 202 Montgomery, AL 36117 334-260-0015 www.vistacare.com Lisa Bonds-Executive Director Hospices
LifeSouth Community Blood Center 4139 Carmichael Road,Montgomery, AL 36106 334-260-0803 www.lifesouth.org Judy Russell-District Director Blood Centers
Edible Arrangements 3000 Zelda Road,Montgomery, AL 36106 334-270-2888 www.ediblearrangements.com Michelle Wood-Owner Gifts & Specialty-Retail
Goodwill Industries of Central Alabama 2779 Bell Road,Montgomery, AL 36117 334-263-4633 www.algoodwill.org Kristen Sherer-Public Relations Director Associations/Non-Profits
Southern Trails 12 West Jefferson Street, Montgomery, AL 36104 334-239-9438 Forrest Carden-General Manager Outdoor Supplies/Apparel
Cupcakes by Tish 1940 A Mulberry Street, Montgomery, AL 36106 334-625-0999 www.cupcakesbytish.com Lakisha Leonard-Owner Bakery
GiGi’s Cupcakes 7918 Vaughn Road, Montgomery, AL 36116 334-356-3737 www.GigiscupCakesUSA.com Jennifer & Patrick Cooper-Owners Bakery
Palomar Insurance 8193 Vaughn Road, Montgomery, AL 36116 334-270-0105 www.palomarins.com Sharon Brown-Director Insurance Companies/Advisor Financial Planner/Advisor
Holiday Inn-Montgomery Airport South 96 Folmar Parkway, Montgomery, AL 36105 334-288-3858 www.holidayinn.com/montgomeryal Chris Calabretta-General Manager Hotels/Motels
Don Duncan’s All American Tire & Automotive, Inc. 2700 Bell Road, Montgomery, AL 36117 334-270-9825 www.allamericantireandauto.net Don Duncan-Owner, Roger Teel-Owner Automobile Repair Services Tire Dealer & Distributor
Montgomery Business Journal February 2012
New Members Advertising Agencies
Massage Therapy
The Finklea Group, Inc. P.O. Box 231596 Montgomery, AL 36123 334-273-9926
Hands On Healing 6944 Vaughn Road Montgomery, AL 36116 334-279-4263
Bakery
Physical Therapists
Gigi’s Cupcakes 7918 Vaughn Road Motngomery, AL 36116 334-356-3737
Hand and Occupational Therapy Center 2767 Office Park Circle Montgomery, AL 36116 334-239-9431
Banks River Bank & Trust P.O. Box 1090 Wetumpka, AL 36092 334-514-8740 River Bank & Trust P.O. Box 680249 Prattville, AL 36068 334-290-1012
Financial Services Security Finance 32 Carol Villa Drive Montgomery, AL 36109 334-277-4670
Flight Instruction Box Aviation, Inc. 4521 Selma Highway Montgomery, AL 36108 334-281-9005
Fund Raising Games, Merchandise & Supplies Marketing Dimensions P.O. Box 621 Montgomery, AL 36101 334-273-4630
Groceries-Retail Fresh Market 1635 Perry Hill Road Montgomery, AL 36106 334-272-8952
Information Technology Firms Data Systems Analysts, Inc P.O. Box 242113 Montgomery, AL 36124 334-202-9424 Evanhoe & Associates Inc. 4131 Carmichael Road, Suite 25 Montgomery, AL 36106 334-233-2250
Propane AmeriGas Propane 815 34th Street North Birmingham, AL 35222 205-323-1511
lease office
Space at One Commerce Street
Publishing Companies Beers and Associates 8650 Minnie Brown Road Montgomery, AL 36117 334-396-2896
Restaurants Commerce Street Soda Shop 15 Commerce Street Montgomery, AL 36104 334-262-8282
Restaurants-Fast Food Wing City 701 Madison Avenue Montgomery, AL 36104 334-819-4100
Storage SmartStop Self StorageBreckenridge 310 Ray Thorington Road Montgomery, AL 36117 334-274-9196 SmartStop Self StorageVaughn Road ClimaStor 6855 Vaughn Road Montgomery, AL 36116 334-270-4001
E xt r a o r d i n a ry On-site parking spaces Beautifully appointed Conference Room with Video Equipment Convenient first floor Sundry Shop On-site Fitness Facility On-site banking with ServisFirst Bank Superior construction, interior finishes and surroundings
Environment In the city’s best location and at the heart of downtown growth and redevelopment 16,000 sf of contiguous space per floor High-speed fiber-optic cabling On-site maintenance, controlled access and air conditioned storage available In walking distance to hotels, restaurants and shopping
Leasing opportunities from
200 sf up to 22,000 sf are currently available.
