[Indorsement]

HEADQUARTERS,
December 26, 1863

Respectfully forwarded for information of Department:

High water and erroneous reports, with untoward events, prevented the success of arrangements that I had hoped would have resulted in Averell's capture.

R. E. LEE,

General.

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Numbers 14.

Report of Major General Fitzhugh Lee, C. S. Army, commanding Cavalry Division, Army of Northern Virginia.

HEADQUARTERS,
December 24, 1863.

COLONEL: I have the honor to submit the following report of recent operations, for the information of the major-general commanding:

Left the army of the Rapidan, with two brigades of my command, on the 11th instant, for the purpose of going into winter quarters near Charlottesville, my other brigade being left to picket.

Reached Charlottesville on the 12th and left on the 14th, in obedience to an order from General Stuart to interpose my command between the force threatening Staunton from the lower valley and that place.

Reached Valley turnpike at Mount Crawford (the lowest place I could cross the Shenandoah), by way of Brown's Gap, on the 15th, and finding all quiet in lower valley, the enemy being at Strasburg with no signs of an advance, I turned up the pike with the purpose of assisting Imboden, who was said to be confronting a superior force of enemy on Shenandoah Mountain, and encamped on night of 15th 6 miles from Staunton. The same night Major-General Early arrived at Staunton and took command.

On the 16th, my command arrived at the same place and was ordered back to lower valley, encamping that night near Mount Crawford. On 17th in compliance with orders from General Early, retraced my steps and started in pursuit of Averell, marching day and night in the cold storm, and reaching Lexington on 18th at daylight, and uniting at that point with General Imboden, and the home guards of Rockbridge, under Colonel Massie.

On the night of the 18th, encamped at Collierstown, at the foot of North Mountain. It was there that I received a dispatch from the major-general commanding inclosing a telegram from General Nicholls, at Lynchburg, to the effect that the enemy were returning to Salem, and expressing the hope that I was on the way to Buchanan. Intelligence that the enemy were back in Salem was soon after brought to me, also, by one of Colonel Massie's scouts. My advance, then (19th) upon top of North Mountain, was halted and countermarched, and that night I encamped between Buchanan and Fincastle. Averell was then encamped at Covington. At Buchanan I first learned the