It's Christmas time, and Marion and Joanie bring in some bags with presents through the kitchen door. They have presents for Mother Kelp (100 proof liquor) and Uncle Ben (handkerchiefs). Joanie goes to the front door and finds Richie all bundled up and freezing. They take him to the fireplace to warm up. Howard brings in the Christmas tree - an artificial aluminum tree. The family, especially Joanie, isn't very happy. Richie answers the door and meets a man carrying a package looking for Arthur Fonzarelli. Richie takes him to Fonzie's place. Fonzie is with some girls wrapping presents. The man (a sailor) brings Fonzie a package from his father, Vito Fonzarelli. The girls leave. The man says he met Fonzie's father at a bar in Singapore. Fonzie tells him that he has nothing to say to his father. The man leaves. Richie comes in and talks to Fonzie. Fonzie shows Richie the gifts (rings that say "to my one true love") he is giving out to all of his girls. Fonzie doesn't want to open the package from his father yet because it isn't Christmas. Richie and Lori Beth enter Arnold's arguing about the amount they were spending on gifts. Richie's gift to Lori Beth is from Pfister's Jewelry Store and was over the agreed-upon limit. Ralph, Potsie, and Lori Beth leave upset at Richie. Fonzie shows Richie a blue tie he is giving to Howard. He will give Al a green tie with a hula girl on it. Richie asks about the gift from Fonzie's father, and Fonzie tells him not to bring it up again. Al tries to turn on the lights for the artificial tree he got from Howard, but it blows a fuse and puts the drive-in's lights out. Lori Beth and Richie apologize to each other, and Lori Beth gives him a fancy pen. Richie gives her a less expensive present: a kiss. At the house, Howard brings in a real tree. Marion also bought a tree. Richie, then, brings in a tree followed by Fonzie, and they now have a small forest in the living room. Everyone opens one present on Christmas Eve. Fonzie opens the package from his father. Fonzie reads the letter which identifies the man who delivered the package as his father. Richie reads the remainder of the letter. Fonzie feels great now that he understands that his father's leaving when he was a child wasn't his fault. The gift is a kimono from Singapore. Ralph and Potsie bring a Christmas tree for Joanie. They bring Richie a hockey stick. Al also brings a Christmas tree.