For more information visit cfcoffice.com
Telecommunications Cleopatrick Cherry Cleopatrick Cherry 787 Sullivan’s Trace Montgomery, AL 36105 334-230-5906
Contact Scott Harris
3 3 4 . 2 7 7. 1 0 0 0
s c o t t . h a r r i s @ a r o n o v. c o m aronovcommercial.com
February 2012 Montgomery Business Journal
43
Economic Intel
Unemployment Data Civilian Labor Force Area
Unemployment Rate
December p 2011
November r 2011
December r 2010
December p 2011
November r 2011
Montgomery MA
165,054
167,352
Autauga County
23,794
24,104
Prattville City
166,480
7.70%
8.20%
8.70%
24,053
6.80%
7.20%
8.00%
15,534
15,710
15,613
5.90%
6.20%
6.70%
Elmore County
35,237
35,652
35,537
7.00%
7.30%
8.10%
Lowndes County
4,562
4,647
4,593
13.50%
14.40%
14.30%
Montgomery County
101,461
102,949
102,298
7.80%
8.40%
8.80%
Montgomery City
91,722
93,046
92,407
7.70%
8.20%
8.60%
Birmingham-Hoover MA
517,812
520,417
514,559
6.80%
7.30%
8.30%
Birmingham City Huntsville MA Huntsville City Mobile MA Mobile City Alabama United States
95,429
96,286
95,172
8.50%
9.40%
10.30%
208,703
209,881
206,531
6.40%
6.80%
7.20%
91,862
92,341
90,774
6.50%
6.80%
7.10%
188,394
189,680
186,287
8.40%
9.10%
9.70%
87,648
88,409
86,631
8.70%
9.50%
9.90%
2,131,994
2,145,259
2,115,581
7.50%
8.00%
8.80%
153,373,000
153,683,000
153,156,000
8.30%
8.20%
9.10%
MA=Metropolitan Area. pPreliminary rRevised Estimates prepared by the Alabama Department of Industrial Relations in Cooperation with the Bureau of Labor Statistics, based on 2010 benchmark.
44
December r 2010
Montgomery Business Journal February 2012
Montgomery Regional Airport DECEMBER 2011 Air Carrier Operations Total Operations
DECEMBER 2010
Year over Year % Change
YTD 2011
YTD 2010
Year over Year % Change
938
1,011
-7.2%
11,795
12,612
-6.5%
4,377
5,287
-17.2%
62,493
69,250
-9.8%
Enplanements
14,700
15,700
-6.8%
184,485
188,522
-2.1%
Deplanements
14,320
15,137
-5.4%
183,032
186,970
-2.1%
Total Passengers
29,020
30,837
-5.8%
367,517
375,492
-2.1%
Source: Montgomery Regional Airport (MGM) Dannelly Field
Airline Fares
Hyundai Sales
Roundtrip airfare comparisons from Montgomery, Birmingham and Atlanta airports to key destinations.
VEHICLE
DEC 2011
DEC 2010
YTD 2011
YTD 2010
Accent
5,316
2,784
55,601
51,975
Montgomery
Birmingham
Atlanta
Sonata
17,340
15,964
225,961
196,623
Baltimore (BWI)
$314
$281
$197
Elantra
13,025
13,096
186,361
132,246
Boston (BOS)
$303
$278
$237
Santa Fe
5,082
5m284
74,391
76,680
18
162
1,524
3,051
Destination
Charlotte, NC (CLT)
$160
$140
$175
Azera
Chicago (ORD)
$296
$282
$216
Tucson
4,458
4,041
47,232
39,594
2,188
N/A
9,284
N/A
Cincinnati (CVG)
$332
$272
$237
Veloster
Dallas/Ft Worth (DFW)
$290
$290
$158
Veracruz
543
852
9,146
8,741
2,470
2,423
32,998
29,122
Denver (DEN)
$299
$226
$228
Genesis
Detroit (DTW)
$340
$361
$215
Equus
Houston (HOU)
$354
$272
$231
Total
Indianapolis (IND)
$266
$271
$177
Las Vegas (LAS)
$379
$296
$336
Los Angeles (LAX)
$353
$324
$288
Memphis (MEM)
$263
$322
$185
Miami (MIA)
$328
$310
$162
Nashville (BNA)
$240
$140
$316
New Orleans (MSY)
$350
$235
$195
New York (JFK)
$299
$252
$231
Orlando (MCO)
$268
$218
$177
Philadelphia (PHL)
$305
$205
$253
Pittsburgh (PIT)
$301
$273
$192
St Louis (STL)
$210
$190
$199
Seattle (SEA)
$363
$344
$298 $1,179
Seoul, Korea (SEL)
$1,553
$1,274
Tampa (TPA)
$331
$217
$197
