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The host for the episode is Michael Palin (his third appearance), and the musical guest is James Taylor (his second appearance). The skits for this episode are as follows: Fred Silverman defends the programming decisions he's made over the past year and announces that he's picking Gary Coleman to be his new Executive Vice President. In the further adventures of Miles Cowperthwaite, Miles enters the service of Captain Ned and sets sail aboard the Raging Queen. During the Weekend Update, Jane Curtain reports on President Carter's gasoline rationing plan and the loss of Skylab, then gets snapped at by an angry Margaret Thatcher, Bill Murray reports on Chico Escuela's failed attempt at a return to Major League Baseball, and Father Guido Sarducci discusses an unexplained object in the sky as well as his plans to start a Shrine-mobile service. President Carter presents the Boulevard of Proud Chicano Cars. Tom Snyder talks about his mother on the Tomorrow Show. Mr. Bill attempts to run away, but Mr. Hands finds him and soon crushes Mr. Bill and Spot in his car. James Taylor performs "Johnnie Comes Back", "Up On The Roof" and "Millworker".