Peter, the woodsman, goes to visit Red. Instead he hears what he believes is her grandmother. She then shows herself after playing with him. She tells Peter she wants to sneak out to see him. Grandmother yells for Red to come inside. She kisses Peter and goes to her. At the other door to the cottage there are visitors. A group of villagers warn Grandmother and Red to stay inside as the wolf is on the loose that they plan to hunt. Grandmother is dismissive to them. They leave and she has Red help her bolt up. She warns Red to wear her cloak as red repels wolves. Grandmother also expresses her lack of enthusiasm for Peter.
The next morning the two of them unbolt the doors. Red goes to assess the damage done in the chicken coop. There she and Snow meet for the first time. Snow has been hiding there. They immediately become friends but Snow is still reluctant to reveal her identity. She changes her name from Mary to Margaret until she settles on Mary. The two new friends go to the well. Red tries to show Snow that the well water is contaminated with blood but Snow is distracted as she sees the members of the hunting party sprawled out in a dead, bloody mess.
The townspeople meet to discuss what to do about the wolf. Grandmother interrupts the meeting and tells them they cannot defeat the wolf and it is best to just stay inside. She tells a story of her encounter with a wolf just like this one as a child. She has scars on her arm from the close encounter. The rest of her family was not so lucky.
Red and Snow talk about Peter. Red wants to be with him and feels held back. Grandmother always wants her inside hiding from the wolf and all she wants is to be with the man she loves. She comes up with an idea that she and Snow will kill the wolf. Snow is reluctant but Red makes it clear that she will go with or without her. Snow decides to assist her. They walk through the snow and Red finds the prints. They begin to realize that the prints change from animal to human. The prints lead them to the cottage. Snow asks her who has been to visit her. Red declares Peter must be the wolf and she must save him.
Red and Peter are together. She tells him her theory that he is the wolf. She still wants to run off with him and suggests she can tie him up during wolf phases. She says she will never leave him.
Grandmother goes to Red’s room and finds Snow sleeping in the red cloak. Snow tells Granny that Red is fine. Peter is the wolf and Red went to save him. She does not believe he would hurt her. To Snow’s surprise Grandmother is worried for Peter.
In the woods Peter is tied to a tree. He cannot escape as Red, the true wolf, approaches him.
Grandmother explains to Snow that Red is the wolf and the red cloak suppresses her from changing but Red never wants to wear it. She should have told her the truth. The whole family is wolves. They find Red too late. Granny shoots a spear that will stop her and they throw the cloak on her. Red is unharmed but confused about what has happened. She finds out it is she who is the wolf and she has attacked Peter. The hunting party approaches and Grandmother sends her away with Snow.
Emma and David are at the station. Although she believes David she tells him he must get a lawyer.
At the diner Ruby is chatting away with August. She is fascinated by his stories. She has never left Storybrooke. Granny interrupts them. She tells an annoyed Ruby she wants her to learn the books and start working Saturday nights. This turns into an argument and Ruby quits.
Emma and Mary Margaret walk down the street discussing David. There is still no sign of Kathryn and this looks bad for him. They run into Ruby and Dr. Whale. He leaves and Ruby tells them she quit the diner and wants to leave Storybrooke. Mary Margaret suggests that she stay with them. Emma does not look happy but goes along with it.
Mary Margaret goes to the forest to search for clues about Kathryn. Instead she finds a very foggy David. He walks away from her.
Ruby is at the sheriff’s office. She and Henry are online looking at classified ads for employment. The phone rings. Emma overhears her answering the phone. She offers Ruby a job at the station. Ruby gratefully accepts and her first assignment is to get them lunch. As she leaves Mary Margaret comes in telling Emma about her strange encounter with David.
Ruby goes to get the food from the diner. To save face she fibs to Granny about what she does at the station. Granny knows better.
Henry tells Emma that Ruby is Little Red Riding Hood. Ruby doesn’t believe she is good at anything because she can’t remember all of the things that she can do. Upon Ruby’s return Emma tells her that she is coming to help Emma find David. Ruby has no confidence in herself but once they are in the woods her senses come alive and she finds David. Emma is impressed. They find him passed out. When he wakes up his last memory is from his meeting with Emma at the police station.
David and Emma go to the hospital. Dr. Whale says this may be the same thing that caused his coma. I show up at the hospital and remind them I am David’s emergency contact. This surprises them and I remind them that Kathryn is missing. As I say this I glare at Emma.
Emma calls Ruby and send her to seek out clues at the bridge. Ruby doesn’t believe she can do it. She stays on the phone with Emma. Again she surprises herself as she finds a mysterious box. It is the same box that had stored Sheriff Graham’s heart, but they don’t know this. Ruby looks inside and begins screaming with Emma on the phone.
Granny is counting money. Ruby goes to see her. She tells her that she wants to come back. Granny tells her one day the diner will be hers. They make up. Ruby has found police work is not for her.
Mary reassures David this will somehow work out. Emma shows up and tells them about the box. She reveals the contents were that of a heart. David immediately believes that he must have killed Kathryn during one of his blackouts. Emma tells him that there were fingerprints in the box, but they did not belong to him. They were a match to Mary Margaret.