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Sunset Beach: Bette is shocked when Olivia tells her she found Gregory & Annie in bed together. But Olivia doesn't plan to cry over Gregory, she is ready to move on. Bette warns Olivia that Gregory may tell A.J. about Olivia's role in kidnapping Cole as a child. Olivia is stuck between two decidions. Annie approaches A.J., pretending to be on a stood-up date, and he invites her to sit with him, where she tries to make him talk about himself. Sean asks Casey about the lifeguard position, and when Emily sees them, she confronts Sean about sucking up to the head lifeguard. When Emily leaves, Sean tells Casey that he wants to become a lifeguard only to come closer to Emily. Derek wants to leave town with Meg, to avoid Tyus's examination, and Meg agrees if Tyus lets her. Derek pretends that he's talking to Tyus, and convinces Meg that Tyus said OK. Meg tells Sara that she doesn't feel the connection with Ben that they used to have. Sara finds a picture of Ben & Derek together. Diane talks to Ben about him being her destiny, and tells that they belong together forever. When she leaves, Ben calls home, but the line is busy. He passes out before he's able to call the police. Derek arrives at the mortuaty to pick up Ben's ashes, or so he thinks.