In the Abbott kitchen, John read the morning paper, and Mamie asked if she could get him anything else. He noticed Jack's car was gone, and he inquired whether she had any idea where his son had gone. She reported that she hadn't seen Jack, and she observed that John appeared to be at loose ends. John considered going into the office, but she scolded him for thinking about working on a holiday. He muttered that it was just another day for him.

Mamie reminded John that he'd felt the same way the year before. She recalled that he'd picked up the phone and made plans for an impromptu party, which had been a big success. John exclaimed that it was a great idea, and he agreed to do it again on one condition -- she had to stay out of the kitchen, since it wouldn't be a party unless she was part of it. John prepared to call Ashley to invite her and Victor.

Coincidentally, Ashley called at that moment, and John told her that Mamie had coerced him into throwing an impromptu party. Ashley mentioned that there was a personal matter she wanted to talk with him about. John acknowledged that Victor had just gotten out of the hospital, but he expected the party to be relaxing. Ashley promised to be there later.

At the Chancellor mansion, a clearly ill Esther recognized that Brock had wanted her to put together a picnic, but she felt awful. Brock felt her forehead and discovered that she was warm. He instructed her to forget about the picnic and ordered her to go to bed and rest. As she headed for the stairs, Esther passed by Rex, who had just returned from a run. Rex proclaimed that it was a beautiful day for a holiday. As Katherine entered the room, Rex added that there wasn't a cloud in the sky, and he suggested that Katherine throw a party.

Katherine glumly gazed out the window, and Rex assumed she was feeling down. She bemoaned that holidays were always "so empty," since they should be a time for the gathering of friends and family. She added that she'd woken up thinking about how close she and little Phillip had once been. She shared that she'd wanted the tot to spend the holiday there because it had been a long time since she'd seen him, but Nina had already made plans.

Katherine figured that she had two wonderful gentlemen to spend the day with, so she had no right to complain. Brock asked what she felt like doing, and she decided to relax with a good book that she was in the middle of reading. She grabbed the book and headed upstairs. Rex sympathized that Katherine didn't like holidays because they reminded her too much of the past. He contemplated going over to Nina's place to tell her how Katherine was feeling. Brock said he'd been thinking the same thing.

Later, John called Katherine and told her that he'd foolishly been sitting there alone, so he'd decided to have a party. He wanted her and Rex to be there, and she halfheartedly replied that it was a lovely invitation. John heard the malaise in her voice and guessed it was because it was a holiday, and he protested that it wasn't right. He encouraged her to pass the word to her friends, since they'd all have a great time.

A hesitant Katherine said it was nice of John to include them, but before she could decline the invitation, Rex grabbed the phone and told John that John could count them in. After he hung up, Rex recognized that he might have upset Katherine, but he thought it would do her good to get out. She doubted she would be pleasant company. He wrapped his arms around her and kissed her cheek. He chirped that he had to run an errand, but he'd be back.

At home, Nina was packing a picnic basket when the doorbell rang. She assumed it was Ryan, and she excitedly ran to the door. She was surprised to see Rex there, and they hugged. She explained that she didn't have a lot of time because she was going on a picnic with her boyfriend. Rex invited them both to the party. Nina wondered if Katherine had sent him, but Rex confirmed that his wife didn't know he was there.

Rex cited what it would mean to Katherine to spend some time with Phillip that day, since she considered the boy to be her grandson. Nina reiterated that she had plans. Rex revealed that the party was at the Abbotts', and Nina was shocked that she was welcome to attend. Rex implored her to get Phillip and go, but Nina balked because her existing plans were important to her. Rex stressed that it would mean the world to Katherine to spend a little time with Phillip, and he urged Nina to think about it.

Later, the doorbell rang, and Nina anxiously checked her appearance in the mirror before greeting Ryan. They kissed and said they'd missed one another. She informed him that they'd been invited to a party; she'd declined, but she thought that maybe he'd like to go. Nina was sure that people Ryan worked with would be at the event, so it might be good for him to spend time with them. He acknowledged that he didn't know John well, but he would like to.

Ryan eagerly asked if the Newmans would be at the party, but Nina pointed out that Victor might still be in the hospital. Ryan revealed that Victor had been released a couple of days earlier, but Nina doubted the mogul would go to a big pool party. Ryan admitted he was tempted to go, since he'd heard a lot about John Abbott. Nina exclaimed that it could do wonders for Ryan's career. He wished he knew who else would be there. She suggested that they go for a while, since Katherine would be thrilled to see Phillip, and they all might have a good time.

