Don Pedro Montt, elected President of Chile in June, 1906, was installed in office on the 10th of September following—the anniversary of Chilean independence. United States Minister Hicks, reporting the ceremony to his Government, added the following remarks on the political situation: "The new President takes office while enjoying great personal popularity. He is the son of Don Manuel Montt, who was President of Chile from 1851 to 1862. His reputation is that of a calm, well-balanced man, of unimpeachable integrity, strong and self-reliant, but conciliatory and far-seeing. He begins his career with many difficulties on his hands. One question left over from the last administration—that of the rectorship of the university—is already causing considerable trouble. Under the law the President appoints the rector from three persons named by the doctors of the university itself. Señor Letelier has been so named, but as he is said to be a liberal and even a freethinker, the church party and the conservatives generally are fighting him. The new President selected a cabinet last week entirely different from the one now in office, but owing to the rectorship question and some other things it failed and a new one had to be appointed hurriedly. "Among other difficulties to be met by the new President is the opposition of the Senate. It is understood that there is a majority in that body against him, and it is liable to operate unfavorably to him. Still his friends have full confidence that he will succeed in quieting opposition and will retain the unlimited confidence of the people. "Under the Chilean constitution much of the power delegated to the President under the American Constitution is retained by Congress. That body really dictates to the President the appointment or removal of his cabinet and thus his functions are quite different from those of the President of the United States." CHILE: A. D. 1906. Destructive earthquake. See (in this Volume) EARTHQUAKES: CHILE. CHILE: A. D. 1907. Diplomatic relations with Peru reestablished. Diplomatic relations with Peru were reestablished in 1907; but the old sore question between the two countries, concerning the interpretation of the peace treaty of Ancón (1884), relative to the provinces of Tacna and Arica, which Chile took from Peru in the preceding war, remains open. See (in Volume VI.) CHILE. CHILE: A. D. 1909. Contract given for the Arica-La Paz Railway. See (in this Volume) RAILWAYS: CHILE-BOLIVIA. CHILE: A. D. 1909. Arbitration of the Alsop Claim of the United States.