I haven't seen this since it aired when I was 8ish but IIRC, Sarge went to the top to give the flying clothesline (Slaughter's Cannon) he nailed the ref and Larry Z. The ref is out, Sarge gets the Cobra Clutch on and the 2nd ref makes him the winner, only to be overturned when the ref woke up.
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Slaughter was supposed to win it there but the WWF lured him away, forcing Gagne to have it reversed, much like the Benoit / Sid scenario.