[First indorsement.]

HDQRS. ARMIES OF THE CONFEDERATE STATES,
June 10, 1864.

Respectfully returned.

It is a most unfortunate withdrawal of forces from an important position at a very critical moment.

BRAXTON BRAGG,

General.

[Second indorsement.]

JUNE 10, 1864.

Noted. Unfortunately, I see no remedy for this movement now.

J. A. SEDDON,

Secretary.

HEADQUARTERS MORGAN'S CAVALRY,
Cynthiana, June 11, 1864.

SIR: Shortly after my last communication I entered the State of Kentucky, via Pound Gap, driving a force of 500 of the enemy from that point, causing them to burn all their commissary and quartermaster's stores. Moved on as rapidly as possible, and arrived at Mount Sterling on the 8th instant, completely surprising a force of the enemy, who, however, fought us stubbornly for some time, but at length were driven from the field, my force capturing all their camp equipage, transportation, &c., with supplies, and about 380 prisoners. remained one day and moved on Lexington. Attacked the city about 2 a. m. and captured that place, with horses enough to mount my entire command. After burning the Government stables, depot, &c., moved, via Georgetown, to Cynthiana, at which place I arrived this morning and met a force under the notorious Colonel Berry. After a brisk engagement the enemy took shelter in the houses, and I was forced to burn a large portion of the town. The enemy to the number of 400 soon surrendered. Colonel Berry was killed. At 2 o'clock heard that the enemy, under General Hobson, were advancing, and although almost out of ammunition determined to meet him. After a short skirmish surrounded and captured his entire brigade, numbering 2,000 men, himself and staff, 3 railroad trains, with baggage and horses, &c. I am now making arrangements to parole the prisoners. Fear if attacked before I can obtain ammunition to fit my guns that I will have to fall back. (The enemy are armed with the old musket, mine being Enfield.) Up to date Major Chenoweth has destroyed the railroad between Lexington and Boyd's Station, on the Kentucky Central Railroad; the railroad between Louisville and Frankfort; Captain Cooper taken the fortifications around Frankfort, and Captain Everett taken Maysville. All is working well. The people are ready and anxious to strike for the South if they can be supported. My only fear is on will fail.

6 P. M.

Since the above I learn that the force which entered Virginia under General Burbridge to attack the salt-works and lead-mines has returned and is moving to attack me.

JNO H. MORGAN,

Brigadier-General, Commanding.

General S. COOPER,

Adjutant and Inspector-General.