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Johnny Carson visits Minneapolis for a benefit performance and, through an involved set of circumstances, agrees to be Mary’s guest at her party.

Mike Cooper is a middle-aged bachelor who is intrigued by Mary Richards’ telephone voice. He asks his friend, Lou Grant, to fix him up with a date and Lou reluctantly agrees. Mary’s blind date with Mike leads to long conversations – between Cooper and Grant – as a result of Lou’s decision to go along as chaperone.

Mary Richards decides to enroll for a television journalism course at a night school. She gets good vibrations, but not necessarily good grades, from the instructor of the course, Dan Whitfield. Dan is more impressed with Mary’s personal charms than with the fact that she is an associate producer, so he exercises his prerogative and keeps her after school.

Mary learns it’s Lou’s birthday and decides to surprise him with a party. What she doesn’t learn until too late is that Lou hates birthdays and surprise parties.

The circus is in town, and Ted’s wish has finally come true. He is invited to reign as Grand Marshal for the circus parade. But Lou decides the anchorman’s ambition is not in keeping with a newsperson’s image and refuses to let him participate. Ted is humiliated by Lou’s decision, as well as being replaced by Chuckles the Clown – although his feelings change abruptly when something funny, though fatal, happens to the substitute Grand Marshal. The WJM team can’t stop laughing over Chuckles’ demise, and Mary castigates them all for their lack of respect. But Mary finally starts to see the funny side… at the most inappropriate moment possible.

Mrs. Morgenstern, Rhoda’s mother, pays another visit to Minneapolis, and this time, brings her husband along. After a few days, Mrs. Morgenstern tells Rhoda and Mary that her marriage is on the rocks. Convinced that her husband is seeing another woman, Mrs. Morgenstern moves in with Rhoda and Mary. The girls, however, are certain it’s all a misunderstanding and are determined to get the couple back together again.

Mary starts to have doubts about WJM’s relatively small-time operations when she begins dating the anchorman from Minneapolis’s top-rated station and finds herself doubling as a spy.

The annual Teddy Awards has the newsroom bubbling over with anticipation, except for a distraught Murray who has never won an award and is sure this year is not going to prove any different. Mary Richards’ added chore has not lessened the commotion around WJM-TV. She’s in charge of entertainment for the Awards show, and just as Lou expected, the newsroom turns into a vaudeville stage.