Don is heading into work at his new job-- the much grayer-looking McCann Erickson headquarters. His secretary takes him through a very busy schedule for the day-- all set up by Jim Hobart.
Roger Sterling is walking through the now empty offices of Sterling Cooper. The refrigerator-sized IBM computer is being moved out also. Dawn, the office secretary, approaches him to tell him she's not moving to McCann, and she's taking another job.
Joan Harris has her new office at McCann, and she seems to be very defensive about keeping the same status with her original clients. It seems, though, that the big-wigs at McCann aren't even interested at keeping the business at all.
Peggy Olson has not yet reported to McCann Erickson. She's demaiding her own office before she comes in. McCann sent her flowers, only to find out that they were also sent out to all the secretaries of Sterling Cooper. She had been staying in touch with clients at the empty SCP offices until the lights were turned off for good.
In the dark, empty office, Peggy hears some noise down the hallway. There's an eerie organ tune that seems like part of the soundtrack at first, but it's actually Roger playing the music. He's there feeling nostalgic, looking for his bar, which got moved out to his dismay. Peggy offers him vermouth.
The two take time to reflect on what happened. Roger wonders what the hell happened, but Peggy reminds him that he sold off the agency and this is all his doing. Roger pours more drinks. He hands Peggy a 150-year-old painting that was in Bertram Cooper's office as a gift. It's an octopus pleasuring a woman. Peggy says no one will take her seriously if she brings that into her office. Roger pours more vermouth into Peggy's cup.
Don and Ted Chaough head into a meeting with Miller Beer and about 15 other creative directors from McCann. It's about launching their new diet beer product-- Miller Lite. Not even three minutes into the presentation, Don decides to leave. It seems that he knew that he wasn't going to have a say in the meeting. He heads out of state to find Diane, the waitress he falls in love with from previous episodes.
Joan Harris has a talk to Hobart in his office about the poisonous work environment. The men there have been coming on to her in a crude way. She raises her concerns about other people meddling with clients she has helped maintain. He tells her that she needs to get used to the new way things are done. It quickly turns into a spat, and Joan threatens to sue and file a complaint with the Equal Opportunity Commission. Hobart is fuming, and tells her to get out.
Hobart confronts Sterling after his drinking session with Peggy. He says Don's been missing since Wednesday, and he's ready to let the axe fly, starting with the redhead.
Peggy arrives for her first day at her new office at four o'clock, drunk, with a cigarette in her mouth, wearing sunglasses, and with her new octopus painting in hand. All of the men at McCann, all dressed the same, stop to check her out.
The episode concludes with Draper driving through some remote grain farms, wandering the through country aimlessly. He picks up a hitchhiker, who says he's trying to get to St. Paul. Don says ok and the stranger hops in the car to the tune of David Bowie's Space Oddity.