Mr. Bayard to Mr. Merrill.

No. 77.]

Sir: I have to acknowledge receipt of your No. 166 of January 14 last, in which you inform the Department of the appointment of Mr. Austin as minister of foreign affairs of Hawaii; of Mr. Dole, as fourth associate justice of the supreme court, in place of Judge Fornander, deceased, and of the subsidence of political commotion and popular excitement at Honolulu.

It is gratifying to note the satisfactory turn affairs have taken in Hawaii in the direction of order and stable government. And it is especially pleasing to remark that this desirable and happy change having been brought about without foreign interference gives encouragement to the hope that the inhabitants of the islands may enter upon a period of freedom from the disturbing domestic questions that rendered the situation last summer so uncertain and disquieting.

I am, etc,

T. F. Bayard.