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22 minute read
Greatness that changed the world
STORY BY BETSY ILER
Almost to the day 120 years ago, Benjamin “Mr. Ben” Russell changed the world – not just the small world of Tallapoosa County, but the whole world. He had vision, and he wasn’t afraid to pursue his dreams. Some folks in these parts shook their heads when Mr. Ben invested his savings and part of his wife’s inheritance in the purchase of six knitting machines and 10 sewing machines to start up a mill that produced women’s and children’s undergarments. It was the first of many new business endeavors Mr. Ben launched, at least two of which have achieved national or global recognition. His undertakings six generations ago continue to make Lake Martin a great place to live, work and play.
Mr. Ben’s adventure in business was not an instant success. It very nearly failed in the first year when he discovered that he was losing 40 cents on every item of clothing that went out the door. That was a lot to lose on a garment that sold at $1. Taking the tiny mill’s employees into his confidence, Mr. Ben determined that the only thing to do was to produce a fine-quality product line at minimal cost. Embarking upon this new commitment, his business established a firm foothold and began to expand.
In the spirit of Henry Ford, who 10 years later would establish the automobile assembly line that made cars affordable for the average family, Mr. Ben was a forward thinker. He told his friend, A.P. Fuquay – who the following year was elected mayor – that he hoped to vertically integrate the mill, producing the yarn that would be woven into fabric and adding a bleachery and finishing operation.
Before the decade was out, Mr. Ben had added a spinning mill, a machine shop and a new boiler plant to his small knitting business.
He built a village for mill employees within the first 20 years of operation, including a church and school. A hospital followed in 1923, and by 1930, he employed more than 2,000 people. Mr. Ben added the bleachery and finishing facility in 1932. That’s when the Russell Manufacturing Company established a foothold in team apparel through a division that would become Russell Athletic. Along the way to the mill’s success, Mr. Ben dabbled in other lucrative business ventures. Shortly after opening the mill, he established the first telephone service in Alexander City, running a line from Dadeville through Alexander City to Sylacauga. He sold the phone service to Southern Bell Telephone and Telegraph two years later. In 1910, he organized the Commercial Club of Alexander City, which restructured in 1920 as the Alexander City Chamber of Commerce. In 1911, he had the foresight to begin construction of a dam on the Tallapoosa River at Buzzard Roost Shoals. The project was halted when a larger project was proposed downstream Benjamin “Mr. Ben” Russell at Cherokee Bluffs (today’s Martin Dam), and he sold the property to Interstate Light and Power – a precursor to Alabama Power – the following year. The transaction put him in a fine position to later purchase substantial land holdings along the shoreline of the new lake that the utility company began to operate 15 years later. While his mill grew to include 12 buildings, Mr. Ben opened a wholesale grocery in 1916, and he bought a woodworking company in 1918. He built a creamery, a laundry and a bakery in 1920 and even a hotel that same year. He was a great supporter of the Florida Short Route, a transportation plan that stretched from the Midwest
The humble beginnings of a company that changed the world
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to Florida with the potential to bring customers right through Alexander City. Today’s U.S. Route 280 was part of the plan.
He also dammed Elkahatchee Creek, building a pumping station that provided water for all of Alexander City until 1947. This project continued to serve the mill’s water needs into the 1980s.
His accomplishments continued to accumulate: He created a farm interest; bought a cast iron and pipe company and relocated it to Alexander City; and in 1928, he opened Lake Hill, the first subdivision on Lake Martin.
The subdivision opened one year after Mr. Ben purchased another property upon which former slave John Benson and his son, Will, had operated an academy that taught trades to freed Blacks. While he set aside 3,000 acres of property for cotton production, Mr. Ben planted pine trees on other properties to prevent soil from washing into the lake and to conserve the land.
And in 1938, a grandson was born to Mr. Ben. The boy’s parents, Robert Russell and his wife Adelia, named the child after the family patriarch. Ben Russell today is the chairman of Russell Lands.
Mr. Ben suffered a massive heart attack and passed away at age 65 in 1941, but his legacy lived on.
After World War II, the culture of the country changed, and owning a home became the American dream. Mill families vacated the houses in the mill village Mr. Ben had built for his employees, and they purchased homes in town. The mill houses were removed from the mill complex and rebuilt as fishing cabins on the lake. For many years, the cabins were leased to families who sought leisure time at Lake Martin, many of which remain today.
