JIM BABBITT INTERVIEW [BEGIN SIDE 1] This is Brad Cole from Northern Arizona University. It's July 21, [1999]. We're visiting today with Jim Babbitt, and we're going to talk to him about his experiences with Indian Trading. This interview is part of the United Indian Traders Association Oral History Project. Cole: Jim if we could just start at the very beginning, where and when were you born? Babbitt: I was born right here in Flagstaff, 1948, and grew up here, went through the school system here, all the way through high school, and then left here to go to college. My mother had a strict rule that we all had to leave not only the town, but also the state, to go away and get our college education. Cole: Where did you go? Babbitt: Well, I started out at Notre Dame, back in Indiana, kind of following a string of brothers who went there--found it not very much to my liking, though, so ended up, after a couple of years, transferring to Stanford in California, and graduating out there. Steiger: Why did she have that rule? Babbitt: Well, she was a big-city person, she had come back here sort of unwillingly in the 1940s, when Flagstaff was a very small town. They'd moved from Los Angeles. And she had little confidence, I think, in the educational system--and also wanted her kids to get out and see a bigger world and not be so insulated and isolated. Cole: And who were your parents? Babbitt: Paul and Frances Babbitt. Paul was the son of C. J. Babbitt, who was one of the original brothers who came here to Flagstaff, so I am one of his grandsons. Cole: How did you become involved with trading? Babbitt: Well, I'd been, in the late 1970s, working in Northern California for Bank of America. In 1979 my wife and son and I moved back here to Flagstaff, and I went to work with the family company, and worked for a few years in what you would call today the human resource area of the company. So I immediately was involved from that aspect with our family's trading post businesses on the Navajo and Hopi Reservations. So I was involved with it really right away, and then later on moved over to supervise those trading post operations. Cole: Maybe we could get a little bit of a background on the Babbitts in the trading business. When did they become first involved in Indian trading? Babbitt: Well, it really goes back a long way. It was something that when they first came to Flagstaff in 1886, they were really interested in being cattle ranchers. That was the thing that was really foremost in their minds. Along the way, after they had been in the cattle ranching business, they also got into the mercantile business, and the lumber and hardware business--parts of which they had done back in their home town of Cincinnati, Ohio. Never had a mind about, or any idea that Indian trading would be something that they would do. They came to Flagstaff in 1886, and I suppose that early on, they probably around town and so forth experienced a few Navajo people in town, or Hopi people, or whatever. They had never gone up into the Indian country in those early years. And certainly never had any goal towards getting involved in that business. It just happened in a very serendipitous way. As part of their mercantile business, they conducted both wholesale and retail operations. And for a lot of those small, kind of independent, entrepreneurial traders who were establishing themselves up in the Indian country, after the railroad came to Flagstaff, they had, for the first time, really, a source of supply for manufactured goods, for canned food and hardware and tools and kerosene lamps and so on and so forth. So Flagstaff was the nearest source of supply for at least a lot of the small traders on what we know today as the western Navajo Reservation. And in 1891, one of those people was a German Jewish merchant, Sam Dittenhoffer [phonetic spelling]. He had established himself at a little trading post-- outpost if you will--at Tonalea, Arizona--Red Lake, about twenty-five miles up past Tuba City. In those days, a completely remote and isolated little place. And his source of resupply, after he conducted his trading business up there for a series of maybe weeks or months, and had taken in trade all these Indian- manufactured goods: rugs, and baskets, and pottery, and silver and so forth. He would load those on a freight wagon and come to Flagstaff to our wholesale operation, and he would exchange all of those Indian goods for a new supply of groceries and saddles and wool shears and wool dye--all the things that we supplied. So in April of 1891, he had been in Flagstaff doing that business, and after he was done with the business part of his visit, went out and had a little round in the local saloons, and made the acquaintance of a young lady. The two of 'em kind of hit it off pretty well. She accompanied him back up to the trading post there at Red Lake a day or two later. They had been up there not more than another day or two when another suitor of hers arrived on the scene, got in a fight with Mr. Dittenhoffer, and killed him out in front of the trading post, took his girlfriend or whatever, back to Flagstaff, and so that kind of left a little problem for my grandfather and his brothers. They extended a lot of this wholesale business to these small traders on credit, and so now they have this little isolated trading post up at Red Lake with an inventory that they had extended on credit, and literally now, no one minding the store. So my grandfather went up there, never having been anywhere up in that Navajo country, went up there, found this little Red Lake outpost, went in, kind of got behind the counter. He knew no Navajo language or anything, didn't know the trading business as such, but started doing it, and started communicating as best he could with the local Navajo people. After doing that for a few days, he found that he really liked that sort of Red Rock country up there, that Navajo country; liked the local people, became kind of interested in their language and so forth. But I think most of all, he really enjoyed this, what in those days was a real barter-trade kind of economy there. There was no cash up there, certainly no way for the--you know, the Navajos didn't have payrolls or jobs or any way to get their hands on cash. So it was truly a barter economy. I think my grandfather kind of liked that. You know, "I'll trade you three sacks of groceries and a kerosene lamp for your little rug, and maybe a silver belt," or what have you. A far cry from business today, you know. Accountants would be driven crazy by trying to account for those types of transactions. But he liked it, got into it, and the family basically has been in it ever since that day. Cole: Now, your grandfather, was that C. J.? Babbitt: C. J., uh-huh. Cole: Do you remember him at all? Babbitt: I do. He died in 1957. I think I was about nine years old, or so, when he died. And what I remember of him, he did have two things that, in business particularly, that he really loved. He was instrumental in the family's cattle ranching operations, and he really loved the cattle ranches. And on Sunday mornings, after we went to mass, he would always take us in his old car and we would drive out to one of the ranches and spend Sunday afternoon lookin' around at the cattle. He also loved his cattle. But I think a close second in his business career were the trading posts. He really loved the trading posts. And starting out from that one little trading post there at Red Lake, over the years he expanded into a very wide network of small trading posts, and a wholesale operation to supply not only our own trading posts, but a lot of the other trading posts on the western Navajo Reservation, as well as the Hopi Reservation, and for a time we even had a trading post down on the Apache Reservation at Cibecue. So he got pretty widely diversified there. Cole: Do you know, were there any differences in how trading occurred with the different tribes? Or was it all pretty similar? Babbitt: You know, I think it was pretty similar. There certainly were differences in types of goods that were offered one to the other, with respect to the Navajos, of course. The things related to sheep and wool and rug weaving were always big parts of those stores--wool shears, dye for the wool, and all the kind of things that related to weaving. Down at Apache, of course, you know, it wasn't that way. But most of the stores' inventories, I would say, were pretty much the same. They were little general stores. They carried groceries and canned goods and pots and pans, a little bit of hardware, saddles and tack, horseshoes--just all the kind of things that the people in those areas needed. Cole: Would your grandfather ever take you guys out to the trading posts at all? Babbitt: Yeah. He was quite elderly when I was young. He was already in his mid or late eighties. And the occasion to really go out and visit some of the trading posts was generally in connection with a summertime visit to the Hopi mesas to go to one of the ceremonial dances. Then along the way, stop at, for example, at the Tuba Trading Post, or up there at Red Lake, or what have you. Cole: How were the stores staffed? Did they set traders up in business, or did they actually own the trading posts? Babbitt: Well, I think they did it in a number of different ways. Probably the most prevalent way was that it would be a little partnership, and our family would really provide the financial resources for generally half, or maybe a little more than half, of the ownership of the trading post. And then there would be a partner who would be the manager--the resident trader, if you will. And so we were partners with a whole bunch of people around the reservation who functioned as the resident trader. We in town then did all the accounting work and all the financing, as well as the wholesale supplying of the goods to the trading post. That's the way it generally worked. Sometimes we owned a trading post outright, and would then just hire a trader on salary to go out there and work. It could be different combinations. Cole: In the case where they owned a string of trading posts or partnerships, it seemed like they might have produced a lot of arts and crafts kind of things to sell. Would Babbitts bring those into Flagstaff and wholesale 'em out of Flagstaff? Or how did.... Babbitt: Well, that is a very interesting question, because you hit the nail on the head. With several trading posts doing this barter business in Indian arts and crafts, obviously you're going to amass a big store of this stuff. And somehow you need to in turn sell that, or market that somehow. So in the early days when there were just two or three trading posts, in our store here, downtown in Flagstaff, we always had some section either in that store building, or somewhere else in the downtown, that was our own retail--we called 'em curio stores--that sold Indian rugs and silver and pottery and that sort of thing. But after the trading post network began to expand, there was even more than could be retailed through a location in Flagstaff. So right around the turn of the century, our in-laws--my grandfather and two of his brothers--had married into this Cincinnati family, the Verkamp family. My grandmother had a brother, John Verkamp, who after my grandparents had been here in Flagstaff for, oh, I suppose maybe ten or eleven years, her brother came to visit in the summers a couple of times from Cincinnati, and found that he really liked Flagstaff, and in particular he liked the Grand Canyon. And I guess even in the late 