We lost 1 killed (Seventh Ohio), and 4 wounded (2 from Second Michigan and 2 from Ninth Pennsylvania). The enemy lost 12 killed, 15 or 20 wounded, and 138 prisoners. This force is said to have been about 200. In consequence of the darkness and of our short stay at this place, it was impossible to ascertain the exact strength or loss of the enemy.

We destroyed the railroad over the Watauga, burned their camp, together with all their arms and accouterments, and at 12.30 p.m. on the 31st started on our return. We were undisturbed, except by bushwhackers, who fired on us from almost every hill until we reached Jonesville. Here our rear had quite a brisk skirmish with a party of the enemy, about 150 strong. The enemy lost 2 killed in this skirmish; we were unharmed.

On the night of the 2nd we recrossed the mountain through Crank's Gap, and, by easy marches, reached this place to-day, when, in accordance with the order of the general commanding, I divided the brigade, sending the Seventh Ohio to their old camp, at Winchester, and the Second Michigan and Ninth Pennsylvania to theirs, at Nicholasville.

Our loss during this expedition, I find by the reports of the regimental commanders, to be-killed, wounded, and missing, 19. Of this the Ohio battalion lost 1 killed and 8 missing; the Michigan, 1 killed and 7 missing, and the Ninth Pennsylvania, 2 wounded. Total, 19. In this number are included 2 men who were accidentally crippled by the falling of their horses, 1 man left sick, and 5 men who were left at different points to take care of our sick and wounded. The others missing were, no doubt, picket up by the enemy's scouts.

For my command it is but proper to say that for their patient endurance of hardships and cheerful submission to al the privations attending this expedition, both officers and men deserve the highest commendation.

I am, captain, very respectfully, your obedient servant,

C. J. WALKER,

Colonel Tenth Kentucky Cavalry, Commanding Brigade.

Captain C. W. COWAN,

Assistant Adjutant-General, Lexington, Ky.

No. 4. Report of Lieut. General E. Kirby Smith, C. S. Army, commanding Department of East Tennessee.

KNOXVILLE, TENN., January 1, 1863.

A large cavalry force, consisting of the Tenth Pennsylvania and Second Ohio and Seventh Ohio, from Rosecrans' army, I suppose, has passed through Southern Kentucky, Russell and Scott Counties, Virginia, seized the railroad, and burned the bridges between Jonesborough and Bristol. I think they are striking at the salt-works. I have no cavalry at my disposal to meet them. On November 15 I ordered the First Louisiana, the First Georgia, and Adrian's battalion of cavalry to proceed, via Monticello and Somerset, across the mountain toward London and Mount Vernon, to obtain information of the enemy's movements, and ascertain if any forces were approaching from these directions, and return through Cumberland and Big Creek Gaps. General Bragg ordered back this cavalry. I arrested the commanding officer, and directed the