Prior to taking Russell Mills public in 1963, the lands division was spun off as a separate company. It was a move that proved extremely fortuitous in the latter quarter of the 20th century and beyond. But the heyday of the Russell textile company was just beginning. In the mid-60s and in the 1970s, plants were established in Montgomery, Dadeville, Ashland and Sylacauga. Offices were opened in five states and three countries. There were more than 17,000 employees.
But Alexander City remained the hotbed of the company’s innovation. The late Billy Hardy (1920-2017), who served as president at Russell Athletic, helped develop the Russ-Coat treatment that made lettering permanent and durable on athletic apparel. He also was a leader in the success of the tear-away jersey, along with Fletcher Adamson, who headed up research and development.
“I noticed that a lot of players were getting tackled when the opponents grabbed their shirts, so I went to the dye house and asked if there was anything they could do to weaken the fabric and make it tear off when the player got tackled,” Hardy said in a 2014 interview with Lake magazine. “We figured out that it took 80 pounds of pressure to tear the shirts, but if we treated the fabric with acid, it would only take 20 pounds of pressure before the shirt tore. So we put players in those tear-away jerseys, and they’d be running down the field. When the defense grabbed their jersey, it would tear off, and the player would keep running and score.”
The Russell name is associated with qualtiy materials and exemplary customer service
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The tear-away jersey eventually was prohibited in football, but it was evidence of the innovative mindset at the Russell company. Later, Hardy was inducted into the Sporting Goods Industry Hall of Fame for his work in standardizing the color system for college and professional sports teams so that uniform colors were consistent no matter what company made them.
The Russell brands grew as the company purchased other industry names and operations and expanded their own product lines by opening new divisions. Some of the most well-known names included Russell Athletic, Jerzees, Mossy Oak, Cross Creek, Discus, Moving Comfort and others.
In the 1940s and 1950s, the woven fabric business was a major contributor for the company, said Alexander City’s Steve Forehand, who attended the mill village school in the 1960s and worked in the legal department in the Russell corporate office. He now serves as vice president and legal counsel at Russell Lands.
“From the ’50s forward, the athletic uniforms and knit garments began to take over. The knit division became a real powerhouse,” Forehand said. “In the ’70s, customers
were on allocation. We couldn’t produce product fast enough to give them the quantities they wanted. “Eugene Gwaltney’s election as president coincided with the company’s growth spurt. He was an innovator with an engineering focus. He wanted things done better and more efficiently. Russell Corporation had an advantage on those who didn’t modernize effectively.” Dave Commander started working for the company in 1976 and Long underwear was an served as president of the Jerzees early product at Russell line before joining the Russell Manufacturing Company Athletic team. Today, he is president of Russell Marine, an operating subsidiary of Russell Lands. “In the 1980s, we sold a lot of T-shirts and sweatshirts to Nike. We were making and printing them at our facility. We produced some of the 1984 Olympics garments for Levi and T-shirts for Champion. We did a lot of stuff for Disney, along with Winnie the Pooh kids’ pajamas for Sears,” Commander recalled. In the mid-70s, Russell Corporation began to pay select celebrity athletes to endorse their products. Roger Staubach, Joe Theismann, Brooks Robinson, Reggie Jackson and Hank Aaron were among the stars that wore
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Russell brands.
“Donnie Allison represented Jerzees in the Bush series NASCAR. We had our own car,” Commander said.
“I remember Russell Athletic sponsored Pop Warner Youth Football from 1983 to 1985. It was a large event for the city, and one year Jim Fowler came to town as part of the event,” recalled Jane Howell, who worked for the company for more than 30 years. “Russell Athletic built a special field for the kids to play on at Alexander City Junior College (now CACC) and, of course, supplied all of the uniforms.”
Jim Fowler was the wildlife expert on the popular television show, Mutual of Omaha’s Wild Kingdom, in the 1960s. The long-running nature documentary introduced viewers to exotic locations and the ferocious wild animals that lived in them.
Roger Holliday was president at Jerzees when Paul Harvey was selected as the speaker for a distributor conference.
“He was this famous guy, and his agent sent a list of all of his requirements for the visit. On his list, he required that he have a limousine. Well, there were no limousines in Alexander City,” Holliday said. “I happened to have a big car, so I had it detailed and shined up. We called that his limo for the couple of days that he was here.”