1890s, there were quite a number of tourists visiting in the summertime up at Grand Canyon. So my grandfather thought this would be a good way to market some of these Indian arts and crafts. So he got his brother-in- law, John Verkamp, in the summertime, to take these rugs and silverware and pottery and baskets, with him up to the South Rim of the canyon. They set up a little tent there, and John Verkamp sold for the Babbitt Brothers Trading Company, these Indian arts and crafts, for a couple of summers. I think it worked out only fairly well, and so after a couple of summers, Verkamp quit that for a while, but then he came back a couple of years later, I think about 1904 or so, and established himself permanently there on the South Rim. He actually settled there, built a building, and was in, and has been, in the Indian arts and crafts business there ever since. So that was one little experiment that resulted in doing business on the South Rim of the Grand Canyon. But nonetheless, they still were looking for ways to market more widely at retail, this stuff. So they did establish another store over in Southern California, in Montebello, California, which they operated for some years. And for a while they had people in Phoenix, selling out of a little storefront there. So they were always trying different ways. They tried also mail order, as many of the Indian traders in the Southwest [did] at one time or another--made little catalogs and tried to sell mail order. I think you have in the collection here, one or two of our company's mail order catalogs. So there was a whole variety of things that they were trying to do. Cole: And then what about your father? Was he involved in trading posts at all? Babbitt: No. No, he really wasn't. He, in fact, grew up here in Flagstaff and then went away to college and to law school, and started practicing law in Los Angeles, and met and married my mother over there in California. They had actually settled in Los Angeles, were raising their family, and he had an established legal practice there. And then in 1944, back here in Flagstaff, his younger brother, Jim Babbitt, who had been the company's attorney and legal person and so forth, was killed in a hunting incident down on the Mogollon Rim, in the late fall of 1944. So my father, being an attorney, was asked by the family to come back, after Uncle Jim's sudden death, and take over the legal aspects of the business. So he did. He came back in 1945, and brought the family over here. He really functioned as the company's attorney then from 1945 to about 1978 or so. So he concentrated on the legal work. There were a couple of times when legal issues came up, of course, that involved the trading post stores or relationships with the tribes, and he would get involved in that way, but never directly actually in the day-to-day running of any of the trading posts. Cole: What kind of issues would come up that he'd help? Babbitt: Well, leases that would need to be negotiated with the Navajo or Hopi Tribe. Oh, bonding kinds of requirements that the Bureau of Indian Affairs would require. Some of the land that we owned within the reservation, we owned in fee simple, so these were isolated little islands within Indian reservations. And they had a whole kind of set of legal ramifications in themselves that he had to deal with--rights of way, and property and sales tax issues, and all those kinds of things. Cole: Once you became involved with the trading posts yourself, describe what the setup was like then, maybe how many stores you owned, if you remember. Babbitt: Yeah, okay. Well, it was certainly a far cry from maybe in the 1930s or 1940s when Babbitt Brothers Trading Company owned, in one part or another maybe, more than twenty trading posts, scattered around the reservation. By the time I became involved, in the early 1980s, the trading post business had evolved a great deal, and was actually really on the way out. Our stores had reduced from probably more than twenty down to--I think we had four at the time on Navajo and one at Hopi. Those were Navajo ones: Tuba City, Red Lake, Cow Springs, and Cedar Ridge. And then the Hopi one at New Oraibi, or Kykotsmovi. So by the time I became involved in it, it was really a declining kind of business. And I think the explanation to that is a complicated one, as to why the businesses were sort of on the way out by then. But certainly part of it had to do with after the Second World War, the Navajos had more wage employment, they had more money, they became more mobile. At the same time, the Bureau of Indian Affairs throughout the reservation was improving the transportation network. They were paving and building lots of new roads and bridges, and as the Navajos--and the Hopis, too--began to acquire pickup trucks and cars and so forth, they became mobile, really for the first time. They could really move around. At the same time, through maybe the fifties and sixties, all around the reservation, American free enterprise was hard at work, and big stores were being built: Safeway Stores, and Yellow Front Stores, and eventually the K-Marts and the Wal-Marts. So once all of that happened, and the Navajos and Hopis, all the Native American people, had a choice, and maybe an opportunity to do a little price comparison--of course they're no different than anybody else. They could travel and shop and compare and buy where they wanted to. And these little general stores scattered throughout the reservation could in no way compete on price or selection with larger retailers. And so starting, I would say, in a large way in the 1970s, the old-time trading posts started to close up, and it became really a dying way of life. So by the time I became involved in our trading operations, it was already becoming a dying part of our family's business. And from the time I started in the business, we had five trading posts. Today, 1999, we are down to only two--Tuba City and Red Lake. We closed down Cedar Ridge Trading Post, we closed down Cow Springs Trading Post, and we sold the little store at Kykotsmovi to the village there, to the village people, and they continued to operate it. But even with our two remaining stores, I would say we won't be in that business a lot longer. And those few so-called trading posts that do survive, I think were able to survive only because they were able to develop a new market, and that, of course, is the tourist market. So the surviving so-called trading posts today have some things in common. They're generally on a main highway, they generally have a motel and a restaurant along with them. And their business nowadays is overwhelmingly Indian arts and crafts and tourist-related items. You would be very hard pressed any more to see a Navajo or a Hopi family going to a trading post to do their main shopping. It just doesn't happen anymore. At the K-Mart or Wal-Mart in Flagstaff, you will see more Native Americans than you will see in the few surviving little trading post stores on the reservation. And I would say I remember going to negotiate leases in Window Rock with the Navajo Tribe's Department of Commerce, and they used to have a big map on the wall of the whole reservation, and they would put a little blue pin in the map for every location where they had a trading post lease in force. And even in the middle 1970s or late 1970s, those little blue pins covered the map. I mean, they were dense all over the reservation. But through the seventies and eighties, I would say literally hundreds of little trading stores closed and went out of business. The pins were removed. If you look at that map today, it is a far different kind of thing than it was twenty or thirty years ago. And its a sad thing to see, certainly. Trading as it once existed had its ups and downs, and it had its good aspects and it's not so good aspects, but it was sort of a unique feature of life in the Southwest, where different cultures came together to do commerce, and two cultures kind of interfaced for well over a century. And I think now that's all going into the pages of history. Cole: What are some of the good aspects that you can think of? Babbitt: Well, I mean, at its most basic level, particularly in the early days, I think the traders were actually providing a service, and that was access to goods, to manufactured goods that made life easier. I mean, it was a tough and primitive life in the late 1800s in Northern Arizona--very tough. And I think having manufactured goods--horseshoes, kerosene-- brought the first, probably, nighttime light to the interiors of Navajo hogans and so forth. I mean, these are very simple things, but back in those days, I think they were very important things. Ropes, for example, manufactured ropes, to rope livestock with. We think nothing of it today, but I think back in the 1880s that was a major convenience to have. Manufactured shears to shear the wool off the sheep. Dye that was aniline dye that was commercially manufactured back in Pennsylvania, which we packaged and sold and supplied to lots and lots of trading posts. [That] ended, in a way, or at least for a lot of the weavers, the backbreaking and time-consuming work of gathering all of these plants and making these vegetable dyes. Of course, that was revived later on and thought to be a really good thing, and an artistic thing--which it was-- but at the time, I think things like that were great conveniences. So I think at the very basic level, there was a service being provided. That service sort of evolved into all kinds of other forms of services. The trading posts became, for example, post offices. So the Navajos then could have access to the postal system. The story I'm sure you have heard from others about the Navajos not liking sickness or death, and having to deal with the burial of dead relatives and so forth. Something in their culture that is a very scary kind of thing, and they would rather not deal with it. A lot of the traders in the early days took over that function. I think through the trading posts, also, medical service probably first came to the reservations, along with the Indian Health Service. Education, certainly. I think a lot of the early-day traders, before the Native American kids were in U.S. Indian Service schools, could learn at least the rudiments of English and the rudiments of doing business and currency system and so forth. So I think there's a whole variety of good things that came from our culture to their culture through this sort of commercial intermediary, the trader. Cole: And then what about the flip side? You mentioned there were some bad aspects. Babbitt: Inevitably, you know, people have weakness, and people will take advantage of other people. I have heard countless stories through the years of how people in the position of the Native American people being vulnerable and subservient to a dominant population, are easily taken advantage of. And I think a lot of that happened through the years. People just taking advantage of people who didn't know better--whether it was through charging too much, or you know, all kinds of different ways of taking advantage of the Native Americans, and I'm sure that happened a lot. Cole: And what about, you mentioned culturally that probably some things from the white culture went into the native culture. What about the other way? Babbitt: Well, yeah, I think a lot of wonderful things came the other way--primarily in the area of the arts and crafts that people admired so much then, and we still do admire--just the wonderful craftsmanship and creativeness and the design and