The Glorft launch an incursion on Santa's workshop, which they believe to be an Earth military facility. Santa's elves use toy solders as mechs. Despite this, the Glorft are able to defeat the elves and take them, along with Santa prisoner. Gorrath remarks that he hates the cold, but the Commander states that taking over this place will give them a foothold on Earth, and they can spread their invasion from there. Gorrath then confronts Santa Claus (Voiced by Peter Cullen). Santa says that the spirit of Christmas will never die and he will be saved. Gorrath has him put into a cell. Gorrath then says that victory is within their grasp.
Meanwhile, Coop and Jamie have a snowball fight on Christmas Eve. Kiva comes out with some hot cocoa. Jamie throws a snowball at her, but her military combat reflexes kick in. She dodges the snowball, goes up to Jamie and twists his arm. Kiva then asks what is going on. Coop explains that it is Christmas. Kiva states that there is no Christmas or other holidays in the future due to the war with the Glorft. Jamie says the future must be a bad place.
Coop explains to Kiva what Christmas is all about. He also talks about Santa. Coop also mentions that he and Jenna are going to spend Christmas alone, in his uncles's luxury cabin in upstate New Jersey. Jamie says he is going to his grandmothers, which is always boring. Kiva remarks that she may consider visiting Ally, but figures she could go with Jamie.
Coop and Jamie then argue about Santa being real. Coop believes that Santa exists, where Jamie does not. Coop's mother then tells Coop that they have run out of Egg Nog. Coop says he will go to the store and get more. Inside Megas, Coop realizes he forgot to send his letter to Santa. Jamie remarks that every year it gets "return to sender".
Coop visits the post office, but it is crowded. Coop then decides that he is going to deliver his letter to Santa personally with Megas. Megas travels to the North Pole. Along the way, it is revealed that Jamie came downstairs early as a child, and saw his parents setting up his gifts. That is why he no longer believes in Santa.
After traveling through a strong blizzard, Megas makes its way to Santa's workshop. Jamie says that it is just an Area 50 military base. Coop asks Kiva to find Santa. When she does, she discovers that the Glorft are here. This pisses Coop off, as he believes that the Glorft are trying to destroy christmas. Megas heads for the base.
Megas fights against the Glorft. Meanwhile, Kiva infiltrates Santa's workshop. She does battle against glorft solders. Outside, Gorrath shows up, using Santa's slegh. It transforms into a mech similar to Optimus Prime. Kiva manages to rescue Santa & The Elves.
Back outside, Gorrath gets the upper hand against Megas. Santa's slegh is then attacked by robot toy solders. Kiva and Santa get back into Megas. Coop tells Jamie that he told him he was real. Jamie just mocks Coop. Megas and Gorrath battle, with Megas being victorious. However, Santa's slegh is destroyed in the process, making it impossible for Santa to deliver the toys in time. Santa asks if Coop and Megas can deliver the toys and Coop agrees. Coop then takes the sack of toys and travels all over the world to deliver the toys. Jamie apologizes to Coop and Santa about doubting the latter's existence.
Note: Between this episode and "Back to the Present". Coop & Jenna lose their virginity to each other.