Dru reviewed a to-do list as she asked someone over the phone if everything would be ready, including a whirlpool tub, king-size bed, and romantic dinner table on the terrace. She was pleased to hear there would be a strolling violinist, and she inquired about her plans for massages and a sailboat. Dru anticipated that she and Neil would have a fabulous time, and she smiled as she hung up. She envisioned how surprised Neil would be when he saw what she'd arranged for them.

Dru called Alan Goodman to discuss the centerfold he wanted her to do. She assured him that she wasn't having second thoughts, but she wanted to schedule test shots within the next few days because she had something else lined up. She thanked him and hung up. "Neil Winters, there will definitely be fireworks this Fourth of July," she purred.

Nathan tracked down Neil at work and asked what Neil was doing at the office on a holiday. Neil reasoned that it was the only quiet time around there. Nathan groaned that playing a masquerade to keep Olivia from knowing how worried he was about the risks of her having a baby was the hardest thing he'd ever had to do. Neil warned that if Nathan told Olivia, it would take all the joy out of her pregnancy. Neil implored Nathan to concentrate on how happy Olivia was and the positive aspects of having a child.

Nathan admitted that he was scared something would happen to Olivia, who appeared in the doorway. She asked if she was interrupting something, noting the suspicious looks on the men's faces. Neil claimed that they'd been cooking up a surprise for her. Nathan remarked that Olivia was the one full of surprises, and he questioned how she'd gotten sprung from the hospital. She mentioned that she'd tried to call Nathan to tell him she wasn't on duty that day, since she'd called in a favor.

Olivia suggested that she and Nathan should go on a picnic with Neil and Dru. She added that she'd dropped by to invite Neil, and she wondered what Nathan was doing there. Neil fibbed that he'd asked Nathan to stop by to find a way to get her off the duty roster so they could plan a picnic. They decided to go to the lake, and Olivia warned them against making any wisecracks about her fitting into her bikini. Nathan cooed that she had the best excuse in the world. He pulled her into a hug and declared his love, but he shot Neil a worried look over her shoulder.

Dru arrived, and Nathan invited her to be part of their day. Mamie called Neil and reprimanded him for being in the office on a holiday. Mamie sternly told him that it wasn't a day to be working, and she invited him and Dru to the party at the Abbott house. Neil informed her that they were trying to figure out their plans for the day with Olivia and Nathan, but they might see Mamie later. Neil relayed that there was a big Abbott party. Dru suggested that they go for a while, but she and Neil would have to leave early because she'd made plans. Neil questioned what they were, but she teased him for being nosy and promised to tell him when the time was right.

Between kisses, Jill seductively asked Blake what his favorite sandwich was -- roast beef, corned beef, or hot pastrami. He replied that it was definitely hot pastrami, and they kissed again. She suggested they skip the main course and go right to dessert, and he called her a wicked woman. Jill figured a man like him loved a wicked woman, but Blake wondered if her real interest was with him or with John. "John who?" she asked. Blake was pleased with her reply, and he retrieved a bottle of Champagne.

The phone rang, and Blake indicated that he wasn't there if it was a business call. Jill answered the call, and John invited her to his get-together if she had no other plans. Jill said she'd try to make it, and John replied that he looked forward to seeing her. Jill informed Blake that she'd forwarded her calls there, and he handed her a glass of Champagne and assumed from her reaction to the call that it had been John. Jill inquired whether Blake would like to accompany her to a party, and he flirtatiously asked if there would be hot pastrami there. She murmured that there might even be fireworks. He said he wouldn't miss it for anything in the entire world, and they resumed kissing.

Traci dressed baby Colleen, excited to show off her pretty girl at "Grandpa's big party." Traci fawned over Colleen as Brad entered and asked what was going on. Traci explained that she was getting their daughter dressed, since her dad was having a party that day. Brad questioned whether he was invited, and Traci told him it was silly to ask. "Is it?" he testily inquired, and he griped that he wouldn't have known about the party if he'd gotten home five minutes later.

Traci swore that she'd planned to leave Brad a note, and she queried why he was so upset. Brad asserted that he had a right to be, since her father was throwing a party, and Brad hadn't been told about it. Traci explained that she'd just found out about it, since her dad had been feeling lonely and had decided at the last minute to fill the house with people. Brad grumbled that she could have called him at the office. Traci reasoned that he wouldn't have gone to work on a holiday if it hadn't been important, and she hadn't wanted to bother him over a party. Brad accused her of being angry that he'd gone to the office.