so forth. But I think beyond that, there always was a real fascination with the Native American cultures, with the language and with ceremonial stuff, and with whatever you'd call it, religion or mythology. I think through the years there has been a great interest in all of that. Cole: Would Babbitts have many Navajo or Hopi that would actually come into Flagstaff and trade? Or was that mainly on the reservation? Babbitt: You mean come into the store here in Flagstaff? Cole: Yeah. Babbitt: Well, of course the great magnet, at least starting in the 1920s, was the annual powwow in the summertime, where Navajos, Hopis, Apaches, lots of different tribes, would come in for that celebration on the Fourth of July here in Flagstaff. We have lots of old pictures of the store with Native American customers here in the store in Flagstaff. I think that was probably the big time, but you have to remember, until the Native Americans became mobile--and I think that didn't happen 'til after the Second World War--it was a big endeavor to travel from, say, Red Lake to Flagstaff by horse or by wagon. That was a big deal to do. Now, it's a couple of hours in the pickup truck. But up until the 1950s, they just were not nearly so mobile, and so they were kind of tied to the one or two trading posts that were nearby to them. Cole: What about some of your memories of the early powwows when you were a kid? Babbitt: Well, I guess also it kind of had its good aspect and its bad aspect. I certainly remember driving up on Highway 89, a day or two before the powwow, up towards Cameron, and of course in those days it was just a two-lane highway, and seeing this almost unbroken stream of the old green wagons--by then with rubber tires instead of wood-spoked wheels--but just this unbroken stream of horse-drawn green wagons coming down that highway to Flagstaff. Of course for Flagstaff, the great encampment [was in] what we called City Park--today it's Thorpe Park. But they would just have this huge encampment in the forest up behind City Park. It got to be overwhelming for the city--just lack of basic kind of sanitation and so forth eventually forced the powwow to have to shut down. But it was a wonderful event. Every day around the Fourth of July there would be a big parade all through the downtown that would go on for hours, with again, wagons and horse-mounted Navajos and so forth, and tribal bands from Gallup and Window Rock and all over the place. Then in the evenings, in the old arena there at Thorpe Park, they would have the ceremonial dances and light big bonfires and have all kinds of dances--Apache dances, and Navajo dances--just a lot of different tribes. Even tribes from Mexico and Central and South America would come. It was really a wonderful event. Cole: How would you describe Navajo-Anglo trade relationships to somebody that's not familiar with it? Babbitt: In what respect? Cole: Well, maybe looking at how, do the different cultures view economics the same or differently? Babbitt: Well, I guess our experience really was mainly with the Navajo, and then to some degree with the Hopi and the Apache. So I couldn't really speak much for the Hopi or the Apache. The Navajo, at least in the old days--and this certainly predates my time-- always, I think, at least in some of our trading posts, the feeling was that they always enjoyed this game of kind of trading and bartering, and trying to get the better of each other. They always enjoyed that, much like my grandfather on the other side kind of enjoyed that. And I will tell you something--and I don't mean this in any way to be derogatory or anything--if you look at the very old-time trading posts, almost inevitably there is a high counter that runs around the inside of the trading post, and that separates the customer from the goods. So when they want something, they have to ask for it, and the merchandise has to be passed individually across the counter. Even before, in the earlier times, from the top of the counter to the ceiling often would be chicken wire strung up, with just a little opening through which to pass the goods back and forth. I think early-day traders would tell you that at least the old-time Navajos would almost make a game of maybe trying to get away with a few things here and there, and that it was not looked down upon within their culture, at all, so long as you weren't caught, it wasn't such a terribly bad thing to make off with a few things here and there. So I think that is one kind of unique aspect of at least the Navajo trading, and the way they viewed this interchange. I guess I could comment less about the Hopi and the Apache part of it. I just don't know that much about it. Cole: What about once you'd become involved in the early eighties? Were the economic systems similar then, or were they still.... Babbitt: Well, of course it was a barter economy, as I had alluded to previously, for a long time out there, because there was no cash economy out on the reservation. There were no payrolls or ways for Navajos or Hopis to get their hands on cash, and I think that didn't come about, maybe, until the time of the New Deal programs that were creating job programs out there, public works projects that hired Navajo and Hopi workers. First time they ever really got their hands on cash money. By the time I came along in the early 1980s, it was pretty much entirely a cash-based economy. There was no more so-called trading or bartering, really, going on anymore. There were various kinds of credit systems in place, but they were all based on a cash economy. Now, if you go back to--well, I suppose the turn of the century--when it was a barter-type economy, I think a lot of the traders out there were never all that comfortable with a barter economy. After all, we love to reduce things to numbers that we can put in the ledger book, and at the end of the day say, "Well, I'm ahead or I'm behind by this amount." And, of course, with the barter system, that's awfully hard to do. So the traders came up with this system of trading tokens-- seco they used to call it, dry money. And what that was, each trading post would have issued a series of--I think they were almost invariably metal tokens, stamped with the name of the trading post, and a monetary value. And then they would give these out in exchange for things. And at a later date, the Navajos or Hopis or whoever, could then turn 'em back in to that trading post, and they would have a value on the face of them. The U.S. Indian Service, which from the very beginning, has regulated trade with the Native America peoples, never liked them. They didn't like it because it tended to tie a customer to only one store. The token was only good at the store that issued it, and so the federal government saw that as kind of a bad thing, as a restraint of trade, or a limitation of the Indian's choice. So they did outlaw the use of those tokens, but that was one attempt to kind of create a cash economy where no cash economy existed. But after the Second World War, I would say everything was based on cash, and has been ever since. Cole: Has the Navajo-Hopi land dispute impacted the Babbitts' business on the reservation? Babbitt: Oh, that's a good question, and yes it certainly has--at least in one aspect. You're probably familiar with the Bennett Freeze, which was an order that prevented--in part of the disputed territory-- prevented any kind of maintenance or improvement of buildings. And I would say with our little trading post up at Cedar Ridge, north on Highway 89 up towards Lee's Ferry, we probably would have stayed with that business longer, had we been able to make improvements or even, for that matter, build a new trading post. But for years the Bennett Freeze would not allow for new construction, or even substantial renovation. So the poor little trading post, which wasn't much to begin with, and had actually seen a previous life in a different location--it was called the Echo Cliffs Trading Post, and was down actually in Hamblin Wash at the base of the Echo Cliffs. And when Highway 89 was rerouted and paved, the practical thing to do, instead of abandoning that building and building a new one, was just to take it off the foundation and move it up the hill and make a new foundation for it--which they did. It became known then as the Cedar Ridge Trading Post. But anyway, the land dispute, I think did impact the business, at least in that way. Steiger: Bennett Freeze? I'm not quite sure.... Babbitt: It was a piece of legislation named after-- I don't know if he was a senator, I believe he was Senator Bennett. Cole: Probably Paul Bennett's father, maybe? Babbitt: Yeah. Cole: Senator from Utah. Babbitt: Yeah. Which said, in very general terms-- and I don't know the specifics of this at all--but while this dispute is pending resolution, neither tribe can go into the disputed area and make a whole lot of improvements that might result in, say, an increased value having to be paid for all that land, when the thing was finally settled. So they called it a freeze on construction and renovation. And it was after the senator who sponsored that particular piece of legislation. Cole: Who were some of the traders that you might have interacted with, that are kind of memorable in your mind? Babbitt: Oh, you know, John Kennedy, in my time, anyhow, probably stands out. Although by that time he was not actually kind of running a trading post. He was more in the wholesale jewelry and rug business. So he would always come through selling rugs and jewelry, and he was always an interesting and kind of imposing sort of figure. Because of our location there at Red Lake, we interacted a good deal with a couple of the traders further north toward Navajo Mountain--Al Townsend, at Inscription House; and Dick Johnson up at Navajo Mountain. We were good friends with them for a long time. And in fact, Little Navajo Mountain Trading Post, one of my favorite places, run by Dick Johnson, the road up there is a long, long road, which now is paved for the most part, but back then was just a dirt road. The grocery companies refused at one point to send their trucks up on this long, bumpy dirt road to Navajo Mountain. So poor Dick Johnson could no longer buy groceries, 'cause they wouldn't deliver to him. And he tried going and hauling groceries himself with his own truck for a while. That didn't work out. So for a while we were having our grocery supplier deliver his groceries to our trading post there at Red Lake, and then he would come down with his truck and take it the remaining way. But that was just one of the final blows to Indian trade--this wholesale grocery supply just became an impossible situation. The little stores just couldn't buy, except at very exorbitant prices, and their remote locations, the wholesale grocery supply didn't want to deliver there. So that was just one more kind of nail in the coffin of Indian trading. But other traders who we knew well, we certainly knew Joe Atkinson [phonetic spelling] and his family at Cameron, and Bill Beaver [phonetic spelling] down at Sacred Mountain. We knew the Blair family--in particular, Hank Blair up at Lukachukai-- Bruce Burnham, who I know you've talked to. And Bill Malone out at the Hubbell Trading Post. One family that was very important for us--they worked for us for a long time--was the Norris family: Don Norris up at Cedar Ridge and his brother, Jerry Norris, who ran Red Lake for us for a long time, and then who I brought over to Tuba City to run the Tuba City Trading Post. Very important group of people that were around the