Tracy is in a snit over the fact that Brandon kept the engagement ring. She breaks up with him. Brandon and Kelly each confess their feelings to friends, but expect the other person to make a move. Tracy confronts Kelly, who admits that she still loves Brandon. Kelly tries to stop Brandon from returning the ring. He cannot bring himself to sell it, and runs into Kelly in the street. She believes that he has already sold it and pretends to support this decision. Brandon exchanges the ring to get a bracelet for Tracy, and Kelly buys the ring and sulks. Meanwhile, Valerie tells her mother that her father repeatedly molested her. Abby refuses to accept this and slaps Val. Abby comes to grips with the truth and apologizes for not protecting Valerie. Val asks Tom to leave town, as his presence is a painful reminder of the abuse. Donna is torn between David and Cliff. Chloe makes a pass at David and annoys him with her rude remarks about Donna. Donna tries to reconcile with David, but storms out when Chloe emerges in just a bra. Elsewhere, Steve and Clare go on a double date with Ryan and his girlfriend. Clare pressures Steve to talk to his brother about sex, but Ryan ultimately decides to remain a virgin for the time being.

Donna and David visit her grandmother in San Luis Obispo. Noting a striking resemblance between David and her late husband, Mrs. Martin tells the couple about her romance with Donna's grandfather, whom she knew for just a few months before he was killed in World War II. Donna and David are touched as they look through Capt. and Mrs. Martin's old pictures and letters. They decide to have faith in their relationship in spite of obstacles such as Felice's opposition. Meanwhile, Kelly finds a young 11-year-old boy sleeping on her front porch who introduces himself as Joey. She reluctantly breaks a promise to the runaway by turning him in to social services, and is wracked with guilt when she learns that Joey ran away from the shelter. Also, Valerie begins a romance with a hot new movie star, named Rob Andrews, who looks to her for support because he is uncomfortable with the industry. Elsewhere, Steve enlists the help of Clare, Brandon and Tracy to film an infomercial for his marketing class, and they all end up in a "sticky situation" with the product.