When Carlos returns from smoking in his room, he finds Baccalieri pointing a gun at Mustang Sally's head from behind. Carlos exclaims "Ho! What the fuck?" as Baccalieri shoots, but Mustang Sally has turned his head in response to the exclamation and Baccalieri misses his head, instead shooting off Mustang Sally's left earlobe. Baccalieri quickly turns and shoots Carlos in the abdomen, wounding and disabling him. Mustang Sally and Bobby engage in a hand-to-hand fight, each struggling to get their guns in position in order to kill the other. Baccalieri wins by shooting Mustang Sally in the side of the head, klling him. Baccalieri shoots Mustang Sally again in a coupe de grace as Sally lays prone on the floor. Baccalieri then looks at the injured Carlos and calls Carlos "Greaseball. Carlos pleads with Bobby not to kill him and uses a chair as a shield. Bobby shoots through the chair and the bullet kills Carlos. Bobby snickers after killing Carlos, then sits down and lights a cigarette despite his severe asthma and being covered in Mustang Sally's blood and brain matter.
Bobby was ordered to kill Mustang Sally under orders of Tony Soprano and Gigi Cestone because Mustang Sally put made man Vito Spatafore's brother Bryan in a coma by hitting Bryan in the head with a golf club.
Carlos is killed because he witnessed the death of Mustang Sally.