Santa and Mrs. Clause go on a killing spree in Woodbridge, 12 days prior to Christmas.

2065...With Earth rendered uninhabitable by war, humanity's remaining survivors send a fleet of ships to different points in the galaxy in the hope of finding a new world. After seven years of travel and long since out of communication range, the crew of The Pegasus are nearing their destination when they encounter a derelict ship. As tensions on board rise and they struggle to complete their mission they soon realize that they are not alone and must fight for their survival - and the survival of the human race.

After foiling a plot to blow up an American arms plant, Danny Coogan and his girlfriend, Beth, quickly find that their troubles have just begun. One of Toulon's mysterious Puppets has been kidnapped by the Nazis, and under the wicked, watchful eye of the occultist Commandant Moebius, the Puppets' life-giving serum is synthesized to create a master race of unstoppable soldiers. Moebius plots to assassinate the highly-decorated General Porter to deliver a crippling blow to the American war effort, but his experiments are not ready. A Nazi Scientist uses the serum to create their own superior race of Nazi Puppets in the form of Blitzkrieg, Wehrmacht, Bombshell and Kamikaze! Danny and Beth, teamed with craggy Sergeant Stone and Toulon's Puppets, are no match for Moebius and his war machine. It is up to Blade, Pinhead, Leech Woman and Jester to revive their own secret weapon to stop the Axis Rising!