Hi Gene, thx for replying. I live in San Diego, Ca. Yes, it's still in water. I didn't want to transition the cutting into soil so soon since I didn't want to shock the plant but apparently something is going on. I've read about several transitioning methods but I'm still trying to do research on which approach is best. The brown spot is soft and limp as opposed to "crisp". I'm just worried this plant will get worse.