After Kevin loses all his money and his car in a poker game, he decides he has to leave the resort - there's nothing to keep him there now. The next day he says goodbye to Winnie, punches Eric and storms out. Hitchhiking out of town, he runs into Winnie who has been fired from her job. They begin to argue and lose the ride they had flagged down. Later, sheltering in a barn they talk about how much has changed between them. Winnie thinks it's just inevitable - that everyone grows up. Kevin doesn't want to believe it and neither does Winnie, not really. They kiss, passionately. The next day they both return to Kevin's hometown for the last 4th of July he will ever spend there. Karen has returned home and she is pregnant.
In the end, the narrator tells us that Paul went on to study law at Harvard, that Karen has her baby and that he looks like Kevin, that Norma goes on to become a board chairman and that Wayne takes over the family furniture business after Jack passes away two years later. Kevin and Winnie write to each other every week for the eight years after she leaves for France to study art history. When she returns, Kevin is married and has a son. Kevin realizes that nothing turns out how you plan, but that his memories of childhood will be with him forever.