"Oh, papa, I didn't know you were so near," she exclaimed, with a laugh and a blush. "Wont you sit down with us? Grandpa Dinsmore has been telling us very interesting things about Bermuda."

"And papa can probably tell some that will be more interesting," remarked Mr. Dinsmore, as the Captain took possession of Elsie's seat and drew her to one upon his knee.

That suited the little maid exactly; in her opinion no seat was more desirable than "papa's knee."

"Now, papa, we're ready to hear all you know about Bermuda," said Ned, with a look of eager interest.

"Perhaps you are more ready to hear than I to tell," the Captain answered, with an amused smile. "At any rate, I want, first, to hear what you have been told, lest I should waste my time and strength in repeating it."

The children eagerly repeated what had been told them, the Captain added a few more facts about the beautiful things to be seen in the clear Bermuda waters—the coral reefs and the plants and animals that cover them; then the call to dinner came, and all left the deck for the dining-saloon.

Almost the whole party were on deck again immediately upon leaving the table. The older ones were scattered here and there in couples or groups, but Elsie and Ned sauntered along together chatting in low tones, as if not wanting to be overheard by the older people.

"Yes, I am sorry," sighed Elsie, in reply to something her brother had said; "Christmas is such a delightful time at home, and, of course, we can't expect to have one here on the yacht."

"No," said Ned, brightening, "but, of course, we can give Christmas gifts to each other, if—if we get to Bermuda in time to buy things. I s'pose there must be stores there."