On the shipping side we are not only going about the task of building a thousand wooden ships, under the direction of Denman and Goethals, but we are going to take our coastwise shipping off, making the railroads carry this freight, and put all available ships into the trans-Atlantic business. We want, also, to get some steel ships built. The great trouble with this is the shortage of plates and the shortage of shipyards. In order to effect this, I expect we will have to postpone the building of some of our large dreadnaughts and battle cruisers, which could not be in service for three years anyhow. Whether we will succeed in getting the Secretary of the Navy to agree to this is a question, but I am going to try. We, of course, are going to press into service at once the German and Austrian ships, such of them as can be repaired and will be of use in the freight business, but we will not confiscate them. We will deal with them exactly as we will deal with American ships, paying at the end of the war whatever their services were worth. This spirit of fairness is to animate us throughout the war. Of course enemy warships were seized as prizes of war, but there are very few of these, and of no considerable value. I do not believe they can be of any use. England is sending over Mr. Balfour with a very high Commission. These gentlemen will arrive here this week, and I expect with them Viviani and Joffre, from France. We will have intimate talks with them and gain the benefit of their experience. I expect Mr. Balfour to make some speeches that will put England in a more favorable light, and the presence of Joffre will stimulate recruiting in our Army and Navy. He is the one real figure who has come out of the war so far. We are raising seven billions; three billions to go to the Allies, largely for purchases to be made here. Money contributions pass unanimously, but there is to be trouble over our war measures respecting conscription and the raising of an adequate army. Some pacifists and other pro-Germans are cultivating the idea that none but volunteers should be sent to Europe. Some are also saying Germany can have peace with us if she stops her submarine warfare. I doubt if that line of agitation will be successful before Congress. Certainly it will not be successful with the President or the Cabinet. We are now very happily united upon following every course that will lead to the quickest and most complete victory.