Kathy was flying aimlessly when she received word of the sea's impending arrival, so she flew to Lost Isle to wait. When she arrived, a small flotilla was already in place:
Naturally, when the time came, the event was fairly anti-climactic. Kathy set out into the new waters, only to be greeted with a message "You do not have permission to enter this region," followed by movement into the region, at which point she was completely stuck. Ah well.
I could not help but notice that the region immediately west of Lost Isle was named "Blake Sea - Kendra." Methinks Mr. O'Toole had something to do with that. Speaking of whom, the Fleet Captain has a brief film of the event here.