It's 1945 and American military correspondent Jake Geismer (GEORGE CLOONEY) has arrived in post WWII Berlin to cover the upcoming Potsdam Peace Conference. With motor pool driver Tully (TOBEY MAGUIRE) assigned as his escort, Jake makes the rounds of his old reporting haunts.
During that, he discovers that Tully, who's actively involved in the black market including trying to sell hot goods to General Sikorsky (RAVIL ISYANOV) over in the Russian occupied zone, is also with Lena Brandt (CATE BLANCHETT), Jake's former lover. She's a prostitute who rooms with fellow hooker and burlesque dancer Hannelore (ROBIN WEIGERT) and desperately wants out of Berlin.
Unfortunately for her, but piquing Jake's interest, others don't want her to leave as both American and Russian forces are interested in finding her husband, Emil (CHRISTIAN OLIVER), who she claims is dead. Things get more complicated following a murder, thus getting Jake's investigative juices going, all of which leads him into hot water with American Colonel Muller (BEAU BRIDGES) as he tries to get info out of various sources, including American Bernie Teitel (LELAND ORSER) who's there trying to round up former Nazis guilty of war crimes.
As Jake continues to rock the boat by digging deeper for answers regarding the murder and finding out more about Emil, his investigation endangers both his and Lena's lives.