The chapter involved a running competition. At the beginning, Kyon and Haruhi Suzumiya were on the red team, while the rest of the Brigade was on the white team. Red team was losing, since Yuki Nagato was performing so well for white team.
As Nagato extended her lead, suddenly the SOS Brigade members switched sides; now Kyon and Suzumiya were on the white team, with the rest of the Brigade on the red team. Now Suzumiya's team was in the lead. Only the Brigade (except Suzumiya) noticed the change.
The teams continued to switch, each time with Suzumiya being on the winning side, only to begin losing to Nagato.
Kyon sought out Nagato and Itsuki Koizumi for an explanation. Koizumi said Suzumiya was dissatisfied with the contest, causing closed space to appear. Nagato said that Suzumiya was seeking "conflict" and Koizumi said Suzumiya didn't find a one-sided game fun.
Kyon, beginning to understand, cheered on Suzumiya. The two sides, with Suzumiya's team currently only slightly behind, then fought a "samurai battle". Suzumiya thought she would win, but Nagato and Mikuru Asahina tricked her, giving their team the final victory.
Koizumi explained afterward that halfway through the contest, closed space had begun to disappear. Suzumiya was satisfied, and by the end of the contest, closed space had vanished.