Krystal told Tad that even though they got married for Jenny's sake, she still wanted them "to do what married people do." So, they began to make out, but were interrupted when Colby entered the living room. Colby got something to eat and discussed her plans for New Year's Eve. Colby asked if she had a curfew. Tad and Krystal shocked Colby by allowing her to stay out as late as she wanted. Colby was too excited to realize that Tad and Krystal were letting her stay out late because they wanted to be alone. Then, Colby left. Tad and Krystal resumed kissing until Jenny began to cry. Krystal went to check on the baby. Finally, after Jenny fell back asleep, Tad and Krystal returned to their passionate kissing.
Jack and Erica were shocked to see each other at the Yacht Club. They both accused each other of secretly inviting the other to dinner. However, they soon realized that Lily was behind the set up. Erica went to leave, but Jack asked her to stay. Erica complied and began to discuss their relationship. Erica asserted that although their marriage failed, they were "fated" to be together. Jack smiled and stated that he would always love Erica.
Lily visited Richie. Lily claimed to understand why Richie was in the psych ward. Lily believed that only insane people spoke of murder. Richie explained that she misunderstood what he was saying about murder. Richie then apologized for missing his "date" with Lily. Lily was satisfied with the apology and gave Richie a mystery novel. Lily explained that she would be very good at planning a crime because of her detail-oriented nature. Richie asked if Lily could figure out how to frame someone for a murder. Lily said that would be easy to do. Then, Lily exited and Richie left a message for Annie. Richie sinisterly wished his sister a Happy New Year.
Ryan and Annie were celebrating New Year's in their penthouse. They drank champagne as they reminisced about the past year. Annie began to worry about Richie's eventual release from the psych ward. Ryan affirmed that Richie would never get out because he made a donation to the hospital to assure this. Annie was happy about this and gratefully kissed Ryan. Then, they made love by the fire.
Derek went to the hospital to question Kendall, Zach, Greenlee, and Aidan. Kendall blurted out that she was guilty of framing Greenlee. However, Zach, Greenlee, and Aidan claimed this was not true. Zach even went as far to say that he was guilty and should be the one arrested. Derek said that he would be down at the station waiting for everyone to get their stories straight. After Derek left, Kendall said that she had to tell the truth because of everything she did to betray Greenlee. Greenlee stated there was enough guilt to go around, but wondered if there was something else Kendall felt guilty about. Aidan looked nervous as Kendall claimed there was nothing else. Then, Kendall and Aidan went outside. Aidan told Kendall that their affair would only hurt Greenlee and Zach because they would not understand that it happened out of grief. Kendall agreed, but still felt terrible. Meanwhile, Zach and Greenlee joked about their recent bonding. Zach stated that he wanted to protect both Kendall and Greenlee. Then, Greenlee fainted and everyone rushed back into the room. Joe announced that Greenlee had hypoglycemia, but should be fine. Zach then returned to his hospital room and fell asleep. Kendall tucked Zach and in and apologized for what she was about to do. Kendall proceeded to the police station where she confessed to framing Greenlee. Kendall was then arrested and booked.
Hannah brought flowers to Zach at the hospital. Zach thanked Hannah, but had no interest in spending time with her. Hannah then returned to her hotel room. Hannah received a message from Tad explaining that he needed to tell her something about Krystal. Hannah commented that she was dismissed by another man. Then, Hannah took out a scrap book from under her bed. The scrapbook was filled with pictures and articles of Zach.
Due to ABC Sports coverage of The Capital One Bowl, the entire ABC Daytime lineup of daytime dramas – All My Children, One Life to Live and General Hospital – was preempted today.
This preemption was anticipated and there will be no "lost" episodes as a result of this special sports coverage.
Regular broadcasting will resume on Wednesday, January 2nd and pick up where the action ended on Monday, December 31st.
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Hannah went to see Adam. Hannah announced that she was about to serve Zach's head on a platter. Adam was intrigued, so Hannah explained that she found a way to get Adam back his company. While Zach was missing, Hannah sold off all the pieces of Chandler Enterprises to dummy corporations. Adam would now be able to purchase all of the pieces for a very cheap price. Adam wondered if Zach already figured out this scheme. Hannah asserted that she was great at covering her tracks because she had been doing so her whole life. Hannah then stated that Zach was not paying attention to her because he was focused on Kendall and his family. Adam was impressed with Hannah and offered her a job. Hannah refused to have any type of relationship with Adam because she "loathed" him. Hannah explained that she only worked with Adam in this situation because he blackmailed her. Adam detected that Hannah felt guilty and still had feelings for Zach. Hannah snidely commented that she had phenomenal rifle skills. Adam asked if this was a threat. Hannah simply said her debt was paid off and left. Adam then toasted himself and the second coming of Chandler Enterprises.
