Benny does a monologue on his Christmas gifts, then remembers last New Year's Eve: Mary is giving a party, but Jack is not planning to go because he has a date with Gloria. After the show, the cast gathers in Jack's dressing room. Crosby sings 'Let's start the new year right,' with the Sportsmen Quartet. Jack gets a call from Gloria cancelling their date. He refuses to go to the party, and instead wanders the streets alone, finally stopping for coffee at Nick's Cafe, where the waitress turns out to be Gloria. He goes home, where he and Rochester ring in the new year together.
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