A hungry Garth is a careless Garth and when he 'borrows' Elizabeth's shrink ray to increase the size of his breakfast, Jack not only sees the device in action, but steals it. Chaos results when Jack unwittingly uses the shrink ray in reverse on a koala. The enormous furry creature is soon peering in second story windows. To hide the giant koala Toby invents a mist which envelops the school. While Elizabeth diverts attention in the classroom, Russ and Sacha run interference in the grounds, keeping Ms. Hammer out of the danger zone. When the koala uses the school as a scratching post, shaking the building, an evacuation is called. Just when Jack thinks he can prove his suspicions about Elizabeth and Toby, the mist clears and Elizabeth arrives with the koala which has been shrunk back to its normal size.
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