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are no British subjecte available for the purpose.

That being so, the organization which has proved Buch a success has very considerably consisted of American citizens who have been loyal and faithful servants of the Com- pany, and to their services much of the success of the company

is due in China.

Last year the Company promoted and incorporated a Company under the Hong Kong Ordinance, with its Registered office in Shanghai. This is a China Company called British- American Tobacco co. (China) Ltd. which sells and distributes

the products, not only of the goods imported from England and the United States, but also the local products of the Manufac- turing Cos., namely, Eritish Cigarette Co. Ltd. and others.

The principal employe in the China Co. is an American citizen and the principal manufacturer of the British Cigarette Co. 18 an American citizen, whilst in the case of the Alliance Co., the principal employee is a Russian Bubject, whose business at Harbin was taken over some time ago.

The Company has had an uphill fight at various times through the competition principally of the subsidised goods of the Japanese Tobacco Monopoly, but it has more than held

its own.

The effect of this Order has already been to cause considerable unrest and ill-feeling amongst American citizens

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