The Christmas season is approaching, and while Ally is thrilled about it, Larry has nothing to celebrate. He confesses to her that he has a 7 year-old son who lives in Detroit with his mother, and ever since they split Larry finds Christmas sad and lonely. Meanwhile, Kimmie insists that John sings at the bar after he lies about his college band, and he doesn't do as bad as everyone thought he would. Elaine is lonely and performs at the bar to regain self esteem. Mark asks her out on a date. John and Ling handle a case about a news anchor who was fired for saying on TV that there's no Santa.
Winter Wonderland — Macy Gray
Carrying the tree.
It's Not Unusual — Tom Jones
Richard's demo for John.
Tomorrow — Jane Krakowski
Elaine practices.
Christmas is Coming — Calista Flockhart
[On-screen performance] Trying to find a song for Larry.
All I Want For Christmas Is My Two Front Teeth (F7 Christmas Party) — Don Gardner & Norsk Noteservice Wind Orchestra
[Live cover version] Calista performs, trying to find a song for Larry.
Jingle Bells — James Pierpont
[Live cover version] Calista performs, trying to find a song for Larry.
River — Joni Mitchell
[Live cover version] Robert Downey Jr. performs; Ally goes to the bathroom.
Treat Her Right — Roy Head
Richard's suggestion and John's performance
White Christmas — Irving Berlin & Francesco Greco Ensemble
At the end, Ally and Larry in her apartment.