Santa Claus lives in the Laughing Valley, where stands the big, rambling castle in which his toys are manufactured. It is called the Laughing Valley because everything there is happy and gay. The brook chuckles to itself; the wind whistles merrily in the trees the sunbeams dance lightly over the soft grass and the violets and wild flowers look smilingly up from their green nests. On one side is the Forest of Burzee. At the other side stands the huge mountain that contains the Caves of the Demons. And between them the valley lies smiling and peaceful. One would think our good old Santa Class have no enemies on all the earth. But the Demons who live in the mountain caves grew to hate Santa Claus very much, and all for the simple reason that the he made children happy. The caves of the demons are five in number. A broad pathway leads up to the first cave, which is a finely arched cavern at the foot of the mountain, the entrance being beautifully carved and decorated. In it residers the Demon of Selfisheness. Back of this is another cavern inhabited by the Demon of envy. The cave of the Demon of Malice situated in a dark and fearful cave in the very heart of the mountain. However, from each one of the four cozy mentioned there is a small, narrow tunnel leading to the fifth cace a cozy little room occupied by the Demon of Repentance who is said to be a pleasant sort of fellow who gladly opens for one a little door admitting you into fresh air and sunshine again. Well thse Demouns of the Caves, thinking they had gread cause to dislike old Santa Class held a meeting one day to discuss the matter. I’m really getting lonesome. Said the Demon of selfishness. For santa claus distributes so many pretty Christmas gifts to all the children that they become happy and generous and keep away from my cave. I’m having the same trouble, rejoined the demon of envy. The little ones seem quite content with santa claus and there are few, indeed that I can make to become envious. And that makes it bad for me declared the demon of Hatred. For if no children pass through the caves of salfishness and envy none can get to my cavern. For my part said Demon of repentance it is easily seen that if children do not visit your they have no need to vist mine so that I am quite as neglected as you are. And all because of this person they call santa class exclaimed the demon of envy. He is simply ruining our business, and something must be done at once.