This was the site of a major Imperial victory over Rebel Forces, which led up to the Battle of Hoth. Derra IV was the embarkation point for a convoy bringing desperately needed supplies to Echo Base in the Hoth System. It was Vice Admiral Thrawn who conceived of the battle plan, although Lord Vader was the one to present it to the Imperial pilots. The Rebel convoy and its starfighter escort led by Commander "Boss" Narra were ambushed and obliterated by Imperial Forces, when an Imperial Escort Carrier hypered to the far side of Derra IV and unleashed its TIE Fighters. The 181st Imperial Fighting Group split its three squadrons into three tasks. One Squadron was assigned to destroy the Rebel fighters, Two Squadron was assigned to cripple the convoy and Three Squadron was to attack targets of opportunity.

    The TIE Fighters destroyed the lead convoy ships and thus significantly disrupted the Rebels attempt to escape. The ISD commanded by Lord Vader, later arrived in the middle of the battle, but did not participate in it. The brutal and swift attack resulted in the total elimination of the Rebel convoy. Boren Tascl led one of the TIE Fighter squadrons at this battle. Due to this battle, Colonel Derricote received the promotion to General and was charged with the defence of a planet in the Empire's domain. Phennir was promoted to Commander and given command of Major Fel's old squadron, since he destroyed four Rebel transports. While Major Fel was promoted to Colonel, given command of the 181st Imperial Fighting Group and the title of Baron. He was also given a holding on Corellia.