Kitty: Steven, how could you not know your friend was a hobo?
Hyde: Well, now that I think about it, some things do make more sense.
[flashback to Hyde in the basement as Fez reads a magazine:]
Hyde: Hey, man, where the hell are my keys?
Fez: Oh, here they are. I just borrowed them, but I didn't make a copy.
Hyde: Why would you make a copy?
Fez: Why would I borrow them?
Hyde: To make a copy?
Fez: Why would I make a copy?
Hyde: Okay.
[flashback to Fez walking down the Formans' stairs in a towel:]
Hyde: Did you just take a shower here?
Fez: No.
Hyde: Why are you wearing a towel?
Fez: Because otherwise I'd be naked.
[flashback to Hyde finding a pair of underpants at the record store as Fez walks in:]
Fez: Oh, there they are.
[present:]
Hyde: Hey, I was just happy he's wearing underwear again, all right?