The national-defense fund of $50,000,000 was expended in large part by the

Army and Navy, and the objects for which it was used are fully shown in the

reports of the several Secretaries. It was a most timely appropriation,

enabling the Government to strengthen its defenses and make preparations

greatly needed in case of war.

This fund being inadequate to the requirements of equipment and for the

conduct of the war, the patriotism of the Congress provided the means in

the war-revenue act of June 13 by authorizing a 3 per cent popular loan not

to exceed $400,000,000 and by levying additional imposts and taxes. Of the

authorized loan $200,000,000 were offered and promptly taken the

subscriptions so far exceeding the call as to cover it many times over,

while, preference being given to the smaller bids, no single allotment

exceeded $5,000. This was a most encouraging and significant result,

showing the vast resources of the nation and the determination of the

people to uphold their country's honor.

It is not within the province of this message to narrate the history of the

extraordinary war that followed the Spanish declaration of April 21, but a

brief recital of its more salient features is appropriate.

The first encounter of the war in point of date took place April 27, when a

detachment of the blockading squadron made a reconnoissance in force at

Matanzas, shelled the harbor forts, and demolished several new works in

construction.

The next engagement was destined to mark a memorable epoch in maritime

warfare. The Pacific fleet, under Commodore George Dewey, had lain for some

weeks at Hongkong. Upon the colonial proclamation of neutrality being

issued and the customary twenty-four hours' notice being given, it repaired

to Mirs Bay, near Hongkong, whence it proceeded to the Philippine Islands

under telegraphed orders to capture or destroy the formidable Spanish fleet

then assembled at Manila. At daybreak on the 1st of May the American force

entered Manila Bay, and after a few hours' engagement effected the total

destruction of the Spanish fleet, consisting of ten war ships and a

transport, besides capturing the naval station and forts at Cavite, thus

annihilating the Spanish naval power in the Pacific Ocean and completely

controlling the bay of Manila, with the ability to take the city at will.

Not a life was lost on our ships, the wounded only numbering seven, while

not a vessel was materially injured. For this gallant achievement the

Congress, upon my recommendation, fitly bestowed upon the actors preferment

and substantial reward.

The effect of this remarkable victory upon the spirit of our people and

upon the fortunes of the war was instant. A prestige of invincibility

thereby attached to our arms which continued throughout the struggle.

Reenforcements were hurried to Manila under the command of Major-General

Merritt and firmly established within sight of the capital, which lay

helpless before our guns.

On the 7th day of May the Government was advised officially of the victory

at Manila, and at once inquired of the commander of our fleet what troops

would be required. The information was received on the 15th day of May, and

the first army expedition sailed May 25 and arrived off Manila June 30.

Other expeditions soon followed, the total force consisting of 641 officers

and 15,058 enlisted men.

Only reluctance to cause needless loss of life and property prevented the

early storming and capture of the city, and therewith the absolute military

occupancy of the whole group. The insurgents meanwhile had resumed the

active hostilities suspended by the uncompleted truce of December, 1897.

Their forces invested Manila from the northern and eastern sides, but were

constrained by Admiral Dewey and General Merrill from attempting an

assault. It was fitting that whatever was to be done in the way of decisive

operations in that quarter should be accomplished by the strong arm of the

United States alone. Obeying the stern precept of war which enjoins the

overcoming of the adversary and the extinction of his power wherever

assailable as the speedy and sure means to win a peace, divided victory was

not permissible, for no partition of the rights and responsibilities

attending the enforcement of a just and advantageous peace could be thought

of.

Following the comprehensive scheme of general attack, powerful forces were

assembled at various points on our coast to invade Cuba and Puerto Rico.

Meanwhile naval demonstrations were made at several exposed points. On May

11 the cruiser Wilmington and torpedo boat Winslow were unsuccessful in an

attempt to silence the batteries at Cardenas, a gallant ensign, Worth

Bagley, and four seamen falling. These grievous fatalities were, strangely

enough, among the very few which occurred during our naval operations in

this extraordinary conflict.

