visit your cave."

"As a rule, that is true," replied the Daemon; "yet you, who have done
no evil, are about to visit my cave at once; for to prove that I sincerely
regret my share in your capture I am going to permit you to escape."

This speech greatly surprised the prisoner, until he reflected that it
was just what might be expected of the Daemon of Repentance. The
fellow at once busied himself untying the knots that bound Santa Claus
and unlocking the chains that fastened him to the wall. Then he
led the way through a long tunnel until they both emerged in the
Cave of Repentance.

"I hope you will forgive me," said the Daemon pleadingly. "I am not
really a bad person, you know; and I believe I accomplish a great deal
of good in the world."

With this he opened a back door that let in a flood of sunshine, and
Santa Claus sniffed the fresh air gratefully.

"I bear no malice," said he to the Daemon, in a gentle voice; "and I
am sure the world would be a dreary place without you. So, good
morning, and a Merry Christmas to you!"

With these words he stepped out to greet the bright morning, and a
moment later he was trudging along, whistling softly to himself, on
his way to his home in the Laughing Valley.

Marching over the snow toward the mountain was a vast army, made up of
the most curious creatures imaginable. There were numberless knooks