A new policeman, Bernie O'Donnell arrives in Cooma prepared to stamp out the ethnic tension that is causing fights in the camps. Lilian shows a special interest in Michael's writing ability and the first meeting between Wolfie and Michael is not an auspicious beginning.

Rebellious and full of mischief, Wolfie has a big influence over Michael. Jack and Molly are concerned about their son's new-found friendship. Their fears are realised when Bernie informs them Wolfie has been charged with assaulting a young local girl.

A developing friendship between Wolfie and Kate makes everyone uneasy. The Snowy is beginning to reveal its ugly side with gamblers in the camps and cattle thieves in the mountains — events which combine to provide Stuart with a fateful opportunity to exact vengeance for the death of his sons.

As Bernie tries to piece together the events surrounding the shooting, Wolfie lies in a coma from which he may not recover.aa Michael is devastated when the truth behind Wolfie's shooting is finally revealed and Lilian, herself alienated by small town attitudes, reaches out to comfort him.

Michael stands by Stuart as he is found guilty and sentenced to five years imprisonment. Molly and Michael have problems to resolve with the lease while Michael organises opposition to the Authority after cattle die due to their negligence. Max excitedly reveals that a close friend is arriving from Germany.

In an effort to get closer to Max, still under suspicion for Wolfie's disappearance, Bernie asks him to help in his efforts to rid the camps of their criminal elements. Kate and Bernie go to Island Bend and end up in trouble, spending the night in the bush together. Eva arrives from Germany and is devastated to discover that Wolfie is missing.

In the series finale, Eva forgives Max but decides to return to Germany; Alf resigns from the Authority; Michael visits Stuart in jail. A love from the past returns shocking Eva and Kate. Lilian and Molly settle their differences and Stuart surprises Michael with a special Christmas call.