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i 1$Te already been presented by representatives of the leading forei Vn schools, and I believe the law will be altered at some poi r.ts to meet them. The more serious feature of the law is its prohibition of "teaching a pupil any religion other than his own, oven with the consent of his parents." As it now stands, this ruling will annul the "conscience clause" used in many missionary institutions and would absolutely prohibit any instruction in Christianity as a system of religious belief to he adopted by the pupil. In my conference with the Ministry, it was stated that (a) this regulation would apply only to minors, (b) it would not prohibit the study of Christianity through history, philosophy, or ethics, and (c) it would not prohibit the using of Christian materials in ethics classes. Its real objective is to prevent the kind of formal Christian training given in many mission schools which appears to the Moslem mind to be "proselytizing." I have already registered with the Ministry our protest to this feature of the law, both as an infringement on the rights of the individual parent and as being contrary to the liberty of thought and opinion that char_Ieterizes modern, Western civilization. However, I believe that this provision will be enacted and that insti-tuticns such as ours will be forced to operate under its restrictions. This does not present any serious Problem to our present program of religious instruction, since we use ethics, philosophy, and history as the principal vehicles for our instruction. It might affect the Sunday morning Hostel service and daily assem-blies, although even here we have a defensible case within the meaning of the law. Some mission institutions indicate that they are ready to close their doors before accepting any such provision. I believe this to be a most short-sighted policy. Our experience shows that we wield a large Christian influence, through our present program and _through the influence of our Christian motivated staff, and it is along these lines that our religious objectives must be furthered. Such a restriction makes more vital than ever the missionary motivation of the permanent staff who form the backbone of our institution. There is no sub-stitute in program or courses in religion for the deep and earnest commitment of each member of the staff to the tasks of the Kingdom of God. Local Staff: Much of the effectiveness of the University comes from the service of its Egyptian staff. The various departments have been unusually successful in attracting and holding competent teachers and administrators, who have been willing to cast their lot with us because they shared our basic desire to serve the community. However, it is becoming increasingly difficult to retain Egyptian staff members since salaries for educational work in Egypt are rising. With the rapid expansion of the Ministry's program of free education a great need for trained teachers has arisen with the result that in the past year, teachers' salaries have increased sharply. For example, the social science teacher in the Egyptian secondary section of Lincoln School is receiving LE 24 per month, while his salary in a govern-ment school would be LE 35 per month. While we cannot hope to match entirely the government system of salary and pension, it is probable we shall be forced to increase salaries to a greater extent if we are to retain our most competent teachers. Lincoln School: As indicated in the sums ary of the rerort of Lincoln School, the future of the American section is doubtful. For the past ten years we have tried every device to make this section predominately Egyptian, and the result has been a failure. It is clear that the Egyptian public wants a Government program and that if we are to contribute to Egyptian secondary, education, we must do it through that program. If the University can obtain from the Ministry its consent to operate a Demonstration àchool preparing for the government examinations, but free as to details of curriculum, it is probable that Council will suggest the dropping of the American section and the concentration of the resource's thus relieved on the expanding and more liberal Egyptian section.