Russell Corporation began trading on the New York Stock Exchange in 1985 under the symbol RML. The company was recognized as the most modern textile facility in the world.
“Technology and quality were the key components in the success in the 1960s to 1990s. A lot of good things were happening. Russell was thriving, and stock was doing well. It was one of the best companies in —aAmerica – a well-run company,” Commander said.
Under John C. Adams’ tenure as president, Russell Corporation signed a five-year contract to exclusively
produce and market athletic uniforms for most Major League Baseball teams. International sales increased by 40 percent in 1992. But eventually, the competition caught up. The North American Free Trade Agreement was signed into law in 1993, and sewing jobs were moved offshore, where labor costs were considerably lower. Intense competition from competitors and industry-wide price-cutting took a toll on sales and net income in 1997. Russell ended its licensing deals with professional football, basketball and hockey leagues. John ‘Jack’ Ward stepped in as president, chairman and CEO in 1998 and announced a major restructuring. By Bo Jackson was 2001, headquarters among the celebrity had been moved representatives out of Alexander of the Russell line City. In 2002, the company celebrated its centennial with a bell ringing on Wall Street and added Bike Athletic Company and Spalding to its holdings. In 2004, the company purchased the Huffy brand and Brooks Sports. In 2006, Berkshire Hathaway, Inc., acquired Russell Bob Hope (left) and Charley Boswell were guests of the Corporation, and the company became a company in Alexander City subsidiary of Fruit of the Loom, Inc. But since 1960, the lands division that spun off from the textile business has grown. Willow Point Golf & Country Club was established in 1964, and in the early ’70s-1971, Wind Creek Park was sold to the State of Alabama. Also in 1970, Mr. Ben’s grandson, Ben Russell, was elected president of Russell Lands, Inc. Ben inherited much of his grandfather’s acumen for innovation and engineering. An astute businessman and forward thinker, he saw the land as the future and forged a legacy that today seems to have only just started. With the Martin Dam license up for renewal in the early 1970s, Ben and a contingent of local businessmen flew to Washington, D.C., to secure guaranteed minimum water levels on the lake year round. Until then, the water
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levels were erratic, fluctuating as much as 20 feet or more with no notice. Under Ben’s leadership, this group of individuals formed the Lake Martin Resource Association in 1971. With the provisions of the 1972 license, the water level rule curve was established, defining winter drawdown at 481 mean sea level feet and summer pool at 491 feet msl. In 2015, the winter drawdown was reduced to 484 feet msl with a 10-foot drawdown every sixth year. The rule curve lent a level of stability to the lake home market and recreation activities on Lake Martin.
In 1972, Russell Lands opened Phase I of Willow Point Estates, a golf community at the lake. Two months later, Lake Hill Estates was begun, and then, Kowaliga Marina was built. Phase I of River Bend Estates and Windermere were launched the following year. Though the fishing cabins continued to be popular, living at the lake became fashionable – and a good investment.
Like his grandfather, Ben Russell embraced innovation and pursued novel ideas. In 1975, he founded the Energy Conservation Company – ECON – with the objective of promoting wood and wood residue as an alternative fuel for industry. Under the guidance of Ben Russell, Russell Corporation constructed the first non-forest industry wood-fired boiler in the modern U.S. In 1979, Ben designed the ECAR, a conventional gasoline-powered vehicle that was converted to burn wood. The car drove from Jacksonville, Florida, to Los Angeles, California, using only wood fuel.
In 1982, Ben hired Tom Lamberth, a practicing CPA who had moved from Montgomery to a rented office in an Alexander City insurance company building.
“In the 1980s, the company had the cabins and the golf club, as well as the energy business producing steam from sawdust. Energy was a big part of our business, but that went away as the textile jobs moved,” Lamberth said.
In 1984, Russell Lands bought the True Value Hardware and Building Supply from Mack Horton. The business was combined with Alexander City Building Supply to form Russell Building Supply – the start of Russell Do it Centers. The company continued to buy out existing stores and added new builds. There are now nine stores, Lamberth said.
The marina business picked up as well, with the addition of Real Island on property leased from Alabama Power in 1997 and the construction of The Ridge Marina and River North Marina in 2001.