reservation for a long time. Just any number of families. The Powell family was another important family that worked for us for a long time. Bruce Powell, who ran our little store at Kykotsmovi, New Oraibi during most of his tenure there. And his brother, Max Powell, who worked for us up at Cedar Ridge. Great bunch of people. So we knew lots and lots of people through the years, who were involved in the business. Their names don't all spring into my mind right now, but there were certainly lots of wonderful people out there. Cole: Thinking about all those different people, are there any characteristics that come to mind of why these people are traders and maybe others aren't? Is there any common thread there? Babbitt: Well, I think no question beyond just bein' ornery people. They have to be real independent and real.... They have to like a life of kind of isolation, and a life dealing in a culture that is different from their own. And even in the 1960s and 1970s, it was no mean feat to find qualified people to live out in those very remote locations, to do that business. I had mentioned Jerry Norris, though, who traded for us at Red Lake for many years. His brother Don had been trading up at Cedar Ridge. Jerry was a construction worker over in California, and he came out to Arizona on a vacation with his wife and two infant daughters one time, and visited his brother Don there at Cedar Ridge, and stayed around the trading post for a few days, and decided he kind of liked what he saw there: the wide open spaces, the relative freedom to kind of run the business the way you best saw fit, and to have this clientele of a real different and interesting culture that spoke an almost unfathomable kind of language--at least to our ear. So Jerry decided--he went back there to California, and he was pretty disenchanted with life in Southern California at the time. This was in the early sixties: crime was getting bad, pollution, traffic congestion, on and on and on. So about a week after he'd gotten home, he called up and said, "You know, if you ever have an opening there in any of the trading posts, I'd sure like to come." So the opening came up at Red Lake and we called him back and said, "Well, if you're really serious, we got a job for you, come on!" So he moved lock, stock, and barrel with his wife and two infant daughters to Red Lake Trading Post. The apartment for the trader was on the second floor of this old ramshackle building. It was about two big rooms up there, and he moved his whole family in there and stayed there for many years. I will never forget people coming through Red Lake, hearing his story, and saying, "Gee, you know, we can't imagine ever doing that! Why would you ever leave Southern California?!" And invariably he would say, "Nope, I made the right choice. My kids would have been goin' to a crime-infested school, and we'd have been spending hours in traffic, commuting. Out here, it's a wonderful life, these are wonderful people that we're living among, and we're workin' hard but we just love it." His two daughters went to the school system there in Tuba City and are very successful people today, well- educated women. And so that's just one little story of somebody who came from a way different kind of place and fit into that trading routine and really liked it a lot. Cole: Have you had much involvement in dealing with arts and crafts people yourself? Babbitt: Oh, yes. You know, during the years I worked up in the Tuba Trading Post, I bought all the arts and crafts for that trading post. And we have manufactured through the years, or had manufactured for us, silver goods and so forth. Had silversmiths working for us for years and years and years--both in the retail store downtown, and then in the trading posts. I employed as recently as probably the early 1990s, a silversmith that we would buy all of his output. He was a particularly skilled silversmith. So yeah, I've had lots of involvement with it through the years. Another angle on that, although it isn't really Native American arts and crafts: In the very early days, going way back, the Navajo people learned weaving probably from the Pueblo people, over on the Rio Grande. They had never woven before they met up with the Pueblo people. Well, being so adaptable and doing things so well, as they do, they picked up this weaving art and turned it into something uniquely their own, and wonderful. But in the early days, anyway--and by "the early days," I'm meaning the early or mid-1800s maybe--they were weaving for a utilitarian purpose. That is, they were weaving wearing garments. And they did that for a long time, and very well. But at some point or another, they figured out that they could sell those wearing garments to Anglo people for a big price, and then they could go out and buy a machine-made woolen wearing garment, in the early days made by the Pendleton Woolen Mills, or there were two or three other woolen mills that were producing these Indian trade blankets. Very serviceable, very durable, and very cheap. So weaving became something other than what it started out as--that is, a utilitarian kind of wearing garment. I will never forget hearing from some of the real old-time Navajo people about that, and about their complete inability to grasp what happened when they would sell these wearing garments to the Anglo people. They said the Anglo people would take them and do a thing that they never could understand. They said they would throw them on the floor and walk all over them! And I think they had a big joke about that for a long time. Of course they became rugs, and we all know what happened. But anyway, going back to the Pendleton business, that was part of our wholesale supply to the trading posts, because the Indians bought those and still do, as both wearing and burial garments. And so in 1989, at the 100th anniversary of our company, we were up on our buying trip to the mill in Portland, the Pendleton Mill. We'd go up there once a year to do our annual buying. And we had mentioned in conversation with them at the time that it was our 100th anniversary. So they asked us if they couldn't produce a special Pendleton blanket commemorating that 100 years. So we worked together on a design, actually a storm pattern design, of a prevalent type of Navajo weaving that came out of the Red Lake area, and they produced for us a storm pattern interpretation in that Pendleton blanket, that turned out to be a great success, both with the Navajo people and with sort of the collectors' market. So there were a lot of aspects to the arts and crafts part of the business. For years we would go to California to the arts and crafts shows, and transport to those shows rugs and silverware and stuff from the reservation, and sell it in California and up in Denver. There's a whole circuit of those kind of shows--Santa Fe and so forth. So yeah, I had a lot of involvement with arts and crafts. Cole: Do you have any favorite weavers that you've dealt with yourself? Babbitt: Oh, gosh, probably too many to name. And the thing that I really focused on, that storm pattern that I alluded to, was a pattern that was woven very commonly around Red Lake, and probably actually started there in that area, with weavers there. And there is an old story that, as you have heard probably from many of the traders, that in some way or another they interacted with the weavers and suggested or promoted a given type of rug or a pattern or a given way of weaving. I think Bruce Burnham is doing that with the Burntwater rugs, and also more recently with the revival of the Germantown rugs. I think Cozy McFarrin [phonetic spelling] up at Chinle in the twenties and thirties was instrumental in kind of getting some of these Wide Ruins and vegetable dye rugs going. Anyway, there's an old story at Red Lake that that storm pattern really was initiated by one of our traders there who said he needed a new device, kind of, to sell these rugs to the tourists. And so there had to be a story behind the rug, because the tourists would always fall for it, if there was some story connected with the rug. And so it is said that that trader had created, by the weavers, a rug called the storm pattern, which depicted some of the major elements of the Navajo creation story. And so that is the story. The truth of that I'm not sure. I do know that through that Red Lake Trading Post we probably traded and sold thousands and thousands and thousands of those storm pattern rugs. The original form, the old form of which, remained the same for a very long time, and which was used by our company as kind of a logo. It was on all the stationery and the shopping bags and the little gift boxes for jewelry and so forth. So it was very popular. So that was my favorite kind of design. I like the old storm pattern design. By the time I came to work at Tuba City, that pattern had evolved a great deal. It had become much more complicated and elaborated, and not the old simple design. And so I wanted to get the weavers to go back and revive the old pattern. Well, the old pattern, with its symbolism of the Navajo creation story included on two sides of the rug, swastika patterns. And so I would get the weavers there in Tuba City--and this is in the 1980s--and I would say, "You know, I'd like you to weave this special kind of rug for me, this old-time rug," and [they'd] say, "Well, yes, that's fine. Show me a picture of it." And so I would show them a picture of that old rug with two swastikas, and it would make 'em very nervous, very upset, and they would say, "Well, we will weave that," and then they would come and put their thumb over the swastikas-- weave it all except for that, 'cause they associated it, of course, with the Nazi swastika. And of course many Navajos went off to Europe in the Second World War and never came back, and so patriotism and what have you, they didn't like that symbol. But if you would talk to them about the place of that symbol within their own kind of cosmology, and explain to them that that was a symbol in not only their culture, but many native cultures, long before the Germans ever picked it up, they finally kind of warmed up to the idea, and started weaving once again these old pattern storm pattern rugs. And so I guess while I don't have so much of a favorite weaver, I certainly have a favorite design, and that's my favorite of all the Navajo designs. [END TAPE 1, SIDE A; BEGIN SIDE B] Cole: This is Brad Cole from Northern Arizona University. It's July 21, 1999, this is Tape 2 of an interview with Jim Babbitt. Jim, you had mentioned a couple of times that you worked or ran the Tuba City Trading Post. Tell us a little bit about when that was and what you did there. Babbitt: Well, as I mentioned before, I got involved sort of peripherally in the trading post business of the family, starting about 1980 through the human resource angle. And then I would think it was about 1984 or so [I] was kind of transferred and placed as the supervisor of those trading post operations. And so those were my direct responsibility, those five trading stores out there. Tuba City itself was at the time the biggest and the most important of those five operations. We had a motel there and a restaurant, as well as eighty acres of fee land within the reservation. And on that fee land we had a mobile home park and several commercial leases to other businesses. So that was kind of the hub of activity, as well as being probably the most centrally located of all the trading posts. So from there, I could go and visit the other ones quite easily. So