On the Western Front... In the advance of German 5th Panzer Army, Bastogne is surrounded. An German demand to surrender, issued to the American defenders, is rejected by American General McAuliffe -- commanding the encircled troops. St. Vith is captured late in the day. However, the lack of substantial progress leads Model, commanding Army Group B, and Rundstedt, Commander in Chief West, to recommend an end to the offensive.

In Berlin... Guderian, Chief of the General Staff of the German Army, recommends that the Ardennes offensive be called off.

In Liberated Hungary... A Soviet sponsored provisional government of Hungary is established at Drebrecan.

In the Philippines... On Leyte, there is fighting around Palompon where the Japanese forces on the island are now concentrated.