Krystle and Alexis, trapped in a burning cabin far off in the woods, find the door has been locked--from the outside. Mark, who has come to see Krystle in this remote setting, dramatically rescues the two women, who are rushed to the hospital. Blake meets with Steven to discuss the upbringing of little Danny; Blake remains convinced that a homosexual cannot provide a proper role model
Mark is charged with attempted murder and arson; Alexis tells Blake and the police his motive was revenge. The other suspects-McVane, Hess and Adam, are questioned and released. After Alexis destroys Fallon's relationship with Mark, Krystle suggests she is seeking revenge because Mark rejected her
Alexis receives a note written by the late Joseph, stating that he indeed set the fire to kill her because of the lives she's ruined with her manipulations. Alexis laughs it off, claiming she never intended to tell Kirby her mother was an ""attic nympho."" Blake lies to protect the girl, telling Kirby her father was worried Alexis would take control of Denver-Carrington and tried to kill her out of loyalty to his employer
Kirby angrily demands that Alexis divulge the real motive behind her father's murder attempt. In a fit of rage Kirby tries to strangle Alexis. Steven finds a social worker snooping around his apartment and orders her to leave
Alexis arrives home from the trial to find her apartment ransacked. Police Lt. Merrill speculates there may be a connection between the break-in and the recent attempts on her life
Following through on the plan to retain custody of Danny, Steven and Claudia fly to Reno and are married. When the judge receives the assurance they will jointly rear the child, the suit is dismissed. Attempting to win Krystle back, Blake offers her a public relations job at Denver-Carrington
At the store where he bought the poisonous mercuric oxide, Adam distracts the salesman and substitutes the authentic purchase order with the document Alexis unknowingly signed. Bill Rockwell, the retiring head of Denver-Carrington's public relations department, breaks the news to his disappointed assistant, Tracy that Krystle has been given the position she had planned on assuming. Mark proposes marriage to Krystle
Jeff storms into Alexis' office and accuses her of attempting to poison him. Her claims of innocence fall on deaf ears as Jeff forces her to sign back his Colbyco stock. After an intruder attempts to enter Alexis' apartment, Mark takes a job as her bodyguard
In her new position, Krystle launches a publicity campaign to counter Alexis' slanderous remarks against Denver-Carrington. Jeff rejoins Blake's firm. Dex continues his campaign to win Alexis
At Alexis' office, Dex discovers a confidential file marked ""Tar Sand"" and beats her to the contract. Later, he offers her a 60-40 split. An enraged Jeff locates Adam at the summit of the Carrington Plaza
Kirby proposes that she and Jeff divorce. Adam tells her he wants to be a father to their child. Dex and Alexis make love
Nervous about leaving her new job, Krystle gives Tracy final instructions as she prepares for her honeymoon in Rio de Janeiro. Tracy persuades Krystle to give her the company credit cards as well as the keys to the confidential files. Peter arrives at La Mirage asking for Fallon, and makes a pass at Claudia
While Mrs. Gordon is walking Danny in the park, a strange man greets the child by name. Recalling little Blake's kidnapping, Claudia moves the family into the safety of the Carrington mansion
Kirby is diagnosed as suffering from hypertension. Adam is startled to find her slumped against the piano. After learning she will accept his marriage proposal, Adam confesses raping her to a shocked and disgusted Blake
Blake receives a note requesting $2 million in diamonds for the return of his racehorse, Allegre. Peter proposes to Fallon and then makes another pass at Claudia. Dex and Alexis close a lucrative oil contract
Peter has made arrangements for the ransom to be delivered to Allegre's captors. Blake grows suspicious of his refusal to call in the police and is unhappy about Fallon's decision to marry him. Kirby suffers a second seizure
As Fallon plans to wed Peter, Claudia advises her of his womanizing. Fallon dismisses Claudia's concern, however, as she has with all the others who question the wisdom of her marrying Peter. Tracy sleeps with a newspaper reporter in exchange for a damaging story to scandalize Krystle
With the family at the hospital waiting for Fallon to regain consciousness, Blake races to the airport to intercept Peter. Passing through security, DeYilbis sets off an alarm and the guards find a cache of drugs in his briefcase. Blake blocks his escape, and Peter is taken to jail
Fallon's doctors believe her paralysis to be psychosomatic. To prevent her from marrying Adam, Alexis offers Kirby a job in Paris. When the ploy fails, Alexis tells the girl her mother has long been confined to an institution for the criminally insane
When Krystle's doctor reveals she is pregnant, both she and Blake are overjoyed. Krystle insists Blake go ahead with a scheduled business trip to Hong Kong and sends Tracy to cover for her. Upon arrival, Blake is chagrined to learn the China Seas deal is to be negotiated by Rashid Anmed, a notoriously under- handed character
Blake and Ahmed close their international China Seas oil deal. Alexis learns of the coup and makes plans for a counterattack. Blake confronts reporter Grayson regarding his deceptive behavior with Tracy, and then quits his political post
Dex follows Alexis to Hong Kong and is enraged to find her with Rashid, with whom she has just concluded a business deal to ruin Blake. Kirby explores the reasons behind her father's death. After reading his suicide note, she purchases a handgun
Tracy and Krystle exchange angry words. As Alexis monitors all of the television news programs, Mark suggests she's waiting to see some late-breaking news-news she already knows. Blake learns Kirby has unearthed the truth about her father and is anxious to demonstrate he only lied to fulfill Joseph's wishes
As Blake confronts Alexis with his knowledge of her plot with Rashid Ahmed, Mark, on the balcony, listens with interest. Alexis is prepared to buy his silence. Blake travels to Hong Kong and learns Ahmed has left the country, leaving Denver-Carrington's money with the government
Blake's fortune now rests on the decision of a group of bankers, who will decide whether to extend his loan or call in the debt immediately. Alexis hires Tracy to obtain confidential information on Averell Dawson, Blake's banker. Shortly thereafter, Blake learns his extension has been denied
To raise the needed money, Blake sells his assets and mortgages the mansion. In a heated confrontation with Alexis, Tracy quits. Tracy tells Alexis of her ongoing affair with Dex
Alexis suffers recurring nightmares about Mark's death. Kirby again tries to kill Alexis. When she is unable to pull the trigger, Alexis offers to remain silent in exchange for Kirby's agreement to leave Adam