for a number of years I worked up there at Tuba, both in the trading post and then kind of overseeing, after I brought Jerry Norris over there to manage it, I kind of oversaw that trading post and the other four from there, and then from back in the office at Flagstaff. It was a great experience for me. A lot of people, goin' up to Tuba City would kind of pass on through town. It isn't, I guess I would say, a real impressive sort of looking town. Not much up there, kind of a dusty, windy old landscape. It's kind of hard to appreciate, 'til you spend some time there, get to know a little of the history, and get to know the people a little bit. And it is truly a real unique and wonderful place, Tuba City. And the more time I spent up there, the more I kind of dug into the history of the area. It has a very rich and kind of wonderful history. And I just often wish that people traveling through there for the first time could appreciate that a little bit, because as I say, at first glance it's a hard place to kind of like, I think. But a great place for me. And our old trading store there was another thing that really I spent a lot of time on, and I really came to appreciate. The old building, when I first arrived on the scene up there about 1980 or so, it was an old run-down, kind of ramshackle stone building, that had been modified greatly through the years, to a point where you could hardly tell what it was. So I began--I like old buildings, and I've always liked to restore old buildings. So I started looking into the history and digging up old photographs and trying to see what the place was when my grandfather and his partner, Sam Preston, built that place back along about 1902. And I actually found some original photographs. What it was was a great big eight-sided building that faced to the east, to the rising sun. And of course that would mark it as a hogan structure, the structure of the Navajo people. And it is. It's built out of locally-quarried limestone. It was built by a stonemason from Flagstaff, Mr. Diedtzman [phonetic spelling], who built a lot of buildings around here, around the turn of the century. [He] went up there and built that for my grandfather, this great octagonal hogan. But as I say, through the years, it suffered a lot of insults and was modified drastically. So starting about 1984 or 1985, we did a big restoration project to restore and reopen the east entryway, and take out a lot of the modifications that had been made over the years, to restore it more or less to what it had originally been. It was a great project, I enjoyed it greatly. It was kind of interesting to see that all happen, and I remember one incident one day. The store had been modified so the east entryway--the Navajos building their hogans faced them to the rising sun--as that trading post had originally been built. But somewhere along the way, that entryway got closed off, and a new entryway and porch put on the south side of the building. And so we were inside working. We had kind of more or less gutted the interior of the store, and it was closed down for several months. And I'll never forget one day the old screen door kind of creaked open, and this ancient Navajo lady came into the store, as it was all being torn apart, and she kind of looked around and her comment to me was, "You make like the old way." And of course I didn't have many photographs of the interior, so I didn't have much to go on. So my ears perked up right away, and I said, "Yeah, we're puttin' it back like the old way. Do you remember it in the old form?" "Yeah, yeah, pretty much." So we had many meetings after that, and she described to me in great detail how it was on the inside of that store, so we were able, kind of using this oral history, to go back and reconstruct a lot of the interior of that building, absent any old photographs and stuff. So it was just kind of a wonderful experience to have her recall all of that. Steiger: What was her name? Babbitt: Lew, I don't recall right now. I probably have it somewhere. Steiger: Did you actually make a recording of the conversations? Or it was just she would sit in there and talk to you? Babbitt: She'd just come by and we'd drink coffee, and I'd ask her questions: kind of like you're prompting me, I would prompt her. She had a remarkable memory for things, just remarkable. Steiger: I wonder why that original design was cooked up, or why your grandfather did that. Babbitt: Oh, I think it was easy. You know, Frank McNitt, who wrote probably the best book about the history of Indian trading, remarked upon that Tuba Trading Post in the book there, and he said, "You know, it is certainly one of the most substantially-built and largest of all the trading posts throughout the Southwest," which is true. If you look around, most of 'em are kind of dry-laid or it's mud and stone. The old ones were pretty small and pretty insubstantial-- but that was a big one. So Frank McNitt in his book said, "Well, it's this big, imposing, eight-sided building. Kind of looks like a fortress. Undoubtedly the architecture derives from the octagonal school found in the Hudson River Valley in New York." And I read that, and I just couldn't believe it, because it is so obvious. My grandfather and his partner Preston were just building in the local architectural vernacular of what the local people built--eight sides, like a big hogan. But during the restoration, another interesting thing happened. As we reconstructed and reopened the east-facing entryway, on either side of the double doors there, painted on the walls, were a couple of Hopi wicker plaque designs that the Hopi women make. And one design was a black hawk, and the other was a butterfly, on either side of the door. And through the years they had become very faded, and the paint was chipped and so forth. So during the restoration, my inclination was to just clean 'em off, get 'em off there, get it back to its sort of pristine condition. But then before I did that, I thought, "Well, maybe I should find out about these first." So we have a Hopi lady who's worked for us for many, many years there, and of course the Hopi village nearby, Moenkopi, is part of our customer base up there. I mean, the Hopis also used that store. So I got the Hopi lady, Loy Coin [phonetic spelling], who had been a clerk in the store for a long time. I brought her out to the front porch and I said, "Loy, we're gonna erase those Hopi patterns from the front of the trading post. But before we do, I wanted to ask you do they have any meaning to you or anything?" And she looked at me like, "Golly, this guy doesn't know anything!" And she just looked at me--not in a condescending way, but in a way to say, "You certainly should know better about this." She said, "I'll tell you this: No self-respecting Hopi would ever approach a giant Navajo dwelling unless they had a sign or a symbol or something that they were welcome to come there. Those were put there for the benefit of the Hopi people, to make them know that it was okay for them to come there." So after that story, what could I do? So the symbols stayed there by the front door, and in fact we freshened 'em up and kind of repainted them and so forth. You know, I think generally she's probably right. I'll bet there are--at least among the old-time Hopis down there at Moenkopi--a certain sense of foreboding, coming around those big Navajo structures. Cole: Did you employ a lot of Navajos and Hopis in your trading posts? Babbitt: Oh, exclusively. That's the only labor pool to draw from up there. So that's the entire labor force. Even in later years, certainly seeing the handwriting on the wall with what was happening with the trading post business, it became harder and harder and harder to get Anglo people to even fill the trader's position. So we started employing Navajos and Hopis as traders. And I'm not sure that that really happened hardly anywhere else on the reservation. I think the first one--he's still with us and still trading--a Navajo guy, Leo Lee. And I thought it would be a good thing to start working the local people into these stores, and Leo started for us as a young man as the, well, first assistant, but then the trader at Cedar Ridge. And then he moved over to Red Lake and has been there ever since. Very accomplished and very capable--I would say "young" man, although that's probably not true anymore. And it reminds me of a couple of stories, and I'll just talk here until you stop me. Leo comes from an old-time Navajo family, really out behind Red Lake. And during the years that I supervised the trading posts, every springtime we liked to get everybody together and go on a trip somewhere and do something for a day or two. Maybe it was just a picnic or whatever. So one time I was asking Leo, "You know, where would you like to go for the annual outing?" And he said, "Well, let me think about it, and I'll come back to you." And so he came back a few days later and he said, "You know, my grandmother is really old now, and she has never been very far away from Red Lake. She always sees on TV, trains. And she's fascinated by trains. She would really love to ride a train. She has never been on a train in her whole life." So we took that summer and took all the employees and went up to Durango, including Granny Lee, and got on the little stream train there, and it was absolutely a riot! sitting there on the little steam train, goin' up to Silverton with old, old, Mrs. Lee sitting there in her velveteen skirt, and her eyes were as big as saucers! the whole time. But anyway, just a little side story about Leo Lee. Over at Hopi, a very different proposition over there because, really, the Hopis wanted Hopis to work there. And we had working in one of the other stores, a young man, Tommy Canyon. And Tommy was half Navajo and half Hopi. His mother was Hopi. And he had been raised as a Hopi and spoke Hopi, so I thought he would be perfect over there, and so I put him in as the trader there at Kykotsmovi, and he did real well over there, in spite of being never 100 percent accepted by the Hopis, because he was not fully Hopi. But he functioned and still runs the store for the village over there at Kykotsmovi. Very capable, very good young man. And again I say, I don't think, at least in the seventies or eighties, there really were any other trading posts that were really employing Native Americans in the trader kind of supervisor role. But it worked very well for us. Cole: Did Babbitts have any kind of employee benefits, like insurance or profit sharing or anything like that? Babbitt: You bet, all of the above. Yup. And those, of course, extended to all the employees in the trading posts also. Cole: Okay, I'd like to ask you a couple of questions about the United Indian Traders Association. Were you a member, or Babbitts? Babbitt: Well, Babbitts was. I never participated in that. And really, during the years that I was involved with our family's trading posts, it was pretty much inactive, during the late seventies and through the eighties. I don't even know if they ever had a board meeting. I guess they did once in a while, but really, it was very active in the sixties, and then got extremely activated by the Federal Trade Commission inquiries into credit practices on the reservation. And at the time, a relative of mine, Ralph Bilby, was involved in supervising the trading posts, and he was involved in the United Indian Traders quite heavily at the time. But after that, my brother Paul supervised our trading posts for some years. He was, I think, a director of the United