Meanwhile the Spanish naval preparations had been pushed with great vigor.

A powerful squadron under Admiral Cervera, which had assembled at the Cape

Verde Islands before the outbreak of hostilities, had crossed the ocean,

and by its erratic movements in the Caribbean Sea delayed our military

plans while baffling the pursuit of our fleets. For a time fears were felt

lest the Oregon and Marietta, then nearing home after their long voyage

from San Francisco of over 15,000 miles, might be surprised by Admiral

Cervera's fleet, but their fortunate arrival dispelled these apprehensions

and lent much-needed reenforcement. Not until Admiral Cervera took refuge

in the harbor of Santiago de Cuba, about May 19, was it practicable to plan

a systematic naval and military attack upon the Antillean possessions of

Spain.

Several demonstrations occurred on the coasts of Cuba and Puerto Rico in

preparation for the larger event. On May 13 the North Atlantic Squadron

shelled San Juan de Puerto Rico. On May 30 Commodore Schley's squadron

bombarded the forts guarding the mouth of Santiago Harbor. Neither attack

had any material result. It was evident that well-ordered land operations

were indispensable to achieve a decisive advantage.

The next act in the war thrilled not alone the hearts of our countrymen but

the world by its exceptional heroism. On the night of June 3 Lieutenant

Hobson, aided by seven devoted volunteers, blocked the narrow outlet from

Santiago Harbor by sinking the collier Merrimac in the channel, under a

fierce fire from the shore batteries, escaping with their lives as by a

miracle, but falling into the hands of the Spaniards. It is a most

gratifying incident of the war that the bravery of this little band of

heroes was cordially appreciated by the Spanish admiral, who sent a flag of

truce to notify Admiral Sampson of their safety and to compliment them on

their daring act. They were subsequently exchanged July 7.

By June 7 the cutting of the last Cuban cable isolated the island.

Thereafter the invasion was vigorously prosecuted. On June 10, under a

heavy protecting fire, a landing of 600 marines from the Oregon,

Marblehead, and Yankee was effected in Guantanamo Bay, where it had been

determined to establish a naval station.

This important and essential port was taken from the enemy, after severe

fighting, by the marines, who were the first organized force of the United

States to land in Cuba.

The position so won was held despite desperate attempts to dislodge our

forces. By June 16 additional forces were landed and strongly in-trenched.

On June 22 the advance of the invading army under Major-General Shafter

landed at Daiquiri, about 15 miles east of Santiago. This was accomplished

under great difficulties, but with marvelous dispatch. On June 23 the

movement against Santiago was begun. On the 24th the first serious

engagement took place, in which the First and Tenth Cavalry and the First

United States Volunteer Cavalry, General Young's brigade of General

Wheeler's division, participated, losing heavily. By nightfall, however,

ground within 5 miles of Santiago was won. The advantage was steadily

increased. On July 1 a severe battle took place, our forces gaining the

outworks of Santiago; on the 2d El Caney and San Juan were taken after a

desperate charge, and the investment of the city was completed. The Navy

cooperated by shelling the town and the coast forts.

On the day following this brilliant achievement of our land forces, the 3d

of July, occurred the decisive naval combat of the war. The Spanish fleet,

attempting to leave the harbor, was met by the American squadron under

command of Commodore Sampson. In less than three hours all the Spanish

ships were destroyed, the two torpedo boats being sunk and the Maria

Teresa, Almirante Oquendo, Vizcaya, and Cristobal Colon driven ashore. The

Spanish admiral and over 1,300 men were taken prisoners. While the enemy's

loss of life was deplorably large, some 600 perishing, on our side but one

man was killed, on the Brooklyn, and one man seriously wounded. Although

our ships were repeatedly struck, not one was seriously injured. Where all

so conspicuously distinguished themselves, from the commanders to the

gunners and the unnamed heroes in the boiler rooms, each and all

contributing toward the achievement of this astounding victory, for which

neither ancient nor modern history affords a parallel in the completeness

of the event and the marvelous disproportion of casualties, it would be

invidious to single out any for especial honor. Deserved promotion has

rewarded the more conspicuous actors. The nation's profoundest gratitude is

due to all of these brave men who by their skill and devotion in a few

short hours crushed the sea power of Spain and wrought a triumph whose

decisiveness and far-reaching consequences can scarcely be measured. Nor

can we be unmindful of the achievements of our builders, mechanics, and

artisans for their skill in the construction of our war ships.

