Psylocke, having returned from her stint with the Exiles, travelled to Japan to bury her former body. Upon arriving she was ambushed by the Hand, who destroyed her body with an incendiary device, stating as they departed that Matsu'o gave the command to attack. Enraged, Psylocke tracks Matsu'o down, only to be horrified to find him terribly disfigured; the result of Wolverine's yearly revenge. Matsu'o, now missing both hands and other body parts, desires an honorable death and wants Psylocke to grant him that honor since he cannot hold a blade to perform seppuku. Before Psylocke can oblige, Wolverine emerges from the shadows and says that Matsu'o's punishment is not over yet. The two X-Men engage in a brutal fight that ends in a standstill. Wolverine finally relents, however, allowing Psylocke to kill Matsu'o. She generates a telepathic illusion of Kwannon in Matsu'o's mind, then kills him quickly with her psychic blade.