In the greatest battle that ever took place between the Virginians and the Indians, Matthews commanded a company, and bore a very conspicuous part. The battle took place at the junction of the Ohio River with the Kanawha, on what was called Point Pleasant. The fight began at sunrise, and was kept up all day, with no great success on either side. The Indians held their ground, and refused to give way before the most stubborn attacks of the Virginians. Near sundown, Matthews, with two other captains, made a strategic movement. The three companies were withdrawn from the battle. Out of sight of the enemy, they got into the bed of a creek. Hidden by the banks of the stream, they marched to the rear of the Indians, and from this point made an attack. The movement had been so cleverly carried out, that the savages were taken completely by surprise, and driven across the Ohio. Early in the Revolutionary War, General Washington, who knew well the value of the training Matthews had received on the frontier, ordered him and the regiment which he commanded to join the main army. He took part in the battle of the Brandywine; and at the battle of Germantown he led his regiment against the British opposing him, drove them back, and pushed on to the center of the town, where he captured a regiment of the enemy. Shortly after this, while engaged in a skirmish, his courage led him too close to the British. He was knocked down, severely wounded by a bayonet thrust, and taken prisoner. He was sent to the British prison ship in New York Harbor. He was there treated with so much cruelty that he appealed to his government for relief. In response to that appeal, Thomas Jefferson, who was then governor of Virginia, wrote him a personal letter, in which he said, "We know that the ardent spirit and hatred of tyranny which brought you into your present situation will enable you to bear up against it with the firmness which has distinguished you as a soldier, and look forward with pleasure to the day when events shall take place against which the wounded spirit of your enemies will find no comfort, even from reflections on the most refined of the cruelties with which they have glutted themselves."