Kim and Steve have been though so much together. But tonight they sit in the dock, very much enemies, and both facing possible prison sentences. Kim pleads not guilty to the theft of Orsino, a £300,000 thoroughbred and not guilty to obtaining money by deception from an insurance company. Steve pleads guilty to the two charges but denies he attempted to murder Kathy by driving his vehicle at her. It's only the first day but when Kathy takes the stand and reveals she did see Steve before impact, and that the vehicle was directed at her, Kim looks to have won the first round. Marlon tries to make peace with Lyn, who is temping at the vet surgery. But after he let he down at Christmas, dining with Dingles instead of with her family, she is in an unforgiving mood. The expensive necklace he's bought her is pushed back into his hand unopened. Rachel takes lunch with her schoolmaster boyfriend Graham and tells him she'd love him to move in with her. He seems hesitant but later agrees. Rachel is the picture of happiness.