The night-time streets of Manhattan. Betty and Matt agree that they liked Molly's poem. Betty claims that Daniel doesn't cry at work every day. Betty tries to get a cab, but Matt asks her to come up to his place. Betty admits that she's freaked out about Matt's vast experience. He claims that she'll be the first woman he's slept with that he actually cares about, which is cheesy even for Betty. Luckily, Betty likes cheesy.
Molly comes out of her bathroom in a robe and sees a picture of Daniel in his high school rock regalia. He's got a Flying V and a headband. And Daniel is there in person, wearing sunglasses and holding an acoustic guitar. He starts playing his song, which involves the phrase "Just me and my special lady" and does indeed sound like a high schooler wrote it.
Wili tosses restlessly and looks at her baby. Archie and Hilda eat popcorn and watch a movie. Molly is charmed by Daniel and hugs him. Unfortunately, the song continues. Matt and Betty embrace in front of Matt's building. Betty feints toward the street, but she's clearly kidding. They go in, presumably to have sex.
...and that's that! Ugly Betty is going on hiatus after this episode, but they've got some clips from the distant future, including a repo man at Mode and Christina suggesting that maybe she's William's mother instead of Wilhelmina.