Back in Iceland, a title 'Njorl's Saga Part II' appears on screen. A narrator (John Cleese) explains this story was written by an unknown hand in the 13th century, undiscovered until today.
Erik Njorl (Terry Jones) mounts his horse as the narrator introduces characters unnecessarily reeling off their lineage. A second narrator (Jones) apologises for a mistake in the saga, correcting the first narrator's lineage mistakes. A third voice, the BBC head of drama (Cleese) apologises for the mess of the narrations and that the North Malden Icelandic Saga Society will help out in correcting the saga.
Erik Njorl rides on his horse for 12 days and nights until he arrives at North Malden. The narrator (Eric Idle) describes the perks of visiting North Malden, including an excellent swimming pool. Njorl meets the major, Arthur Huddinut (Michael Palin) who tells the audience the businessman and investors are most welcome. The BBC head apologises once again but decides they will continue the saga.
Njorl comes across the dukes of the land of Bjornsstrand who have the letters of their dread name on their chest, which spell out 'MALDEN'. The head of drama calls the head of the North Malden saga (Palin) about the weird Malden references, who explains it's just a new interpretation. Meanwhile, Njorl fights the dukes who are fighting with placards advertising Malden as 'Invest in Malden' flashes on the screen. The saga abruptly finishes and moves onto Part III.