Hurley tells Jack about his stay in the psych ward and his $114 million lottery win, and his streak of bad luck. Tells Jack his bedside manner sucks.
This leads to a flashback showing Sarah in her hospital room. She can't feel anything. Jack explains that her spine is fractured, her vertebrae are crushed, and her spleen is ruptured. Christian calls Jack out into the hall for a lecture on his bedside manner.
Back in the cave, Jack tells everyone about the hatch, and that Arzt is dead, and that they'll all be safe in the cave until morning.
Locke's tired of waiting and gathers ropes to head back to the hatch.