ENTo the inhabitants of Šiauliai, as well as to all Lithuanians, the 22nd June 1941 was the day of hope. It seemed that the scenario of World War 1 was going to repeat itself. However, the hopes died already by August 1941. This situation was a dead end to the Lithuanians, including those working in the sphere of culture. It became clear that after the Soviet regime they were now doomed to the German occupation. In Šiauliai, as well as all over the country, people seemed at a loss. Cultural life in the city in 1941-1942 was disrupted. Cultural workers had to find new tactics in their relations with the occupational authorities. The Germans didn’t exercise too much constraint; what was expected from cultural institutions was their abstaining from anti- Hitler propaganda, promoting German culture and obeying the new authority. The adjustment to the new situation became obvious in the middle of 1942 with the increase of cultural activities in the city. This was especially obvious in music: the creation of a new Musical Theatre and the revival of performances indicated that culture was reborn. The Drama Theatre successfully continued its activities with 19 new productions during the war period. “Aušros” museum, Šiauliai Ethnographic Society, Šiauliai District Centre for Lithuanian Art and Science, libraries also continued their work.All cultural institutions of the city became centres promoting Lithuanian spirit and belief in the future. Despite the pressure exercised by the occupational authorities, no institution of culture and art had become a tool of German propaganda. There were moments when compromises had to be made, particularly in choosing the repertoire for the theatre. But even in this sphere Šiauliai artists were very diplomatic and ingenious. Thus cultural tradition formed in the pre-war period was continued under the German occupation. Šiauliai remained one of the major cultural centres of the country, sometimes even dictating fashion in this sphere (for instance, publishing of the “Varpai” magazine). World War 2 failed to prevent the development of the national culture in the city. 1.