(Japanese: ハナダシティ Hanada City) is the second chapter of the Pokémon Zensho manga.
Satoshi's standing outside the Cerulean Gym, admiring the signs around it. There's a giant Dewgong picture on the outside of the Gym, which prompts Satoshi into telling Charmander about how Sailors used to see Dewgong in the distance and mistake them for mermaids. Suddenly, the storekeeper of the Bike Shop shouts out that Team Rocket has invaded his store. One of the Team Rocket Grunts calls out a Beedrill to shut him up. Satoshi sends out Charmander, who easily beats Beedrill, prompting the Grunt to escape. Inside the shop, the storekeeper tells Satoshi about who Team Rocket is and just how evil they are. Satoshi leaves the shop and heads for the Cerulean Gym.
Inside, the woman at the register gives Satoshi some swimming trunks to wear for the battle because that's all that is allowed. Satoshi notices that the Gym is a giant swimming pool. Suddenly, Misty appears. Satoshi blushes, commenting that she doesn't look like any Dewgong he's seen. Satoshi is going to send Charmander into battle, but it's too scared because its tail might go out with all the water. So Satoshi sends Pikachu while Misty sends out Starmie. Pikachu is trying to get into the pool, but having never been around the water, it doesn't know what to do. It falls in, and Satoshi dives in to rescue it. He gets a cramp in his foot and can't move anywhere, and it looks like he might drown. Misty dives in and saves Satoshi and Pikachu. Wrapped in towels, they are told that will be taught how to move about in water freely so they'll have a better chance to battle in the water.
Satoshi is being taught to swim while Pikachu is on a life saver. Misty decides that it's time for Pikachu to try to swim without the floating device. Much to her surprise, the scared Pikachu is still attached to the floating device. Having made little progress, Satoshi leaves. Satoshi and Pikachu both practice by themselves and both become really good swimmers. Satoshi swims with a Seel for a while until Misty enters. She tells Satoshi that once at a beach, she went out to the ocean to swim and a large wave engulfed her and she started to sink to the bottom. She almost died, but a mysterious creature saved her, a Dewgong, and therefore, she feels indebted to her Seel.
Just then, Team Rocket invade the Gym and attack with a Gyarados. Satoshi's Pikachu attacks, stunning the Gyarados, so the Rocket Grunt retreats. Impressed with Satoshi's bravery and persistence, Misty rewards him the Cascade Badge. Misty gives Satoshi her Seel, telling him as he leaves that she hopes she can someday meet the legendary Dewgong who saved her.
- Satoshi gets his second Gym Badge, the Cascade Badge, from Misty as a thanks for preventing Team Rocket from taking over the Cerulean Gym.
- Misty gives Satoshi her Seel.