The age-herald., 1901-08-09
ANNUAL REPORT
 OF GEN. M'ARTHUR Reviews Policy of the FiIipinoS
 Who Were Hostile FEW ACTIVE BANDS NOW The Report Speaks of the Good Ser vice of the Army and Says It Is
 the Result of Cooperation
 With the People.
FEW ACTIVE BANDS NOW

Washington. August 2-The annual re- port of Major General Macarthur, dated July 4 1901, the day that he relinquished command of the division of the Philip pines, has been received at the war de- pertinent. The period covered by the re- port Is from October 1, 1900, when the last report from General Macarthur was dated
 He reviews the policy of the FfIipinos who were hostile to the Americans, say ing that their action since the practical collapse of the insurrection has been a perplexing problem. With the disband- ment of the insurgent field armies, the Filipinos organized desperate resistance by banding the people together in support of the guerillas.
 This was carried out by means of se- cret committees, who collected oontribu. tions, inflicted punishment and carried on a considerable opposition to the Amer leans. General MacArthur reviews the manner In which operations were carried on against these guerlllas, and he hopes ate the natives and make them friendly to the United States.
 Made Them Suspicious.
 The experience of the people in times past made them suspicious of any govern mental beneficence, and they evidently looked upon the lenient attitude of the United States as indicating weakness. General MacArthur says that the procla- nation issued on December %, firmly de- claring the intention of the United States to hold the islands and to have the laws obeyed, had a good effect and the secret resistance was much abated.
 A considerable portion of the report is devoted to the field operations of the army, showing that on October 1. 1900, 1t occu- pied 413 stations. which were of necessity increased to 502 stations. every command being in contact with some hostile force. He speaks of the good service of the army and says that as result of the co-opera- tion between the army and the people who have accepted the invitation to combine for mutual protection and armed insurrec- tion Is almost suppressed.
 General Macarthur gives the following statistics from May 5. 1900. to June SO. 1901, during which time there were 1928 conflicts between American troops and in surgents. which shows the casualties on both sides:
 Americans-Killed PAS, wounded 490, cap tured 118. missing 20. ss
 Insurgents = Killed 2S54, wounded 1193, captured 6572. surrendered 2s,095.
 During the same period the following material was captured from or surren- dered by the insurRentS:
 Rifles, 15,693; rife ammunition, 296, ,365 rounds; revolvers, 868; bolos. 3516: cannon, 122; cannon ammunition, 10,270 rounds.
 Few Active Bands.
 At the date of the present report mere was but few active rebel bands in Luzon above the Pasis river. In tho depart ment of visays all was pacified except ing the island of Samar and in the de- pertinent of Mindanao and Jolo all the rebels had submitted and been dlsarlned. In Southern Luzon disorders still con tinued In several provinces but were d. minished in force. Serious questions will arise from time to time General Mac Arthur says in Mindanao and Joio, the adjustment of which will depend largely upon facts and knowledge of Moro char acter.
 'aThe holding force In the islands must be a we'll organized force of both navy and land guards to impede the activity: to reduce the efficiency of these iiisiru- ments will not only be a menace 10 the present. but put in jeopardy the entire fu- ture of American possibilities in the archipelago"
 General Macarthur says the capture of Agunaldo may be regarded as the most momentous single event of the year
 Speaking particularly of Aguinaldo he says that the important immediate re- suits and the remote consequence make 1t the important event which he charac- terixes It. The Prest dispelled the grow ing tendency idolixe Aguinaldo's person. alty and surround him with mythical legends of invincibility which millions of natives believe to be true and which ulti- mately assure success for the rebellion. Aguinaldo was the incarnation of the su- perstttious His death would have mag nifed the legend which surrounded him, while his capture has dispelled a great deal of the fictitious value he had.