There were steps made towards securing a coaling station or naval base even prior to our ownership of the Panama Canal Lands. In 1867 Admiral Porter and Mr. F. W. Seward, the assistant-secretary of state, were sent to Santo Domingo for the purpose of securing the lease of Samaná Bay as a naval station. Later President Grant sent Colonel Babcock to the island to report on the condition of affairs. Babcock, without diplomatic authority of any kind, negotiated a treaty for the annexation of the Dominican Republic and another for the lease of Samaná Bay. The Spanish American War was the occasion for the advance of the United States into the Caribbean. From this conflict we acquired Porto Rico and a protectorate over Cuba. Furthermore, too much importance can not be attached to the Hay-Pauncefote treaty of 1901 in studying this expansion of the United States in that sphere. By this convention Great Britain abjured her claim to an equal voice with the United States in the control of an Isthmian Canal and withdrew her squadrons from the Caribbean Sea, leaving us the naval supremacy in this important strategic area. Immediately following these occurrences came the episode of the Panama Canal. To review briefly a long told and well known story, the United States Government had not been successful in its attempt to secure from Columbia the treaty it sought for the building of the Isthmian Canal. In 1903 a revolution broke out in Panama, and Columbia failed to coerce effectively the insurgents, hindered, it is asserted, by the far reaching influence of the Roosevelt Administration. As soon as this revolution got in full swing the United States recognized Panama, and negotiated the long sought treaty. By the year 1903 we had acquired the canal zone. The determination to build a canal not only rendered inevitable the adoption of a policy of naval supremacy in the Caribbean Sea, but led also to the formulation of new political policies to be applied in the larger Canal Zone, that is, the West Indies, Mexico, Central America, Columbia, and Venezuela. These new policies are: (_a_) The establishment of protectorates, (_b_) the supervision of finances, (_c_) the control of naval routes, (_d_) the acquisition of naval stations, (_e_) and the policing and administration of disorderly countries. This program of policies has afforded this country many opportunities for expansion in these areas. AMERICAN SEAS A COMMERCIAL CENTER