“A key event was the renovation of Willow Point in 2002. It was a major expense – close to $20 million – with the golf course, grill, pool, renovated cabana, and a new fitness facility. We rebuilt the greens and traps and installed irrigation. The golf course had been built in 1964, and it was past time to address those issues,” Lamberth explained. “The club was initially built by Russell Corporation to entertain customers and recruit executive talent. The priority for Russell Lands management was to maintain Willow Point as an amenity for Russell Corporation, but when Russell Corporation started downsizing and the corporate office moved to Atlanta, it was apparent we had to change our direction and who we were marketing to.”
The dues structure that was in place could not support the cost of improvements, so a change in strategic direction was needed, Lamberth explained.
“The change was hard but proved to be very successful,” he said. “We did lose some existing members, but we also gained a lot of new members. We grew the membership during construction.
“We’ve got a wonderful resource in the lake. When you add high-quality amenities, it creates a powerful product. Along with the club, we built Russell Crossroads and now offer fine dining at SpringHouse and quality foods, wine and seafood at Catherine’s Market. All that changed the lifestyle of the lake.”
Company broker and vice president of real estate sales, Steve Arnberg joined the team in 2003. Building was just starting at The Ridge, and his job included pitching the new subdivision in a way that gave people a glimpse of
The Willow Point golf course originally was built to woo Russell company customers and guests
what lake life could look like.
“Some people thought The Ridge was too far north for people from Montgomery and too far south for Birmingham. The land was steeper, which called for a different home design than that of many other areas around the lake, and there weren’t any builders working in the neighborhood. We had to quickly develop a plan type for the area and put builders in place who could build homes,” Arnberg said. “When I arrived, I found that locals did not recognize the desirability of Lake Martin, probably because they grew up here. What people see as familiar can be taken for granted,” Arnberg said. “What the Russell team learned when we visited other resorts and lakes was that they paled in comparison to Lake Martin.
“Other developers have to imagine what they want their development to become. Lake Martin is already great; we don’t have to create a narrative to sell the lake— – it sells itself. Our job is to be good stewards of the property.
“I was 9 years old when my family moved to Montgomery. As soon as we arrived, a family friend urged my dad to get a place at the lake. We had a small trailer, a boathouse, and a pier. You had to wench your boat in and out of the lake. A lot has changed since then. We have evolved from the ‘build it yourself’ cabins of my childhood to master-planned communities with trendsetting architecture and modern amenities. And, COVID justified the wisdom of significant upgrades to technology infrastructure. Many of our property owners have found that connectivity in The Ridge is superior to what they have in their urban homes.”
When Arnberg joined the Russell Lands team, only eight properties at The Ridge had been sold, and five houses were under construction there. Today, overmore than 530 properties have been sold at The Ridge,
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and overmore than 450 houses have been built to date. Property values have climbed over time with an average current value of about $1.6 million each. The success of The Ridge grew to other Russell Lands neighborhoods, such as Willow Glynn and The Willows, which have recently sold out.
The neighborhoods are built on land Mr. Ben had acquired decades earlier. The relationship with land was always important to Mr. Ben, and his grandson inherited that great love of the land.
“Mr. Ben protected the lake by planting pine trees,” Lamberth said. “He did some things to protect it knowing it would be well past his lifetime when it came to fruition. That takes long-term vision. Not a lot of people invest a lot of their money when the benefits will be long past their lifetimes.”
In 2012, Russell Lands received the Alabama Governor’s Conservation Achievement Award for Forest Conservationist of the Year. Many acres of Russell Lands holdings have been planted in an effort to re-establish longleaf pine forests. The trees once covered 95 million acres across the Southeast U.S. but were cut for construction over the ages. The longleaf pine grows slowly and requires several generations of growth before it is ready for harvest.
Mr. Ben had a knack for seizing opportunities, and in this, his grandson has proven like him. When Russell Corporation was acquired by Berkshire Hathaway, he lost no time in recruiting some proven employees from Russell Corporation to join his already successful team at Russell Lands.
In 2006, Roger Holliday was working for Russell Corporation in Atlanta, having joined the company in 1986 in Alexander City. On the day the Berkshire Hathaway purchase was announced, Holliday was listed as the media contact on the press release.
