Sakura's family (including Kero) and Yukito come this plateau to spend over two nights at the cottage that a friend of Fujitaka's lent them. While the others are out for shopping, Sakura and Kero take a walk around the cottage. During her walk, she meets an old man at the villa nearby, who invites her to his tea time.
Sakura talks to her family that the old man asked her to come over the next day, and Fujitaka smiles and agrees to her visit. Next morning, Fujitaka gives Sakura the cookies he baked for the old man. In the old man's villa, he guides her into a room, that is his granddaughter's room who is already dead. At the moment of Sakura's name, his face turns a little severe, but he smiles and takes her to the tennis court. They enjoy playing tennis, until they have a tea break, when Sakura runs and fetch the cookies she brings. When she talks about her father, the old man enjoys the cookies. Afterward, he gives her his granddaughter's favorite dress, saying that his granddaughter would be pleased if she has it. She sees the painting of a rainbow that the granddaughter painted for him, as he likes to see the rainbow from the veranda.
Sakura tells Kero about the old man, and wants to do something in return. Next day, Sakura goes over to the villa and asks the old man to stand out on the veranda when she's gone. Sakura uses the Rain Card, so he can see a rainbow from the veranda. Actually, the old man is Nadeshiko's grandfather, in other words, he is Sakura's great grandfather. All the events in the villa was Sonomi's plan, the old man is please to see Sakura and to know that Fujitaka is a good man.
Sakura is on her field trip at the seaside. When she swims offshore, she sees Syaoran standing at the opening of the cave. Her friends call her to join them with a beach volleyball, so she swim back to the shore and enjoys volleyball. The whistle blows, and all the kids stand in line and draw a beach seine. They have a good haul.
After the lights-out, Sakura's group are talking about the courage test they are to have the next day. Though Sakura is pretty scared of it, Naoko begins a scary story that kids disappeared in the cave during their courage test. She is completely scared and can not fall asleep, so she walks outside, when Syaoran taps her on the shoulder. They sit by the shore, and talk together. According to the talk, Syaoran lives along with Wei, and the rest of his family live in Hong Kong.
Next night, the courage test is held; Sakura looks pale before she enters the cave. Tomoyo leads her into the cave by the hand. After Mr. Terada appeared to scare them, nobody shows up, which Tomoyo feels very strange. They hear Chiharu cry out beyond the bridge, so they run up to the scene. Chiharu and Rika are crying that Naoko vanished, and just before them, Rika and Chiharu vanishes. Sakura and Tomoyo run back on the bridge, when Tomoyo vanishes so the candle she held drops on the bridge. The bridge catches on fire, Sakura can do nothing but see it burn down. Syaoran runs to Sakura and soothes her practically upset. He said it is the work of a Clow Card, and she uses the Float to transport them across the water. When they reach across the water, Syaoran fading out. Sakura concentrate, and find the active Card is in the old shrine. She swings open the shrine door and seals the Card, which is the Erase Card.
Next morning, nobody quite remembers what happened in the courage test. Syaoran said that the Erase Card erased their memory as well.
Sakura sees a dream in which she is surrounded by glowing balls. When she is half saying something in the dream, Kero wakes her up. Kero asks what she was about to say, but she does not remember, so he stresses that people who have magical powers like she does tend to see prophetic dreams.
Sakura goes out on shopping, because she has to fix dinner on a shift. After she gets through with the shopping list, she stops in front of Yukito's house, where she meets Yukito who lets her in. They have a conversation for a long time, until Yukito walks Sakura home. On the way home, Sakura literally bumps into Touya, and he takes Yukito to his house. When they are fixing dinner, Sakura tells them she wants to go to the festival at Tsukimine Shrine with Tomoyo that night. Being anxious about her, Touya insists he come along with them.
Sakura, Tomoyo, Touya, and Yukito come to the shrine. Sakura tries the yo-yo hoisting, but she failes, and then Yukito tries and wins a red yo-yo she wants. They see Syaoran winning many prozes at the shooting gallery. He blushes, gropes in the prizes, and gives boxes of chocolates to Yukito. When Sakura says she wants a stuffed bunny and Yukito agrees, Syaoran and Touya begin competing with quoits. While they are busy, Tomoyo suggests Sakura take a walk with Yukito around the shrine.
Back of the shrine, Sakura and Yukito can see fascinating glowing balls falling around them. Seeing the mysterious scene, Sakura shifts into a romantic moode. But unfortunately, Touya and Syaoran appears with the stuffed bunnies they won. All of them go back to the festival, but Sakura and Tomoyo remains there. The glowing balls are the work of the Glow Card, which Sakura seals it successfully.
On the last day of the summer vacation, Sakura is busy because she has still a lot of homework to do. She hurries up and finishes her diaries, when Kero offers to do her math homework, saying it looks easy to him. When she is making a nest box as her handicraft work, Yukito comes her house. As Touya pointed out, she forgot to make an aperture of the box. Touya takes on her handicraft for five days of chores. At this time, Tomoyo phones her and asks her to do their homework together in the library.
Checking the math drill, Sakura finds out Kero's assignment are all wrong. All the work she has to do is the impression composition of a book. Sakura is looking for “Story of Pig,” but it is nowhere in the library. According to the library clerk, four copies are out on loan, and one is in the library. That one is being read by Syaoran looking up a dictionary, however, it diappered while Kero is provoking him.
Sakura, Tomoyo, and Syaoran are looking for the “Story of Pig.” One minute they find it, but the next minute it is gone. They run around the library to catch the book, but they can not. It turns out to be the work of the Move Card. Running after the book, they are outside. Kero advises Sakura to feel its presence for guessing where it comes out next. She concentrates and tries to feel the presence, then finally she can pinpoint the location and seal the Move Card. But the next minute, Sakura and Syaoran fall into the pond and get soaked.
Syaoran takes Sakura and Tomoyo to his apartment, and lends Sakura a cloth to change. Unfortunately, a girl visits Syaoran, who seems like Syoran's girlfriend. She makes a scene when she looks Sakura in Syaoran's shirt she once gave him.