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The Mexican guards take John Grady Cole and Rawlins northward. On the third day of travel, the manacled prisoners reach the town of Encantada, the same town where they helped Blevins recover his stolen horse. There, the two Americans have an argument: Rawlins blames John Grady for their arrest, maintaining that Don Hector turned the Americans over to the police because he learned of what Rawlins sees as John Grady's foolish affair with Alejandra. John Grady asks for Rawlins' loyalty, maintaining that were the situations reversed he would show Rawlins the same loyalty.
In the Encantada jail, the Americans find Blevins. It seems that Blevins was not content to escape with his horse: instead he returned to Encantada and reclaimed his gun, as well. In the chase that followed, Blevins shot and killed one of his pursuers. He has been in the jail ever since. The next day, the local police captain takes Rawlins in for questioning. He accuses Rawlins of being a murderer and impersonator, and tortures him until he confesses to crimes he did not commit. He does not torture John Grady, but he accuses him, too, of being a liar and a criminal.
Three days later, guards place the three Americans in the bed of a truck, and then drive them south to the prison at Saltillo. In the front of the truck ride the captain and the charro. They progress southwards in a curiously casual manner, delivering mail and produce to passing villages. Eventually they stop near an abandoned farm: the captain and the charro take Blevins into a grove and execute him. The truck continues to Saltillo, where John Grady and Rawlins are transferred to the Saltillo prison.
The prison is brutal. The prisoners are cruel and violent, and the Americans spend their first days in a continuous fight for survival. They are badly bruised and battered, but they support each other, and John Grady exhorts Rawlins not to surrender. They suspect that the prison commandant believes that they are rich, and is waiting for them to bribe him. After a few days, they are summoned to see Perez, a wealthy and influential prisoner who also asks them for a bribe. The day after they refuse him--after all, they have no money--a man knifes Rawlins in the prison-yard. Rawlins is taken to the prison infirmary, and John Grady loses contact with him.
Desperate to learn what happened to Rawlins, John Grady goes three days later to see Perez. Perez talks to him about the necessity of seeing things--evil, money, human nature--as they truly are, of discarding romantic notions; he also makes sinister innuendoes about what will happen if John Grady does not bribe him. John Grady still refuses to deal. The next day, he uses the last of his money to buy a knife to protect himself against the attack that will inevitably come. Soon it does: an assassin tries to stab him in the mess hall. They fight, and John Grady is seriously wounded, but at the last moment he is successful in killing his assailant. Staggering from the hall, he collapses in the prison-yard, and is taken to the infirmary by none other than Perez' bodyguard.
Days pass in the darkness and pain of the infirmary; John Grady is badly scarred, but he survives and heals. Still weak, he is brought before the jail warden, given an envelope full of money, and, together with Rawlins, released onto the street. John Grady discovers that it was Alfonsa, Alejandra's great-aunt, who paid for their release. They discuss what they have done, and what they will do. Rawlins, haunted by the memory of Blevins' death, decides to return home to Texas; John Grady will remain in Mexico, and make a last attempt to reclaim their horses and win over Alejandra. The chapter's end sees Rawlins on a bus home, and John Grady hitchhiking a ride back north towards Don Hector's ranch.
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