As the ending of the third charter of the Company approached, efforts were made to secure still another renewal. A complete report on the operations of the Company was made at the end of 1861. According to it, the original capital was $73,500. In 1818 it was "watered," and the shares were made $100 instead of $112.50 each. In 1844 the Company had accumulated a surplus of $337,500. At the end of 1861 the capital was $495,000, and the surplus $553,000. The original investment had paid from six to ten per cent. net annually, besides the enormous peculations of the officers and employes. Despite the earnest endeavors of the Company, however, the Czar finally refused to renew its charter, and the Company began to wind up its business. In 1864 there was a great increase of American interests in the colony. The Western Union Telegraph Company, of New York, doubting the practicability of operating a cable under the Atlantic, planned to construct a telegraph line to Europe by way of Alaska and Siberia. In this the Russian Government agreed to co-operate. A surveying expedition was accordingly sent to Alaska, and much exploring work was done at a cost of more than three million dollars. The incident, though without practical result in itself, drew so much attention to Alaska and its resources that an American syndicate was formed to purchase for itself the charter which the Czar refused to grant to the old Russian Company. This came to the ear of Mr. Seward, the American Secretary of State, and he soon concluded that it would be a good bargain for the United States to buy the whole country outright from Russia. This was done in 1867. The United States paid Russia $7,200,000 for the whole Territory of Alaska. Nearly all of this went, at St. Petersburg, to satisfy old debts and obligations incurred by Alaskan enterprises. The treaty of sale was agreed upon on March 30th; it was ratified by the United States Senate on May 28th; proclaimed by the President on June 20th; General Jefferson C. Davis was appointed to take command of Alaska on September 6th; and on October 18th the United States took formal and actual possession of the country.

This new Territory was looked upon as an Indian country and General Davis was really a military commander. His headquarters were at Sitka, where he had a garrison of about 250 men. A number of enterprising business men accompanied General Davis to Sitka, and immediately began erecting storehouses and offices, and purchasing the property of the old Russian Company. In less than a week several new stores were erected and two drinking saloons, two bowling alleys and a restaurant were in operation. All sorts and conditions of men began flocking in, including pioneers and squatters, and aspirants for political honors in the Territory. There was talk of framing a city charter, and of creating numerous lucrative offices. The usual amount of crime and disorder of a frontier settlement occurred, and soon all respectable inhabitants were compelled to lock their doors at nightfall and not venture out again until daylight. Difficulties with the Indians also soon began, and for many years the Territory was in a state of disorder and confusion, lacking any organized government.

In February, 1868, the Russians began to return home and to abandon the Territory to its new owners. In this year many serious troubles with the Indians occurred on the Yukon River, and on the first of January, 1869, there was some disturbance at Sitka itself. In April, 1869, the publication of a newspaper was begun at Sitka by a man who also followed the avocations of lawyer and tailor. This paper passed out of existence after about a year and was not revived. In 1870 the withdrawal of the military garrisons occurred, excepting those at Sitka and Wrangell. In 1874 an attempt was made to colonize Alaska with Icelanders, who were at that time leaving their own country in large numbers. Several of them visited Alaska and were pleased with the appearance of the country. An offer was made to transport thither five hundred Icelanders free of charge, but it was not accepted, and the scheme of colonization was finally abandoned. In 1878 a serious outbreak of Indians occurred at Sitka, and the inhabitants of that town were compelled to appeal for protection to the commander of an English war-ship. In 1884 a regular territorial government was established and a civil governor appointed, the military garrisons having been withdrawn.


[CHAPTER XV.]
THE PEOPLE AND THEIR INDUSTRIES.

The United States census of 1890 definitely enumerated 21,929 inhabitants of Alaska, and estimated the existence of about 8,400 more. Of those enumerated there were 3,922 white males and 497 white females; 82 black males; 770 "mixed" males, and 798 "mixed" females; and 2,125 male Chinese; while the native population included 7,158 males and 6,577 females. According to the same census there were in Alaska 11 organizations of the Orthodox Greek Church; with 22 edifices with a seating capacity of 2,900 and a value of $180,000. The communicants numbered 13,004. The Roman Catholic Church had 6 organizations, with 6 buildings, seating 540 persons, and valued at $9,700. There were 559 communicants. No less than 27 fire insurance companies were doing business in the Territory, and in 1889 the risks written and renewed by them aggregated $1,710,184.

The people of Alaska have been spoken of as Americans, Russians, Hydahs, Tsimpseans, Thlinkets, Aleuts, Innuits or Eskimos and Tinneh, or Athabascan Indians. Eight distinct languages and several dialects are spoken. The Tsimpseans embrace only the settlement at Metlakahtla, about one thousand people who came over from British Columbia. The Hydahs have some five or six villages on the south end of Prince of Wales Island with about nine hundred people. The Thlinkets reside in from forty to fifty villages in the Alexander Archipelago and along the coast from Cape Fox to Copper River. All these have become partly civilized by contact with the whites and through the influence of schools and missions, and there is a large number of those who can speak English and have become excellent citizens. The Aleuts are also partly civilized, but with a civilization conforming more nearly to that of the Russians than our own. These reside upon the islands of the Aleutian chain, the Shunagin and Kodiak groups, the Aliaska Peninsula and the islands of St. Paul and St. George in Behring Sea.

There are a few Aleut half-breeds in Sitka. Many of these people talk the Russian language. The Innuits and Tinnehs cannot be said to be civilized, though their barbarism has been modified by contact with white people. The Innuits reside along the coast from Nushegak, in Behring Sea, to the eastern limit of our dominion in the Arctic region. Lieutenant Ray speaks of them as living in a state of anarchy, making no combinations, offensive or defensive, having no punishment for crimes and no government. Given to petty pilfering, they make no attempt to reclaim stolen property. They are social in their habits and kind to each other. These people are obliged to devote all their energies to procuring the necessary food and clothing to maintain life. Their intelligence is of a low order and the race is apparently diminishing. Physically they are strong and possess great powers of endurance.

The Tinnehs occupy the interior, the Yukon valley, except the portions near its mouth, and come down to the seashore only at Cook's Inlet. They are called "Stick" Indians by the Thlinkets. These people have many traits of the North American Indians elsewhere, and may properly be designated as Indians. The other natives of Alaska are not true Indians and have not generally been treated as such by the government. They have no real tribal relations, though formerly the heads of families were recognized as chiefs and called such.