On Halloween, when all of Valerie's misdeeds and true nature are finally revealed, she considers moving back to Buffalo, but is persuaded to stay by Brandon and his parents after learning that Valerie's mother has committed herself to a mental hospital after suffering a nervous breakdown. Steve unfairly blames Dylan for having a tryst with Valerie and ends all business he has with the Peach Pit and After Dark club. Kelly delights herself by going around and telling everyone "I told you so" about being right about Valerie's true persona. While Brandon and Cindy continue to be friendly and supportive to Valerie, Jim, from this point onward, icily treats Valerie with suspicion; wondering if all of the bad things that Kelly has been saying about Valerie might be true. Meanwhile, Dylan's anger and desperation over everyone being aware that he is broke becomes obvious to all when he further isolates himself from everyone he knows, and he later meets a drug dealer at his pool hall who introduces him to cocaine. Dylan later takes out his gun and shoots up his living room. At a fraternity costume party, Donna's two boyfriends, Griffin and Ray, finally meet face to face and almost have a fistfight. Elsewhere, Andrea gets upset when Jesse's aunt presents baby Hannah with a crucifix. Also, Clare talks David into tagging along with her for a UFO hunt for the night in the desert near Barstow.