Max Asher pays a visit to Lily, and brings a mold of the missing piece from inside the broken statue. Based on some old parchment of Matt's, they determine that it is the Gorgos stone, an artifact so rare that Matt was one of the few people who even believed in its existence. Later, Lily asks the teens if they recognize it. They don't, but Alex rushes off to jot down the symbols on it before he forgets. One of the symbols also appears on a Japanese comb, so Alex touches the screen and becomes a Japanese woodcutter named Minokichi.
While taking shelter from a blizzard, Minokichi's mentor Mosaku entertains Alex with the story of Yuki-onna, telling him that her victims provide the blood that gives the trees their colour. After they fall asleep, Yuki-onna appears and kills Mosaku. She spares Alex's life, but tells him that he can't tell anyone that they met. The myth skips ahead to spring and Alex meets a beautiful girl named Yuki. She quickly falls in love with Alex. After another time-skip, Alex and Yuki are married. Mosaku's widow warns Alex about Yuki. After Alex tells Yuki about the encounter, the widow turns up dead.
In the meantime, Cleo goes to Max Asher to get more information about the Gorgos stone. Her questions arouse Max's suspicion, but he does nothing. She returns home to find Alex blinded by his romance with Yuki. She finds a copy of the story written in Japanese, and in order to find out what happens, she goes back to Max Asher. Max tells her that Yuki-onna fell in love with Minokichi and took human form in order to marry him. Cleo's freak-out confirms Max's suspicion that they found the Gorgos stone. She tells him about the Cyber-Museum and then rushes off to save Alex. She arrives in time for Alex to find the widow's body in the woods. She tells him that Yuki is the human form of Yuki-onna, and gets him to tell Yuki the story of his first encounter with Yuki-onna. Alex does so, breaking his promise, and Yuki-onna returns to her ethereal form. Alex touches Yuki's comb and returns to the real world, where he finds out that Max now knows what they've been doing.
