Callao (pronounced Cal-ya-o) is the principal port of Peru. It is always full of steamers and masts and has a general aspect of business. More than a thousand vessels touch here every twelve months. Its history has been exciting and there are many monuments to its heroes. Some warships are generally floating in the harbour. Lima is distant but seven miles from Callao, and it is a ride of only twenty minutes by an excellent electric road of American construction throughout. To the hum of the trolley one is hurried past irrigated fields, beautiful gardens and villas, and Inca ruins many centuries old. As the boats remain at Callao for a day the traveller is able to spend a few hours in the “City of the Kings,” as Pizarro christened it. Lima is a wonderfully interesting city, and its history is full of romance. It preserves in wood and stone the spirit of old Spain as it was transplanted into the New World. Carved balconies, which were patterned after their native Andalusia, still overhang the narrow streets of the Peruvian capital. Up-to-date electric cars whirl past old monastery walls where life has scarcely changed in three centuries. The Limaños are an easy-going, pleasure-loving people, among whom the strenuous life has few disciples. It has been the scene of many revolutions, and the marks of street fighting are numerous. Churches and ecclesiastical institutions abound on every hand, and ecclesiastics are numerous on the streets. The cathedral, in which the sacristan will show the alleged bones of Francisco Pizarro, is a fine specimen of architecture—one of the best in the world. On another corner of the plaza is the passageway from which the conspirators emerged on their way to assassinate the conqueror. The building which was the headquarters of the Inquisition in South America occupies still another site on the plaza. [Illustration: A MILK BOY IN PERU.] Pisco is the next port of importance, and it is situated near a rich and fertile irrigated valley where sugar-cane grows abundantly. It is the port also for the interior towns of Ayacucho and Huancavelica, where numerous rich mines are found. Just a few miles out at sea are the Chincha Islands, from which Peru obtained such a large revenue for the guano found there. These deposits, once considered inexhaustible, because in places they were eighty feet or more in depth, have been almost exhausted. The great wealth received from them and nitrate has been dissipated.