o Spain, the sugar and
tobacco being taken as security for the return of their money. These
people must first be reckoned with before any agreement to free Cuba can
be made, but it is hinted by people close to the Government that the
Queen and Senor Sagasta are considering a plan whereby they can allow
Cuba to purchase her freedom without making bad friends with the
financiers, or offending the pride of Spain.

It would seem that Senor Sagasta's policy is to put an end to foreign
wars, and gather the strength of the Spanish army around the throne of
Spain, so that it shall be well protected against the Carlist attack
that will undoubtedly be made ere long.

A report has been received that the Spanish general in the Philippine
Islands is treating with the insurgents for peace.

This report is published in one of the reliable Spanish papers, and it
states that General Primo de Rivera has been discussing terms of peace
with Emilio Aguinaldo, the insurgent leader.

The rebels have been so successful that they are not willing to make
peace unless they get very good terms, and so they ask that all who have
taken part in the revolt shall be given a free pardon, that three
million pesetas (a peseta is worth about twenty cents) shall be paid to
the insurgent chiefs, that the Philippine Islands shall be represented
in the Spanish Cortes, and that half the government offices in the
islands shall be held by natives. The insurgents also demand that the
power of the priests shall be lessened, as the rebellion was really
caused by the disagreements between the friars and the people.

* * * * *

An amusing filibustering incident has occurred during the week.

The Spaniards obtained information that the Cubans were fitting out a
large expedition with arms and men for the insurgents. They had engaged
a ship called the _Premier_ for this purpose, and were making their
preparations with all possible haste and secrecy.

The Spaniards gave information to our Government, and requested that the
expedition be stopped.

But the Cubans have as many spies around as the Spaniards, and it was
soon learned that the _Premier_ expedition was known to the authorities.
Without appearing to change their plans about the _Premier_, the Cubans
made a secret arrangement with another ship called the _Silver Heels_,
and prepared her to take their cargo instead of the _Premier_.

The watchful Spaniards soon found out abo