Red gives Eric $40 to buy a Christmas tree, but he, Hyde and Kelso cut one down along the interstate and keep the money for beer and presents. Red is forced by Bob to spend his Christmas Eve at the store. Laurie spikes the punch with vodka at Eric's Christmas party.

Red takes away the keys to Eric's Vista Cruiser after he notices a scratch on it, so the guys drive around in Kelso's cousin's car, which turns out to be stolen and the guys are detained. Jackie wants to have sex with Kelso and is anxiously waiting for him. Bob isn't too pleased Midge is taking a female empowerment class.