Lois decides to go back to the dam to poke around and investigate some more. Clark follows her, because he apparently has nothing better to do. They find a kicky red ship in the woods, and the person it belongs to -- the girl from last week, who can fly and kick some ass. She"s Kara, and it turns out she"s Clark"s cousin (so much for romance, dude), the daughter of Zor-El, Jarnelle"s heretofore unmentioned brother. Kara used to babysit Clark; she"s been in suspended animation all this time. She"s extremely bummed to hear that Krypton was destroyed because she has no idea where she"s going to get more of these tiny blue Kryptonian tank tops. A patsy takes the blame for Lana"s supposed murder, allowing Lex to get out of jail free (and without a card, even). He tracks down Lana and immediately hops on a plane to confront the foul, conniving, wig-wearing wench. Lex shows up, creepily and...asks for forgiveness. Dude, whaaaat? He tells Lana she can come back and live safely and do whatever she wants. Because he"s so evil. Lex figured out that Lana found out that he had created a clone body of her. She used the clone, which was never alive (it was a Lana Real Doll, essentially) to fake her death in the exploding SUV. Lex admires her moxie. Lana has a gun and aims to kill Lex, but she loses her nerve when Lex clearly wants to die by her hand. Lex goes home and sketches a drawing of Kara, and is now in pursuit of his guardian angel. Look how well his pursuit of Clark turned out. Lois decides to investigate the ship, and a hot shot new editor at The Daily Planet overhears her and offers her a job if she can get the spaceship story. Lois doesn"t want to get in the way of Chloe"s career, but she takes the assignment anyway. In the end, she finds the ship, but doesn"t get any evidence. The editor hires her anyway, and sits her next to Chloe for some family competition. Kara and Clark track down the ship, which the government has taken. It blows up, but Kara absorbs the blast. Unfortunately, she loses an important huge crysta, and some creepy government guy snags it for the "Department of Domestic Security." Clark offers to let Kara stay at the farm given that she has no other relatives, and very little in the way of midriff-covering clothing. Clark goes to the Fortress to ask Jarnelle about all this family history, and Jarnelle tells him not to trust Kara; apparently, she"s bad news.