Brooke goes to Ridge to break the news about Rick and Phoebe but is interrupted by Jarrett, whom has come by for an interview about the opening of the boutiques. Jarrett hints about Phoebe and Rick being involved, but Stephanie and Ridge fume at him to keep the family out of a press scandal. Ridge assures Stephanie that Rick and Phoebes relationship is over. Bridget learns from Rick why Ridge threw him out of Brookes house. Bridget knows that Brookes support of the union is going to cause her problems with Ridge. Brooke comes by and informs Rick that she didnt have the chance to tell Ridge. Stephanie later barges in and is furious to hear that Rick and Phoebe are still seeing one another, and that Brooke knew. Nick and Taylor make love on his boat, but are left floundering in the ocean when a passing tanker hits and destroys the Shady Marlin. Nick desperately tries to help an unconscious Taylor.