JR visited Babe at her condo. JR declared that he was a free man because Amanda possessed evidence to exonerate him. JR also stated that Adam knew of this evidence, but kept it a secret. Babe felt that JR deserved better treatment than this. JR replied that he had better with Babe, but ruined it. Then, they exchanged Christmas gifts. Little Adam gave JR a framed picture of him that said, "I love my Daddy." Then, JR gave Babe a bangle. Babe loved the bracelet and thanked JR. JR proceeded to put Little Adam's gifts under the tree and found a gift Babe bought for Richie. JR was outraged. Babe tried to calm JR down, but JR was intent on delivering the present to Richie himself. JR warned Babe not to see Richie because he did not want Little Adam around a psychopath. JR then left and Little Adam returned home. Little Adam showed his mother a picture he drew. The picture depicted Little Adam, Babe, and JR standing in front of a home they lived in together. Babe seemed touched by the drawing.
Richie called Dr. Chambers to meet. When Dr. Chambers arrived, Richie announced that he was going to die "next week." Then, Richie wanted to know how Dr. Chambers truly felt about him. Dr. Chambers called Richie a sociopath that was better off dead. Richie laughed and announced that Dr. Chambers was no longer the beneficiary of his life insurance plan. Dr. Chambers was irate to learn that Richie made Babe his new beneficiary. Dr. Chambers swore this was not over, but Richie laughed and gloated about the double cross. After Dr. Chambers left, Richie made a mysterious phone call asking the person on the other end to fix the doctor problem. Then, JR arrived. As JR approached Richie, he threw the gift from Babe into the garbage. JR demanded that Richie stay away from "his wife." Richie quickly pointed out that Babe and JR were no longer married, but this did not matter to JR. JR threatened to end Richie's life early if he did not stay away from Babe and Little Adam. Richie reluctantly agreed. Then, as JR walked out, Richie said to tell Babe goodbye.
Jack was with Greenlee in her hospital room. Jack wanted to represent Kendall and Greenlee gave her blessing. Then, Jack left and Joe entered. Greenlee was anxious to go home. Joe said that Greenlee could leave the next day if she promised to do nothing but rest. Greenlee agreed. However, after Joe left the room, he asked a nurse to run more tests on Greenlee because something about her labs was concerning him. Then, Aidan visited Greenlee. Greenlee and Aidan cuddled in her hospital bed. Greenlee smiled contently and stated that she was truly happy.
Zach was disappointed that Kendall turned herself in. Zach felt that Kendall threw her family away by confessing. Then, Jack and Aidan entered. Jack told Kendall that he wished to be her lawyer. Kendall graciously accepted the offer. Kendall then had to leave for her bail arraignment, so Zach hugged her goodbye. As Kendall hugged her husband, she exchanged a guilty glance with Aidan. Jack noticed this and asked to speak with Aidan. Jack bluntly confronted Aidan about the nature of his relationship with Kendall. Aidan denied any type of relationship with Kendall besides friendship. Aidan then vowed that he loved Greenlee so much he would die for her. Jack wanted to believe this, but fiercely warned Aidan not to break Greenlee's heart. Meanwhile, Kendall got out on bail, so she and Zach went home. Zach was still trying to figure out why Kendall confessed. Zach asked if there was something he did not know about. Kendall cried and turned away from Zach because she could not look her husband in the eye. Kendall affirmed that she hated herself for what she did. Zach saw how hurt Kendall was and embraced her. Kendall asked Zach to make her forget what she did. They then kissed and made love.
On the New Beginnings set, Erica is shocked to find out her next guess is from We Help Women in Prison. Erica demands the guest be cancelled, considering Kendall may be facing prison time. But the producer says it is too late to back out only minutes before they go on the air. Erica interviews the guest, who says the organization counsels convicted women. Erica says the organization should be spending more time getting women out of prison who are wrongly convicted. At the end of the show, Erica rushes out to be with Kendall.
Tad and Krystal take Jenny out for breakfast, but find it hard not to stare at JR and Adam across the room. Tad admits it is hard not to pay attention to Adam, considering he is probably sweet-talking JR to get his way. He laughs when Krystal suggests they may just be having a friendly breakfast. Tad says that it scares him Krystal can still not see the bad person Adam is. Krystal says she has no desire to be with Adam, especially since she is married to Tad now. They both agree to try harder to become more of a family - without Adam.