Indian Traders, attended maybe a few meetings over in Gallup and Farmington, but really wasn't that active. And then by my time, it was completely inactive, and I think disbanded. I'm not sure when they really sort of kind of went into retirement, but my sense is it was probably either in the late 1980s or early 1990s. Cole: Do you know if Babbitts were members of the UITA when it--I think it started in 1934? Babbitt: Yeah, I'm sure we were, although the organization I think was very heavily slanted toward the New Mexico traders, the eastern end of the reservation, and they really were the ones who started it and always had kind of a dominating influence on the board. Cole: I was kind of curious--Bill Richardson told us that I think maybe his dad was over in the Tuba area. Babbitt: Yeah, that's probably right. Cole: And I don't know if you've ever heard of this, but in the 19-teens there was actually some kind of a Western Traders Association. Have you ever heard anything about that? Babbitt: No, never have. Cole: He has a photograph from about 1918 with about six or seven traders, I think, at the Tuba City Trading Post, and said there was some kind of a.... Babbitt: Trade group or whatever. Cole: Trading group on the western side. That's the only time I'd heard of that. Babbitt: No, I'm not aware of that at all. Cole: How do you think the Babbitt Brothers Company was perceived by other traders around the reservation? Babbitt: Oh, you know, I think in different ways by different people, because it had such a large role in both having a lot of stores out there, and also in being a wholesale supplier. I'm sure a lot of people took a pretty dim view of it, and probably said, "They charge too much," and on and on. I don't know any of that, really, first-hand so much, but I just suspect that that was probably true--much in the way that today a lot of people would have bad feelings toward Wal-Mart or the big guy now, you know, whoever that might be. So I guess that's pretty much as far as I could comment on that. Cole: And then when you were in the trading posts, did you have any dealings with pawn at all? Babbitt: Yeah. I mean, we were still, at a couple of the trading posts, taking pawn. But by then it had become quite a bit of a bookkeeping chore to keep track of it, because there were new and probably much needed regulations regulating all of that--some of that growing out of the 1970s FTC proceedings and hearings on the reservation. But I always thought that it was kind of a unique part of the business. We have old photographs that show the pawn vaults, and if nothing else, to be able to show people that aspect of the old- time Indian trading I thought was a neat thing. We tried to bring it back at Tuba for a number of years, maybe in the late 1980s, but it just, in the end result, probably wasn't worth the time or the effort to do it anymore. And anymore, I don't really know of hardly anybody, outside of a few people in Gallup, that are doing it anymore. Even the local people here in Flagstaff who were doing it have now gone out of business. So I think it's an awfully tough thing economically, as well as the notion that you're taking people's goods and holding them, and if they're unclaimed, you're selling off people's heirlooms or treasures or whatever. It has kind of a negative cast to the whole thing. Cole: And then what do you know of the FTC hearings? Babbitt: Oh, I wasn't in Flagstaff for those years. I was away at school and then working. So I don't know much more than I've read in the books or in the newspapers about it. There clearly were big credit abuses going on--widespread across the reservation. And something clearly needed to be done, and I think that the hearings were very instrumental in bringing reform to a lot of that. I'm glad it happened, myself. I think it was a good thing. I think a lot of the traders really felt very differently about it, felt very threatened and felt very much under the microscope, if you will. But no question in my mind, both with the credit system, the pawn system, with this whole notion of having people's Social Security checks held at a trading post, and then signed over on the spot and taken as payment for accounts. I mean, all of that stuff was not good, and it's good that they put a stop to it, I think. Steiger: It's interesting that you say that, because we haven't been hearing that very often. We haven't heard very many people say that the regulations were good, and all that was good. And maybe just a little more--I mean, not naming any names--but if you could describe the nature of the abuses. Babbitt: Sure. Well, you know, I think number one, just tying a customer to an account at a given store and limiting their freedom to choose, the little trading posts, by the time this was going on, were charging already much higher prices than the Indians could get by going off the reservation, simply because they had to, to try to stay alive. They couldn't buy on the same basis as a Wal-Mart or a K-Mart, so they had to charge a lot higher prices to begin with. But then to say to a credit customer who had a credit account with you, "When your check comes in, because we're the post office, we're gonna hold that, and you have to pick it up in person," and then when they come to pick it up, you have a pen ready and you say, "Oh, by the way, you have a balance on your account of $300. This check is for $310. Sign it over to the trading post, and we'll give you $10 change," just seems like not a good way to conduct business. Steiger: So that was pretty common? Babbitt: Extremely common, extremely common. And then the interest rates that were charged on pawn accounts and so forth were probably legal, but they were very high. I mean, very high. And so there were a lot of those kinds of things that were going on, that I think in fairness to the Indians, needed to be changed. And I know that most of the traders really resented the FTC coming in. You got this whole overlay of beyond the hearings themselves, just this thing, the resentment of the big government and the lawyers coming in and all of that. So I would suspect that you would hear a bad story from most of the other traders. Steiger: I'd say the common story that we heard was, "Well, a lot of people like to pawn things because they wanted to put 'em someplace for safekeeping, and the trading post was a good place. It was like the bank, the safety deposit vault." And what we heard was that people would trade their treasures to keep their relatives from gettin' ahold of 'em. And that most of the traders would never have sold 'em, they would hold onto it forever anyway. And so the complaint was that with the regulations, it outlawed it, and then those people went off reservation, and then did lose all their old stuff. Wouldn't you say that (Cole: Yeah, pretty common.) was about a synopsis? At least the common trader point of view of what went on. So it's interesting to hear somebody say that. Cole: And a lot of times they'd refer to it as their "Visa card." Babbitt: Well, certainly there were very ethical people throughout the reservation who operated in a good way, and who didn't sell off, even though legally they could have sold off the old pawn and stuff. And certainly there probably were cases where they banked it for whatever reason, or put it there for safekeeping, I don't know. But it seems a little far fetched to say that the whole system was built on trying to keep their treasures and heirlooms away from their greedy relatives or whatever. (several chuckle) Steiger: It wasn't put exactly like that, but kind of! What we hear more is the philosophical issue--I mean, where it comes into the Navajo culture is more socialistic, where you're supposed to share all of your wealth with all your relatives. No so much greed, but just that we heard it explained to us that this was the way for people to kind of circumvent that in a tactful way. I don't know if that was true or not. Babbitt: Well, you have to also remember that the FTC hearings were initiated in large part by the Navajo Tribe itself, by the people themselves. And I don't think that would have happened unless there were widespread abuses going on. I just know there were abuses going on. Cole: Jim, what are some of your favorite memories associated with the trading business? Babbitt: Oh, you know, just maybe some of the anecdotes, some of which I've related to you, dealing with the people themselves--both the people who worked with us as traders, and the local people, Native American people. Just wonderful stories. I remember one time in the mid-1980s. I related to you that I am a big fan of old historic buildings. On my way out to Oraibi, I used to cross the bridge there at Leupp and I used to look off toward the bridge there, and see that wonderful big red sandstone building just kind of melting away into the desert. I used to entertain fantasies of re-doing that, because that used to be one of our trading posts, the Sunrise Trading Post. And it operated probably up until about 1985 or so, and then it was kind of abandoned and left there. So I approached the Navajo Tribe and the chapter there at Leupp on several occasions, to see if I couldn't get a lease renewed there, and at one point they were actually going to do it, and we were going to rehab the building. And to prevent further vandalism and stuff, we sent a crew of cowboys from the ranch there, and put a fence around it to prevent people from carrying off more stuff while we negotiated. Well, in the end result, it didn't turn out, didn't happen. But in the course of that, I remember one thing about going to a chapter meeting. There was very hot debate among the local Navajos as to whether they ought to lease it out again and have it restored. And if they wanted to do that, was Babbitts the right people to do the lease with? And the debate was hot and heavy, some pro and some con, and carryin' on. This old Navajo lady at one point raised her hand and kind of walked up to the front of the room and she said, "Well, in [my] opinion, Babbitts were okay, we could do the lease with 'em." And I felt very good about that. And then somebody said, "Well, what makes you say that they're okay? I mean, after all...." And she said, "Well, back in the forties, terrible snowstorm out at Leupp. Everybody was stranded, the livestock was all stranded." It was before the days when the National Guard flew hay in to the animals and stuff. And she said, "Old Babbitt"--meaning C. J. Babbitt--"sent some grocery trucks from the grocery store at Winslow, up there to Leupp in the midst of this big snowstorm and blizzard and stuff, for the local folks around the Sunrise Trading Post. So Babbitts, they're okay." And I think the lease eventually would have been approved, but we never really got it going. Whatever. But it's kind of those kind of stories that are so fun. I mentioned our trader Leo Lee also. We were trying to do a similar thing in the midst of the Bennett Freeze, up at Cedar Ridge, trying to get a lease renewal that would allow us to remodel or expand that store. And so the Cedar Ridge Chapter of Navajos had their meeting on Sundays, and so you'd have to go before the chapter. So I always wanted the trader there to go with me to the chapter meeting. So I would go up there on Sundays and sit through these long chapter meetings, and it never worked out, either, after many trips up there. But the first time I will never forget, going into this chapter meeting with Leo Lee, who was well-known in the community--he's the trader, after all, at the