Marion, Howard, and Joanie come down the stairs, and Marion says that they are going to Parent-Teacher Day to talk to Joanie's teachers. Howard wishes Richie good luck, and he, Marion, and Joanie leave. Richie tries to untie his basketball shoes, and Fonzie returns some classical albums that Marion and Howard lent him. Fonzie talks about his ballet-dancer girlfriend, Colleen. Richie asks Fonzie to pick them both up, and bring them to his game. At the dance studio, Lori Beth talks with Colleen about Fonzie. Lori Beth says Colleen should go to New York to become a professional ballerina. Lori Beth leaves to go to Richie's basketball game. At the School of Ballet, Fonzie and Colleen kiss. Colleen says she may close down the studio because teaching five students is not profitable. She may go to New York to study. Back at the Cunningham house, Marion and Howard are set to go to the movies. Joanie's grades are good, but her classroom behavior is less than desirable. Richie returns from his game in which his team won. Fonzie comes in and asks Joanie if she'd like to take ballet lessons. She is very interested. At the studio, there are some new students (Ralph, Potsie, Chachi, Richie, and Joanie). They practice a squat, and Ralph tears his pants. He puts on a tutu to cover it up. Highlights (or lowlights) of the class are shown. Colleen, with Fonzie as her partner, demonstrate what the new students could ultimately achieve. Everyone leaves, and Fonzie brings in a second class that includes Al. Back at Arnold's, Al is so stiff after refereeing the basketball game and participating in the ballet class that he can't pass the salt. Richie asks Fonzie if he thinks Colleen is really happy in Milwaukee. Richie tells Fonzie that her teacher in Chicago thinks she has the potential to be a great performer. He says that you don't study ballet to teach it - you study it to perform it. Fonzie leaves. At the studio, Colleen dances as Fonzie watches from behind a mirror. Fonzie tells her she should go to New York to perform, and she agrees. After Colleen has left, Richie comes into the studio, and Fonzie tells him she is going to New York. Richie leaves, and Fonzie and Colleen kiss before they share one last dance.