Adam apologizes to JR for not telling him about the evidence sooner. JR still believes his father withheld the evidence as revenge for the fake kidnapping. Adam begs JR if they can put the past behind them and have a relationship. JR thinks his father has a hidden agenda, but Adam says there are no strings attached. As JR gets up to leave, Adam offers him $50 million if he comes back into his life. Adam says he does not have the money yet, but will soon.
As Babe spills out numbers at Fusion, Annie is too distracted to listen. They try to focus on work, but both agree it is impossible to concentrate with Kendall in court. Not to mention, JR got upset when Babe found out she wanted to give him a Christmas present. Annie says Richie is a danger to Babe, and she should not fall for his sweet routine. Babe suggests Annie try to mend her relationship with Richie before he dies. After Richie harasses a doctor, he fantasizes about getting Annie to visit him and placing a knife in her hand so she can stab him. Annie gets a call at Fusion from a doctor saying Richie may not have more than a few hours to live and wants to see her. But the supposed doctor is just another patient at the mental hospital. At the urging of Babe, Annie decides to go visit her brother. Annie walks in and sees Richie slumped over in a wheelchair. When she goes near him, he puts his hand in his pocket to pull out a knife. But he does not get further when Babe walks in.
Aidan picks up Greenlee from the hospital. Greenlee says she wants to go to the court house to support Kendall before heading home, but Aidan thinks it is a bad idea. Greenlee tells Aidan she will find someone else to take her to the courtroom if he won't. Joe walks in after he overhears Greenlee's plans. He tells her that she needs to be resting at home because of her fragile health.
At the courthouse, Jackson tells Kendall that she can use "emotional distress" as a reason for framing Greenlee. Kendall refuses to tell the judge she was crazy because it is not true. Zach and Ryan agree that Kendall would be throwing away her future if she does not listen to Jackson. Without the plea, Jackson says Kendall could face 20-40 years in prison. Kendall and the rest of her supporters walk into the court room as the hearing begins. After the prosecutor reads off the long list of charges, Kendall pleads guilty. The prosecutor recommends Kendall accept a plea deal for 2-5 years, all to be served with a period of probation, and community service. When the judge asks the prosecutor why he is being so lenient, Jackson pipes in that Kendall was under emotional distress. Kendall steps in, claiming she knew exactly what she was doing to Greenlee. She talks about how she set Greenlee up and why she did it at the judge's request. Kendall says that she decided to come forward after Greenlee nearly died and doctors discovered Spike's hearing loss was not due to the accident. Greenlee comes into the courtroom with Aidan by her side. She takes the stand, giving her a chance to explain Spike's conception. After Greenlee steps down from the stand, Jackson asks the judge to consider Kendall's emotional state before making a decision. After a brief recess, the judge orders Kendall to serve five years of probation, 500 hours of community serve and pay a $50,000 fine. Hannah catches the tail end of the hearing, but storms out immediately after hearing the judge's ruling.
Zach, Kendall, Ryan and Aidan all accompany Greenlee home at the conclusion of the trial. They all want to celebrate - Greenlee and Zach being found, Greenlee's recovery, Kendall's freedom. Ryan tries to get in touch with Annie so that she can join the celebration, but finds out from someone at the office that she and Babe went to a meeting. The group continues to finally relax and have a good time, breaking out snacks and ordering pizza. As the small talk continues, Kendall reminds Ryan of a date they have to build snowmen with their son. She quickly amends the plans to include everyone and basks in the glow of her reconnected extended family once more. After the pizza arrives, they chat more about what was in the bomb shelter, and how Kendall kept herself sane while they were gone by writing. Then, Ryan pulls Aidan to the side and thanks him for making Greenlee so happy and for believing in her. Aidan asks how things are going with Annie, and Ryan tells him that things have been better ever since Richie was locked up on the psych ward. Ryan practically glows with pride as Aidan admits how impressed he is that Ryan was able to pull that off. On the other side of the room, Greenlee throws around some ideas that she had been thinking about as far as a new promotion for Fusion, and Kendall is more taken aback with gratitude than she thought she would be. Greenlee admonishes her good-naturedly, and refuses to let her best friend dwell on the bad things of the past. She tells Kendall that she wants to use what happened for good, and Kendall notes that they are on their way to getting back to the good place that allowed them to start their company. Aidan and Zach connect when Aidan asks for information about what they went through in the bomb shelter, so that he can best help the woman he loves. Zach tells him that just by being there for her, by loving her - it's the best thing that he could do. A short time later, Kendall and Aidan talk and she again shares the gratitude she feels toward Greenlee, and asks for reassurance that things will really be all right. Aidan says as much, but realizes that Kendall is still battling her guilt when she abruptly ends their conversation in lieu of something less guarded.