trading post. Two of us go in about noon on a Sunday to the chapter meeting. Dozens of local folks in the chapter house there, seated all around. And we walk into the meeting and walk up the front aisle there and take a seat near the front of the whole chapter. And I remember being very worried, because we walked in and walked up there and sat down. Leo Lee, the trader, apparently didn't know anybody in the whole chapter meeting. He didn't say hi to a soul! And I thought, "Gee, he's not gettin' around very much in the community." This is bad for us, because the trader there should be an integral part of the community. So after we'd been sitting there for three or four minutes, waiting for the chapter meeting to begin, but only after three or four minutes, he got up and went all around the chapter house, shaking hands and greeting people. And I thought that was the strangest thing. So after this long chapter meeting, I got him aside and I said, "Leo, what's the deal here? You acted like you didn't even know any of those people for the longest time." And he said, "Oh, no, Navajo culture, it is not polite, when you first encounter somebody, even if you know them very well, it's not polite to go running up and shake hands with 'em right away. You sit there for a while, and after you've been there and they know you're there and so forth, that's when you go and say hello to them." Unlike us, you know, who we see somebody and we run over to 'em and shake their hand, or slap 'em on the back. It's a very different and much more subtle thing. So learning those kinds of things about other cultures, for me, was also a very wonderful thing. Cole: Did you ever learn to speak Navajo? Babbitt: Only a little bit here and there. I believe most of the traders who have learned it fluently have probably been married to Navajos, or have spent a very long time in a trading post environment. Very difficult language, obviously. During my time, there was a wonderful guy here at NAU, who taught Navajo language, Ervie Goosen [phonetic spelling], and I remember taking it here, and going to the language lab. He would have these tapes and play it through the headphones in the language lab. And the exercise was that you were to mimic the sound of Navajo, repeat it back. He always gave me very high marks for being able to repeat what I had heard with a very good accent and very fluently. Of course I had not the foggiest idea of what I was saying! But I had a great accent and could repeat it back. And I never really got a very good handle on the Navajo language. Navajos like to name people who are familiar to them. I'll just tell you a couple of little name stories here. And they came up with a name for my grandfather, C. J. Babbitt, in the midst of his sort of great expansion in the trading post business. They called him Naalyéhé_ání, which means sort of roughly translated, "many trading posts." That's how they identified him, as Old Mr. Many Trading Posts. The other funny name story that I can recall was being out at Red Lake, and one day going into the old trading store there. There were four or five youngish, maybe in their twenties or thirties, Navajo ladies in there, and when I came into the store they were all just giggling and giggling over in the corner--laughing and kind of looking down at the ground. So Jerry Norris, who was the trader in there at the time, said, "Well, these ladies are very curious about you." And I said, "Oh, is that right? Why would that be?" And he said, "Well, let me introduce you to them." And so he got them and they came over very shyly and they were still all giggling and stuff. And he said, "Jim, I'd like you to meet your cousins, Eloise Babbitt, Elsie Babbitt, and Betty Babbitt." And I didn't know what to make of all this, 'cause they were all laughing, and he was laughing. He'd called them my cousins. Well, of course the background to the story is when back in the old days, say in the twenties or even before that, the U.S. Indian Service, or the BIA maybe by then, when they were putting all the Navajo children in school and teaching them English, they were requiring all the Navajos to take anglicized or English names. And who did they take their names from when they did that? Well, from whoever was around a lot, or who was familiar to them. So here at Red Lake my grandfather was around there all the time, so they took Babbitt, that became their name. So to this day there is a very great clan of Navajos around Red Lake, they're all named Babbitt. So when I go up there, I feel very much at home. Cole: What do you think the future of business with Native Americans will be? Babbitt: Well, it more and more will become their own future, their own business. They will become the entrepreneurs in whatever kinds of business might develop out there. It won't be owned by outsiders off the reservation anymore. And the types of business-- certainly the Indian trading business, the way it was as we have discussed, almost entirely a thing of the past. But I think you will see, eventually, more and more Navajo-owned enterprise out there, Navajo entrepreneurs, and more and more commerce out there. Now, as much as Indian trading is fading away, I would tell you something else. Maybe this is a little more controversial, but it's something that I really believe, at least with respect to the Navajo. I think they will undergo increasingly a lot of pressure to change their own lifestyles and stuff. And I do believe that their livestock-based economy, that is dependent on sheep and cattle and horses and stuff, will become a thing of the past. I likewise kind of see another trend out there. Because their life was based on sheep and the land out there was so poor, and they needed these large, large tracts of land to graze sheep, their lifestyle or their way of living, they lived in a very dispersed pattern, over large areas of land, separated from one another by a long ways--unlike the Hopis who are all in little pueblos or villages. I think that as that livestock-based lifestyle of the Navajo goes away, I think that settlement pattern will likewise go away, and with the Navajo you will see more and more congregation into town living. And I think the old Navajo way of life is not long at all for the future. And I think you see that change going on right now. Cole: What about the arts and crafts industry? Do you see that waning too? Babbitt: I do, yeah, I sure do, for a variety of reasons. In the jewelry business, of course, it's the knockoffs and the imitations and the stuff that is produced overseas. It's just killing the silversmithing and the jewelry business--other than at the real high end. There will be jewelers and silversmiths still producing good work at the real high end, the real expensive and kind of creative level. But as far as just kind of the mass production of silver jewelry and so forth, that's rapidly, if not already, kind of a thing of the past. Weaving? You know, there's maybe another generation or so in which Navajo women might be content to sit at home for days on end in the wintertime, weaving a rug, and then sell it for--you know what they sell it for. But those days are numbered, clearly, in my mind, as the Navajos kind of change their way of life, and as they become more dependent on wage labor, just like us. I think eventually you're going to see that fading out. And I'm sorry to say that, but that's just kind of what I see in the future. Cole: And one thing that popped to my mind: Has Babbitts, in recent times, had any difficulties obtaining leases for the five stores you have? Babbitt: No, I wouldn't say difficulty. I would say that there were protracted negotiations, and often we would operate a store without a lease. And if you just understand the way things go out there, time is different out there, in a way, than it is with us. And in our company, in the past twenty years or so, we have brought in outsiders to run the company, and it was probably the most frustrating part of running our entire enterprise, was in trying to run those reservation businesses, because people trained in our way of doing business--you know, it's aggressive, it's "gotta do it right now," and "no time to wait," and "you gotta be productive every minute of every day." And it used to drive people crazy to have an appointment on the reservation to talk about a lease and go out there and have nobody show up from the other end of things, or not show up for two or three hours after the appointed time. But they have a different perception of business and time, and we just have to kind of understand that. So I wouldn't say there were difficulties, per se, with the leases. They became more advantageous, as they should have been, to the tribes--that is, the lease fees got higher as the time went on. And the term of the lease got shorter, but you know, that's the way it should have been, I think. Cole: Is there anything else you'd like to add? Babbitt: Yeah, I want to tell you another story about bureaucracy and the sense of time and responsibility and stuff. We are great bureaucrats, but the Navajos learned bureaucracy very well from us. And I remember one time with the Bureau of Indian Affairs, attempting to negotiate a right-of-way for Tuba City on our private property. The road within our private property was a Bureau of Indian Affairs road, and we needed to make a curb cut for a new entryway into the trading post. So in Tuba City is the local Bureau of Indian Affairs Roads Office, staffed entirely by Navajos. And I went there to inquire of where did I get a permit to make a curb cut in the BIA's road. And they said, "Well, you have to go to the BIA Roads Office in Gallup." So I called up and made an appointment over there, and drove over there one day to make the application. So I went in the office and the person I had the appointment with, a Navajo man, of course wasn't there that day, he was out on travel. So I said to the secretary there, "It's a very simple matter, really. I'm just trying to get a right-of-way permit to make a curb cut in the road in Tuba City." And she said, "Well, wait a minute. Maybe there's somebody who can help you." She went in the back room, and out came the assistant roads director, also a Navajo, in the bureaucracy of the BIA there. And he said, "Well, I'm not sure about this. I don't know if I have authority to do this or not." And I said, "Well, I think you do. I think the authority is here, that's what they told me in Tuba City." So he hemmed and hawed over it for a while, and finally was reaching in his pocket to get his pen out to sign the permit, and I thought, "Hallelujah! after driving all the way over here and waiting for hours, and having this guy agonize about it." Well, then somebody else came in the office and they said to him, "I don't think I'd sign that if I were you. I'm not sure if the authority is with your position or not, to sign this permit." So I'm thinkin', "Oh, dear, this is terrible." So he ends up sending me back to Tuba City. He said, "We've had a big reorganization in the BIA, and authority for all right-of-way permits has gone back to Tuba City." So I go back to Tuba City. Anyway, to make a very long story short, eventually we got the right-of-way permit, but the Navajo people have learned the art of bureaucracy and bureaucratic stalling from us, and have expanded it and refined it to a high degree. Cole: Do you have any questions, Lew? Steiger: I've got a little one, and then one that's a little bit broader. The little one is just for me. I wanted to ask again about the swastika--what it meant to