reatment of the difficult Chinese problems Japan has acted in
harmonious concert with the other powers, and her generous cooperation
materially aided in the joint relief of the beleaguered legations in
Peking and in bringing about an understanding preliminary to a
settlement of the issues between the powers and China. Japan's
declarations in favor of the integrity of the Chinese Empire and the
conservation of open world trade therewith have been frank and positive.
As a factor for promoting the general interests of peace, order, and
fair commerce in the Far East the influence of Japan can hardly be
overestimated.

The valuable aid and kindly courtesies extended by the Japanese
Government and naval officers to the battle ship _Oregon_ are
gratefully appreciated.

Complaint was made last summer of the discriminatory enforcement
of a bubonic quarantine against Japanese on the Pacific coast and of
interference with their travel in California and Colorado under the
health laws of those States. The latter restrictions have been adjudged
by a Federal court to be unconstitutional. No recurrence of either cause
of complaint is apprehended.

No noteworthy incident has occurred in our relations with our important
southern neighbor. Commercial intercourse with Mexico continues to
thrive, and the two Governments neglect no opportunity to foster their
mutual interests in all practicable ways.

Pursuant to the declaration of the Supreme Court that the awards of
the late Joint Commission in the La Abra and Weil claims were obtained
through fraud, the sum awarded in the first case, $403,030.08, has been
returned to Mexico, and the amount of the Weil award will be returned in
like manner.

A Convention indefinitely extending the time for the labors of the
United States and Mexican International (Water) Boundary Commission has
been signed.

It is with satisfaction that I am able to announce the formal
notification at The Hague, on September 4, of the deposit of
ratifications of the Convention for the Pacific Settlement of
International Disputes by sixteen powers, namely, the United States,
Austria, Belgium, Denmark, England, France, Germany, Italy, Persia,
Portugal, Roumania, Russia, Siam, Spain, Sweden and Norway, and the
Netherlands. Japan also has since ratified the Convention.

The Administrative Council of the Permanent Court of Arbitration has
been organized and has adopted rules of order and a constitution for the
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