“In the barrage of returning phone calls, my administrative assistant stuck a note in front of me that said, ‘Ben Russell is holding.’ I picked up the phone, and Ben said, ‘I want to know if you want to move back to the lake. We’ll figure out what you would be doing.’” Holliday said. “Fruit of the Loom offered me a fantastic opportunity. I was trying to decide what to do, so I went trout fishing with a buddy. I called Ben back and said yes.”
Russell Lands was building SpringHouse and Catherine’s Market at the time.
“I had a background with a lot of Wall Street involvement, and suddenly, I was in the hospitality business. It was not something I knew how to do,” said Holliday, who now serves as vice president at Russell Lands.
The company has thrived. With Willow Point membership on a waiting list now, Russell Lands has launched its next endeavor – The Heritage, a residential community featuring a golf course designed by Bill Coore and Ben Crenshaw near the Wicker Point peninsula. The Heritage encompasses 1,500 acres and roughly 12 miles of shoreline. This property was dedicated by Ben Russell to honor his grandfather and the family legacy. The neighborhood is already generating great anticipation.
“It has created a ton of interest in Lake Martin,” said Lamberth. “The amenities we are building are high quality. There is more interest in this than we’ve seen in any-
Russell Crossroads is home to SpringHouse Restaurant, The Stables, Catherine’s Market and several additional businesses and buildings, as well as The Town Green, an outdoor gathering space and concert venue
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thing we’ve ever done.”
Like the real estate, building supply and hospitality arms of the business, Russell Marine has experienced exponential growth, consisting of four marinas on Lake Martin – and one on Smith Lake at Hanceville, Alabama – and Russell Marine Boating and Outdoors which opened two years ago in Alexander City on HighwayU.S. Route 280.
“After it moved out of Alexander City, Ben brought in a lot of management experience from the former Russell Corporation,” Holliday said. “We knew each other’s strengths and weaknesses, and we didn’t have to earn stripes with each other. There was no dancing around any learning period. That’s short-lived though. Some picked up where we left off, but with others, we were up to speed in a year and a half anyway. I think it’s more about the working environment here. It’s a good, solid organization. The heart is good. Ben is out to help the community, and he’s instilled that in all of us.”
The Russell family has a long history of helping the community. In 1989, Ben Russell and his wife, Luanne, donated 50 acres of land, including 1 mile of Lake Martin shoreline, for the Children’s Harbor campus, a ministry dedicated to serving children with chronic illnesses. In 2012, Ben and Luanne Russell pledged $25 million to build a new children’s hospital in Birmingham. In honor of this lead gift, the hospital was named after Ben’s grandfather, the Benjamin Russell Hospital for Children. The Russell name is on numerous buildings throughout Alexander City, including the high school, the library and the hospital. Russell Medical Center recently announced a large expansion, which will includes the Center for Advanced Care, an assisted living complex, and 26 independent-
living cottages, all funded by a $25 million gift from Ben and Luanne Russell. Through his own private foundation, the Adelia Russell Charitable Foundation, Ben has contributed approximately $4 million over the last 10 years to many local charities including the Alexander City Board of Education, the Adelia Russell Library, United Way, Main Street Alexander City, the Gateway Foundation, and Children’s Harbor. Russell Lands hosts the annual Mr. Ben’s grandson, Ben Russell, Russell Forest serves as chairman Run, which has of Russell Lands today raised more than $100,000 for the Alexander City Schools Education Foundation. Russell Marine hosts an annual poker run on the lake that supports the local Lions Club projects, raising more than $250,000 to date. Lake Martin Area United Way is another beneficiary of the Russell family. These are only a few of the many community projects the Russell name continues to support. Investing in the community was a winning strategy for Mr. Ben 120 years ago, and it continues to be a priority for Ben and his family today, Lamberth said. “We continue to feel that Lake Marin is a bargain when compared to other lakes around the country,” Lamberth noted. “When you compare the size of the lake, the amount of undeveloped property, and the depth and clarity of the water, it’s second to none. When you add high-quality amenities to an outstanding resource that is Lake Martin, it is a lifestyle that is very special. The future of Lake Martin is very bright, which means the futures of the communities around the lake are also very bright.”
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Historical records kept by the late Tom Saunders and other former Russell Corporation employees were consulted in the writing of this article.
HARBOR POINTE MARINA
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