"Manila, February 7.—Adjutant-General, Washington: The insurgent army concentrated around Manila from Luzon provinces, numbered over 20,000, possessing several quick-firing and Krupp field guns. Good portion of enemy armed with Mausers, latest pattern. Two Krupp and great many rifles captured. Insurgents fired great quantity of ammunition. Quite a number of Spanish soldiers in insurgent service who served artillery.

Insurgents constructed strong intrenchments near our lines, mostly in bamboo thickets. These our men charged, killing or capturing many of the enemy. Our casualties probably aggregate 250. Full reports to-day. Casualties of insurgents very heavy. Have buried some 500 of their dead and hold 500 prisoners. Their loss, killed, wounded, and prisoners, probably 4,000.

"Took waterworks pumping station yesterday, six miles out. Considerable skirmish with enemy, which made no stand. Pumps damaged; will be working in a week. Have number of condensers set up in city, which furnish good water. Troops in excellent spirits. Quiet prevails. Otis."

"Manila, February 3.—Adjutant-General, Washington: Situation rapidly improving. Reconnaissance yesterday to south several miles; to east to Laguna Bay; to northeast eight miles, driving straggling insurgent troops in various directions, encountering no decided opposition.

"Army disintegrated, and natives returning to village, displaying white flag.

"Near Caloocan, six miles north, enemy made stand behind entrenchments. Charged by Kansas troops, led by Colonel Funston; close encounter, resulting in rout of enemy, with very heavy loss.

"Loss to Kansas troops, Lieutenant Alford killed, six men wounded.

"Night of 4th, Aguinaldo issued flying proclamation, charging Americans with initiative, and declared war.

"His influence throughout this section destroyed. Now applies for cessation of hostilities and conference. Have declined to answer.

"Insurgents' expectation of rising in city on night of 4th unrealized. Provost Marshal-General, with admirable disposition of troops, defeated every attempt.