Josh returns from his trip to Zurich and immediately goes into the office, running into Hannah while he's there. They talk a bit about the good fortune that his family has had, and then he asks her to catch him up on some business related happenings. She tells him that she handled the resale of the pieces of Chandler Enterprises, and he seems shocked that she closed the deals without Zach's approval. She assures him that everything went well, and that Zach should have no problem with what she'd done. Though they continue to talk about other business, the conversation always ends up referring back to the good fortune that had been bestowed upon Zach and Kendall. Josh eventually notices an odd look upon Hannah's face, and asks if she is still hung up on Zach. She blows off the idea as preposterous but doesn't come across as being completely honest with her protest. He then asks about her relationship with Tad, and she fills him in about his marriage to Krystal. Realizing that she might be having a hard time, Josh offers to buy her a drink and to be an ear for her, but she tells him that she has previously established plans.
Annie shows up at the psych ward with Babe, much to Richie's surprise, and he is thrown off-guard. Babe feels slighted at the rejection but Richie tries to explain that it comes from not wanting her to see him in his final hours. He lays his apology on thick, recalling good times that they had and schmoozing his way back into her good graces. Then, a fellow inmate comes over and repeats what he'd said on the phone to get Annie to come to the hospital. She immediately recognizes the voice and both women are horrified that once again, Richie lied to them to get something that he wanted. He manages to flip the pity switch on by saying that he can't believe he had to convince a crazy guy to call in order to get his sister to visit. Before allowing her to respond, he turns the guilt on Babe and fairly begs her never to come back to see him, perpetuating the idea that his deterioration is not something he ever wants her to see again. Babe gets choked up and rushes out, and Annie wants to know what else Richie wants from her. When he hesitates, she believes that all he has in store for her is more lies. She starts to leave but he calls out to her. When she turns to face him again, he tries to convince her that what he really wants is her forgiveness and for her to consider him her brother again. She doesn't believe that anything, let alone impending death, could change things around for him so drastically, but he is prepared. He offers her the promise of a confession in the form of a letter that he wants delivered to their father. He admits that he lied all of his life in order to make her out to be the bad child so that he could have a closer relationship with their parents. He promises that every bad thing he did to get them where they are as siblings is in the letter, and says that once their father reads it, he and Annie will be able to be a family again, especially once Richie is gone. She tries to believe him as he starts to give her the letter but when she grabs the end of it, he snatches her wrist into his grip, nicking her and making her bleed. She instantly backs off, wary once again of what his plan is. Tears of frustration spring to his eyes, but she isn't sure of how to take them. He tries to figure out a different way to get her closer to him so that he can carry out his plan, but before that can happen, a doctor comes in. Infuriated at the thwarting of his plan, Richie snaps at the doctor but he takes it in stride. Annie plans on leaving but the doctor tells her that he has news that he thinks both of them will be interested in, and tells them that Richie might live to a ripe old age after all.
Having parted company with Hannah, Josh sits down again with the paperwork that she handed over regarding Chandler. Although he earlier thought that everything looked fine, upon further inspection he notices some inconsistencies that worry him.
In her room at the Yacht Club, Hannah changes her clothes and, after picking up a high powered rifle, heads to her next destination.
The crew at Greenlee's place takes time out to make fun of all of the varied tasks Kendall would be subjected to during her community service. Completely out of character, she admits that she is actually looking forward to serving her time, knowing that the alternative could have been so much worse. As they do so, Hannah spies on them from a nearby rooftop, attempting to train her scope on a moving Kendall in a way that will do the most damage. Babe arrives just as Ryan leaves another message for his wife. She interrupts him and lets him know that Annie is with Richie because her brother is dying. Ryan ends the call and paces the floor for a moment, trying to decide what to do next. He ends up by the window and when he looks back towards the group, he sees a small red light shining upon Kendall's face. He glances back at the window briefly, realizing what it is. He runs for her, telling her to get down, and pushes her out of the way just as Hannah fires a shot. Although Kendall is safe and in Zach's arms, the bullet finds another target… hitting Ryan and knocking him to the floor.