As the year started Doug and Julie had problems. First, while Julie was out of town Doug got charged with a Bougus drug bust, and Larry raped Julie. When larry was murdered Julie was arrested. Soon the henchman confessed and Julie was freed. Then, while in paris they found Julie's brother Steve and brought him with them. They had no way of knowing that he would cause Julie trouble at her boutique by overpricing, skimming from the till, and counterfeiting antiques.

Bill moved in with Kate, but quickly realized his mistake and tried to repair his relationship with Laura.

Lorraine Temple's arrival in Salem shook things up for Don and Marlena when Lorraine introduced Don to a daughter, Donna, he never knew he had. Don did not accept Donna. At Don and Marlana's wedding Donna was going to jump of the roof. Don, trying to save her fell off instead. Don survived and Donna went out with Pete Curtis. She was gonna leave town for good until Don finally accepted her.

Linda took over anderson manufaturing as Bob's heart got worse. Linda had an affair with Neil and when Bob found out, he hired an investigator to follow Linda, who was still not completely over Mickey.

Maggie and Mickey almost separated over Maggie's discomfort with his close friendship with his old flame Linda, but they repaired their relationship. Then Janices's natural mother returned and kidnapped her but Maggie refused to press charges and the woman was hired as a housekepper to be near the child. Then Maggie temporaly lost custody of the child because she began to drink to much.

Mary and Stephanie Woodruff vied for the attentions of Chris Kositchek, and Stephanie ultimately won.

Trish left town with Scotty but david found her and they returned to salem.

Mike met and married Margo Anderson even though she was diagnosed with leukemima.