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The game starts with an introductory scene which explains the events immediately before the start of the game. This short description explains that the Goblins and Men (although this includes elves, dwarves, and halflings too) are at war and the Golbin armies are making a final push into Duke Hector Barrik's castle. The Duke believes that this is the final night in the war, that the goblins will overrun the defenses and his people will be wiped out. However, before the goblins' attack begins, the ground begins to shake, the sky rips open, and both Men and Goblins are sucked into the void. The screen then moves to a shot of a valley with towering walls and a brilliant, red sun overhead. A description of what can be seen scrolls up the page, similar to how a setting would be described by a Dungeon Master in the RPG. It reads:

The castle has been transported to a valley with impossibly high cliffs. A red sun flares, circled by floating continents. The horizon appears as the bottom of a basin.

The menu then appears where you have a choice of Use Default Party, Create New Party, or Load Game. The Use Default Party option takes you straight into the game with a party of four adventurers consisting of a Fighter, a Cleric, a Magic-User, and a Thief.

If you choose the Create New Party option, you are taken to a new screen where you may choose your own party. The "classes" are split into two groups: Human and Demi-Human. In Human, you have Cleric, Fighter, Magic-User, and Thief. In Demi-Human, you have Dwarf, Elf and Halfling. For each class, you can select Male or Female and a color (red, blue, green, or yellow) to distinguish them on the screen. When you've chosen a class, gender, and color, you can then access the option to "Roll Again" which allows you to generate a new set of stats for the character, including Strength, Dexterity, Wisdom, Hit Points, and even their starting gold. There is no limit on this, so you can roll as many times as you wish. Once you are happy with the character's stats, you are asked to give him/her a name.

After you've chosen all the characters for your party or have picked the Use Default Party option from the main menu, you are given a little speech by the Duke, in which he says:

"We are in a strange new world. There is a new enemy here. Our people need allies to survive but the guards must defend he castle. You have been chosen to explore our new home. The gods have given us another chance. Serve me well and bring us allies."

Your party then appears in the Duke's castle where you can take control and begin the game.