the Navajo before World War II and Hitler and all that--that symbol that shows up in the storm pattern. Babbitt: Well, I don't know if there's a definitive answer to that at all, but as it has been related to me through the years by both Anglos and by Navajos, that storm pattern rug, as I had alluded to earlier, had elements in it from the Navajo creation story, and so I went back and looked in the literature as best I could, and asked some of the older Navajos what that story entailed. And it is really remarkable, that story is not very far different from our own. That is, in the beginning with them there was a great flood, also. And they didn't build an ark, but they were scurrying around, looking for some way to survive the deluge, and they were in the vicinity somewhere of the Little Colorado and Big Colorado Rivers, and the water was rising and rising and rising. And so they found some big cottonwood logs and they lashed them together in the form of a cross--these great big logs--and they made a big raft out of it, and they got out into this deluge and survived the deluge by having this raft. But as they came into the big Colorado River somewhere, there was a big whirlpool. And as they went down, they got caught in this whirlpool, and the big cottonwood log raft started whirling and whirling and whirling, and that is the symbolism of the whirling logs. They eventually survived it. There's another little interesting kind of facet of that. Navajos never liked or would touch fish at all. And I never understood that, because you see sometimes, or in the store you'd try to bring in, I don't know, canned salmon or whatever. No way would the old-timers ever do that. And the reason being, according to the way it was related to me, during the deluge, the fish ate the Navajos that fell into the water, and so it was very bad taboo ever to eat fish for them. But that's the whirling log story--at least the version that I have always heard. Some of the other symbolism on that old-time storm pattern: there are four squares on the outside, those are the four mountains, the sacred mountains, that surround the reservation. And they're connected to the Place of Emergence of the Navajo people in the center of that rug, by lightning bolts. And then you have this whirling log from their creation story on either end of that. So I don't know, undoubtedly, like the trader wanted, [it] made a good story to tell to rug buyers, if nothing else. Steiger: That was a good one. And my big question is.... This is really big. It seemed like the Great Society was a watershed for--or I don't know if "watershed" [is the correct term]. It was a significant event for both the Navajos and for the traders, just in the form of the welfare that the tribe began to get. I wonder.... I don't know if you care to even get into this. I wonder if you'd care to comment on that, how that worked out for 'em, and if you have any thoughts on how it's working for them today--just the welfare system as you know it. Babbitt: Well, of course there were other forms going on before the Great Society, going all the way back (Steiger: To FDR.) to the New Deal. And that's when it really started with Social Security payments and death benefits and all of that. You know, even before then, they were wards of the government, in a way. You know, in a way, they don't even own their land. I mean, they talk about sovereignty and all of that, but here they live on trust land. The whole huge Navajo Reservation is held in trust by the federal government, after all. And I think that's been really a hard thing. But of course the great fear is that if they are left on their own, to their own devices, we will take such advantage of them that they just won't have a chance. So, I mean one thing the Great Society did spawn out there was the creation of legal services and the DNA and so forth. And of course that in turn started off the FTC inquiries, and a lot of other kind of legal stuff out there. I think generally that was all very positive. I think that was all good stuff. But the dependence on the federal government, I don't know how to really answer that. I mean, it has been necessary, up to a certain point, and up to a certain time. I would think at some point or another, that will have to change. I don't know when that happens or how that happens. But you look at why economic development can't happen out there, or has not happened, really: it is virtually impossible, if you can't own and sell real estate, to have any kind of tradition of economic development. Have you heard about the little experiment up at Kayenta? Steiger: No. Babbitt: Well, somehow or another up there, they have put that township of land there into some kind of different status, where they actually can do more than lease the property. They can sell it. Anyway, the tribe has agreed to a little experiment there. I think economic activity there is really booming. And I don't know the ins and outs of that, but I think eventually the federal government has got to kind of let loose, let it happen out there for the people themselves. Cole: Okay? Steiger: Yeah... (inaudible) Cole: Well, thank you, Jim. Babbitt: You bet. Steiger: That was great. Cole: That was a good interview. Babbitt: Good! Steiger: Outstanding. (aside about needing room tone for editing) Cole: You were telling us a little bit more about the Pendleton blankets. Babbitt: Yeah. It's been a long-standing relationship for us. I told you about going up to the mill and having this special 100th anniversary blanket made in 1989. Well, while we were at the mill, I like old history and so forth, so I asked them if they had any archives on site, and they said, "Well, sure, what do you want to know?" I said, "Well, how long, exactly, have we been distributing and selling your products?" So they said, "Well, I don't know, we'll go see." So they went in the basement and dug around a little bit and came back with an old salesman's book from when he used to make the rounds down in Arizona. And it was before the turn of the century, and here was all of our trading posts and our Flagstaff store in his little book, and how many blankets they bought, and so on and so forth. So it reminded me of a great little story of much more recent times. I mentioned to you that traditionally the Hopis and some of the Navajos will buy those Pendleton blankets as burial blankets. So up at the Tuba Trading Post, starting in the fifties, we had a trader there, Arlis Cornelison [phonetic spelling], and Arlis and his wife Winnie were the traders at Tuba all during the fifties and sixties and on into the seventies. Arlis' son, Lendell [phonetic spelling], who was born in Tuba City, remained there even after his parents retired and moved to Page, and Lendell was the postmaster there for many years. I think he's just probably recently retired, Lendell Cornelison. But anyway, after his parents retired, they moved up to Page and lived in retirement up there for quite a long time. Arlis, the father, passed away, I suppose it would be around 1990 or thereabouts, and so I went up to the funeral, which was held in a church up there in Page. And it was just quite an amazing site for several reasons. Arlis was laid in the entryway to this church for viewing, as people came into the church--they could, you know, view Arlis. And he was wrapped in a Pendleton blanket, much in the tradition of the Navajos. And so here he is, in the casket, wrapped in a Pendleton blanket. And it was very curious to watch, as people would come in and pass the casket and go into the church. The Anglo people would come into the church and pay their respects to Arlis and then go be seated in the church. I would watch the Navajo people come into the church, and because of their taboo with death and so forth, they wouldn't look at the coffin or Arlis or anything, and they would just edge their way around, as far as they could get, and still get into the church. So that was fine, that was kind of a nice way to give Arlis a send- off. But then after the funeral was said, his family had one of the old green Navajo wagons, and they put Arlis' casket in the back of the wagon, and went a mile or two through the middle of Page and out to the cemetery, and everybody walked along, following the old green wagon. Since Arlis had been a trader for so many years there in Tuba, he had so many Navajo friends that this procession of Navajos following the casket on the wagon must have been a couple miles long, of Navajo people. And I thought it was just such a poignant thing to see him. The Pendleton story reminded me of it. But I thought, "What a wonderful way to be sent off, with all of your friends following along." Those old green wagons: Through the years, they came through our wholesale supply house here in Flagstaff, and then out to the reservation. And through the years they would come in here on the railroad from two or three different makers in the Midwest: Moline Wagon Company, and John Deere Wagon company, and there were three or four others. But through the years we must have brought into Flagstaff and then taken to the reservation thousands of those old green wagons. And you know, it's like anything, what you're used to, you don't value very much. So after they quit making them, what did I want in the worst way, but one of those old green wagons! Of course now you can't hardly find one anymore. But [that's] pretty interesting. I did want to digress a moment and tell you another story. I've been talking before about federal regulation and the BIA and bureaucracy and all of that. We tend to think in a way that that federal presence and federal regulation is sort of a new thing, but in fact it really isn't. My grandfather, as I'd mentioned to you, started in the Indian trading business in Red Lake in 1891. He liked it, so he kind of expanded fairly rapidly, and with his partner, Sam Preston, got the old Tuba Trading Post right at the turn of the century, and then they built this new building about 1902. Well, along at the same time, they got a third trading post over at Willow Springs, which is up under the Echo Cliffs there, kind of beyond Moenave. And at Willow Springs there was a band of San Juan Southern Paiutes, so that was a Paiute trading post. So by 1901 or 1902, they had three trading posts. But even in those days, trade was regulated by the U.S. Indian Service. And whoever was sitting back at the traders' licensing desk in Washington saw the third trading application come through for Babbitts, and he said, "Nope, can't have this," because to him, back there, he thought they were trying to develop a monopoly. And he thought if they could get a monopoly on the Indian trade [END TAPE 1, SIDE B; BEGIN TAPE 2, SIDE A] they would raise prices and cheat the Indians and so forth. So they wrote a letter to my grandfather, and I still have a copy in the files, and it says, "We will not allow this monopolistic practice to go on. At the most, you may operate two trading posts, but a third one is out of the question. So you have to either divest yourself of it, or close it down." So they looked at their three trading posts and decided that Willow Springs was the most marginal, and they closed it down. And it is, to this day, a ruin in the desert out there below the Paiute settlement up in the Echo Cliffs. Of course after that, they did kind of think the better of that, and they started allowing more than one or two trading posts in common ownership. But there was a time when they just wouldn't hear of it, so we had to close down and let go. [END OF INTERVIEW]