Washington DC (DCA)
$324
$314
$223
325
N/A
3,193
N/A
50,765
44,802
645,691
538,228
Source: Hyundai Motor America
Date of travel:Feb. 14-19, 2012. Date of pricing: Jan. 8, 2012. Source: travelocity.com
Montgomery Building Starts Building Permits
Building Valuations
DECEMBER 2011
NOVEMBER 2011
DECEMBER 2010
DECEMBER 2011
NOVEMBER 2011
DECEMBER 2010
New Construction
15
30
33
Additions and AlterationsÂ
52
77
70
$12,833,600
$4,452,600
$5,448,600
$1,284,400
$4,243,000
$2,478,800
Others
31
28
20
$231,200
$3,196,600
$334,200
Total
98
135
123
$14,349,200
$11,892,200
$8,261,600
Source: City of Montgomery Building Department
February 2012 Montgomery Business Journal
45
Sales Tax Collections DECEMBER 2011
DECEMBER 2010
Year over Year % Change
YTD 2011
YTD 2010
Year over Year % Change
Montgomery County
$3,117,297
$2,981,341
4.56%
$38,191,296
$37,422,877
2.05%
City of Montgomery
$6,837,018
$6,752,906
1.25%
$87,712,665
$86,329,390
1.60%
Pike Road Autauga County Prattville
$137,910
$163,728
-15.77%
$1,608,406
$1,858,408
-13.45%
$605,961
$570,213
6.27%
$7,092,099
$7,009,477
1.18%
$1,584,453
$1,167,290
35.74%
$16,941,165
$14,069,733
20.41%
Elmore County
$399,355
$390,588
2.24%
$4,655,282
$6,329,437
-26.45%
Wetumpka
$457,776
$434,542
5.35%
$5,413,477
$5,371,857
0.77%
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 2010 thru current month.
* Did not receive this months numbers.
Montgomery Metro Market Home Sales NOVEMBER 2011
OCTOBER 2011
Month/Month % Change
NOVEMBER 2010
Year/Year % Change
Statewide NOVEMBER 2011
Median Price
$132,000
$127,500
3.53%
$118,000
11.86%
$109,505
Average Price
$141,468
$145,521
-2.79%
$128,015
10.51%
$133,622
Units Listed
2768
2828
-2.12%
3113
-11.08%
22,284
Months of Supply
13.1
12.2
7.38%
17.6
-25.57%
12.4
Total # Sales
211
232
-9.05%
177
19.21%
2,691
Days on Market
94
101
-6.93%
89
5.62%
155
Source: Alabama Center for Real Estate (ACRE), The University of Alabama
Quarterly Reports NAME Menâ&#x20AC;&#x2122;s Wearhouse
NET INCOME
EARNINGS PER SHARE
EARNINGS ESTIMATE
YEAR-AGO REVENUES
YEAR-AGO NET INCOME
$584.6M
$39.9M
$0.77
$0.65
$550.1M
$25.3M
Profit surged 58%
NOTABLE
AutoZone
$1.9B
$191M
$4.68
$4.44
$1.8B
$172.1M
Revenue rose 7.4%
Dollar General
$3.6B
$171.2M
$0.50
$0.47
$3.2B
$128.1M
Profit jumped 34%
Costco Wholesale Corp.
$21.2B
$320M
$0.73
$0.80
$18.8B
$312M
Revenue at stores open at least 1 year up 10%
Besty Buy
$12.1B
$154M
$0.42
$0.52
$11.9B
$217M
Profit declined 29% on cutting prices
Bed Bath & Beyond
$2.3B
$228.5M
$0.95
$0.89
$2.2B
$188.6M
Profit increased 21%
Walgreen
$18.2B
$554M
$0.63
$0.67
$17.3B
$580M
Dispute with Express Scripts impacts profits
Navistar International
$4.3B
$255M
$3.48
$3.02
$3.4B
$44M
Highest profit since 2008
Darden Restaurants (Red Lobster, Oilve Garden, Longhorn Steakhouse)
$1.8B
$53.7M
$0.40
$0.42
$1.7B
$74.5M
$382.7M
$23M
$0.21
N/A
$353.8M
$21M
Rite Aid
$6.3B
(-$54.5M)
(-$0.06)
(-$0.12)
$6.2B
(-$81.5M)
Added 3M wellness plus members
Family Dollar Stores
$2.2B
$80.4M
$0.68
$0.67
$2B
$74.3M
Same-stores sales increased 4.1%
$307.5M
(-$2M)
(-$0.03)
(-$0.05)
$290.5M
$4.6M
Same-restaurant sales declined 4.2%
Pier 1 Imports
Ruby Tuesday
46
QUARTERLY REVENUES
Montgomery Business Journal February 2012
Longhorn Steakhouse profits rose 13.7% to $255M Profit up 9.4%
Post Office Box 79 Montgomery, AL 36101