The war between Tekkadan & McGillis' faction against the Arianrhod fleet begins with Julieta engaging Mikazuki in a fierce battle. Rustal instigates a false flag maneuver by having a revolutionary's Graze hijacked to fire a Dáinsleif toward his own forces, letting him justify a massive counterattack with the railguns that lays waste to the revolutionaries' fleet. Tekkadan tries to provide support, but the Dáinsleif Squadron's second volley severely damages both the Hotarubi and Gundam Flaruos, injuring Shino in the process...