Does your character and stats carry over? Or is it like starting again.
also..How the *** do you beat the last mime guy? He's tough.:p

I don't know about the stats carrying over. For the mime guy, there's really no secret. Just use a lot of defense down items on him. Try not to let him get any attacks in without at least a partial block.

You have the option to carry over your character for episode 2.

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Lets play...stump the Oblivion Guru, ask away...