Meanwhile Ed has dinner with Yoki where Lyra reveals her dream of becoming a State Alchemist. After Ed mentions to understand the world is to follow the rule of Equivalent Exchange, Yoki has Lyra pass off a bribe to Ed as an exchange for a successful report on Ed's inspection of the mines which Ed pretends to go along with. However, that night Yoki has Lyra destroy the inn in secret, but Al is able to save Khayal's life. The next day knowing that Yoki is behind it, Khayal demands that Ed transmute gold for them, which he can't do as it is against the State Alchemist law and it would still be taken away for taxes even if he doesn't get caught. However, Ed decides to secretly transmute gold to buy Youswell from Yoki in exchange for keeping it secret, and then as a Equivalent Exchange trade it to Halling for a free night in his inn which Ed rebuilt using his alchemy. However Yoki shows up and angered that Ed had tricked him has Lyra attack Ed. When she questions why Ed is defying the military, Ed responds by stating he never sold his soul to them and defeats her by cutting off her necklace that allows Lyra to easily perform her alchemy, while the mine workers detain the rest of Yoki's men and then beat Yoki up.

In the end the Elrics celebrate with the mine workers. While back at Central Command, Hawkeye states to Mustang that this incident has confirmed the State will re-organize the personnel at the Eastern Command Center which will make it easy for both of them to clean up Yoki's mess. Hawkeye also mentions that this incident has improved Edwards reputation by making him seen as a hero for the people despite being a dog of the military. The flashback ends to the present three years later where the Elrics are on there way to Reole by cab, but after the driver unknowingly referred to him as short, Ed gets angry and chases him out in the desert on foot.