With the catastrophe of Santiago Spain's effort upon the ocean virtually

ceased. A spasmodic effort toward the end of June to send her Mediterranean

fleet, under Admiral Camara, to relieve Manila was abandoned, the

expedition being recalled after it had passed through the Suez Canal.

The capitulation of Santiago followed. The city was closely besieged by

land, while the entrance of our ships into the harbor cut off all relief on

that side. After a truce to allow of the removal of noncombatants

protracted negotiations continued from July 3 until July 15, when, under

menace of immediate assault, the preliminaries of surrender were agreed

upon. On the 17th General Shafter occupied the city. The capitulation

embraced the entire eastern end of Cuba. The number of Spanish soldiers

surrendering was 22,000, all of whom were subsequently conveyed to Spain at

the charge of the United States. The story of this successful campaign is

told in the report of the Secretary of War, which will be laid before you.

The individual valor of officers and soldiers was never more strikingly

shown than in the several engagements leading to the surrender of Santiago,

while the prompt movements and successive victories won instant and

universal applause. To those who gained this complete triumph, which

established the ascendency of the United States upon land as the fight off

Santiago had fixed our supremacy on the seas, the earnest and lasting

gratitude of the nation is unsparingly due. Nor should we alone remember

the gallantry of the living; the dead claim our tears, and our losses by

battle and disease must cloud any exultation at the result and teach us to

weigh the awful cost of war, however rightful the cause or signal the

victory.

With the fall of Santiago the occupation of Puerto Rico became the next

strategic necessity. General Miles had previously been assigned to organize

an expedition for that purpose. Fortunately he was already at Santiago,

where he had arrived on the 11th of July with reenforcements for General

Shafter's army.

With these troops, consisting of 3,415 infantry and artillery, two

companies of engineers, and one company of the Signal Corps, General Miles

left Guantanamo on July 21, having nine transports convoyed by the fleet

under Captain Higginson with the Massachusetts (flagship), Dixie,

Gloucester, Columbia, and Yale, the two latter carrying troops. The

expedition landed at Guanica July 25, which port was entered with little

opposition. Here the fleet was joined by the Annapolis and the Wasp, while

the Puritan and Amphitrite went to San Juan and joined the New Orleans,

which was engaged in blockading that port. The Major-General Commanding was

subsequently reenforced by General Schwan's brigade of the Third Army

Corps, by General Wilson with a part of his division, and also by General

Brooke with a part of his corps, numbering in all 16,973 officers and men.

On July 27 he entered Ponce, one of the most important ports in the island,

from which he thereafter directed operations for the capture of the

island.

With the exception of encounters with the enemy at Guayama, Hormigueros,

Coamo, and Yauco and an attack on a force landed at Cape San Juan, there

was no serious resistance. The campaign was prosecuted with great vigor,

and by the 12th of August much of the island was in our possession and the

acquisition of the remainder was only a matter of a short time. At most of

the points in the island our troops were enthusiastically welcomed.

Protestations of loyalty to the flag and gratitude for delivery from

Spanish rule met our commanders at every stage. As a potent influence

toward peace the outcome of the Puerto Rican expedition was of great

consequence, and generous commendation is due to those who participated in

it.

The last scene of the war was enacted at Manila, its starting place. On

August 15, after a brief assault upon the works by the land forces, in

which the squadron assisted, the capital surrendered unconditionally. The

casualties were comparatively few. By this the conquest of the Philippine

Islands, virtually accomplished when the Spanish capacity for resistance

was destroyed by Admiral Dewey's victory of the 1st of May, was formally

sealed. To General Merrill, his officers and men, for their uncomplaining

and devoted service and for their gallantry in action, the nation is

sincerely grateful. Their long voyage was made with singular success, and

the soldierly conduct of the men, most of whom were without previous

experience in the military service, deserves unmeasured praise.

