[JULY 3, 1863.]

Admiral PORTER:

I have give the rebels a few hours to consider the proposition of surrendering; all to be paroled here, the officers to take only side-arms. My own feelings are against this, but all my officers think the advantage gained by having our forces and transports for immediate purposes more than counterbalance the effect of sending them north.

U. S. GRANT.

JULY 3, 1863.

Admiral PORTER:

There is a cessation of hostilities. You will please cease firing till you hear from me.

U. S. GRANT.

ORD'S HEADQUARTERS, July 3, 1863.

General GRANT:

In reply to your intimation that if General Pemberton wished an interview he would show a white flag at some specified point, General Bowen stated to General [A. J.] Smith that he knew General Pemberton would be glad to meet General Grant; and General Bowen, on the return of General Smith from you, appointed the point where the Jackson and Vicksburg road crosses the rebel trenches as the place where the white flag would be raised at 3 p. m. This point is in front of General McPherson's. The rebel time is forty-eight minutes faster than mine. I will send you my time.

E. O. C. ORD.

HEADQUARTERS DEPARTMENT OF THE TENNESSEE,
In Rear of Vicksburg, July 3, 1863.

Major General E. O. C. ORD:

Major General J. B. McPHERSON:

Permit some discreet men on picket to-night to communicate to the enemy's pickets the fact that General Grant has offered, in case Pemberton surrenders, to parole all the officers and men, and to permit them to go home from here.

By order of Major-General Grant:

JNO. A. RAWLINS,

Assistant Adjutant-General.

NEAR Vicksburg, July 3, 1863.

Major-General SHERMAN:

Pemberton wants conditions to march out paroled, &c. The conditions wanted are such as I cannot give; I am to submit my propositions at 10 o'clock to-night. I have directed Steele and Ord to be in readiness to move, as you suggested, the moment Vicksburg is surrendered. I want Johnston broken up as effectually as possible, and roads destroyed. I cannot say where you will find the most effective place to strike; I would say move so as to strike Canton and Jackson, whichever might seem most desirable.

U. S. GRANT.