Tensions run high as word gets out that Derek is the new Chief. Lexie assures other staffers that Derek is "loyal and fair." "Yeah, tell that to Webber," Alex points out.
Derek and Larry Jennings, the chairman of the hospital board, present Richard with two options: Retirement or rehab. "Sober up, you get out, you have your job waiting," Derek promises him, but Richard takes his time making the decision.