An elderly woman leaves Lucy $50,000 in her will but when the woman's estranged daughter arrives, she accuses Lucy of conning the money out of her mother.
Matt discovers Fergus's involvement in a bird smuggling operation. Fergus asks Matt to keep quiet but when his partners show up, the seriousness of their situation escalates.
Frank finds evidence of arson and suspects Muldoon's nephew of starting the fire, but based on Alf's reaction to the news, Frank turns his investigation towards Muldoon himself.
Harry is looking for a horse to buy and finds one that is owned by Spence Anderson and Meredith Hendrix, a farm couple with a troubled marriage who are looking to sell their farm as well.
Luke and Darcy meet Doug Simons, a wheelchair-bound Vietnam veteran. Harry tries to get Hugo take a more tactful approach in his attempt at getting a boy suffering from low self esteem back into shape.
Luke gets an interview with the Australian Air Force. When Luke finds Doug with Harry's stolen prescription pad, Doug admits that he never fought in the war but rolled his car the night before he was to ship out.
Darcy informs Luke he can still enter the air force and transfer to pilot training later on. Bob and Cookie decide to do some travelling and pack their things before hitting the road.
Lucy takes a fall in the hospital and goes into premature labour. Allison Newman looses her baby and tells her husband she doesn't want children but would like to return to the city to concentrate on her career instead.
Darcy tries to get Simone to metamorphose into a salamander. Esme informs Rosemary of the risks associated with such an endeavour and she puts a halt to Darcy's experiment.
Frank decides it may be time to retire but later changes his mind. Tom attempts to reconcile with his estranged wife but soon learns that she has already moved on.
Gil Tyler arrives in the valley and offers his son a job in Vietnam. David Kelly and his rabbits are at the centre of a feud between the boy's father, Bruce Kelly, and their neighbour Ray Hall.
Bob and Cookie return to the valley for a visit. Bob has started a great new life for himself in Darwin but Cookie, who has come down with pneumonia, has not been having a good time and has been missing home.
Cookie is slowly recovering in hospital but a conflict between him and Bob is making things difficult. Bernice considers leaving again but ultimately decides to stay in the valley.
Billy runs away from home, he plans on going back to Phoenix where he still thinks his parents are still living. Hugo develops a crush on Bernice but she lets him down easy.
Tom Newman and Trevor Jackson lead a group of kids on a camping trip into the national park. Billy isn't happy about the trip and makes an effort to ensure his dissatisfaction is known.
Amber Thomas, Darcy's sister, stops in Wandin Valley with her boyfriend Howie on their way to Sydney. Leaving town, they are involved in a car accident that kills Howie and leaves Amber brain dead.
Leanne Hewson, a new nurse at the hospital who is also a recovering drug addict, has a difficult time dealing with the reactions of her coworkers and patients, one of whom tries to use her to feed her own addiction.
Anna has Tom secretly get a replacement bird when James' pet budgie dies while in Anna's care. Tom arrests James' father when James identifies him as his abuser.
Hugo's father is hospitalised with a heart condition after a night of heavy boozing. After Bernice accidentally shoots Dog, plans are made for her (Dog) to become a hospital pet.
After hurting his back in a fall, Terence makes the decision to retire. While he's making hasty decisions, Terence ends his relationship with Rosemary as well.
Glenn Garrison, a young boxer in town for an exhibition fight at the lodge, is nearly run down by Darcy while on Hugo's bicycle. When Glenn's opponent pulls out of their bout, Hugo steps up to replace him.
Anna lectures Billy about how to handle bullies at school but is surprised to learn that Billy has been the aggressor. Dog befriends an elderly patient at the hospital who later dies.
