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It was Allison's birthday, and after receiving a necklace from Aunt Kate, Scott takes her out of school to celebrate. The two of them skipped class and went out to the woods for a romantic day. They stayed out so late that they both missed their parent-teacher conferences. Upon their return they find Mr. Stilinski and Allison's dad with guns shooting down a mountain lion in the parking lot.
Jackson and Lydia had an encounter with the alpha wolf at a video store, but reports say that it was a mountain lion. Stiles pays a visit to Lydia, who is sick in bed. She took medicine to help her relax, gets a bit loopy, and asks Stiles (who she thinks is Jackson) to stay with her. He rejects but finds a video of the alpha wolf on her phone.
Kate hunts down Derek in order to find out who the alpha wolf is. After electrocuting him for a while, she figures out that he in fact doesn't know who the alpha is either.