Agent Cooper enjoys the comforts of the Great Northern Hotel; Bobby Briggs and Mike Nelson are released from jail; Doctor Hayward hands over the autopsy report on Laura Palmer; Cooper and Truman interview Josie Packard; Audrey Horne and Donna Hayward vow to solve Laura's murder; Sarah Palmer has a vision of a gray-haired man; Doctor Jacoby conceals important information.
Peggy sees her idol, Elvis, in the sweat stains on one of Al's tee-shirts and decides to make money off the image.