The total casualties in killed and wounded in the Army during the war with

Spain were: Officers killed, 23; enlisted men killed, 257; total, 280;

officers wounded, 113; enlisted men wounded, 1,464; total, 1,577. Of the

Navy: Killed, 17; wounded, 67; died as result of wounds, 1; invalided from

service, 6; total, 91.

It will be observed that while our Navy was engaged in two great battles

and in numerous perilous undertakings in blockade and bombardment, and more

than 50,000 of our troops were transported to distant lands and were

engaged in assault and siege and battle and many skirmishes in unfamiliar

territory, we lost in both arms of the service a total of 1,668 killed and

wounded; and in the entire campaign by land and sea we did not lose a gun

or a flag or a transport or a ship, and, with the exception of the crew of

the Merrimac, not a soldier or sailor was taken prisoner.

On August 7, forty-six days from the date of the landing of General

Shafter's army in Cuba and twenty-one days from the surrender of Santiago,

the United States troops commenced embarkation for home, and our entire

force was returned to the United States as early as August 24. They were

absent from the United States only two months.

It is fitting that I should bear testimony to the patriotism and devotion

of that large portion of our Army which, although eager to be ordered to

the post of greatest exposure, fortunately was not required outside of the

United States. They did their whole duty, and, like their comrades at the

front, have earned the gratitude of the nation. In like manner, the

officers and men of the Army and of the Navy who remained in their

departments and stations faithfully performing most important duties

connected with the war, and whose requests for assignment in the field and

at sea I was compelled to refuse because their services were indispensable

here, are entitled to the highest commendation. It is my regret that there

seems to be no provision for their suitable recognition.

In this connection it is a pleasure for me to mention in terms of cordial

appreciation the timely and useful work of the American National Red Cross,

both in relief measures preparatory to the campaigns, in sanitary

assistance at several of the camps of assemblage, and later, under the able

and experienced leadership of the president of the society, Miss Clara

Barton, on the fields of battle and in the hospitals at the front in Cuba.

Working in conjunction with the governmental authorities and under their

sanction and approval, and with the enthusiastic cooperation of many

patriotic women and societies in the various States, the Red Cross has

fully maintained its already high reputation for intense earnestness and

ability to exercise the noble purposes of its international organization,

thus justifying the confidence and support which it has received at the

hands of the American people. To the members and officers of this society

and all who aided them in their philanthropic work the sincere and lasting

gratitude of the soldiers and the public is due and is freely accorded.

In tracing these events we are constantly reminded of our obligations to

the Divine Master for His watchful care over us and His safe guidance, for

which the nation makes reverent acknowledgment and offers humble prayer for

the continuance of His favor.

