In the town of Tarrant on the English coast, the Howard family and a range of other figures within the yachting industry contend with corporate intrigue, extramarital romance and family drama.
The arrival of Sir Edward Frere surprises Sir John. Jan finds retailers dropping their options for her second line and realises she must find another designer.
Frere rejects Sir Edward's offer. Jan meets with young design student Anna Lee. Kate offers to listen to Polly's problems.
An enterprising Leo goes into business for himself. Gerald won't divulge to Polly details of his call from Dr. Reynolds.
Jack finds himself in a position to ask Avril for help. Mark challenges Ken in the upcoming, white-knuckle, thrilling speedboat race.
Sarah worries about Mark who has vanished. Jan moves forward with her retail shops. Tom receives notice that his divorce is final.
Amanda attempts to apologize to Leo for her deception. Sir John wonders about Ken's vulnerability now that Sarah owns two-thirds of the business. Jan can't resist Sir Edward.
Jack's elation wanes when Tom informs him how Jan saved the Mermaid yard. Ken cautions Sarah, but she insists they both must pay. Anna decides that she has to leave.
A journalist makes Tom a tempting offer. Information about James' death shocks Gerald and Polly.
A personal diversion makes Jack late for the race, but speed racer Richard Spenser comes to the rescue. Jan demands an explanation from Anna.
Mr. Lee visits Anna with an offer of a second chance, but she continues to disobey him. Leo's jealousy is incited when Amanda flirts with Ken.
Ken reassures Sarah that he needs her. Jan and Tom spend a day reminiscing at sea.
Frere questions Gerald about Hitoshi Serozawa, whose father was ruined by Sir Edward.
Jack scoffs at Tom's nominee for a new employee at the Mermaid yard. Frere speculates that something's wrong with David Lloyd's information.