Cary voice-overs, "All the signals are there, jefe, loud and clear." The desiccated remains of the ironic conversation shrivel away a tiny bit more. We cut to Cary and Angel in Angel's office. Cary adds, "Nina definitely wants a piece of Angel cake." Ewwww. Angel rubs his forehead repeatedly as he asks Cary to stick to the job, and the emphasis on the forehead-rubbing seemed strange at the time, but since the puppet does it later, I think they were just trying to make sure that was in our heads as a gesture Angel does. Cary thinks of a show that fits the time slot and demographic, and holds up the photo of the grinning kid as he says, "Smile Time."

Angel skulks around in the Smile Time offices. A janitor approaches pushing a cart, and doesn't seem to notice Angel even when Angel waves a hand in front of his face.

Angel enters a set of offices, which are decorated with stand-up cutouts, and stuffed toys, and posters that are dead-on parodies of the Henson publicity materials, and I love the set designer and the props crew. Angel suddenly leans against a desk as the camera tilts sickeningly. Then he straightens up and walks toward a set of vertical files against a wall. There's a rattling sound, and I think the idea is that the noises are coming from behind the cabinet, not inside it, but I'm not really clear on this bit. Angel moves the cabinet aside, and reveals a hole punched through the wall, leading to a long dark hallway.