The Dots included various line-ups from 1978 to 1982. The band released their debut single "Recognition" in 1979, which did not reach the Australian Kent Music Report Singles Chart top 50. Paul Kelly and the Dots signed to Mushroom Records and issued "Billy Baxter" in November 1980, which peaked at No. 38. Rock music historian, Ian McFarlane described it as a "delightful, ska-tinged" track. Kelly's first television performance was "Billy Baxter" on the national pop show "Countdown". Their debut album, "Talk", followed in March 1981, which reached No. 44 on the Kent Music Report Albums Chart. Late in 1981 Paul Kelly and the Dots recorded their second album, "Manila", in the Philippines' capital. It was issued in August 1982, but had no chart success. Release was delayed by line-up changes and because Kelly was assaulted in Melbourne – he had his jaw broken.