

Cathy tells George and Martha that she and Steve are going to Hollywood to be married, just as Kate Walters arrives at Steve's apartment. Tom has it out with George and decides to run against him in the union election. Mary explains her problems to Mona McKenzie. Mary lies to Cathy that Mona is an old friend from high school who transferred away. Cathy discovers Steve in bed with Kate.
Loretta delivers word that a neighborhood family was murdered; Mary and Tom have a disagreement about making love; Charlie announces he almost has enough money to get Loretta's record demo made; The Fernwood Flasher is finally captured.
Mary brings her grandfather home from the police station; Kathy falls for a blue-eyed Armenian bartender; a reporter interviews Loretta about the murders; and Mary feels ashamed when Tom rejects her sexual advances (or lack thereof).