Both Hank and Joan are shocked when they find out that Sara actually DID have an affair with Congressman Blythe. Sara confesses the truth after seeing the tape and explains that the Congrassman was the only one who paid attention to her ideas. She feels like she was always Meg's shadown. Casey tells Sara that he thinks that Melinda taped their conversation, but Sara refuses to believe him. Her agent convinces Melinda to go back to Sunset Beach and face Sara, to catch Sara's reaction to Melinda, and her opinions about Congressman Blythe, on camera. Annie tells the entire truth to Olivia about Trey's kidnapping and replacing. Olivia is shocked to learn that Caitlin had a miscarriage. At first, Olivia doesn't believe Annie when she claimed that Caitlin knew about Gregory's plan to take her baby and tell her that it had died, until Annie says that Caitlin was driving so erratically because she knew about the plan. Annie explains that Caitlin thought that Cole would leave her if she wasn't pregnant, and says that Caitlin is now infertile. Olivia asks if Caitlin knows that Trey is Olivia's. Annie says that she told Caitlin that the mother was an unwed teenager. When Olivia threatens to expose Annie, Annie points out that she would lose that way, but Olivia would lose, too, because losing Trey would break Caitlin's heart.