Southeast Alaska, the Panhandle: tourism drops, but optimism remains.

• Author: Barbour, Tracy
• Position: REGIONAL REVIEW

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Alaska's Southeast region, often referred to as the Alaska Panhandle, is a mountainous stretch of land between British Columbia and the Pacific Ocean. The region is a large watershed interlaced with many islands that represent the tops of submerged mountains, some of which extend up to 5,000 feet above sea level. Most of Southeast Alaska is in the Tongass National Forest and it includes the following islands: Chicagof, Admiralty, Barnof, Kuprenof, Revillagigedo and Prince of Wales.

Southeast Alaska, which is about the size of Maine, is the northern end of the Inside Passage, a natural waterway that begins in Puget Sound in Washington state. In years past, these deep waters served as an essential passageway for canoes and gold-rush steam ships. Today, the Inside Passage is an important corridor for ferries and cruise ships packed with adventure-seeking tourists.

People travel from around the world to see the region's abundance of fjords, glaciers, wildlife and totem poles. Popular attractions include the sweeping Saint Elias Mountains, massive Malaspina Glacier and breathtaking Glacier Bay National Park. Admiralty Island National Monument and Misty Fjords National Monument are also tourist favorites.

SOUTHEAST HOME TO 70,000

The Southeast region is the traditional homeland of the Tlingit and Haida Native groups, as well as a modern settlement of Tsimshian. Now, almost 70,000 people reside in the region, according to the Alaska Department of Labor and Workforce Development, Research and Analysis Section. About 44 percent of the region's residents live in Juneau, the state's capital. With about 31,000 residents, Juneau is the third-largest city in Alaska and represents a favorite destination for tourists.

Other prominent Southeast cities are Sitka, the state's former capital and home to 9,000; and Ketchikan which has about 7,300 residents. The region also encompasses the towns of Wrangell, Petersburg, Haines, Skagway and Yakutat, as well as many small villages like Pelican, Port Alexander and Hyder.

MULTIPLE INDUSTRIES FUEL ECONOMY

The Southeast economy is driven by a variety of industries. Trade, transportation and utilities represented the region's main industry in 2008, employing 22 percent of the area's workers, according to the Alaska Department of Labor and Workforce Development. Other top-employing industries were local and state government, education and health services, and leisure and hospitality. Interestingly, more of the region's workers were employed as retail salespersons than any other occupation in 2008.

Unemployment rates vary dramatically around the region. For the month of May, the rates ranged from 5.8 for...