This is a rare example of a second issue "zero series" P.38 pistol that features the exposed extractor, checkered takedown lever, "thin style" rear sight, and scarce, correct rectangular firing pin also referred to by collectors as "square pin". It was issued to the German military in 1940. These second issue "zero series" P.38 pistols are incredibly desirable among collectors as they are a very clear example of changes made throughout the production of the model. The left of the slide has the Walther banner marking with a small milled out section below it, "P.38" and "02020". The small milled out section was originally stamped with a "480" code but was removed by the factory as the gun was not officially approved yet. Its prototype status is indicated by fact that the "Walther" Logo was displaced higher than standard production. The right of the slide is marked with a single "eagle/swastika" firing proof between two "eagle/359" Waffenamt proofs. The serial number is stamped on the front of the barrel lug, left side of the frame and left side of the slide. The "eagle/359" proof is also visible on the hammer and right side of the barrel lug. The left side of the barrel lug is stamped with the bore dimension "8 82". It is fitted with black checkered bakelite grips with "eagle/359" proofs and "020" marked on the inside of each. The full blue magazine has an "eagle/359" proof on the spine and is numbered "02726+" on the left. This rare pistol includes a "cxe/43" black leather holster and an extra unmarked magazine.

Exceptionally fine, retains 90% of the early original high polish blue finish with the balance having thinned to mostly a smooth grey patina, primarily on edges. The grips are excellent with a few scattered light handling marks and crisp checkering. Mechanically excellent. The holster is excellent with some light wear.