Its winter in New York
Blair and Serena are discussing Blair's date to the senior snow flake Charity Ball. Blair explains that it's the holiday event of the year and she needs a ringer. Chuck overhears and gives Blair reasons not to go out with the guys that she has shortlisted
Serena spots Dan and runs over to him (as they are doing the friends thing). They start talking about the dance and Serena tells Dan how much she love the dance but how she will be flying solo because it's not really Aaron's thing. Dan tells Serena that he will be going as well as all of his happiest memories have happen at these events. They decide to go together as friends.
Cut to Jenny who is reorganising her Dad's CDs. She has called Vanessa to whine to her about her future. Jenny can't seem to figure out what happened with Nate. This remark causes Vanessa to look very guilty. At the moment Nate calls Vanessa. She lies to jenny and makes an excuse to leave. As she is leaving Penelope walks in and asks jenny to commission a dress, which she accepts after pointing out that she is expensive.
You find out that Rufus is helping lily with the dance. They talk about Bart who happens to show up and tells Lily that they need to talk.
Serena and Dan show up at Aaron's gallery where Lexi (Aarons ex) just happens to be bad mouthing Serena (awkward moment).
Vanessa and Nate are having a couple moments and talking about how Vanessa hadn't told jenny that they are dating. They seem to get over pretty quickly and start kissing. Someone sends a picture of this to GG.
Aaron asks Serena to give Lexi a chance and then Serena blackmails him to go to the winter dance.
Jenny confronts Vanessa about the picture. Vanessa tries to apologise but in the end just tells jenny to get over it.
Chuck and Blair make a bet that they can get each other the perfect dates. If chuck wins then he gets Darota. If Blair wins she gets chuck's limo for a month.
Lexi pushes herself on Dan who then asks her to the ball. Aaron asks Serena if she is OK with Lexi going. Aaron then informs Serena that Lexi always sleeps with guys on the first date.
Jenny brings Penelope her dress. Then they all scheme against Vanessa. They come up with the idea that they would take the lining of Vanessa's dress to humiliate her.
Serena and Blair discuss her problem with Lexi and Dan. Then we find out that Serena and Aaron haven't had sex.
Jenny offers Vanessa the dress. Darota and Blair try to find chuck's date. Dan calls Serena to make sure that she is ok with him going with Lexi to the ball. Serena then tells Aaron that they should have sex after the ball.
At the snowflake ball Chuck and Blair introduces their dates to disastrous results. The dates end up making out with each other
Lexi tells Dan about Serena and Aarons plans. Which obviously makes him uneasy? Serena and Dan share a dance and they talk about how they are both going to have sex with their dates.
Vanessa shows up and tells Jenny that she is ending things with Nate which makes Jenny have second thoughts.
Vanessa tells Nate that she has feelings for him and confesses to him that she stole the letter. As she is leaving Penelope shines a spot light on Vanessa which makes her dress see through.
Nate tells jenny that Vanessa stole his letter and that he is glad because he doesn't want to be with her. Then he goes out to find Vanessa and they make up
Lilly gets a phone call she asks Serena where chuck is because Bart has been in an accident