"Mr. Macdonald came last night, and I was delighted to see him a new and healthy man. I had an interesting conversation with him, but fully expecting he would stay till to-morrow reserved several things for to- day. It was not till breakfast was over that I knew he was returning in five minutes. As, however, his return to Canada is postponed for a week, I shall see him in London. "I am, yours very sincerely, "NEWCASTLE." "CLUMBER, "26 _Jan_. "Your letter received just as I am starting for London. I remain there, and can see Mr. Cameron in town any day. I was in London last week, and saw Mr. Macdonald. Mr. Cameron was Mr. Malcolm Cameron, a man whose worth was undoubted. "Yours, &c., "N." "DOWNING STREET, "20 _Feby_. 1863. "MY DEAR MR. WATKIN, "It has not been till to-day that I could have given you any answer respecting the proposed subsidy to the N. W. Transit. "I think a short verbal communication would be more satisfactory than explanation by letter. "Can you call here to-morrow about 2.30, or, if more convenient, at Thomas' Hotel--between 11 and 1. "Yours very sincerely, "NEWCASTLE." "DOWNING STREET, "27 _March_, 1863. "MY DEAR SIR, "I do not on the first blush of your proposal see any great difficulty in agreeing to it,--_if_ indeed the Imperial Government is in absolute possession of the tract of country you speak of. "I have requested Sir F. Rogers to look into this and see you if you like to call upon him when you come to town. "I leave London to-morrow morning for, I hope, a fortnight. "I am, yours sincerely, "NEWCASTLE." This letter of the 27th March, 1863, was in reply to a letter from me:-- "ROSE HILL, NORTHEN, "_March 27th_, 1863. "MY LORD DUKE,