Following the elimination of Polly, the teams retreat to the dorms. The women lament losing the first service. Sara, embarrassed for the women and acting like one, cries. The chefs lay down for some needed sleep, only to be aggressively awoken early the next morning by Scott and Mary Ann. The teams assemble outside in front of Chef Ramsay.

Chef Ramsay asks if they have any idea how much food was sent to the bin last night. To make sure they understand just how much food cost they wasted, he orders them into the dumpsters to pick out the waste. The teams five in, rip open the garbage bags and start picking through all of the food. Once he's satisfied that the cooks understand the importance of not wasting food, Chef Ramsay orders them to clean up before returning to the kitchen.

Then it's time for the first team challenge, value for money. Dropping a slab of beef on the table, Chef Ramsay discusses maximizing meat before cutting into it. With a steak special going on to the menu, Chef Ramsay wants each team to take the side of meat and cut perfect 10 ounce steaks without any waste. And because the teams are uneven, he asks Keith to sit out for the challenge. Giving the teams ten minutes to cut as many steaks as possible, he turns them loose.

Each cook grabs a side of beef and begins cutting slabs of sirloin from the bone. After trimming a thin layer of fat, the cook begins cutting individual steaks. The teams race to finish as time ticks down. Chef Ramsay grabs Sara's cutting board and immediately removes a tattered steak from the mix. Comparing her cuts to his first cut, he accepts three steaks of the dozen or so she cut. From Heather, he only accepts two steaks. Rachel nets three. Virginia's first effort looks like flank steak and is tossed aside. She only produced two acceptable steaks, the same amount the Maribel made. The women only cut twelve acceptable steaks, and Chef Ramsay chides the women for wasting so much meat.

Up first for the men is Gabe. His first cut is a fatty mess that must be over 30 ounces. He contributes three acceptable steaks, which he's okay with because of his lack of experience. Garrett only provides one usable steak, the worst output yet. Third up is Giacomo, and most of his steaks are much too thin to be accepted. He only nets two steaks. Larry follows, and his first steak is split down the middle. Half of the meat hangs free. Zero steaks from Larry are added to the total. The men are six cuts short of the women with only Tom remaining. Tom brings a pile of meat forward and Chef Ramsay eagerly examines it. He quickly begins ringing up good steaks from Tom and suddenly the count is 12-11. Chef Ramsay marvels that this is Tom's first attempt at cutting whole steaks and picks through the remaining cuts. But none make the grade and the women hold onto their lead. Chef Ramsay lets the men know that, as the losers, they're responsible for cutting all of the steaks for the tomorrow night's service. The women, as a reward for winning, will be dining with Chef Ramsay at Saddle Peak Lodge, a wild game steakhouse outside of Los Angeles. Oh, and they'll be taking a helicopter there.

As the women take to the skies, the men begin trimming beef as prep. As the other group sits at the dinner table, Virginia's voiceover claims that she thinks Chef Ramsay is amazing and perhaps she could get to know him on a whole other level. Hopefully his wife and her new husband won't mind. The men, still grinding and cutting meat, promise that they'll easily defeat the women in the next service. Back from their meal, the women decide to treat themselves to a little Jacuzzi time. The men are all business is preparation for the next night. Except for Larry, who can't resist the combination of women and hot water.

That night, as everybody soundly sleeps, a gasping Larry calls an ambulance. The next morning, both teams wonder where he is. Then Larry calls from the hospital. It seems that he was admitted after a low level panic attack brought on by stress and won't be returning to the kitchen. His presence would possibly be missed if he had done anything. Hours later, the teams get started on prep work for the evening's service. Virginia, admitting that she's only been giving it 110 or 115%, vows to give it 150% tonight. Chef Ramsay gathers the teams moments before the doors open for the night. He picks Sara and Keith to work as servers tonight. Hopefully nobody at the blue tables thinks they're being served by Sloth from The Goonies.

The service begins and Sara brings in her first ticket. Keith, sweat pouring off him, lumbers to the hot plate with his first ticket. He conveniently left the temperature requests off of the steak order, a fact that irks Chef Ramsay almost as much as the flopsweat. The first red starters ready, the team delivers them to the hot plate. But Chef Ramsay notices that the walnut vinaigrette the ladies put on the monkfish tempura actually goes on the scallops. He drops the plate on the ground and demands that they start over. On other side, Keith finally returns with some tickets. Chef Ramsay reads off the order. When Gabe asks if there's any quail, an item Chef Ramsay didn't read off, Chef Ramsay is quite displeased. Of course there's no quail, Gabe!

Forty-five minutes into service, no starters have left either kitchen. The entire blue team is pitching in to help Gabe, but nobody's taking control. Chef Ramsay barks at Gabe to take control of his section. Fifteen minutes later, appetizers are finally flying out of the kitchen and the women are plating their first entrees. Mary Ann asks for some duck sauce, and when Heather reaches for it, she badly burns her hand. Chef Ramsay, showing his tender side, pulls her aside, runs hot water over her hand to soothe the burn and calls for Jean Phillippe to fetch some ice. With her hand in the ice, Heather continues to call out her orders, helping the team. Chef Ramsay sends her outside to the medics, who take her to the hospital.

With Heather gone, chaos descends on the red kitchen. In the blue kitchen, the men have turned their attention to entrees, but Giacomo and Tom aren't able to coordinate the delivery of main courses and sides. At the hot plate, Sara asks Chef Ramsay if she should don her whites and return to the kitchen to help out, and he thinks it's a fantastic idea. She rushes into the kitchen and takes over the meat station. Meanwhile, the men still can't come together, and Giacomo simply cannot deliver his sides.

Out in the dining room, people are starting to lose their patience as they wait for food. Some are even leaving. But the women are finally pushing their entrees to the hot plate. Virginia sends a plate of tortellini up, but Chef Ramsay notices that they're all torn and lumpy. Virginia complains that the tortellini are sticking together, and he asks her if she would serve torn pasta in her restaurant. She responds that she would, a statement that simply shocks Chef Ramsay. He asks her one more time if she would actually serve that and she finally gets the picture, muttering that she's starting some more. In a later confessional, Virginia complains that she handled the tortellini with care, but they tore anyway. What's more, Chef Ramsay was just riding her like he always does. Anyways, it doesn't matter any more because the tortellini table has departed. Chef Ramsay brings the teams together, shows them the empty restaurant and orders both kitchens closed.

Heather returns from the hospital just in time to hear Chef Ramsay's verdict. He first takes time to laud her for continuing to direct her team while in agony over a severely burned hand. He remarks that he's never seen that in 21 years of cooking. After complaining about the performance in both kitchens, Chef Ramsay announces that the loser is the blue team because they had zero entrees leave the kitchen. He then tabs Garret as the only blue cook to not have a bad service and asks him to nominate two teammates for elimination.

After a break in the dorms, the teams return to the restaurant for the elimination. Garret nominates Giacomo because of his inability to produce sides during service. His second nominee is Tom. Chef Ramsay orders them to step forward. Tom assures Chef Ramsay that he should've taken charge over Giacomo while cooking and vows that the lack of communication will never happen again. Chef Ramsay, telling Tom he believes him, orders him back in line. Chef Ramsay then pulls Gabe forward and sends him home. His thinks Gabe is too much of a sweet guy to be a great cook.