When we rejoin the episode, we meet a young woman who looks kind of like Nina Dobrev. She's very chipper and dressed in bright red. She records a diary entry and listens to music from George Bizet's Carmen. She's been in captivity for 363 days. She fails at an attempt to make a souffle. She barricades a circular door, then discovers later that part of her barricade was disturbed. "They came again last night," she narrates. "Still always at night. Maybe they're vampires," she muses. Well, they do sometimes suck. She wishes her mom a happy birthday. She hears Daleks banging around outside, demanding to be let in, so she turns up the music and drowns them out.
Back on the Parliament of the Daleks, the Doctor paces and sizes up the situation. The redheaded Dalek puppet from earlier is there. She has on a cute outfit in bronze leather and studs that makes her look a bit more like her metal counterparts. "We have arrived!" intones a Dalek voice. "Do you remember who you were before they emptied you out and turned you into their puppet?" he asks her. "My memories are only reactivated if they are required to facilitate deep cover or disguise," she answers. Why the Doctor isn't more worried about the rise of fleshy Daleks is a mystery. She directs him to the Prime Minister, who's a shell-less Dalek squid in a jar. They trade exposition about the Dalek Asylum, a "dumping ground" for their injured, insane and uncontrollable. The Doctor says it doesn't make sense. "You'd just kill them," he says. "It is offensive to us to extinguish such divine hatred," the PM says. He talks about the beauty of hatred and how perhaps that's why they've never been able to kill the Doctor. Aw. They think he's purdy.
A hole opens up in the middle of the floor, showing them the Asylum below. It's an entire planet. "This signal is being received from the very heart of the Asylum," says the puppet. It's Carmen. For some reason, it hasn't occurred to the Daleks to track the signal before, so the Doctor does it now. He talks to the souffle lady. "Oswin Oswald," she introduces herself, thrilled to hear from real people. She says she was an entertainment manager on the Starship Alaska before it crashed. The Doctor is puzzled. "What have you been doing on your own against the Daleks for a year?" he asks. "Making souffles?" she offers. The Doctor laughs, confused and delighted. "Making souffles against the Daleks! Where'd you get the milk?" A Dalek on the Parliament ship interrupts because the conversation seems irrelevant. He hasn't read forward in the script, apparently.