Michael Scott was neither dead nor did he make it to Hollywood. The Thursday, March 24 episode of "The Office" kicked off the story arc where the character played by Steve Carell made a life-changing decision by [Spoiler Alert] proposing to his soulmate Holly Flax and announcing to the Dunder Mifflin staff that he's following her to Colorado.
Along with the announcement came the confirmation that Will Ferrell will be the new boss. Ferrell, who plays Dunder Mifflin manager from another branch, appeared toward the end of the episode, giving Michael a hug. Although Ferrell is the replacement, NBC insists on saying that he would not be a full-time cast, meaning someone else will come along or one of the staff will get a promotion.
Carell has three episodes left to say goodbye to the show's fans. His last episode airs April 28 and a week later, Ferrell ends his multiepisode arc.