It's muck-up day at Hartley High. Last days before exams and the kids are looking forward to a taste of freedom for a day... Headmistress Dyson, however, has different ideas since she's found out that Education Department representative, Don Summers is dropping in for a visit. She's determined to have Hartley looking spotless and orderly... She has suggested the kids hold a cricket game. But this hasn't exactly got the kids enthused. Dani, meanwhile is nervous about the future. What will it bring, where is she going? She suggests the kids bury a time capsule to hold momentos that reflect where they are now. Katerina has a party, and since everyone is talking about their future, she decides they'll have a ""Victor the Predictor"" at the party. Everyone has to choose a name and guess what that kid will be doing what in 10 years time. This proves to have disastrous results, especially for Matt.

Exam time has rolled around, and the pressure is building. Charlie is especially under the hammer: he needs top marks to get into university, but as he is studying his computer breaks down. What can he do? Ronnie is concerned when Declan is unable to finish an HSC practice essay. Although he wouldn't admit it to anyone, Declan's domestic situation looks like it will destroy his chances in the HSC. Bolton is feeling the hot breath of exam panic as well. After a school career consisting of little study and lots of skiving, he is finally facing the HSC firing squad. He joins with Stassy and the class moron, Bazza, to buy a ""hot"" history paper.

Con returns from the USA and surprise the whole family when he brings his wife to meet them!. Declan dosent turn up for any of the exams.

A new student starts and her name is Melanie Black.The school dosent have enough money for the school formal so Ronnie arranges a party but only Melanie and Declan turn up.

Someone offers to but the shark pool and wants to turn it into a nightclub. Charlie moves into the warehouse.Loe Fine has been using the sharkpool for illegal gambling and Matt and Stassy tell him they will call the police unless he withdraws his plans to turn the sharkpool into a nightclub.

It's HSC results day and the gang await their arrival with trepidation and excitement. Matt, confident, makes plans for his and Stassy's future together. But Stassy fails and her father turns up to ensure she abide by the family agreement and move back home. For Stassy this is the end of her life as she knows it. Katerina, intent on going to business college suddenly changes course and puts all effort into a dancing career. She becomes annoyed with the depressed Charlie when he decides to go back to school to get a better score. When Declan confronts Eric about ripping off the Education Department he offers him a deal and Declan, attracted by the money, finds he has been bought off. Melanie has a go at Declan about it and Declan finally confronts Eric.

Charlie wants to buy a car from Leo Fine but Declan advises him against it,as he knows Leo is trouble.Ryan Scheppers moves in with his Mum after his Dad kicked him out for failing his exams.

A new principle arrives, his name is Les Bailey.He isnt popular when he introduces a strict dress code for the students.A guy called Drazic starts causing trouble.

Bailey and declan clash and Declan scolds at him and Declan then quits school.Sydney is very hot and Draz gets Kat a fan but she dosent realize where he got it from.Bailey apologises to Declan and he returns to school.

Ryan stars dating a nude model.

There is trouble in the Scheppers' household when Ryan and Anita's estranged dad, Jeff, arrives. He has brought a gift for Anita, and seems to want to patch things up with her. Anita is pleased at her father's renewed attention, but is in for a disappointment when it seems Jeff is more interested in his relationship with his son Ryan who feels his father abandoned him. Will the Scheppers family be able to patch up its differences? Drazic borrows Charlie's car and smashes into the back of Les Bailey's car. When Les blows his stack and wants to catch the culprits, Charlie is keen to turn himself and Drazic in. Needless to say, Drazic thinks this is a dud idea and threatens to kill Charlie if he reveals the truth. Will Charlie stand up for himself and risk getting his lights punched? Over at the Shark Pool, Melanie is filling in for Declan.

Katerina talks Melanie into holding a party in order to gain popularity. Melanie who is holding a torch for Ryan, hopes it will bring him closer to her. She spends up big on credit cards and initially the cost seems worth it. However, when Melanie's father's video camera gets broken she can't afford to get it fixed, Melanie realises that she has spent way beyond her means. And she is dismayed when Ryan tries to give back the expensive gold pendant she bought for him. Melanie learns you can't buy friends. Ryan decides to live and work with his father. Jeff says that they will need to mortgage the land Ryan's grandfather left him to expand the business. Ryan is shocked at this revelation concluding that his father came back for the money and not for him. When he accuses his father of this, Jeff is hurt and urges him to forget the business, keep the money, but Ryan realises he values his friends in Hartley and decides to stay. Charlie gets hauled up to play beach volleyball opposite D

New student, sharp and sassy Mai Hem baffles everyone when she agrees with Drazic when he makes pointed racist slurs.

