The division was reformed on 25 December from the 468th Rifle Division, stationed at Frolovo in the Stalingrad Military District. The 468th had been formed there on 14 December. Its basic order of battle was the same as the first formation. The division remained near Stalingrad, finishing its formation, until March 1942, when it became part of the Reserve of the Supreme High Command's (RVGK) 28th Army in the same area. A month later, the 277th was sent to the front as part of the Southwestern Front's 38th Army. After the Soviet defeat at the Second Battle of Kharkov in May and the beginning of Case Blue, the German summer offensive, in June, the 38th Army was disbanded as a result of losses and the 277th was assigned to the 21st Army. By the end of August the division, worn down by the previous months of fighting against the German advance, was withdrawn to the RVGK's 10th Reserve Army. In October the division returned to the 21st Army, with which it fought in Operation Uranus, which encircled German troops in Stalingrad, in November. In January 1943, the division fought in Operation Ring, which eliminated the pocket.