Santa Claus lives
           in the Laughing Valley,
         where stands the big,
         rambling castle
             in which his toys
                are manufactured.

    His workmen,
           selected from the ryls,
         knooks,
           pixies and fairies,
         live with him,
           and every one
            is as busy as
               can be
                from one year's
                   end to another.

    It is
          called the Laughing Valley
         because everything
            there is happy and gay.

    The brook chuckles to itself
           as it
          leaps rollicking
               between its green banks;
        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.

    To laugh one needs
          to be happy;
        to be happy one needs
              to be content.

    And throughout the Laughing Valley
           of Santa Claus contentment
          reigns supreme.

    On one side
     is the mighty Forest
             of Burzee.

    At the other side
           stands the huge mountain
         that contains the Caves
               of the Daemons.

    And between
           them the Valley lies
         smiling and peaceful.

    One would thing
      that our good old
           Santa Claus,
           who devotes his days
               to making children happy,
         would have no enemies
               on all the earth;
        and,
           as a matter of fact,
         for a long period
               of time
             he encountered nothing
               but love
             wherever he might go.

    But the Daemons
         who live
               in the mountain caves
            grew to hate Santa Claus
                   very much,
           and all
               for the simple reason
             that he made children happy.

    The Caves of the Daemons
        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
        resides the Daemon of Selfishness.

    Back of this
        is another cavern
              inhabited by
                   the Daemon of Envy.

    The cave
           of the Daemon of Hatred
        is next in order,
           and through this one passes
               to the home
                   of the Daemon of Malice
          --situated in a dark
               and fearful
              cave in the very heart
                   of the mountain.

    I do not know
         what lies beyond this.

    Some say
        there are terrible pitfalls
              leading to death and destruction,
           and this
            may very well be true.

    However,
           from each
               one of
                   the four caves mentioned
            there is a small,
         narrow tunnel
              leading to the fifth cave
          --a cozy little room
              occupied by