Nick confronts Katie about the conversation he had overheard about Storm being the one who had shot Stephanie. Katie tells Nick that this is a family secret and asks that he please not tell anyone. Alone in her house, Ashley remembers Ridge’s warning about Storm. Ashley is startled when Storm makes his presence known and begins to confess to her about being a flawed man. Brooke tells a surprised Ridge of Taylor’s engagement to Rick. Ridge thinks the engagement is a ploy and that Taylor’s relationship with Rick will not go any further now that she has gotten custody of Jack again. Rick asks Taylor to please answer his proposal with a “yes.” Taylor tells Rick that she can’t answer him yet; she has to talk it over with her children, especially Phoebe.