The next day, the director of the divine sword school, tao, and his assistant, the sword-breaking master, nie-fang, are discussing the future of the city of shangshan. . The two men discuss the possibility of tao becoming the new city lord, and nie says that it is better for him to work for yan because he is weaker than hers. He also says that the major sword-fighting sects in the city still fight against each other, and that they are willing to improve their relations by betraying each other. He goes on to say that he has dealt with the sword breaking master, who is a good swordsman, but he is unable to forge high-quality blades. He says that he must forge a high-grade bladed weapon if he wants to be recognized as a sword-breaker. He then asks tao if he appreciates his sword, which is a yellow-grade sword. The director says that his sword is an eagle-eyed weapon, but . the sword is actually a rat.