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Pamela looks for recovering C.C.. Sophia then hires a henchman to frighten her so that she would leave the town. This last one takes the initiative to explode her oil rig. Eden and Cruz finally refind each other, while Cain decides to stay downtown. He meets Andrea Bedford during the rescue after the explosion of the oil rig and they both fall in love. Andrea investigates in fact on a murderer called the Fox, who killed her father. Cruz and Cain come to help her and the Fox is uncovered : he is in fact Kathleen McDougall, a nurse of the hospital.

Cruz and Eden finally get married, when suddenly, Chip needs a bone-marrow transplant. Victoria is then obliged to avow to Cruz, only potential donor, that he is Chip's father. Victoria, who must enter a detoxication clinic for her drug problems, lets Chip being adopted by Eden and Cruz. Eden, precisely, discovers that she is sterile and goes to Europe to undergo an operation to be able to give birth again.

Gina loses the sight after a fight with C.C. and falls in love with her doctor, Dr. Scott Clark. But when Scott discovers that she continues to pretend her blindness whereas she is cured, he decides to break. Gina then returns with Keith and marries him. To be avenged of C.C., Pamela reveals to Keith the secret of the death of Hal Clark in the boathouse, 25 years ago : C.C. accidentally killed Hal during a fight, in front of Scott's eyes, who was then five. Under hypnosis, this last one reveals that Pamela came back this night and killed Hal. Scott falls in love with the doctor who hypnotized him, Dr. Heather Donnelly, whose father, Dr. Arthur Donnelly, arrives in town. On his side, after a short return with Pamela, C.C. has an affair with the journalist Lydia Saunders.

T.J., Laken's ex-boyfriend, joins her in Santa Barbara and obtains a job at the Armonti Enterprises. Sophia succumbs to his charm, but breaks when she discovers that he is in fact interested by her money. T.J. has thereafter an affair with Kelly. Pamela, who wants Jeffrey to come back to live in England with her, poisons Kelly. She is arrested and sent in an asylum. Jeffrey, seeing that his marriage comes to its end, plots to kill Kelly with the assistance of T.J., to obtain the heritage. At the last time, he changes his mind. Follows then a fight with T.J., where Jeffrey ends paralysed. He accepts to divorce Kelly and leaves the town. After Hayley was killed by a drunk roadhog, Jake sells his parts of the night-club The Lair to T.J. and also leaves Santa Barbara.

The bones found in the boathouse turn to be not those of Hal Clark's, but those of Dr. Mark McCormick's. Mason is obviously the first suspect. He leaves to investigate in the convent where Mary was a nun, but an explosion occurs and Mason is left for dead. Julia refuses to believe in his death and under the name of Sister Rebecca, meets Father Michael Donnelly, Sister Agatha and Sister Sarah, deaf-mute. She discovers that it is in fact Sister Agatha who killed Mark. During this time, Mason, who suffers from split personality, leaves to Las Vegas under the name of Sonny Sprocket. Gina and Keith make him come back in Santa Barbara and learn to him how to act like Mason, in the hope to recover the Capwell fortune. However, Keith is accused of corruption at the district attorney office and is obliged to leave the town. Gina repurchases and transforms the Lockridge mansion into a pension, when a dressmaker named Bunny Tagliatti, linked to the Maffia, arrives and rents all her bedrooms. Julia, discovering the love affair between Gina and Mason/Sonny, changes her mind during her wedding with him and is comforted in the arms of Father Michael.

Cain's superior during the war, Major Phillip Hamilton, accuses Cain of the death of the woman they both have loved, Soo Li. The Major asks to Ming Li, a young Vietnamese who says to be Cain's daughter, to destroy his couple with Andrea. On her side, Eden becomes a television journalist and investigates on the local gangs. She is raped and learns that she is pregnant. The first suspect is the member of one of the gangs, Critter. The rapist is called the video rapist, because he hides cameras at his victims home to film his rapes. C.C. organizes a dress ball to confound the rapist, dress ball during which Andrea is at her turn raped and killed. Major Hamilton, then Cain, are accused of the murder, but they both finish by leaving Santa Barbara definitively. The rapist continues to harass Eden, attacks Kelly, Sophia, Michael and kidnaps Julia.