Traci calmly pointed out that Brad wouldn't have gone to work if it hadn't been absolutely necessary. She figured that he would have spent time with her and their daughter once he'd finished work, but he snapped that neither she nor Colleen would have been there. Traci reiterated that she'd just found out about the party, and she'd had no way of knowing how long he'd be at the office. She added that he was usually gone all day, and she refused to waste a beautiful day. Traci swore that she'd never force Brad to go to a family gathering, and she welcomed him to decide what he wanted to do. He replied that he'd love to go with her.

Ashley gazed at the elaborate spread of food by the Abbott pool. John spotted Ashley and joined her. He wished her a happy holiday and gushed that it was good to see her. She responded that it was nice to be wanted. He proclaimed that a celebration was just what he needed, since he hadn't been looking forward to a day by himself. John recalled the wild pool parties his kids had enjoyed, and Ashley remarked that the house held a lot of memories. She wistfully added that there was no place she'd rather be. John asked where Victor was.

John assumed Victor was parking the car, and the guests began to arrive. Katherine commented that Ashley looked wonderful, and John and Brock shook hands. John was glad Gina had been able to get away from the restaurant, and she shared that she'd given her staff the day off to celebrate.

John noticed Ashley looking forlorn, and he guessed that Victor wasn't there. She claimed that her husband hadn't felt up to it after getting out of the hospital, and she asked where Jack was. John had no idea, but he hoped Jack was with Nikki. Ashley highly doubted Jack was with Nikki. John sensed that Ashley needed to talk, but she said it would keep for later.

Carol arrived and wished everyone a happy holiday. John told Jill and Blake that he was glad they'd been able to make it, and she hoped John didn't mind that she'd invited Blake. John welcomed Blake, who complimented the place. John proudly stated that it had been his home for many years.

Katherine snatched a brownie out of Rex's hands and reminded him that he'd asked her to help him count calories. She crossed over to say hello to Jill, and she remarked that Jill was the last thing she'd expected to see there that day. Jill retorted that she was sorry to disappoint. As John stared jealously at Jill and Blake, Katherine remarked that Jill had made the day far more interesting with her handsome photographer friend.

John asked Rex how Katherine was doing. Rex lamented that she didn't really enjoy holidays and that she really missed young Phillip. Rex recounted that he'd tried to convince Nina to make an appearance, but Nina had had other plans. Rex predicted that it would be a rough day for his wife. Nina, Ryan, and Phillip walked in, and Phillip raced over to greet his "Grandma Kay." Cradling him in her arms, Katherine cooed that she loved him and missed him. Jill made a beeline for her grandson, and she glowered when Phillip enthused that it was neat that both his grandmas were there.

Ashley perked up when she saw Brad arrive with Traci and Colleen. Rex beamed as he watched Katherine play with Phillip. Rex commended Nina for making his wife a happy woman. Nina introduced Rex to Ryan, and John congratulated Ryan on his promotion. Ashley joined Traci, who stated that she'd just put Colleen down for a nap upstairs. Brad eyed Ashley, who gushed about what a proud aunt she was.

Nathan hovered over Olivia to make sure she didn't get too warm. She clucked that he seemed more nervous than when she'd first told him she was pregnant. Dru warned that Nathan would drive Olivia crazy, and she lectured that females had been having babies for a long time. Dru stepped away, and Neil followed her. Neil stated that he had something to tell Dru, but she insisted on telling him about her plans first.

Dru announced that she and Neil would leave the party early and head about 100 miles north to Crystal Lake for a long weekend together. She disclosed that she'd reserved a cabin in the woods with a stocked bar, fireplace, and huge whirlpool tub. She proposed they take off and get a jumpstart on the weekend. Neil agreed that it sounded great, but he'd already made travel plans for her to go on another promotional tour, visiting four cities in four days. He apologetically stated that he'd just found out that day, and she had to leave that night.

An irked Dru demanded to know if Neil would go with her, but he regretted that he had to stay in town for a marketing session that week. Dru questioned whether he would have gone with her on the weekend trip if she wasn't obligated to go on the promotional tour. He thought it would be more fun letting her guess, and he suggested that she try him another time. Dru initially rebuffed Neil's attempt to kiss her, but she eventually gave in.

John clinked his glass to get everyone's attention to join him in a holiday toast. He hoped his guests were having as wonderful a time as he was, and he thanked his dear friend Mamie for encouraging him to get family and friends together on a special holiday. Amidst applause, John thanked everybody for being there. Brock began to sing "America the Beautiful," and Gina joined him. The entire group stood up, placed their arms around one another, and finished the song together.