Chrysalis period: "Eureka", "The Bible" and first split (1987–1990)
On the strength of Walking the Ghost Back Home, The Bible signed to Chrysalis Records. "Graceland" was re-mixed for single re-release in February 1987 (though it eventually charted only slightly higher than the original release). Leroy Lendor had left the band at this point, and to cover for him the band brought in former Christian Death bass player Constance Redgrave to play on the remaining tracks on the "Graceland" EP and on 1987 live dates.
By the time The Bible began recording tracks for a second album (initially self-producing with Pete Smith and Owen Morris), the band were without a bass player again. Neill MacColl's brother Calum – a respected multi-instrumentalist from the folk music scene – guested on bass guitar for the sessions. Unsatisfied with their initial work, The Bible ditched the existing new album recordings (some of which would later surface as B-sides) and opted to start again.
At the suggestion of their management, the band recruited American country-rocker Steve Earle as their new producer, and recorded a more successful set of sessions with yet another guest bass player (this time Greg Harewood of Incognito/Soul II Soul/Mirage). These formed the basis for most of the second Bible album, Eureka, released in 1988.
In spite of good reviews, the commercial performance of Eureka was disappointing – the album peaked at number 71 on the UK Albums Chart and its three singles failed to chart. Although the band had begun to record a third album (to be titled Anticlockwise), Chrysalis rejected the initial recordings in favour of repackaging earlier material. Leroy Lendor returned to the band in time for a re-recording of "Graceland" which provided The Bible with their highest charting single to date (reaching number 51 in the UK in April 1989).
Chrysalis then opted to compile the new version of "Graceland" with most of the Eureka tracks as a stopgap album called The Bible, filling out the remaining space on the record with a number of B-sides. As further promotion, the Eureka single "Honey Be Good" was re-released and gave The Bible a second hit later that year, reaching number 54. The additional commercial pressures of being on a larger label did not sit well with Hewerdine, who later recalled "I think I felt under a lot of pressure. There were a lot of people telling me what I should do and I felt very bullied".
In early 1990, The Bible broke up in farcical circumstances. Having flown to Germany to perform "Honey Be Good" on what turned out to be a TV talent show, they lost to a man who performed under the name of Mr Gadget, wore a spinning bowtie with lights on it, and won by 140,000 votes as compared to The Bible's twelve. As Hewerdine later remembered it, "we all took it so personally that we split up."