here and Villanow, and possibly some of them are coming through the gap new, but they could not have reached him near Resaca; besides, I did not wish to block up the road with a train. It is very narrow, and the country on either side is heavily wooded. I had no cavalry except Phillps' mounted men to feel out on the flanks. If I could have had a division of good cvavalry I could have broken the railroad at some point. I shal be compelled to rest my men to- morrow forenoon, at least, to enable them to draw provisions. We have lost some 6 men killed and 30- odd wounded, but have inflicted a greater amount of damage to the enemy, and captured about 25 prisoners. General Kilpatrick is very anxious to make the attempt to cut the railroad. General Garrard is in La Fayette to- night; says his horses are very much fatigued and short of forage; desires to remain there until his forage train comes down from Chattanooga. When I move forward again Iwould like a division of Hooker's command to hold the entrance to the gap and the roads at Sugar Valley, thereby enabling me to move forward with my entire command, except train guards. The news from Grant is glorious.

Sincerely, yours,

JAS. B. McPHERSON,

Major- General, Commanding.

Major General W. T. SHERMAN,

Commanding Military Division of the Mississippi.

HDQRS. DEPARTMENT AND ARMY OF THE TENNESSEE,
Camp in Sugar Creek Valley, May 10, 1864- 5 p. m.

GENERAL: I have the honor to acknowledge the receipt of ouur dispatches of 10 [.30] a. m. to- day.* Brigadier- General Williams has reported his division at the west end of the gap, and have directed him to leave one brigade the re to guard athe trains, and to bring the other two through to theis side, posting one regiment on the crest of the mountain near the letter "M," on the northeeast side of the mountain. Brigadier- General Kipatrick's cavalry is just arriving here, and Garard will be in Villanow to - night. Early teis morning I sent out my engineer officers and selected a line which I think a good one, ad have been fortifying it all day. The work has not progressed as satisfactorily as I could have wished, for want of intrenching tools i sufficient quantity, though we get along very well. If the enemy attack me, you may rest assured we will give him the best fight we can and he will have to come in strong force to disturb us. W e have been skirmishing more or less all day with rebel cavalry, and they have a line of vedettes extending all around us except on the west, watching our movements and evidently to make out our force. From some of the elevated points thety can obtain a pretty good view. Their skirmish line, a very light one, easily driven back, and composed of cavalry, is about seven miles long. From what you say of the position at Buzzard Roost I think it is the place to atack them, and by throwing in here a large force we would have the chances of a decided victory on our side. I feel satisfied if you could see the position of things here you would be of

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*See Part IV.

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2 R R- VOL XXXVIII, PT III