S3E1 · Out of Town

Complete story — includes the ending

A flashback depicts Don's stepmother Abigail experiencing a stillbirth; she is later given an infant named Dick, whose prostitute mother has died in childbirth. In early 1963, following Sterling Cooper's sale to a British company, major changes are made to the staff, including the firing of account executive Burt Peterson, and the addition of new financial officer Lane Pryce. Joan gives Burt's former office to John Hooker, Lane's assistant. Lane appoints Pete to head of accounts, but pits him against Ken by offering him the same position; Pete expresses dismay to Trudy about having to share the position. Sal accompanies Don on a business trip to Baltimore, and the two men embrace the anonymity of their surroundings by masquerading as "Bill" and "Sam" respectively. They both engage in extramarital liaisons while on the business trip—Don with a stewardess, and Sal with a bellboy. When the hotel fire alarm goes off, Don rushes down the fire escape and catches Sal with the bellboy. On the flight home from Baltimore, Don subtly hints to Sal that he won't tell anyone, pitching a concept for London Fog with the tagline, "Limit your exposure".