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When the Russians came, both Yup'ik and Alutiiq people were living at Ugashik village. In the early 1800's, Yupiit had migrated from lands in western Alaska to the eastern shore of Bristol Bay. Some of them settled at Ugashik, others at Paugvik (Naknek). Like people in other villages, Ugashik men and women worked in the fur trade. Men hunted the valuable sea otter for the Russians and Americans who then traded these furs to China. Women prepared food and clothing for the hunters and their families. However, trade in furs declined by the late 1890's, largely due to over-hunting. At this point, the salmon salteries and canneries located along the Ugashik River provided families with more cash than the fur trade.
The story of Ugashik ends with the flu epidemic of 1919 when most villagers died. The people who survived moved to Bear River, Meshik, or Unangashak where they had the chance to begin new lives in new communities.