With their virtually-frozen feet, The Dynamic Duo locate the heat exhaust valve and turn it so that recycled exhaust in the heating unit will reverse the refrigerating process and manage to melt their way out through the resulting heat transfer. Returning to the Batcave, Batman and Robin are greeted by a newspaper photograph depicting The Caped Crusader wearing Commissioner Gordon's gold watch, which Freeze stole at the party. The Frigid Fiend is succeeding in his plan as he has finally managed to lead Gotham into believing Batman has weakened to the temptations of bribery! Mr. Freeze, believing that Batman and Robin are out of the way, proceeds with his master plan to blackmail Gotham City. Unless the city fathers pay him $1,000,000,000, Mr. Freeze will transform the city into one huge cake of ice! To prove his intentions are sincere, he demonstrates his power by freezing The Gotham City Reservoir.
Gordon is tempted to contact The Dynamic Duo, but is discouraged by his loss of faith in Batman. Undaunted by their tarnished reputations, Batman and Robin secretly pay a visit to Freeze's hideout, where they are captured and about to be frozen solid, just like Miss Iceland, whom they see encased in a huge block of ice!!! However, The Duo have applied themselves with a protective layer of Antifreeze Activating Solution, and, armed with their Batthermal Underwear, they thwart Freeze's plans and overpower The Frosty Fiend and his frigid flunkies. The Caped Crusader uses an icepick to free Miss Iceland from her icy tomb, and they discover Freeze nearby, without his Freeze Collar, and near certain death. Wanting him alive to pay for his evil, Batman and Robin brings him over to Miss Iceland's ice coffin and encase him within, keeping him breathing until the police finds his freezing neckpiece.
In Commissioner Gordon's office, Batman is on the phone with Warden Crichton telling him that Mr. Freeze isn't an average normal person and asks if he can keep the temperature for his cell at a lower temperature. As Batman and Robin leave for the Miss Galaxy pageant, they are greeted by the boy that booed at the news of Batman earlier as he states who says that he's the greatest as they enter the elevator. Commissioner Gordon tells Chief O'Hara about who how wrong he was about doubting Batman.