
We took Lao Airlines from Chiang Mai to Luang Prabang. A small airplane that Brennan loved, but it seemed not quite legit. The signage in the airport did not correspond to the flight at all, and then they finally posted a white sheet of paper to tell us our departure time. Glad we made it!
Luang Prabang is a beautiful small town on the Mekong River. Old french colonial buildings interspersed with palm trees are spread along the river along with cafes and slowboats. Yesterday, we took a boat across the river and explored the small village of Xiang Men where chickens were running around, the road was mud and full of potholes, and children were running carrying sticks with plastic bags attached to them trying to catch dragon flies. The kids liked seeing their pictures on the digital camera. 
We hiked up Wat Chedi - a crumbling temple that had a wonderful view of Luang Prabang. It was a bit eerie to be there, the only people up at the temple, with crumbling walls and an old Buddha. We then hiked over to another temple in sort of a monastery compound, that was where the king used to meditate for 15 days before coronation. We met a ten-year old boy named Ing who took us to the cave where people drop off their broken Buddha statues. Just us and him and his friend with 3 flashlights, hiking into the depths of the cave. Saw some crystallized rock and a few bats. The kid then asked for a big tip so we gave him $1. That's a lot of money here!
We've had some nice meals for $6 total including beer along the Mekong at riverside cafes. Our guesthouse is wonderful - the best we've stayed in- with a view of the river, AC, private terrace, hot shower, and nice breakfast for $20/night. There is a "white man's way" road full of trendy little restaurants and cafes, but despite a few other backpackers, it feels like the town is empty except for the Lao people lounging around the river and kids riding their bikes around town. The lifestyle is laid back and we are enjoying it. We would recommend this as a stop to anyone considering a trip to SE Asia.
We are planning to visit a waterfall and the Royal Museum today which features an image of Buddha that has been stolen twice by Siam (thailand) and then returned each time because of the bad luck they experienced after they stole it. People are very superstitous here - there was a government sponsored exorcism here in the late 90s, because of the terrible economy - the government was still trying to blame the spirit of the royal family.
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