Principal Bailey had entered Hartley in an inter-school volleyball competition. For Charlie, it is a dream come true: a chance to develop his skills and represent his school.

Les hands out an environmental project which pairs Anita with Drazic. Anita can't imagine anything worse but is unsuccessful in her attempt to get out of the arrangement.

Katerina and Charlie are stunned when they find a baby on their doorstep.

When Les decides to close the school newspaper to save money, Melanie and Mai settle in for a fight.

Melanie and Mai end up in a terrifying situation when they decide to hitchhike and as Anita and Drazic's relationship is blossoming, Charlie and Katerina's is on the rocks. When Les decides to close the school newspaper, Melanie and Mai settle in for a fight. Mai sets up an interview with a prominent figure and tells Melanie that they have permission to take the day off to do it — they don't! Running late, Mai goads Mel into hitchhiking with her. The girls become worried about their driver when he starts to take them away from where the wish to go and they end up in a deserted industrial site. There seems to be no escape! Anita and Drazic's relationship is going strong, much to Ryan annoyance. Anita persuades Drazic to perform a scene from A Mid Summer Nights Dream for the class but when he isn't doing too well in rehearsal, Anita finds a novel way to turn their scene into a success.

After stealing (for fun) with Anita, Drazic is caught by the store manager. Mr. Bailey ask Charlie for help with his new computer. After a "battle of the sexes" class discussion, Mai and Melanie decide to test Ryan's misogyny.

Before they face the court together, Drazic and ends his relationship with Anita. Charlie and Melanie have to replace Anita for the inter-school quiz. Mai and Ryan relationship continues to advance with a special dinner.

When Blair asks Katerina to partner him in a competition piece she soon finds herself falling for him and the feeling is obviously mutual. When Kat discovers that Blair is married with children, she must decide if she will continue to see him or dissolve the relationship. Having to vacate the warehouse for an evening, Mai asks Ryan if she can stay the night at the Scheppers. Both have different ideas of how the evening should go and neither is right! Hilary is not impressed when she returns from night shift the next morning to find Mai leaving — how will Ryan explain this one? Meanwhile, Drazic has been assigned his community service job and is mortified to find out he is to be the lollipop crossing guard at the local school crossing. Melanie, annoyed that Anita is still in love with him, puts her energy into doubling Drazic's embarrassment.

Principal Bailey threatens to fire Ryan if he doesn't hand all his overdue essays. Anita and Katerina are hired for the same job at the Shark Pool. Drazic is banned from his lollipop duty, but principal Bailey finds him a new duty.

Life at Hartley High is turned upside down by the arrival of new teacher Jay Jackson and his daughter, Aurora, and Melanie goes through a physical and emotional transformation. Jay is no ordinary guy, his teaching methods are unorthodox to say the least, and his choice of house is odder still. Predictably, Les dislikes Jay from the beginning but his dislike intensifies when Jay decides he knows what's best for the Hartley students. When life lets you down, you can either put up with it or change it. Melanie Black is sick of putting up with it — she no longer wants to be the victim. First she has to discard her old way of life, that includes her look and her attitude. However, in doing this, she treads on a lot of toes. Will this be Melanie's route to happiness? At the Scheppers' house, Ryan and Anita are grounded.

Ryan's world is turned on its head when he has a car accident. He and Mai survive the accident intact, but Anita is seriously injured and left in a coma. Ryan is plunged into a world of guilt and recrimination, not only is he facing criminal charges, but he also has to face the fact that Anita may die as a result of his actions. Melanie is also hitting the depths of a personal crisis. She has decided to leave Hartley High to join Jay in the pursuit of happiness and meaning in life. Melanie's dad Tony not only tries to dissuade his daughter from joining Jay, but he is also determined to get Jay drummed out of his job for good! As Charlie grows closer to Aurora he is convinced that he has met his perfect match. However, all may not be as it seems, and Charlie is devastated when he sees Aurora in a passionate clinch with another man. Is this the end for Charlie and Aurora?

When Les decides to hold night classes at Hartley High, he has no idea just how disruptive they will be.