Ted and Melody are chit chatting about work when they hear a strangely amplified "Ted and Melody!" beckoning them. Then Mr. Ernst comes out showing off his "latest piece of equipment" -- a bullhorn. He seems to think it's a great idea for directing his workers from a distance. But then he turns on the bullhorn's musical tune feature, and it gets stuck blaring jingle bells.
Out on their porch, Melody delivers Brad some mail from home. As Brad opens the small packet, her curiosity instantly turns to dread as she pulls out some photos. Melody is instantly curious, and she chases Brad into their bunk trying to get a sneak at the pictures. Brad has quickly hidden them, but Melody knows right where to look. She pulls the photos out from under Brad's pillow and finds pictures of Brad wearing a chicken suit. Melody pesters Brad for the story and swears secrecy, so Brad comes clean. She thought the school dance was a costume party, and when she showed up wearing a chicken outfit, everyone in their nice clothes stopped and stared at her. Brad makes Mel promise again that she won't tell anyone, and Mel wholeheartedly agrees.
Later, at the corral, Ted is a little put out that he and Melody are stuck waiting for Brad. She's holding up their chores. Ted starts griping about Brad's attitude. While Melody sympathizes with Ted, she also says they should cut Brad some slack. Then Mel begins to genuinely defend Brad's attitude. After all, there might be reasons why she acts like she does. Maybe things in her past. Maybe embarrassing things. Ted tells Mel that she knows something and she better spill the beans.
Melody admits that Brad told her a secret, but she's not telling Ted. So Ted starts tickling her in the ribs until she finally gives in. After Ted promises not to tell anyone, Mel tells Ted the chicken suit story. Finally, Brad shows up and Ted can't help himself. He starts obliquely badgering her. Melody is screaming at Ted to shut up, but soon he's openly mocking Brad's chicken suit. Brad is fuming mad, not so much at Ted, but at Melody for telling Ted. Disgusted, Brad is surprised Melody didn't show Ted the pictures as well.
Just then Danny pulls up on Sylvester. Brad starts griping to Danny about the two. Danny expects stuff like this from Ted, but he's surprised at Melody. Getting really defensive, Melody starts running at the mouth, saying how Ted tells secrets all the time. Like Brad's chicken suit. Like the time Danny overflowed Mr. Ernst's toilet.
Unmasked as the cause of the Great Flood, now Danny is in anguish. Ted starts to scold Melody, but Danny puts the blame on Ted. Ted and Melody start fighting with each other, exchanging blame for the humiliating Danny and Brad.
Danny stomps off into the hay barn. While Ted profusely apologizes, rationalizes, and disobliges, Danny throws wads of hay into his face. Ted asks if they can be friends again and gets another face of hay for an answer.
Cleaning the guest rooms, Melody isn't having any better luck with Brad. She gets a face full of dirty linen for an answer. Mel tries to plead her case, claiming that she was defending her. But Brad is giving Mel the silent treatment, and she wraps her head in a dirty pillowcase as she stomps off.
The four meet up again in the main square. Melody is claiming that true friends would be forgiving, while Brad maintains that true friends would've kept their secrets. But Brad and Danny finally break down, on the condition that the other two promise never to blab like that again. Melody is glad that everything is back to normal. Suddenly, Danny remembers that Mr. E wanted to see Brad and him, so Ted and Mel head off.
Danny and Brad go up the bell tower, and they watch their two friends stroll off. Talking to Mr. E was just a cover. Danny really wants to confer with Brad alone because he still doesn't feel right about what happened. He doesn't think that the pair has really learned any lesson at all, and they'll keep telling secrets, given the chance. So Brad comes up with an idea. They'll test them. Danny likes the sound of this.
In the boys' bunkhouse, Ted reaffirms his commitment to discretion to Danny. Glad to hear it, Danny then tells Ted that he's heard the greatest secret ever. Ted goes gaga. Danny plays Ted, hinting, building anticipation, before finally letting him in on it: one of the female staff members has a crush on Eddie Hammerfink, a muscle bound lunk of a guest. Ted is beside himself, needing to know who she is. But Danny plays Ted's own rehabilitation against him, saying the "New Ted" wouldn't need to know. Ted wanders out. Danny smirks. "Got him."
Walking together, Melody is busy upholding her newfound integrity to Brad, and Brad is in a receptive mood. Good thing, too, because Brad has heard the best secret. Mel bites, and Brad starts reeling her in. They both feign indifference, but it's obvious that Melody is dying to know! Desperately, Mel searches for an angle, and she tells Brad that it would be a beautiful demonstration of friendship and trust if she told her the secret. Brad casually agrees and lets her in on it: Brad saw the staff list sheet on Mr. Ernst's desk -- one of their co-workers' middle name is Aloicious! Melody is laughing, she tells Brad that the moment they just shared was great.
Mr. Ernst returns the bullhorn, and at the advice of the salesman, he buys a loudspeaker system instead. But instead of buying $300 worth of cable, Mr. Ernst wires it up to the existing phone lines. He connects the loudspeaker, and he hears a phone call come in over the loudspeaker. The caller complains about an echo, and Mr. Ernst yanks the wires.
Ted and Melody meet up in the lodge, and they're both glad to hear that things are back to normal with their respective bunkmates. But they tell each other they both know great secrets. They go through the motions of being above it all, but the urge to blab is too overwhelming. Getting around their learned lesson of not "telling" secrets, they figure that guessing from someone acting out a secret is completely different.
So Ted immediately starts into a game of charades. After going back and forth Melody guesses the secret that someone has a crush on Eddie Hammerfink.
Mel realizes and tells Ted that the secret is about her. Ted asks Melody what her secret is and Mel tells him that one of the staff members' middle name is "Aloicious". He realizes that they've been had.
After she realizes that Ted is Aloicious, Melody starts giggling. But Ted abruptly cuts her off. They've realized they failed the test, but they don't care.
The four finally meet up again and outside, and Ted and Mel confront Danny and Brad about the issues at hand. Danny and Brad play it cool and aggravatingly innocent. Then Brad points out that perhaps Ted and Mel are a little confused about whom really has a right to be angry. Now that they all know secrets about each other, they're finally even. Melody admits that they really got them good. And the only thing Ted is left mad about is the way they were outsmarted. Melody has them all raise their hands and repeat after her, "No more secrets!" Ted adds that this time he means it.
Mr. Ernst pulls out some walkie talkies he bought from the back of a truck. A little used, but they're guaranteed state of the art. As they test it, another voice cuts in. Mr. Ernst identifies himself to what turns out to be a state police officer. The cop orders Mr. E to stay off that police channel, or he'll arrest him. Mr. Ernst drops his new radios into the garbage.