Breckinridge's command are the Fort Donelson prisoners and a part of the command he had with him at Baton Rouge, La. The Kentucky regiments are in a state of mutiny, having served their time out and are compelled to serve two more years. I saw a great many deserters between Gallatin and Franklin, Tenn. They were anxious to be paroled, never to take up arms against the United States. I saw John Morgan at Gallatin. A part of his command had started for Hartsville, Tenn., 19 miles northeast of Gallatin. The remainder of his force were waiting for their horses to be shod. I think they were all going to Hartsville. He had between 2,000 and 3,000 men. He ia a very careless officer. I found no vedettes on any of the roads. It is reported that he has been detailed to watch the Louisville and Nashville Railroad, his headquarters to be at Hartsville. Ten thousand men have been sent to re-enforce Mobile, which is being threatened. General Holmes is at Little Rock, Ark., organizing a force to invade Missouri. Generals Sibley and Steele have been withdrawn from New Mexico, and are now in Richmond, their troops mustered out of service. It is reported that General Grant occupies Huntsville, Ala. Governor Harris, of Tennessee, changed his headquarters from Murfreesborough to Chattanooga. I think that Breckinridge will evacuate all Middle Tennessee, judging from the movements I saw. All the stock and provisions are being sent south. Large quantities of bacon, salt, and quinine have been shipped from Southern Kentucky to Chattanooga.

The Jews at Louisville, Ky., supply the rebel officers with gold lace and all sorts of military trappings. I talked to a great many Tennessee officers and soldiers; they all told me they would desert if they had to leave Middle Tennessee. I think a lenient course would soon win Tennessee back. General Buell's course was productive of much good. He has made a number of good Union men all through the South. General Breckinridge told me that General Buell hurt the South more than the armies of the United States, by his lenient policy. The people in Tennessee had written to their sons to desert and come home; that General Buell would not incarcerate them in a prison, as they supposed. If John Morgan is pursued he will go toward Carthage, Tenn. General Polk is now in command of Bragg's army. Joe Johnston is at Chattanooga in very feeble health. Major General Sam. Jones is in command at Chattanooga. He has but a few troops with him. When Breckinridge reached Murfreesborough he had no horses for his artillery, but pressed all he could find in the country. General S. R. Anderson is with breckinridge, but without command. General Roger W. Hanson is also with him. I found it impossible to learn anything from Lee's army. The movements of his army are kept very quiet. I saw the Richmond Enquirer two weeks ago. It intimated that General Lee would need re-enforcements to remain in the Valley of Shenandoah. All the Southern papers were asking for troops to be sent to Lee, and I believe most of Bragg's army have gone to Virginia. Bragg, in his report to the Adjutant-General C. S. Army, says he only received 1,500 recruits in Kentucky, and that the people turned their backs upon his army, and in many cases ran off to seek Federal protection. Van Dorn, in his report, acknowledges a loss of 13,000 men, killed, wounded, and missing.

He thinks most of the missing deserted. He lost 3 generals killed.

All of his transportation was destroyed by his wagon-master during the stampede.

General Price's staff have all resigned, on account of the general being superseded.

[HOLLOWAY.]