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In early 2381, as the invading Borg fleet approached Danula, Peggy's family put her and Matthew onto an evacuation ship. They eventually ended up at the iy'Dewra'ni refugee camp on Pacifica, where they both picked up a waterborne pathogen. They were both cared for by Dr. Beverly Crusher, and while Matthew was kept in stasis pending surgery, Peggy assisted in the care of the other camp children, along with Commander Miranda Kadohata. (TNG novel: Losing the Peace)