Believing Happy Hogan has been killed by Titanium Man, Iron Man gears up to destroy his Communist counterpart. The Russian unleashes several barrages of weapons fire but the agile American easily dodges and returns fire. As Titanium Man tries to evade damage, Iron Man seizes him and bounces him off the rocks in the arena….
Meanwhile, Happy’s body is recovered from the battleground and it is discovered that the burly chauffeur is still alive but barely. Pepper accompanies him to the hospital while Senator Byrd waits to chew out Tony Stark if and when the absent billionaire shows his face….
In a remote area of the arena, Titanium Man unleashes another Soviet cheat: a fake rock conceals a rocket launcher which fires a smart missile at Iron Man. The hero flies frantically through the air before he can use the reverser to destroy the missile. Iron Man then uses the reverser to depower Titanium Man’s armor and proceeds to beat the bejabbers out of the villain, leaving him stranded atop a rocky outcropping. Meanwhile, he has broadcast the Russian’s surrender to the world over his built-in radio. Iron Man must rush off and recharge, while the Soviets dispute the American victory.
Meanwhile, at the hospital a specialist has been called in for Happy, while Pepper and Stephanie De La Spiroza exchange barbs. Tony finally shows up, snubs Stephanie so that she leaves in a huff, and faces the reproaches of Pepper for not being there when his trusted friend needed him. After surgery, Happy is weak and his condition uncertain; Pepper walks out on the seemingly cold-hearted Tony Stark who can only bear his secret in silence….