Summer vacation has just begun. Konata, the Hiiragi twins and Miyuki go to a summer festival clothed in yukata. Yui Nanami is first introduced in this episode, currently on patrol at the festival. Konata and Nanako chat over an online game. Later on, Konata and the twins meet and do homework together. Back at her house, Konata finds a rare drop and celebrates it with her online friends.

Konata and the girls discuss the problems with sleeping during trainrides.

Christmas is around the corner, but before that, Konata learns the truth about the existence of Santa Claus, Tsukasa and Miyuki talk about dentists, Kagami thinks that the people in Konata's class are a little too familiar with her, and Konata has to work during the holidays.

Konata's cousin Yui insults the cops on television (despite the fact that she's a cop herself). The girls talk about how once a person is over 25 (i.e. their teacher Nanako Kuroi), a Christmas cake is any old cake to him/her. The girls also discuss static electricity and why Konata doesn't get shocked by it.

On Lucky Channel, Akira announces that she will appear in the actual show starting in the next episode.