Craig and one of the bad guards are pedewhispering about Bates looking like he received some good news. They wonder what it is, so the guard asks Craig the former cellmate where Bates keeps his letters. He thinks he's being clever, but he's the one who's going to need insulin shots after reading Bates and Anna's correspondence.
Matthew is using a walking tour of the grounds to point out to Mary how much disuse and disrepair much of the farmland and its structures have fallen into, which goes a long way to explain his contention that Downton is being mismanaged. Mary, surely with a bit of reflexive defensiveness for her father, asks if Matthew doesn't think Lord Grantham understands that the land needs to be worked, and Matthew replies that perhaps he harkens back to a time when money was no issue for them. "I think he equates being businesslike with being mean -- or worse, middle class, like me." I think Matthew has, as the British say, got it in one and while Mary doesn't comment, she at least no longer appears offended. She does, however, suggest they get back, as Sir Philip will be arriving soon, "and you ought to be there to hold [Branson's] hand." Matthew notes how simultaneously terrified and thrilled Branson is and after another moment where it's not clear if Mary balks at the idea of having children, she takes his arm and they head back.