Combo is shot and killed by a young boy on a bicycle while dealing on a street corner that belongs to a rival operation. Jesse is devastated by the loss of his friend and blames himself for putting Combo in danger. He shuts down the entire street-level distribution network, telling Skinny Pete and Badger to stop dealing immediately. Jesse spirals emotionally and begins using meth again, retreating to his house and isolating himself. Walt, confronted with the reality that their independent distribution model is fatally flawed, contacts Saul Goodman and asks him to arrange the meeting with the professional distributor Saul mentioned previously. Saul warns Walt that this distributor is serious and operates at a level far above anything Walt has encountered, but he makes the call. Saul arranges for Walt to meet the distributor at a Los Pollos Hermanos restaurant, a popular fast-food fried chicken chain. Walt goes to the restaurant and waits, but no one approaches him. He returns the next day and again receives no contact. On his third visit, Walt confronts the restaurant's owner and manager, Gustavo "Gus" Fring, a polite and meticulous Chilean-born businessman, and directly asks if he is the distributor. Gus denies any involvement in the drug trade and politely suggests Walt leave. Walt, frustrated, tells Saul the connection is a dead end. Saul advises patience, explaining that Gus is cautious and evaluates potential partners over time. Jesse, sinking deeper into drug use, meets Jane Margolis, his new next-door neighbor and landlord's daughter, who manages the duplex where Jesse rents. Jane is an artist and recovering addict who attends Narcotics Anonymous meetings. Jesse is drawn to her quiet directness. They begin a tentative friendship, though Jesse hides his drug involvement. Skyler's suspicion of Walt's lies reaches a critical point: she discovers through phone records that Walt has been making calls to a number she cannot identify. She does not yet act on this information, but her trust in Walt continues to erode. Gus, having observed Walt and investigated his background through his own sources, sends word through Saul that he is willing to meet — but only with Walt, not Jesse.