Answer:
1 The Delimma: I don't want to hurt my friend but know she's hurting me by her actions
2 The values are the friendship between my friend and myself vs my reputation as a person and as her friend.
3 The thing to do would be to confront her face to face but without others around.
Step-by-step explanation:
You cannot allow your friend to continue this, and the best way to end her doing so is to try and help her to see how awful what she is doing is. But truth be told, you may not be able to do anything to help, so the best thing to save the friendship and to be the mature of the two of you is to talk to her about it away from prying ears and eyes. Noone else needs to hear what is said but you and your friend.