Captain America takes his personal war against Hydra international, working with S.H.I.E.L.D. and the Avengers to shut down two Hydra branches – one in London, one in Paris. When the battle is over, the commander of the London branch admits that the Hydra power base has deteriorated. He is not responsible for the public attacks, but informs him that an upstart - the Sensational Hydra - is responsible for these attacks. As S.H.I.E.L.D. moves in to arrest them, one of their members reveals himself as the Sensational Hydra, kills the London commander, and escapes from the confused agents.
Thor returns Captain America to Brooklyn where they discuss the next phase of his war on Hydra. Cap soon admits to Thor that the he isn't sure that he can handle the increasing idol worship by the public. Thor reminds him that he is better equipped than he realizes, citing that he is one of the few to be able to lift his war hammer Mjolnir (THOR Vol. 1 #390) because he was of a "noble heart". If anyone can handle the responsibility, it is him.
Later the Sensational Hydra executes the final phase of his master plan. Releasing a pre-recorded message to Captain America, he indicates that he will kill his hostages if Cap will not meet him on the observation deck of the Empire State Building. Cap makes his way through an "easy" gauntlet of Hydra mercenaries – reluctantly picking up an annoying reporter "sidekick" along the way – to the observation deck.
Once there the reporter reveals himself as the Sensational Hydra, who is in fact a Skrull agent. The hostages are revealed to be Skrulls in disguise as well. Once their identities have been revealed, the Skrulls kill the shocked Hydra agents and capture Cap using "Skrull handcuffs" that adapt with their shape-shifting powers.
The Sensational Hydra/Skrull explains that the three of them are unable to return to their homeworld. As part of their revenge against humanity, he has helped boost Cap's reputation through calculated battles, prompting "Capmania". His ultimate objective is to impersonate Captain America and turn humanity against itself through its most trusted person. He's keeping Cap alive in case he needs specific information from him.
Skrull-Cap returns to the press and assures them that all is fine. Hydra no longer presents a threat, but there is much left to do in his unspecified agenda.