co-operation with Buell. I see by the Northern papers that three divisions of Grant's army are to operate against East Tennessee in connection with Buell's corps. This brings an overwhelming force, that cannot be resisted except by Bragg's co-operation.

General Bragg. telegraphed me June 26 that McCown's division (3,000 effective) would leave that day for Chattanooga, and that he would immediately move on Buell's rear. McCown arrived at Chattanooga on the 3rd instant. Bragg was then at Tupelo; the difficulty of obtaining transportation, I understood, prevented the movement of his army.

I have organized my command into two divisions. General Stevenson, with four brigades of infantry and one of cavalry, occupies the line of the Clinch. His force (10,000 effective) is mobilized, well equipped, and efficient. General Stevenson is an officer of worth and merit, and has been a treasure to me in this department.

General Heth, with three brigades of infantry, and General McCown, with two of infantry and one of cavalry (about 10,000 men), hold Chattanooga and its approaches. Colonel Morgan was sent by me with 1,300 cavalry into Kentucky; the disorders in that State are extremely propitious for his operations. Colonel Forrest, with three regiments of cavalry, was sent into Middle Tennessee. He will, I trust, delay Buell's movement till Bragg's columns make their appearance. The Federal armies will not, I think, attempt any movement south this summer. They will concentrate all their strength on East Tennessee, and with it as a base and its resources at their disposal will be prepared for a vigorous campaign south next fall.

I came here a few days since convalescing from an attack of typhoid fever and weak and debilitated from its results. I have recovered rapidly, and in a few days will be ready for active service.

With the highest regard and respect, I remain, yours,

E. KIRBY SMITH,

Major-General, Commanding.

KNOXVILLE, TENN., July 16, 1862.

Colonel JOHN S. SCOTT, First Regiment Louisiana Cav., Kingston, Tenn.:

COLONEL: The following dispatch has just been received from General Stevenson:

Colonel Reynolds writes: "Two deserters from Houk's regiment were brought in, giving me the information that ten regiments, under General Spears, had left Cumberland Gap on Friday afternoon en route for Loudon, to burn the bridge, numbering nearly 8,000 men. I have but little doubt the boys are telling the truth. * * * * General Spears is to cross at Wheeler's Gap and down by KingstonJanuary

The major-general commanding directs me to add to this intelligence that four companies of cavalry, under command of Captain Mims (Second Regiment Tennessee Cavalry, Colonel McLin), at Wallace's Cross-Roads, 8 miles above Clinton, were surprised yesterday morning at 10 o'clock by two full regiments of the enemy. Captain Mims retreated with supposed loss of about 20 men, captured, killed, and wounded, and all his baggage, &c. The general desires that you redouble your vigilance, push out scouts up the river, and keep him advised promptly of every movement which may be made by the enemy in that direction.

Very respectfully, your obedient servant,

H. L. CLAY,

Assistant Adjutant-General.