The annihilation of Admiral Cervera's fleet, followed by the capitulation

of Santiago, having brought to the Spanish Government a realizing sense of

the hopelessness of continuing a struggle now become wholly unequal, it

made overtures of peace through the French ambassador, who, with the assent

of his Government, had acted as the friendly representative of Spanish

interests during the war. On the 26th of July M. Cambon presented a

communication signed by the Duke of Almodovar, the Spanish minister of

state, inviting the United States to state the terms upon which it would be

willing to make peace. On the 30th of July, by a communication addressed to

the Duke of Almodovar and handed to M. Cambon, the terms of this Government

were announced substantially as in the protocol afterwards signed. On the

10th of August the Spanish reply, dated August 7, was handed by M. Cambon

to the Secretary of State. It accepted unconditionally the terms imposed as

to Cuba, Puerto Rico, and an island of the Ladrones group, but appeared to

seek to introduce inadmissible reservations in regard to our demand as to

the Philippine Islands. Conceiving that discussion on this point could

neither be practical nor profitable, I directed that in order to avoid

misunderstanding the matter should be forthwith closed by proposing the

embodiment in a formal protocol of the terms upon which the negotiations

for peace were to be undertaken. The vague and inexplicit suggestions of

the Spanish note could not be accepted, the only reply being to present as

a virtual ultimatum a draft of protocol embodying the precise terms

tendered to Spain in our note of July 30, with added stipulations of detail

as to the appointment of commissioners to arrange for the evacuation of the

Spanish Antilles. On August 12 M. Cambon announced his receipt of full

powers to sign the protocol so submitted. Accordingly, on the afternoon of

August 12, M. Cambon, as the plenipotentiary of Spain, and the Secretary of

State, as the plenipotentiary of the United States, signed a protocol

providing--

ARTICLE I. Spain will relinquish all claim of sovereignty over and title

to Cuba.

ART. II. Spain will cede to the United States the island of Puerto Rico and

other islands now under Spanish sovereignty in the West Indies, and also an

island in the Ladrones to be selected by the United States.

ART. III. The United States will occupy and hold the city, bay, and harbor

of Manila pending the conclusion of a treaty of peace which shall determine

the control, disposition, and government of the Philippines. The fourth

article provided for the appointment of joint commissions on the part of

the United States and Spain, to meet in Havana and San Juan, respectively,

for the purpose of arranging and carrying out the details of the stipulated

evacuation of Cuba, Puerto Rico, and other Spanish islands in the West

Indies.

The fifth article provided for the appointment of not more than five

commissioners on each side, to meet at Paris not later than October 1 and

to proceed to the negotiation and conclusion of a treaty of peace, subject

to ratification according to the respective constitutional forms of the two

countries.

The sixth and last article provided that upon the signature of the protocol

hostilities between the two countries should be suspended and that notice

to that effect should be given as soon as possible by each Government to

the commanders of its military and naval forces.

Immediately upon the conclusion of the protocol I issued a proclamation, of

August 12, suspending hostilities on the part of the United States. The

necessary orders to that end were at once given by telegraph. The blockade

of the ports of Cuba and San Juan de Puerto Rico was in like manner raised.

On the 18th of August the muster out of 100,000 volunteers, or as near that

number as was found to be practicable, was ordered.

On the 1st of December 101,165 officers and men had been mustered out and

discharged from the service, and 9,002 more will be mustered out by the

10th of this month; also a corresponding number of general and general

staff officers have been honorably discharged the service.

The military commissions to superintend the evacuation of Cuba, Puerto

Rico, and the adjacent islands were forthwith appointed--for Cuba,

Major-General James F. Wade, Rear-Admiral William T. Sampson, Major-General

Matthew C. Butler; for Puerto Rico, Major--General John R. Brooke,

Rear-Admiral Winfield S. Schley, Brigadier-General William W. Gordon--who

soon afterwards met the Spanish commissioners at Havana and San Juan,

respectively. The Puerto Rican Joint Commission speedily accomplished its

task, and by the 18th of October the evacuation of the island was

completed. The United States flag was raised over the island at noon on

that day. The administration of its affairs has been provisionally

intrusted to a military governor until the Congress shall otherwise

provide. The Cuban Joint Commission has not yet terminated its labors.

Owing to the difficulties in the way of removing the large numbers of

Spanish troops still in Cuba, the evacuation can not be completed before

the 1st of January next.

Pursuant to the fifth article of the protocol, I appointed William R. Day,

lately Secretary of State; Cushman K. Davis, William P. Frye, and George

Gray, Senators of the United States, and Whitelaw Reid to be the peace

commissioners on the part of the United States. Proceeding in due season to

Paris, they there met on the 1st of October five commissioners similarly

appointed on the part of Spain. Their negotiations have made hopeful

progress, so that I trust soon to be able to lay a definitive treaty of

peace before the Senate, with a review of the steps leading to its

signature.

I do not discuss at this time the government or the future of the new

possessions which will come to us as the result of the war with Spain. Such

discussion will be appropriate after the treaty of peace shall be ratified.

In the meantime and until the Congress has legislated otherwise it will be

my duty to continue the military governments which have existed since our

occupation and give to the people security in life and property and

encouragement under a just and beneficent rule.

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