Lucy received a surprise visit from Rex and "reluctantly" let Rex sway her into meeting Dewey, the drug dealer who claimed he had sold drugs to Scott. Scott, having been alerted by Kevin about Rex's surprise visit, then showed up at Lucy's room. Lucy then accused Scott of having kidnapped Serena and a major fight ensued, all of which was staged for Rex's benefit. After Scott left, Rex offered Lucy comfort but she put him off. Ellen tried in vain to keep anyone from finding out that Alice was her mother. After a strained meeting with Alice, Ellen opened up to Matt a little but did not explain why she and Alice were estranged. Later, Ellen's brother, Winston, arrived at the hospital after receiving a call from Frank and the animosity between Winston and Ellen was evident. Chris jokingly reminded Eve that he would do whatever it took to beat her and Matt out of the Quartermaine Residency honors. Later, Chris overheard Eve acting as Scott and Kevin's go-between.

Continuing their charade, Scott was forced to lie to Karen and told her that Lucy thought he was guilty of kidnapping Serena. Later, a livid Karen confronted Lucy, who had no choice but to go along with the scam. Rex invited Lucy to Christmas Eve dinner, but she declined. Rex told his attorney that he didn't completely buy Lucy's story, but was intrigued by her nonetheless. Lucy accidentally ran into Kevin while he was having a counseling session with Gail. Later, Lucy told Scott that he had to cut her off from seeing Serena in order for Rex to fall for their scheme. Eve wanted to rent a room from Frank and Joe, who both thought that Julie wouldn't approve of Eve living in the house. Julie, however, decided to turn over a new leaf and gave Eve a key to the Scanlon home. Ellen told Winston that she was one of Alice's doctors and that he couldn't order her to stay out of Alice's room. Alice asked to see Winston alone and Frank and Matt learned that he was Ellen's brother. Later, Ellen told Winston that she and her husband were no longer together. A curious Matt tried to question Ellen about her husband, but she refused to talk about him.

At the coffeehouse, Devon spilled his drink. Kay approached him and asked if he needed a hand. Devon said he was just clumsy. Kay offered to help Devon if he ever needed a hand.

A tearful Lucy reiterated to Scott that in order for Rex to believe that she's crossed over to his side, Scott must forbid her to have any contact with Serena. Later, Lucy told Serena that she was going to start work on an important project and that she wouldn't be able to see Serena for awhile. Lucy, however, assured Serena that she would always be thinking of her and promised to send her cards and presents. Lucy returned to her hotel room and was frightened by an intruder, who turned out to be Kevin dressed in a Santa suit. Kevin told Lucy that he had a surprise for her and then reached in his bag and pulled out Sigmund, which delighted Lucy. Julie watched as Chris confronted Bennett for the poor review he had given him. Julie then interrupted Chris and Bennett and surprised both men when she sided with Chris and blasted Bennett for not being able to separate his personal feelings from his professional ones. After Bennett left, Chris told Julie that he was impressed by how she had stood up to her father and Chris and Julie reached a new level of understanding. Bennett asked Julie to spend the holiday with him, but she refused. Later, a lonely and guilt-ridden Bennett bought Christmas Eve dinner for the hospital staff on duty in the hope of getting back in Julie's good graces. Alice made it clear to Ellen that she wasn't interested in spending the holiday with her, although Alice was thrilled to see Winston. Ellen then felt like an outsider as she watched Winston and Alice celebrate Christmas Eve together. Karen told Scott that she was going away with Joe for a few days and Scott gave her his blessing.

Due to the Christmas holiday, Port Charles did not air today.

Scott brought Serena to Gail and Lee's house after going on a sleigh ride with her. He told Gail how it reminded him of a sleigh ride he took once with Dominique. Joe and Frank talked about Joe's trip with Karen, as did Karen and Julie. Eve told Scott that Lucy was ready to stage their final fight. Rex showed Lucy pictures taken of Scott fishing in the Cayman Islands with a bank president. Lucy went to the hospital, and staged her final fight with Scott in front of Lee, Gail and Eve. Lucy accused Scott of lying to her since he had gotten to Port Charles, and Scott forbid Lucy from seeing Serena anymore. Later, on the roof, Scott thanked Eve for all she had been doing and gave her a charm bracelet with a charm of a pizza on it. Lucy told Rex that she was willing to do anything to get Serena away from Scott. Joe's car got a flat tire miles away from civilization and any gas stations, so he and Karen went to sleep in the car. Eve and Chris toasted to the end of a crummy year, then got out their frustrations by throwing ornaments at Chris's fireplace. Eve complained about Scott to Chris, then kissed him. He kissed her back, and they feel onto the couch. Scott had a dream where Dominique came to him and told him tearfully not to lose Serena.