Kelsey gets quite a Christmas gift -- instead of waking up to a stocking filled with goodies, she gets the news from Bailey that part of her bowel has died, which is why she collapsed. Her boyfriend just pleads with the doctors to fix her, clearly petrified by how close she obviously is to death. Out in the hall, Bailey tells the other doctors that they need to operate immediately, but Cristina asks how given that she's septic and, oh yes, has no heart, among other problems. She points out that Kelsey's blood pressure is too low for general anesthesia and she won't survive, but Bailey has a very Derek moment and slowly but confidently announces that they won't put her under general anesthesia, then. Somehow this kind of live-on-the-edge proclamation sounds more organic and less asshole-y coming from her than from Derek.

Mark and Derek are showing Mere how they are going to do the surgery, but Meredith is no dummy and asks them what instrument they are going to use and they have to admit that they don't have it yet. Mark assures her that they will once they figure out how to build it, but Mere can't ask more questions because Bailey comes in and asks them for an invitation to their house for Christmas dinner. She points out that she knows it's late given that Christmas dinner is only a few hours away, but tells them that her father is worried and if he thinks she doesn't have friends and a life, he'll never leave. Daddy issues are Meredith's specialty, and she and Derek of course tell her that it's fine. Bailey runs off to do her bowel repair before dinner, and after she leaves Arizona comes in and tells them that the Chief cut the funding and that they are way over budget but that their kid is running out of time.

They head over to Richard's office and ask for their bonuses to go towards the instrument, but Richard just says no. When both Mark and Arizona protest, Richard doesn't answer, which leaves Derek to figure it out and tell the other two that there are no bonuses this year. Now that the bad news is out there and he was able to once again shy away from giving it, Richard announces that there aren't any bonuses this year. Honestly, how has anyone let this man continue to run the hospital given that he hasn't actually done much of anything other than hide behind other people lately? Oh, wait. I work in Hollywood. I've seen this happen in real life more times than I care to admit. Very well, carry on. After this has sunk in for the docs, Derek offers to write a check, and Arizona then offers to split it with him. Derek thanks her and they both wait a beat, but Mark doesn't chime in as expected and when they look pointedly at him he says he's got a teenager, what if she wants to go to college? Arizona awesomely asks, "Have you met her?" That said, Mark is now in too. Richard thanks them and says he'll get the numbers, but then has Derek stay behind once the other two leave. Once alone, he apologizes for "trying to fire" Derek. Derek, always a class act, just smiles and leaves without saying anything. Seriously? It's all you've been wanting and now you say nothing? Good grief.