Two divers photographing the wreck of the Orca, Quint's boat from the first film, are attacked and killed by a great white shark. The shark later attacks a water skier. The driver of the speedboat defends herself by first throwing a gasoline tank at the shark (accidentally spilling some on herself) and then igniting the fuel with a flare gun. The fire ignites the actual gas tank and the speedboat explodes, killing the driver and leaving the shark severely burned.
In addition to these incidents, a killer whale bearing large wounds is beached, which Police Chief Martin Brody (Roy Scheider) suggests were caused by a shark. Mayor Vaughn (Murray Hamilton) doesn't believe Brody's belief that the town has another shark problem. Later, Brody spots a section of the ruined speedboat bobbing in the surf just off the beach. When he goes to retrieve it he encounters the burnt remains of the boat driver.
The next day, from atop an observation tower, Brody believes that he sees the shadow of a large shark approaching the bathers. He orders everyone out of the water, firing his gun and creating a panic, and is publicly humiliated when the shadow is revealed to be merely a school of bluefish. However, Brody's suspicions are further fueled when he also acquires prints from the diver's camera showing close-ups of the shark's eye. Brody's suspicions are not shared by the town selectmen and local developer Len Peterson (Joseph Mascolo) at a time when the town is enjoying a revival in its tourist industry. Vaughn, angry with Brody's performance on the beach, fires him.
The next morning, Mike (Mark Gruner) sneaks out of his house to go sailing with his friends, but his younger brother Sean (Marc Gilpin) catches him and insists he be brought along. On their way, the group pass a team of divers, led by instructor Tom Andrews (Barry Coe). Moments after entering the water, Tom encounters the shark. Panicking, he rushes to the surface, causing an embolism. Meanwhile, two of the teens, Tina (Ann Dusenberry) and Eddie (Gary Dubin), encounter the shark when it bumps their boat, causing Eddie to fall into the water and be killed by the shark.
Brody and Ellen (Lorraine Gary) find Tom being put into an ambulance and Brody suspects that something might have scared him below the water. Hendricks informs Brody that Mike is sailing with others, so he insists on taking the police launch to rescue them. Ellen and Hendricks join him. They find Tina's boat, with Tina hiding under a blanket inside, who hysterically confirms Brody's suspicions that a shark is responsible. Hendricks and Ellen take Tina to shore while Brody continues to search for the teens in the police launch.
All seems well with the teens until the shark appears, bumping one of the sailboats, and causing a panic which leaves everyone ramming into each other with their sailboats. Mike narrowly avoids being attacked; two friends save him and head back to shore for help. The rest of the teens remain floating on the wreckage of tangled boats, drifting away towards the open sea. A Coast Guard marine helicopter arrives and a line is rigged to tow them into shore. Before the pilot can tow them, the shark attacks one of the pontoons, causing the chopper to tilt and capsize. Sean falls into the water and is quickly saved by Marge (Martha Swatek), sacrificing herself to the shark in the process.
Brody meets Mike and he informs his father that Sean is with the others, who are drifting towards Cable Junction, a small island which houses an electrical relay station. Brody quickly finds them, but the shark appears and Brody runs the police launch aground on the rocks of Cable Junction. Brody tries to tie a rope line, but snags an underwater power line instead. Most of the teenagers are tossed into the water during the shark's next attack and swim to Cable Junction. Using an inflatable raft, Brody taunts the shark by pounding the power line with an oar, trying to entice the beast to bite on the power cable. The plan succeeds and the shark gets electrocuted and is killed. Brody paddles back towards the other teens at Cable Junction to await rescue.
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The trailer for Jaws 2.
