THE VALIANT FRENCH EFFOR' A famous French artist drew this sketch of an American ladder dredge during the French construction days. Most of the work was done under contract by individuals and companies. closed December 10, 1880, and during the follow- ing March the company was formed with a capital of $60,000,000, little more than a third of the amount which had been estimated as necessary by his commission of engineers. The first detachment of workers was sent out from France in January 1881 and the first two years were spent principally in research, includ- ing mapping and surveying. Actual construction work began during the following year and in January 1882 a "chantier" or working section was established at Empire, crest of the conti- nental divide, and later in the year working sections were established along the proposed route at Culebra, Mindi, Monkey Hill, Bas Obispo, Gorgona, Cristobal and Paraiso. Between 1882 and 1888 the work went forward with dispatch and much was accomplished, but at a great cost of human lives and money. Yellow fever, malaria and other tropical diseases deci- mated year after year the ranks of the workers. Along with the rest perished many a promising young French engineer who had come to make a name for himself in one of the greatest projects ever undertaken by man. Almost unbelievable today are some of the stories of suffering and death during those few years. The total excavation accomplished during the eight years was estimated at nearly 67,000,000 cubic yards. Notable work was done in Culebra Cut, under the direction of Phillipe Bunau- Varilla, and in dredging operations at the Atlantic entrance, which was let under contract. During these years great sums of money were expended and de Lesseps found it necessary to raise more funds. After seven years of work it became apparent that it would be impossible to construct a sea-level canal, and much against de Lesseps' wishes, a provisional change of plans was made which provided for a high-level canal with a system of locks. The greatest force of workers employed during these years was in 1884 when more than 19,000 employees were engaged on the Isthmus. The greatest amount of excavation during any year was done in 1888 when more than 16,000,000 cubic yards of material were excavated. After the plans were changed, work was pushed forward vigorously for more than a year, but the deplorable state of the company's finances could no longer be ignored, and in December 1888, de Lesseps petitioned the French courts to appoint temporary managers, which was done. After an examination of the company's books and finan- cial affairs, the temporary managers reported that the total expenditures of the company had been $260,000,000, or more than four times the original capitalization. The temporary managers of the company made a desperate attempt to reorganize the company, but the faith of the people in the gigantic task had been shaken, and on February 4, 1889, a receiver was appointed to liquidate the company and to form a new one. The task of the receiver Many of the Belgian locomotives were renovated and used for light work by the Americans. This old locomotive was in use in 1910, the picture being taken at the old Empire shops. was particularly onerous, because of the scandals which swept the country as a result of the failure. Thousands of French investors had seen their life savings swept away in the crash and they were bitter. The receiver attempted to keep the work going in Panama, but he was compelled to reduce the force and finally suspended the work entirely in May 1889. One of the first steps taken by the receiver was to satisfy himself that the construction of the Panama Canal was feasible and he appointed a commission of 11 engineers to make a thorough reexamination of the project. The commission returned its report in May 1890, submitting a plan for a lock canal and expressed the opinion that the work could be finished within eight years at a cost of $112,500,000. During this time and until the affairs of the Page fifteen August 15, 1914 T August 15, 1939 :r