Pottersville
- George tells Clarence that he's worth more dead than alive and that he wishes he'd never been born.
- That gives Clarence an idea. Clarence consults with one of the other angels (invisibly) and grants George his wish to have never been born.
- George suddenly finds he can hear in his bad ear. They get dressed.
- As they walk out, George notices his car has disappeared from the place where it hit the tree.
- He asks someone about it, and the guy says he doesn't know what he's talking about. The guy says it's one of the oldest trees in Pottersville (which is no longer called Bedford Falls).
- They go into Martini's and discover that Nick (the bartender) owns it now.
- When the cash register bell rings, Clarence tells George it means an angel just got his wings.
- George tells Clarence to stop talking about being an angel. Clarence tells George he's 293 years old.
- Nick says he's kicking them both out of the bar. Mr. Gower walks in, and Nick sprays him in the face with water.
- Mr. Gower has been disgraced because he accidentally poisoned a kid (since George wasn't there to stop him) and spent 20 years in prison.
- Nick throws them out and jokes about handing out wings by ringing the register bell.