As Dave is trying to work over Bill's noisy eating and Matthew is breaking his third coffee pot of the week, Catherine asks for a staff meeting. Though busy with work, Lisa agrees to listen as Catherine announces that she's leaving WNYX. However, when Jimmy wants an explanation, everyone has a different story about what prompted her to quit on short notice. Meanwhile, as Lisa leaves a phone message at home asking her to reconsider, Joe reveals that he has been tape recording his conversations with Catherine ever since she threatened him with a sexual harassment lawsuit. When asked for his version of the story, Dave recalls how difficult it was to hear over Bill's cereal, suggesting that the noise may have been the catalyst for Catherine's abrupt resignation. Quizzed by Jimmy for his explanation, Bill claims he was calmly eating a quiet breakfast his desk when Catherine made a pass at him before turning her resignation into a not-so-subtle invitation to have sex. Then, as Lisa continues to leave desperate messages for Catherine, Jimmy turns to Matthew who, after blaming a weird thief for breaking the coffee pot, can only recall a suggestive dream he had about Bill. As Beth tries persuading Joe that Catherine was really interested in him, Jimmy turns to Lisa. Remembering herself as being incredibly busy at the time, Lisa blames herself for Catherine's sudden departure. Then, as Beth recalls how everyone quickly descended on her desk to scavenge office supplies, Catherine arrives to explain how another lucrative job offer came up that she just couldn't resist. Finally, after convincing both Joe and Bill to meet her at her apartment to say good-bye, Catherine stays behind at the station as the two men end up there with only each other.