[DarkMaster]

There's also that radio show in the hospital elevator, talks about how two children were brutally murdered by Walter (I'm pretty sure they said it was him, cause he was like this famous cerial killer, and that particular case was most disturbing).

Yeah, but anyway, that whole thing about the "red devil" and "it wasn't me!" that was pretty well to give Eddy more development, cause you can see a little more clearly what's going on with him, and that there are other people who have experienced the same thing. But...Walter in SH4, looks like he was doing all that crap by his own free will...so maybe they forgot about that note from SH2 :/

And that Hope House from SH3, wasn't that where Claudia and some other people (forget exactly who they were) lived? But yeah, two Nurse Rachel's doesnt seem like a coincidence.

Also, something that's kind of interesting. In SH2, James is grouped with Walter (along with Eddy and Angela) as being these pretty sadistic killers, like being all in the same graveyard and stuff. And, James' dad knew Walter somewhat as a kid, not to mention he kept his freakin embelical (wrong spelling I'm sure, meh) cord. Just kind of interesting.