In 1939, Germany and Soviet Union jointly invaded the Commonwealth of Warsaw. Soviet Union invaded Ukraine, Belarus and Lithuania, while Germany invaded Poland. France and the UK declared war on Germany. The German invasion was a total success, but the Soviets immediately got bogged down against guerillas in Ukraine, Belarus and Lithuania. As if it was not enough, Stalin would launch the Winter War against Finland. Those wars made Stalin even more unpopular, and Soviet Union even weaker.
Italy took advantage of the situation to force her protectorate over Yugoslavia, which was split between Croatia (Ustase), Serbia (under Nedic), Montenegro and Slovenia. Italy directly annexed Fiume, Istria and Dalmatia. Then, Mussolini supported the Antonescu / Iron Guard coup in Romania.
As of February 1940, the New Roman Empire encompassed all the Balkans except for Bulgaria. The West had to tolerate Soviet and Italian expansionism.
In April 1940, Britain and France launched Plan R4, a preemptive intervention in Norway, to seize Narvik and the Swedish iron ore minefields. The result was that Norway, Sweden and Denmark all declared war on the Entente, joining Germany. In May 1940, Germany launched her invasion of the Low Countries. Italy and Spain joined the war. In June, it was France which was invaded, leading to the Armistice of the 22 June 1940.
As Hitler passed through Paris, he was informed that someone had come to meet him, at the Draka embassy. Archon Palma herself. She came to Paris incognito (disguised as a Draka diplomat), because she wanted a secret meeting. She talked at length with Hitler, which was easy because their ideas were close. At the end of their meeting, a secret pact had been concluded.
Germany and the Domination would launch a joint invasion of the Soviet Union, with the Draka taking the east of the Urals, and the Germans taking the west.
The Draka would provide the Germans with lend-lease, making sure they didn't lack weapons, ammunition or oil.
In return, the Draka would be allowed to conquer Italy and her empire (in the Balkans). Hitler was happy with this pact. He never really liked Mussolini and the Italians anyway. They had joined the Central Powers, only to turn on them in 1915. They had kept their options open, and only jumped in the war last-minute (while still making unreasonable demands), in May 1940.
Hitler was even happier after signing the Armistice (with France). And then, he died of a seizure.
OOC : This is the POD.