Alicia and Selvaria meet for a final showdown. As they battle, they both recognize each other from the Imperial lab where they were held as children. Selvaria, being considered the most powerful, was kept at the lab while the rest of the orphans including Alicia were sent away to foster families but Selvaria managed to escape and met Maximilian. During the battle, Selvaria, fighting for Maximilian, begins to gain ground on Alicia. Nearly defeated, Alicia suddenly realizes that she has something precious to fight for as well: Squad 7 and Welkin. With renewed strength, Alicia defeats Selvaria with one last strike. Selvaria understands that defeated she is of no use to Maximilian, and sacrifices herself to create a massive explosion, destroying the Gallian Regular Army and General Damon. Meanwhile, Maximilian attempts to negotiate a peace treaty with Cordelia, demanding she marry him so that he has access to the Valkyrur bloodline, but Cordelia reveals that she is in fact a Darcsen. Shocked, Maximilian orders the Marmotah to attack Randgriz. Karl then confronts Maximilian about his callousness towards the loss of Selvaria which he shoots Karl dead, declaring no one will stand in his way.
When Imperial forces attack the small border town of Bruhl, Welkin Gunther, son of late General Belgen Gunther, is forced to fight for his life alongside Town Watch captain Alicia Melchiott. Along with Welkin's adopted sister Isara, the three escape to Gallia's capitol and subsequently join the country's militia forces. As members of the newly-formed Squad 7, they must work to repel the invading Imperial forces and discover the true purpose of the invasion itself.
