S1E8 · The Hobo Code

Complete story — includes the ending

Peggy, nervous about her upcoming Belle Jolie meeting, is seduced by Pete, and they have sex on an office sofa. Don presents Peggy's campaign ideas to the executives from Belle Jolie, who accept the pitch; Peggy is invited to have a drink with the creative team to celebrate. At Peggy's celebration, Pete acts coldly towards Peggy and walks out, leaving her hurt. Meanwhile, Sal meets up with Belle Jolie executive Elliott at a restaurant; the two men connect, but Sal is reluctant to accept Elliott's invite to his hotel room, too afraid to follow through on his attraction to men. While getting high with Midge and her beatnik friends, Don experiences a flashback to his childhood. He recalls a hobo approaching Don's family for food in exchange for work; Don's father, Archie, tells the man that he will get paid the next day. The next day, Archie refuses to compensate the man as promised, and Don discovers the hobo has carved the symbol for "a dishonest man" into the fence post of their home. Back to the present, Don decides to end his affair with Midge, realizing that she and Roy are in love.