Raised on Crow Hollow, Di Henry was given to her Aunt Louise Kirby shortly after her birth when it became clear that the extra mouth to feed would put too much of a burden on her family.

Di surfaced in a correction facility in Pennsylvania, sentenced to serve time there after refusing to cooperate with a grand jury investigation. She came to fellow prisoner Krystal Carey's defense when other inmates were harassing her, but has remained tightlipped about her own situation. She seems to have knowledge of Krystal's ex-boyfriend Tad Martin, but how she knows him remains undetermined.

While visiting Krystal in prison, David Hayward was immediately taken aback upon first sight of Di. There was something in her essence that reminded him of Dixie Martin, a presumed dead ex-lover. Di shrugged off David's inquiry if she was really Dixie. Di was released from prison and almost got run over. A fearful Di sought shelter at David's, where she explained that she was being hunted down by an ex-boyfriend, a powerful businessman who feared that a freed Di would expose some of his illegal deeds. David offered Di money and the ability to start over if she agreed to impersonate Dixie, and convince Dixie's son J.R. to let Babe share custody of their son, Little Adam. Di agreed to the plan.

Coloring her hair blond, Di arrived at the Chandler mansion to apply for the nanny position. She claimed her name was Diana Cole. J.R. felt an immediate connection with Di and hired her. The two grew close, irritating J.R.'s father Adam. Tad also felt a strange familiarity with Di, but couldn't explain what it was. David slowly began to drop clues to Tad that Di might be Dixie, and eventually Tad put the pieces together and had Di's fingerprints analyzed. Thanks to some machinations by David, the prints came back as a match for Dixie. Di revealed herself as Dixie to Tad and J.R. "Dixie" explained that after losing her unborn baby in the accident and a series of grueling surgeries, she lost sight of herself and fell into a deep depression that made her want to be anyone but Dixie Martin. Still, she couldn't stay away from her family. J.R. forgave his mother and accepted her into his life. Tad shared J.R.'s confusion and hurt at "Dixie's" reappearance, and quickly realized that part of the reason "Dixie" reappeared incognito is because she was unsure she wanted to reunite with Tad. The new face and convenient story of emergency surgeries and death-defying odds made some uncertain that Di was really Dixie -- but three DNA tests showed otherwise: Di Kirby was really Dixie Cooney Martin.

Or was she?

Dixie's half-brother, Del Henry, showed up in Pine Valley to reveal what he knew about his half-sister -- but it was about Dixie. Del confronted Di and revealed that she was his other half-sister, Di Henry. After Di revealed how she needed this new life to move on with her own life, Del promised to keep her secret. Di had another secret that she was keeping: the identity of, The Dragon, a crime lord that had killed Noah Keefer and was targeting his widow, Julia Santos Keefer. In a secret meeting, Di met the man who had taken her in at age 17 and set her on a path that would result in several attempts on her life. That man was Garret Williams.

The fall-out of the Garret Williams situation exposed Di's true identity but, although he was initially angry with her, Tad was able to forgive her and they tried to go forward with their relationship, even getting engaged. However, once Tad learned that Di had hidden the fact that Dixie was still alive, he could no longer continue their relationship.

Di remained in Pine Valley and she moved in to Wildwind with her friend Julia Santos. She helped Dixie and Tad search for the daughter Dixie had given up for adoption when a doctor convinced her she was dying. The doctor that had handled the adoption was in Pine Valley but he refused to reveal where the child was. Dixie was presumed dead after eating poisoned pancakes meant for her daughter-in-law Babe. Di grieved for her sister but felt a little peace when Dixie's daughter was located and went to live with Tad.

After Dixie's daughter was located, Di took a position at Fusion and developed a friendship with Annie McDermott. She encouraged her friend to be secure in her relationship with Ryan Lavery and Di entered into a relationship of her own with Aidan Devane. After a few months of dating, Di realized her relationship with Aidan was never going to result in marriage and she moved to New York to head up a division of Fusion.

In November of 2008, Annie contacted Di and asked her to watch her daughter Emma in Puerto Rico. Di agreed until she realized Annie had kidnapped her own daughter in an attempt to win back her husband. Annie planned to bond with Ryan over the kidnapping and save their daughter from Di together. Di turned the tables on her friend and moved Emma to another location. When Annie arrived to visit her daughter, Di pulled a gun on Annie and made it clear she would not pay for Annie's crime. The women struggled over the gun and a bullet hit Di. She died shortly after.