Michael Scott comes into the office as
Santa and is outraged that
Jim Halpert had already allowed
Phyllis Vance to be Santa at the office
Christmas party this year. Everyone enjoys having Phyllis as Santa, so Michael tries to gain attention, prompting Jim to tell him to cease and desist. Michael then rearranges his costume into a
Jesus outfit and starts heckling the staff while Phyllis gives out the
Secret Santa gifts. When Jim stops Michael again, Michael calls CFO
David Wallace to complain. David asks not to be bothered as someone made an agreement to buy the company, which means that David will lose his job. Michael calls a conference meeting to try to keep up everyone's spirits but reveals that the company is being sold. Jim notes that being sold could be different from going out of business, so Michael calls back David with everyone listening. David clarifies that only he, CEO Alan Brand, and a few other executives would lose their jobs, but the branches would remain because they are the only successful aspect of the company. The office cheers and goes back to the party. Everyone receives their Secret Santa gifts, and Michael apologizes to Phyllis for trying to overshadow her.
Oscar Martinez has a secret crush on Matt, one of the new warehouse workers.
Pam Halpert plays matchmaker and introduces Matt to Oscar. After conversing a while, Matt leaves, and Oscar asks Pam to let him pursue Matt by himself.
Dwight Schrute's present has been delivered to him in pieces over several weeks. After assembling it, he believes it is a gun. However, after a hint from Michael, he rebuilds it and realizes it is, in fact, a
nutcracker, which pleases him.
Andy Bernard has asked to have
Erin Hannon as his recipient for Secret Santa and gives her the
Twelve Days of Christmas. However, the gifts — most of which are actual live birds — cause her physical harm, prompting her to publicly ask her Secret Santa to discontinue. Phyllis promises Andy not to reveal him as Erin's Secret Santa, but Michael outs him during his heckling. Erin becomes furious with Andy. As the office leaves for the night, they are greeted by twelve drummers in the parking lot. Andy joins them and wishes Erin a Merry Christmas, completing his Secret Santa gift to her. They start drumming and Erin is visibly pleased by the gesture. ==Reception==