“The Federal Reserve Bank has added money into the system to promote stability,” expressed Ms. Julie Stackhouse, Senior Vice President, Federal Reserve Bank of St. Louis. “However, what happens next is uncertain. A shocking number of subprime mortgages will affect the outcome. Adding to the unknown will be consumer spending. The old saying that ‘nothing happens until someone buys something’ definitely applies to the retail industry.” Ms. Stackhouse expressed a positive view of our regional banks: “Our regional banking industry is strong and well capitalized. Credit will be there for people who deserve credit. And federal money will be available to viable banks but not failing ones. However, this support will be only temporary.” As he concluded the forum, Dean Akande stated, “The current financial crisis is the result of a perfect storm: loose monetary policy, years of negative interest rates in a growing economy, social engineering creating policy, lack of market oversight, emergence of a shadow banking system, and poor governance and fraud.” The forum was attended by members of the business community, alumni, students, faculty and staff.
Boeing Adapts to Changing Economic Conditions Despite the current economic crisis, Boeing and the Saint Louis Brewery, Inc. continue to hold their leadership positions. Being well capitalized, recognizing and being able to adapt to market-driven changes, and strong management leadership have kept these companies pointed in a positive direction. Boeing has made the world smaller with its innovations. These include supplying our government, allies and private industry with critical products and systems. While Boeing is a huge company, it exists in a very competitive business.
“Competition is a powerful force that drives our innovations to be successful,” emphasized Mr. Jim Albaugh, President and CEO of Boeing Integrated Defense Systems. “When it comes to our military, we want to make sure they are never in a ‘fair fight’. This can only be accomplished with the world’s most superior weapons systems.” “A market-driven solution always trumps a political-driven solution. We strive to have the best answers and the best price for those answers,” states Mr. Albaugh. “Whether it’s military or private industry, change is always coming. You have to go with it. And the best changes are driven by the best technology.” When asked about the impact on Boeing of the upcoming election, Mr. Albaugh responded, “Regardless of which political party wins the election, when the threat briefing is laid on his or her desk, the response will be the same. However, the priorities might change.” In 1991 The Saint Louis Brewery started in a three-story building with no roof. They are now supplying beer to customers in six regional states. Why does a 40-year-old lawyer decide to start a brewery? “If being an entrepreneur is in your DNA, don’t stifle it,” declared president and co-founder Mr. Tom Schlafly. Tom Schlafly President The Saint Louis Brewery, Inc.
With a wry smile Mr. Schlafly mused,“We were small enough to grow with the trial and error method. Fortunately, right from the start, we had more trial than error. Craft beers were just getting popular in the Midwest, which proves timing is everything.” Mr. Schlafly has recently written a book about his company titled, “A New Religion in Mecca.” It’s about how a startup brewery succeeded in the shadow of Anheuser-Busch. To view Maritz Speaker Series videos, visit:
Jim Albaugh President and CEO Boeing Integrated Defense Systems
www.webster.edu/sbt/notebene2009
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